Royal Bank of Canada, Chief Data Officer: There's Always a Reason for Change

(US and Canada) Rex Davis, Chief Data Officer, Royal Bank of Canada, speaks with Maria Villar, Head of Enterprise Data Strategy and Transformation, SAP, about the challenges of utilizing data and the approach for CDOs to justify the investment.

Speaking about the key challenges in the collection and utilization of data for RBC, Davis says that the challenge is process-orientated, not technological. It is more about setting up the right environments for data scientists to utilize data and record precedents of decisions and provide the right frameworks for people to operate in.

Davis then speaks about ways for CDOs to measure the ROI on investments in data and analytics. He says that while it's a difficult task, the story needs to be told. 

He recalls a piece of advice from one of his mentors —  there's always a reason for change that's facing us. It could be regulatory, governance, or any other element of change. CDOs need to look at the current run rate and then compare it with the end run rate.

Davis explains that if things are done right, the cost will improve as will revenue or other additional benefits. This, in turn, makes the overall conversation around the business cases and the ROI easier.

He emphasizes that it’s data that allowed organizations to put the client in the center of the conversation. And this led to various client metrics that showcase the incremental growth in the longer run.

Regarding the impact of various trends in the financial services industry on RBC’s data strategy Davis says it is most important to watch the “froms” and the “tos” — where the organization is now and where it plans to go.

It is easy to get distracted but is also necessary to adjust logically and ensure that the data strategy stays relevant. He concludes by saying that Chief Data Officers need to be very good at telling and refining the stories.