Whitney McDonald 0:02
This episode of The thrill is dropped at you by financial institution automation summit us 2024. This annual occasion is tailor-made to resonate with monetary companies professionals targeted on enterprise optimization by way of expertise and automation. Discover ways to overcome implementation challenges by listening to firsthand from C degree executives from establishments, together with Financial institution of America, Wells Fargo metropolis and extra. There is no such thing as a higher place to get a learn on the competitors than at Financial institution automation summit us 2024 Register now at Financial institution automation summit.com. My identify is Whitney McDonald and I’m the editor of financial institution automation Information. At the moment is February 26 2024. The bus welcomes Greg Adelson. He’s the chief working officer at Tech supplier Jack Henry, he’ll tackle a brand new function in July as chief government of Jack Henry as Dave FOSS retires and strikes into his new function as government board chair. Greg is right here to debate how the transition goes and the way he’ll proceed to assist Jack Henry’s ongoing tech modernization technique.

Greg Adelson 0:57
Yeah, I respect it. And thanks for having me immediately. Whitney. So so simply to be clear, I don’t formally begin until July the primary. So Mr. Dave Foss might be in that chair till July the primary. However I’m tremendous excited concerning the alternative to take over this nice firm and, and form of lead us to the to the subsequent section of our progress. However so far as my background, you understand, I’ve an accounting diploma. So I began in monetary companies. Truly out of college, I began exterior of monetary companies. However I bought into monetary companies in 1996, and had a number of completely different roles in each the bank card buying and issuing facet of the enterprise. I’ve additionally had a number of the government roles alongside the best way, President titles and COO titles at a number of completely different corporations earlier than I landed at Jack Henry in 2011. After I got here into, to Jack Henry, I, we had simply acquired our billpay enterprise referred to as iPay. And that was acquired in 2010. I began in 2011, when the founders had left. And so I learn ran that enterprise for 3 years, bought promoted to run all of our fee companies, which included our card enterprise invoice pay, and our distant deposit seize enterprise. And I did that till 2019 After I was requested to grow to be the Chief Working Officer. So I used to be in that function for for for the final 4 and a half years. And I picked up the president title proper round two years in the past. And and now I’m honored to take that subsequent step.

Whitney McDonald 2:36
Nice. Nicely, thanks a lot for for form of setting the scene there slightly bit in your in your journey, and the place you’ve taken, or what you’ve been doing at Jack Henry as properly. Earlier than we get into some some future lugs, it could be nice. In case you might discuss us by way of your function immediately what you’ve been doing at Jack Henry as of late that’s making ready you for CEO.

Greg Adelson 2:58
Yeah, I believe it actually goes extra into my expertise because the Chief Working Officer and once more, most not too long ago as president. So you understand, I’ve had tasks, you understand, we’ve about 7200 staff. And proper now about 6800 of these report into my group. So I’ve complete accountability for all of our product traces, all of our expertise, infrastructure. Internet, and our gross sales group as properly. So actually, the one issues that don’t report back to me immediately are authorized dangers, finance and HR. And so, you understand, as a part of that preparation, you spent a ton of time with shoppers and spent a ton of time with the parents which might be actually form of making the sausage, as we prefer to say. And so it’s been, it’s been a terrific expertise to, you understand, be part of the strategic choices that we’ve been constructing over time. And so I believe that’s one of many issues that needs to be a consolation degree for, for our clients and companions, and actually even our associates is that I’ve been a really integral a part of constructing out the methods that we’re executing on now. In addition to different methods alongside my means of being right here, particularly our automobile platform migration, and a few acquisitions that I used to be, was key in so I believe, you understand, all the pieces that I’ve achieved not solely in my present job, however even in previous roles in different corporations, you understand, all of them assist put together you for no matter that subsequent step goes to be and I I positively take time to be taught from these I work for these I work with, and attempt to form of mix these these learnings into what’s going to proceed to be the philosophy that I I take advantage of immediately.

