What do you do if your creativity clashes with data-driven decision making in Financial Technology?

My experience is that it all depends on the waters you are in. Blue or Red oceans. If there are competitors around, it is very important that the data challenges you. But if you are creating something fundamentally new on the market and usually it is not the data that speaks against you, but the lack of data, then it is worth taking a risk and giving more freedom to creativity. But it's important to remember to curb creativity with iterations and start with a clear but creative MVP.

Constructive conflict is healthy for innovation. Creative ideas are frequently borne out of intuition, sometimes combining patterns through observations, correlations and association across different fields. Hypotheses testing and experimentation can be performed to validate such ideas with data. Insights through data can help provide validation for and against such hypotheses, which can be used to make more informed product decision. Conversely, data points may itself describe phenomena that are not previously conceived. These can help to unlock the understanding of hidden user behaviors that can be incorporated towards new product features.

Financial technology thrives on innovation, but data is its compass. When creativity conflicts with data, view it as a growth opportunity. This tension helps question assumptions and explore new angles. Challenging data can uncover hidden insights, while data can ground creativity, leading to refined and effective solutions. One example is using social media data over expensive credit bureau data. Traditional credit scores often miss nuances that social media interactions reveal. Analyzing social media activity provides insights into behavior patterns, social trust, and financial reliability. This approach is effective in assessing creditworthiness, especially those without full-file credit histories.

In the realm of Financial Technology, innovation flourishes while data serves as its guiding force. When creativity clashes with data, see it as a chance for advancement. Utilize this tension to challenge assumptions and delve into fresh perspectives. By questioning the data, hidden insights may emerge. Conversely, let data scrutinize your creativity, ensuring ideas are firmly rooted in reality. This dynamic interplay cultivates refined and effective solutions, harnessing the strengths of both creativity and data.

Embracing conflict between creativity and data-driven decision-making in FinTech involves understanding both perspectives deeply, bridging the gap by integrating creativity into data processes, fostering collaboration, testing ideas iteratively, focusing on customer value, embracing flexibility, and measuring impact. This approach fosters innovation while leveraging data insights for effective decision-making, ensuring a balance between creativity and analytical rigor in driving FinTech success.

n Financial Technology (FinTech), creativity and data-driven decision-making are both crucial for innovation and success. When these two elements clash, it can create tension, but finding a balance is essential here are some steps: 1- Balancing these elements for innovation. 2- Balancing the importance of creativity and data-driven decision making. 3- Fostering a collaborative culture. 4- Aligning goals and objectives. 5- Integrating data into creative process.

Embrace Conflict: Sometimes, conflict can be productive. Embracing it means recognizing the tension between creativity and data-driven decisions and leveraging it to find innovative solutions. Encourage open discussions where both perspectives can be explored thoroughly, fostering a collaborative environment where creativity and data analysis can complement each other.

Recognize that conflict between creativity and data-driven decision-making is natural and can lead to innovative solutions. Embrace the tension between the two approaches as an opportunity to challenge assumptions, spark creativity, and drive better outcomes. For example, instead of viewing disagreements as obstacles, see them as catalysts for exploring new perspectives and refining ideas.

Una de las cosas que nos destaca de la Tecnología la Inteligencia ARTIFICIAL es nuestra Creatividad(por ahora) Creo podemos apalancarnos de la tecnología y de la IA sin perder nuestra esencia. Cuando los datos se chocan con mi creatividad, ahí es el tiempo de análisis y de ejecutar nuevos caminos, mi opinión es que la creatividad humana es un complemento necesario para La tecnología Financiera

Performing exploratory data analysis (EDA) is always a good starting point to observe high level patterns in data. They may provide clues for further investigation and modelling to uncover fresh insights. With the rise of no-code platforms, machine learning algorithms can be easily called to perform deeper analysis on a defined problem statement. Such modelling can lead to a quick identification of relevant features that can be adopted for solutioning. EDA can also help to uncover potential data issues which can be addressed prior data modelling. It is crucial for the analyst to have good domain knowledge and apply the data analysis with the appropriate business context and acumen.

