Oracle APAC enables Blockchain based Loyalty system at Hana Financial Group
Not so long ago the words hyperconvergence, blockchains, Big data were technologies developed at various Consumer IT companies. Oracle can be counted among the leading players in the Enterprise space to recognize the potential of these new Consumer Internet technologies and has now made them available for the Enterprises through their cloud offerings. This helps Oracle in assisting its Fortune 1000 customers negotiate through the headwinds of disruption all around them today.
Blockchain is one such consumer internet technology that Oracle recognizes as a core component of their comprehensive cloud offering. All leading Enterprise IT companies like Oracle are in a race to help their customers map Blockchain Technology to solve wide range of business problems and enable their customers to deliver the target business outcomes. At the forefront of Blockchain adoption are the banks. The R&D and uptake of blockchains by the Banking industry is slightly ironic as it is the same technology that was created to disintermediate the banking industry.
Mr. Francios Lancon heads Oracle’s Japan Asia Pacific business and Sangram Aglave, Contributing Editor, BW CIO interacted with him recently to learn more about their recent success at Hana Financial Group, a top bank from South Korea. Mr. Lancon clarified that Oracle’s goal is enable Enterprises with Blockchain solutions to serve consumer businesses and in process creating net new market segments. Excerpts from the interaction are as follows:
A true platform always ends up building a Community and an Ecosystem? What is Oracle’s approach to Blockchain?
Blockchain is a core component of our comprehensive cloud offering. The technology enables us to support our customers in scaling up their business, delivering better offerings to consumers, and launching a new era of innovation. Oracle’s enterprise-grade blockchain solution helps users get started and build up quickly, with security resilience, high availability and autonomous recoverability.
For example, blockchain technology can enhance corporate loyalty programs by giving consumers a faster, easier, safer way to earn points and make purchases. Hana Financial Group in Korea has recently signed an MOU with Oracle to build an integrated loyalty platform which leverages blockchain to help customers use their loyalty points as currency; so they can make purchases or access discounts from a range of global merchants, retailers, travel companies and more almost anywhere in the world.
How does Oracle plan to onboard customers on their Loyalty platform to achieve networks effects?
Oracle does not have a loyalty platform; rather, we are providing Hana Financial Group with the means to support its own loyalty platform, via our blockchain solution. Now, users can secure points and swap them across different providers. This is a prime example of applied innovation. With businesses seeking technology that makes it easier to innovate right now, rather than 10 years down the line, solutions such as Oracle’s blockchain offering will become increasingly critical to how business’s gain competitive advantage.
Is Oracle looking at similar platform-based business models in the future?
Oracle strongly believes in platforms and ecosystems. They are essential in today’s cloud world. Oracle’s Cloud Platform, for example, is a platform-first approach which provides a foundation for innovation. The platform comprises all the tools companies need to support innovation in the face of a rapidly shifting business and technology landscape. And, customers get a flexible system of usage that adapts to their changing needs – so they might consume a bit of mobile, and later switch that off and instead add in Internet of Things or blockchain solutions.
With regard to ecosystems, Oracle’s new global startup program is a good example of our unique approach. The program aims to connect startups with Oracle global customers, to create and nurture an ecosystem of co-development and co-innovation in which everyone – startups, customers and Oracle – can win.
How is Oracle transitioning from pipeline-based business models to platform based business models?
A pipeline-based business model is very much about pushing things to customers, which they then implement; for example, software and hardware. However, the primacy of cloud in today’s business landscape means this model is less applicable. In a cloud world, services are delivered across platforms for users to consume and create value – necessitating a very different support and execution model, especially in the area of Platform-as-a-Service. For example, Oracle now offers Universal Credits, enabling customer to not only redeem platform services, but also swap these around as their needs change. To provide assistance in getting the most value from this model, we also have a team of Cloud Success Managers who help customers understand how best to match Oracle’s cloud offerings to their business requirements