Whitney McDonald 4:51
Now talking of a few of these methods, and I do know that you simply discuss by way of a few people who you’ve been part of, I’ve been following alongside Jack Henry’s cloud You’d have methods, tech modernization, possibly you could possibly discuss us by way of the way you’ll proceed to method this ongoing effort.

Greg Adelson 5:08
Yeah, completely. And I believe, you understand, most individuals must, I assume, possibly perceive our tech modernization technique. So it’s actually, actually rebuilding the normal core and non core features into a versatile cloud native portfolio of companies and options. And I believe that’s vital for individuals to grasp. As a result of we’re doing we’re taking an method that’s a lot completely different than these which might be out there immediately, particularly our largest opponents, the place we’re taking the parts of the core. And we’re really breaking them out into discrete you understand, form of what we name form of parts, and constructing every of a type of in a cloud native API first expertise set. After which we’re taking a number of the a few of our newer merchandise that we’ve rolled out most not too long ago bandeau enterprise, Monetary Crimes defender, pay middle, different issues like that, which were out available on the market for a short while, which all have been constructed with the identical kind of of mindset. And we’re placing them onto a single platform, which we name JH platform or Jackanory platform. And so that’s actually going to allow our shoppers to have entry to all the pieces, they should run their monetary establishment in a in a single platform. However it offers all of them the benefits that the cloud gives. So you understand, issues like excessive system availability, actual time processing, streamlined, you understand, form of operational, or what we name DevOps, you understand, your capability to carry merchandise to fruition, you understand, rather more rapidly or make modifications and have enhancements rather more rapidly as properly. In order that’s been an enormous a part of actually driving that that a part of our, our mindset. And so I believe if you have a look at actually what our opponents have achieved, the place there’s been much less targeted on actually attempting to interrupt the core in and actually attempting to simply construct some degree of cloud nativeness, or public cloud nativeness, to their resolution units, it’s taking slightly bit longer, it’s rather more of a much bigger elevate, than what we’re in a position to do as a part of our our technique.

Whitney McDonald 7:29
Perhaps I’d ask you to take that only a step additional about that, that want and the demand for a one platform method, and possibly even discuss by way of what a siloed method seems to be like, and why there’s a necessity for this single platform.

Greg Adelson 7:44
Nicely, the one platform will allow lots of issues. So we’re in a position to take each Jack Henry merchandise and third get together merchandise and combine them into the platform. Additionally, when you consider the historic view of how core processing has labored in, you understand, even at Jack Henry for 40 plus years, is that there’s a number of cores {that a} buyer may very well be introduced. And so Jack Henry, you understand, luckily, we solely have three banking cores in a single credit score union core, however lots of our opponents have 15 to twenty completely different course. So the the chance for us and for our shoppers is to have all of our develop growth moving into, ultimately. And once more, this isn’t going to completely occur for a lot of, a few years, as a result of we’re persevering with to put money into our present course, however to permit the funding, the flexibleness, the Creed, the innovation to all occur on a single platform. And when that’s, you understand, when that’s a part of the method, you actually could have banks and credit score unions working on on the identical platform with their very own idiosyncrasies that that apply. However it once more, pace, the event, the power to have these fintechs all built-in into just one platform. In order that they’re all going to be very fascinated by working with Jack Henry, as a result of they solely have to do this one time as an alternative of you understand what they should do with lots of our opponents immediately. So it’s actually a part of what we view because the the long run view of this business. And once more, making it easier to do enterprise with Jack Henry. However extra importantly, having the ability to be modern sooner than than we’ve immediately are actually what the business is seeing immediately. Thank

Whitney McDonald 9:32
you, and thanks for breaking that down. Now I do know that you simply’ve talked slightly bit extra long run and larger image, however possibly we might discuss slightly brief time period to on what actually is prime precedence in terms of this tech modernization technique. What are these extra brief time period brief time period investments that you simply’re making?