"In God we trust...everyone else must bring data." Sometimes our intuitions clash with fintech realities. Early in my career at OnDeck Capital, I built small business lending products. We created a quick and easy loan application process with loans up to $150,000 that could fund within hours. We expected high borrower conversion rates due to the simplicity. However, instant approvals for large amounts felt too good to be true, scaring users off. They sensed something was fishy. We had to deliberately include a few human checkpoints with underwriters to give users confidence that their loan offers were genuine and not nefarious.

Data analysis involves defining objectives, collecting and cleaning data, performing exploratory analysis, hypothesis testing, building predictive models, evaluating model performance, generating insights, visualizing data, and iterating for continuous improvement. It's a systematic process that transforms raw data into valuable insights, supporting informed decision-making and driving business growth.

While creativity is crucial, it's equally essential to base decisions on solid data analysis in FinTech. Dive deep into the data to understand trends, patterns, and customer behaviors. By grounding your decisions in data, you can mitigate risks and ensure that your creative ideas are backed by evidence, increasing the chances of success.

While creativity often relies on intuition and imagination, data-driven decision-making emphasizes empirical evidence and quantitative analysis. Prioritize the collection, analysis, and interpretation of relevant data to inform your creative process. Use data analytics tools and techniques to gain insights into customer preferences, market trends, and business performance. For instance, analyze customer behavior data to identify patterns and preferences that can inspire creative solutions tailored to specific market segments.

La analítica es información y contribuye fuertemente a nuestra toma de decisiones creativas. Sin estos datos no hay avance, la creatividad se usa después del análisis y de la recopilación de información.A modo de ejemplo, en una siembra no se puede curar la planta si no poseemos la información precisa de cuanto necesita esa área enferma de remedio. Sería un desastre. Así también pasa en El mundo FINANCIERO. Después de tener esa información, entonces podemos proceder con nuestra creatividad o la del equipo. En el ejemplo anterior la creatividad sería que medio de cura usar, a qué hora hacerlo, cómo hacerlo etc.

Before letting your creative ideas take the driver's seat, it is essential to dive deep into the data and truly understand the boundaries it establishes. Thoroughly analyzing the data allows you to identify where there is room for creative solutions and where you need to adhere to what the data dictates. This process doesn't stifle creativity; it informs and enhances it. By aligning your innovations with the insights provided by the data, you ensure that your ideas are not only creative but also viable and effective. Remember, data is your compass in the world of FinTech. By embracing its narrative and integrating it into your creative process, you can navigate the industry with confidence and make informed decisions that drive success.

If your creativity clashes with data use techniques such as 5 why to five deeper into the data. For instance you’ve launched a brand new AI assistant within your product and it’s not getting the necessary uptick. Using 5 whys you can try to uncover reasons such as the accessibility of the feature or accuracy of the content it generates.

I blend creativity with strategic thinking to generate ideas that are both imaginative and data-supported. For example, when brainstorming new digital banking features, I encourage diverse perspectives while keeping feasibility and data-driven insights in mind. This approach fosters innovative yet practical ideas.

Before you let your creative ideas take the driver's seat, take a deep dive into the data. It holds the key to understanding customer behavior, market trends, and financial risks. Data in FinTech is not just a collection of numbers; it tells a compelling narrative. It guides you towards opportunities for creative solutions while also setting boundaries. By thoroughly analyzing this information, you gain a clear understanding of where you can push the envelope and where you need to adhere to what the data dictates. Contrary to popular belief, this approach doesn't stifle creativity; it informs it. It ensures that your innovations are not just imaginative but also viable. By using data as your guide, you can create an impact in the industry.

Creative intuitions often clash with hard data in startups, especially in fintech where stakes are high. At Thoropass, we aim to make compliance accessible to those without a deep compliance background. Elements like ultra-simple UIs, sensible defaults, quick flows, and fun animations (e.g., confetti) can and do create a comfortable compliance workflow. This innovative approach attracts a new generation by demystifying digital compliance tasks. However, overly simplistic designs can increase risks. We carefully separate user-friendly designs from those that dilute compliance goals. A balanced design promotes responsible compliance and effective operations while engaging non-compliance professionals.

