Update on Special Interest Group (SIG) on Financial Services and Transition to SIG on Interdependence of Security and the Extended Enterprise (I-SEE) Stuart Madnick ([email protected]) Michael Siegel ([email protected]) MIT Sloan School of Management Center For eBusiness May 17, 2005
20
Embed
Update on Special Interest Group (SIG) on Financial …ebusiness.mit.edu/sponsors/common/2005-AnnualConf/Madnick_Siege… · Update on Special Interest Group (SIG) on ... • Work
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Update on Special Interest Group (SIG) on Financial Services
and Transition to SIG on Interdependence of Security and the Extended
MIT Sloan School of ManagementCenter For eBusiness
May 17, 2005
2
Research on Financial Services• Sponsors (at varying times):
– BSCH Bank (Spain), Citibank, Merrill Lynch, PricewaterhouseCoopers, Suruga Bank (Japan)
• Principal Investigators:– Professor Stuart Madnick and Dr. Michael Siegel
• Research Staff– 4 Phd Students (Sloan)– 6 - 10 Masters Students (Sloan, Technology and Policy, Computer Science)– Undergraduates, visitors, and other faculty
• Work in business strategy, application development and technology research
3
Strategy Research
• Aggregation• Financial Account Aggregation• Methodology for Assessing the ROI for Online Applications• Opportunities for Financial Services with Small and Medium
Size Enterprises (SMEs)• Global Opportunities in Financial Services• Data Quality Issues for Financial Services Organizations• Web Services and eBusiness Strategies• Data Standards at Financial Services Institutions• Wealth Management and Account Aggregation
4
Applications Research
• Support of Research Analysts in Financial Firm• Providing Universal Access to Investment Securities• Corporate House holding
Technologies Research
• Web Wrapping Technologies• Context Mediation/Semantic Web Technologies
5
Highlights on some Researchin Financial Services
• Aggregation– Definition– Technology Challenges– Financial Account Aggregation– Analyzing ROI for New Online Applications
• Case Study: Financial Account Aggregation
• Personalization– Wealth Management
• Globalization– Global Shopping– Legal, Cultural, and Policy Issues
6
What is an Aggregator?
• Transparently collects information-- with or without prior source arrangement-- resolves contextual differences
• Performs analysis-- not merely gathers information
• Represents user-- acts as agent for user
Aggregator
WebSources
Data SourcesUser (or user program)
7
Concept of a Financial Account Aggregator (FAA)Concept of a Financial Account Aggregator (FAA)-- ““theorytheory””
CONTEXT VARIATIONS:CONTEXT VARIATIONS:- GEOGRAPHIC ( US vs. UK )GEOGRAPHIC ( US vs. UK )-- FUNCTIONAL (CASH MGMT vs. LOANS )FUNCTIONAL (CASH MGMT vs. LOANS )-- ORGANIZATIONAL (CITIBANK vs. CHASE )ORGANIZATIONAL (CITIBANK vs. CHASE )
Context Context
Context
Data:DatabasesWeb dataE-mail
?$ £
¥
02-01-03 01-02-03
03-02-01
13
The 1805 OvertureThe 1805 OvertureIn 1805, the Austrian and Russian Emperors In 1805, the Austrian and Russian Emperors
agreed to join forces against Napoleon. The Russians agreed to join forces against Napoleon. The Russians said their forces would be in the field in Bavaria by said their forces would be in the field in Bavaria by Oct. 20Oct. 20..
The Austrian staff planned based on that date in The Austrian staff planned based on that date in the the Gregorian calendarGregorian calendar. Russia, however, used the . Russia, however, used the ancient ancient Julian calendarJulian calendar, which lagged 10 days behind., which lagged 10 days behind.
The difference allowed Napoleon to surround The difference allowed Napoleon to surround Austrian General Mack's army at Austrian General Mack's army at UlmUlm on Oct. 21, well on Oct. 21, well before the Russian forces arrived.before the Russian forces arrived.Source: David Chandler, The Campaigns of Napoleon, New York: MacMillan 1966, pg. 390.
14
Legal, Cultural, and Policy IssuesRegarding Aggregation
• Protection of investment in data vs re-use– EU Database Directive– 4 proposed bills in US (none passed – so far)– Our research on Economic Principles for Data Ownership
• Protection of consumer privacy– EU Data Directive– GLBA most relevant to account aggregation– and many other related laws
• Liability, consumer protection, jurisdiction
15
Conclusions
• Aggregation takes on many forms– Be prepared to profit from use in different ways– Be aware that you may be aggregated– Context issues are critical
• Personalization of financial services is a competitive advantage
• Globalization will impact all sizes of organizations
16
For Further Information and ContactsRegarding the SIG on Financial Services
• MIT Research:• http://context2.mit.edu and http://context2.mit.edu/aggregation• http://web.mit.edu/tdqm
• MIT Technology Licensed Software:• http://web.mit.edu/smadnick/www/patents.html
• Center for eBusiness at MIT• http://ebusines.mit.edu• David Verrill at [email protected]