Starling's Engine Redefines SME Banking with Cloud-Native Solutions
Discover how Engine by Starling is set to revolutionize banking, offering traditional banks a single platform to meet the demands of a digital-first world while reducing operational costs.
Key Facts
- Starling captured 9% of SME banking in 6 years, showcasing rapid market penetration potential.
- Engine's 12-month implementation highlights efficiency, crucial for banks facing digital transformation.
- Modular, cloud-native design gives Engine a competitive edge, reducing operational costs for clients.
- Engine's ambition to surpass Starling indicates a strategic shift towards becoming a SaaS leader.
- Frequent updates (30-40 daily) reveal a culture of innovation, contrasting with traditional banking pace.
Summary
Summary
Starling Bank partnered with PwC UK to develop Engine, a cloud-native banking platform designed to streamline digital banking services. Facing pressure from customers for seamless digital experiences, the collaboration resulted in Engine being deployed across four continents, enabling banks to modernize their operations within 12 months.
Background
Starling Bank, launched in 2017, is Britain's first digital bank, rapidly capturing 9% of the small-and-medium-business banking market. Before the deployment of Engine, traditional banks struggled with legacy systems and high operational costs, hindering their ability to deliver efficient, customer-centric services.
Challenge
The primary challenge was the need for banks to evolve and provide fast, affordable, and sustainable digital experiences while overcoming the inefficiencies associated with legacy systems and siloed product lines.
Solution
Starling and PwC established a separate entity, Engine by Starling, to focus on developing a modular, API-based, cloud-native platform. This initiative allowed for rapid deployment of digital banking solutions and modernization of existing systems. The teams prioritized hiring tech experts and embraced a culture of iteration, enabling frequent updates to the platform.
Results
Engine now operates globally, with successful implementations completed in 12 months. The platform supports rapid changes, with teams capable of executing 30 to 40 updates daily, contrasting sharply with traditional banks that may only implement a few changes each year.
Key Insights
- Establish a clear vision or "North Star" to unify teams around a common goal.
- Foster a culture of iteration where failures are viewed as learning opportunities.
- Build strong partnerships to leverage expertise and drive collaborative success.
- Empower employees to leverage their strengths, ensuring that technology complements human capabilities.
Customer Testimonial
“Partnering with PwC has been crucial in helping to deliver Engine, our leading digital banking platform, to customers around the world. PwC combines an incredible breadth of strategic knowledge with hands-on experience.” — Sam Everington, CEO, Engine by Starling
Entities Mentioned
Companies
Products
Technologies
People
Key Concepts
Definitions
- Engine
- A cloud-native banking platform developed by Starling Bank that provides all necessary features for running a digital bank.
- SaaS
- Software as a Service; a software distribution model in which applications are hosted by a service provider and made available to customers over the internet.
- digital transformation
- The process of using digital technology to create new or modify existing business processes, culture, and customer experiences.
- API
- Application Programming Interface; a set of rules that allows different software entities to communicate with each other.
- North Star
- A guiding vision or principle that aligns and motivates teams towards a common goal.
Use Cases
- →Launching digital banking propositions
- →Modernizing existing banking systems
- →Empowering small business owners with tailored banking solutions
- →Accelerating the delivery of banking services
- →Enhancing customer experience through digital-first strategies
- →Facilitating rapid iteration and change in banking technology
Frequently Asked Questions
What is Engine by Starling?
Engine by Starling is a cloud-native banking platform designed to provide all the necessary tools for running a digital bank efficiently. It aims to streamline operations and enhance customer experiences.
How long does it take to implement Engine into a new bank?
The implementation of Engine into new banks typically takes just 12 months, allowing for rapid deployment of digital banking services.
What role does PwC play in the partnership with Starling?
PwC provides deep industry expertise, regulatory guidance, and strategic support to help Starling successfully deliver Engine and its digital banking solutions to clients worldwide.
What are the key benefits of using Engine?
Engine offers a modular, API-based architecture that allows banks to launch digital propositions quickly and modernize existing systems seamlessly, driving down operational costs and improving customer access.
How does Engine support innovation in banking?
Engine fosters a culture of rapid iteration and change, enabling banks to make frequent updates and improvements to their digital offerings, which is essential in today's fast-paced financial environment.