Ideation must be focused on realizing customer value propositions that can be provide meaningful opportunities for commercialization. This means being very clear of the pains, gains or jobs-to-be-done for your customers. Filter away ideas without such customer value proposition focus. Next, one should evaluate whether there is sufficient demand by customers to pay for such an idea. Is the pain/gain point large enough or is the job so difficult or tedious that the customer will willingly pay to acquire the solution? What would be the premium that a customer attaches to such a solution vis-a-vis development costs? Will there by a sizeable market for such a solution to justify the investment? Can the solution have moat and scale?

In the FinTech arena, creative ideas must be both feasible and valuable. Employ data as a filter to assess your concepts. Consider how your idea aligns with user needs and financial regulations, often mirrored in the data. If your solution meets these benchmarks, its effectiveness is heightened. Remember, creativity in FinTech isn't about novelty; it's about enhancing functionality, user experience, and financial outcomes.

Creativity shouldn't be abandoned, but rather channeled effectively. Ideate wisely by blending creative thinking with data insights. Encourage brainstorming sessions where team members can generate innovative ideas while also considering data-driven constraints and opportunities. This approach allows you to harness the power of creativity while staying aligned with the realities of the financial landscape.

To ideate wisely, define clear goals, encourage diverse ideas without judgment, collaborate across functions for varied perspectives, prioritize ideas based on relevance and feasibility, prototype and test concepts for validation, evaluate and refine ideas iteratively, document the process and outcomes for clarity, and iterate continuously based on feedback and evolving needs. This approach ensures thoughtful and effective ideation leading to actionable and impactful solutions.

Governments and Central Banks will have to create ecosystems to ideate. For example there was a discussion paper and a trial of transferring monetary value between people even if they did not have smart phones or internet. A leading bootstrapped start up which solved the problems related to online share trading and grew exponentially during COVID-19 disrupted the space with zero brokerage and reduced customer acquisition time frame. The India Stack which integrates Unique ID Number, Mobile Number and Bank Account Numbers helped them achieve it. Now the buzz is around reducing the time taken for settlement of transactions under 24 hours. Ecosystems make a lot of difference. Technologies solve problems and help us identify new ones.

Once you’ve analyzed the data and identified the causes behind disparity, ideation should focus on solving the underlying causes. For example if then accuracy of the AI isn’t up to the mark and as a result there isn’t sufficient adoption, the focus should be on improving accuracy which may not require any experience/ui change. Equally, if the solution won’t be ready it may be best to disable for now or provide alternatives.

Hoy el usuario es muy exigente, y en un mundo donde la INMEDIATEZ es un actor muy importante, el conseguir resultados rápidos es la demanda. Lastimosamente, la tecnología tiene sus tiempos, sus dificultades y es un área en crecimiento y en descubrimiento. Desde que estoy en este mundo de Proyectos Tecnológicos, la mayoría de las veces no se ha cumplido con los tiempos prometidos. Por eso la frase"en tecnología los tiempos no se saben""Justamente para mejorar resultados futuros debemos ser pacientes.

Encourage creative brainstorming sessions that incorporate both data-driven insights and imaginative thinking. Foster an environment where team members feel empowered to explore unconventional ideas while grounding them in data-driven evidence. Encourage cross-functional collaboration between creative thinkers and data analysts to generate innovative solutions that are both imaginative and grounded in reality. For example, organize ideation workshops where team members from different backgrounds come together to brainstorm ideas based on both qualitative insights and quantitative data.

Data should be used as a filter to evaluate and validate your concepts. When brainstorming a new idea, ask yourself how it aligns with user needs and financial regulations, which can often be gleaned from the data. By incorporating these considerations into your creative process, you increase the likelihood of developing solutions that are not only imaginative but also practical and effective. It's important to remember that creativity in FinTech is not about being different just for the sake of it. It's about improving functionality, enhancing user experience, and driving positive financial outcomes. By leveraging data as a filter, you can ensure that your creative solutions are aligned with these goals and have a higher chance of success.

Following the integration of data insights into your creative idea, proceed to rigorous testing. Develop prototypes or simulations to gauge real-world performance. This pivotal phase determines whether your creativity enhances or compromises financial solution functionality. Iterative testing enables refinement, ensuring your idea meets the exacting standards of the FinTech industry by proving its effectiveness in practice, not just on paper.

Testing rigorously involves planning clear objectives, designing comprehensive test cases, automating repetitive tests, performing regression, performance, and security testing, engaging users for acceptance testing, tracking bugs effectively, incorporating feedback iteratively, and documenting the entire process. This systematic approach ensures thorough validation, early issue detection, and continuous improvement of product quality, leading to enhanced reliability and user satisfaction.

Validate creative ideas through rigorous testing and experimentation to assess their feasibility and effectiveness. Use A/B testing, pilot programs, or prototype development to gather feedback and data on the performance of different solutions. Measure key performance indicators (KPIs) to evaluate the impact of creative initiatives on business outcomes. For instance, if a FinTech company is considering launching a new mobile banking feature, conduct user testing to gather feedback on usability, functionality, and user satisfaction before scaling up the implementation.

Constant iteration is crucial for success in fintech. Begin by setting clear goals and establishing iterative cycles for product development, processes, and strategies. Collect feedback from users, stakeholders, and market trends regularly. Use this feedback to identify areas for improvement and make iterative changes. Embrace agile methodologies to streamline iterative processes and foster continuous improvement. Collaborate closely with cross-functional teams to iterate quickly and efficiently. Monitor performance metrics and outcomes to assess the impact of iterations and make data-driven adjustments. Constant iteration ensures adaptability, innovation, and sustained growth in the fast-paced fintech industry.

Innovation is one of the most important aspects of Fintech. It is important to stay up to date with market trends and news. This can help you and your team stay ahead and be prepared for changes. It also serves as a feedback loop, constantly tweaking or improving then reflecting on the change. This approach helps you reach solutions that are future proof, which can keep you at the forefront of this industry.

Embrace an iterative approach to innovation that allows for continuous refinement and improvement based on feedback and insights. Iterate on creative ideas based on data-driven feedback and analysis to optimize their performance and relevance over time. Encourage a culture of experimentation and learning where failure is viewed as an opportunity for growth and improvement. For example, if a creative marketing campaign fails to generate the expected results, analyze the data to understand the underlying factors and iterate on the strategy accordingly.

There is often a challenge to connect data and business teams. It is important to unify both teams on common objectives. Such objectives must be centred on customer value propositions and commercial outcomes. Business teams are closer to the perspectives of customers and can often better appreciate their challenges, compared to data teams. On the other hand, data teams pride themselves to be able to objectively identify issues without being influenced by emotions. In reality, both have their value and should be unified. An OKR framework can be used to align both teams on outcomes that marry the best of both worlds towards commercial solutions focused on customer value propositions.

Collaborate with a wide range of professionals, these unique perspectives can give you diverse insight. By creating an inclusive environment you open the door to many professionals that can supplement your knowledge. This helps the team create innovating solutions and strengthens the teams foundational knowledge and skill. Make sure to leverage creative thinkers in your team and give them a voice.

Foster collaboration between creative and analytical teams to harness the strengths of both approaches. Encourage open communication, mutual respect, and shared ownership of projects to ensure that diverse perspectives are considered and integrated into decision-making processes. For example, establish interdisciplinary project teams comprising designers, marketers, data analysts, and developers to work together on complex FinTech initiatives.

Adopt Agile methodologies to nurture iterative development, allowing creative ideas to be tested & refined using data feedback, Use short sprints & regular reviews to adjust creative approaches based on data insights. Implementing Agile in our development process enabled us to quickly test and iterate on new fintech features. Regular sprint reviews and data-driven adjustments ensured that our creative concepts were continually refined, leading to more innovative and effective products. Define specific, measurable metrics for evaluating the success of creative initiatives. Use these metrics to make data-driven adjustments. For a campaign promoting a new investment product, we set clear metrics such as engagement rates and lead conversion.

One other aspect is the need to use the mode or the platform for educating the customer. One point to note in the Fintech space in emerging markets like India is the fact that the users of the technology are actually not informed enough of the impact of their use and financial implications or end results of some of the services. One example was the problems related to Online Lending gaining momentum during and in the aftermath of Covid-19 pandemic. The customers preferred convenience over everything else and compromised on other factors to be considered while choosing a lender, leading to terrible experiences later. Responsible, compliant and diligent service providers who focus on sustainable business models will thrive and flourish.