Greg Adelson 9:51
So we’ve made we’ve made a number of so some up to now that we’re nonetheless form of finalizing the others which might be A part of the rollout of the varied parts, however, you understand, brief time period, what we we actually needed to do was construct out what we name the Shared Providers mindset. And that’s making certain that we construct issues one time, and are utilized in a number of, a number of locations. And so within the, prior to now, you understand, every of our particular person product teams, and we mainly function about 9 completely different product teams, they might have the identical want for a specific characteristic or performance that every of them would construct individually into their very own their very own product units. So we might have one thing that’s constructed, you understand, 4 or 5 completely different instances, and doubtlessly alternative ways. So from a price standpoint, you understand, you’re utilizing these sources to construct one thing that you could possibly have simply achieved one time. And so now we’re solely constructing issues one time and utilizing it in a number of areas. In order that shared companies man mindset supplies a few issues. So clearly a price construction that’s improved. However extra importantly, like I stated, for, excuse me, for our our shoppers is our capability to innovate rather more rapidly. So when one thing wants to alter, or issues are altering, regulatory sensible, or, or something, we’re in a position to make that change one time, after which the API’s might be utilized in every of these merchandise set. So an enormous benefit. And that’s been an enormous focus for us. And we’ve a number of examples of issues that we’ve already achieved to make that occur. After which I believe the we’ve been targeted on getting our wires platform out. In order that’s been the very first part that’s come out of the out of the GH platform tech modernization story. After which I did point out issues like bandeau enterprise and pay middle, and defender, that are all parts that can sit on prime. However the huge focus for 2024 is round a few issues. So one is what we name knowledge dealer. And it’s mainly a single repository the place the entire jack Henry merchandise knowledge sits, that provides the establishment the power to make the most of that knowledge in lots of alternative ways, in a really simplistic means. And likewise, over time, we’ll have some generative AI kind capabilities in there as properly. After which we’re including to that knowledge dealer resolution, a product referred to as government dashboard. And that’s actually being constructed for the C suite, executives on the financial institution or credit score union, that can permit them to do deep dive insights actually, in actual time. You understand, I sit in conferences on a regular basis, the place a few of our CEOs are in there and actually have their on their pc, you understand, hit refresh, refresh, refresh, to attempt to get the most recent knowledge on their establishment. And so not all that knowledge is in actual time for them immediately, you understand, primarily based on, you understand, both utilizing us or any person else. And so this might be a extremely huge alternative for our establishments. So we’re tremendous enthusiastic about getting targeted on that. So these I believe, are probably the most close to time period issues that we’ve both achieved, or engaged on proper now.

Whitney McDonald 13:22
Now, talking of that 2024 roadmap, this is able to be a superb pivot to speaking about some new expertise that’s happening within the business. Proper now, I do know that you simply talked about generative AI, I do know that you simply talked about extra entry to actual time knowledge. Perhaps you could possibly share slightly bit extra about what new expertise you’re enthusiastic about this 12 months, there’s simply a lot happening within the area, and even past our business, however possibly you could possibly share slightly bit what you’re enthusiastic about for the chance with this new kind of expertise.

Greg Adelson 13:51
Yeah, completely. And I believe, you understand, actually, it begins with AI, proper? I imply, that’s that’s one thing that’s going to revolutionize many industries, and will certainly have an effect on the monetary service industries in quite a lot of methods. I imply, issues that, that, you understand, have been mundane prior to now duties, that you simply’re you’re in a position to get rid of the power to enhance builders, you understand, output and accuracy, the power to do some automation, particularly. And in a number of the duties like you understand, we’ve a name middle, there’s alternatives for us to enhance the power to deal with a few of these duties and enhance our customer support for our shoppers. We have now some merchandise that we constructed out which might be particularly constructed to help the establishment with their clients, product that we name bando conversations and we even have achieved a demo of how generative AI will be utilized in that individual product. So like I stated, all the pieces form of begins there. You understand, we’ve talked concerning the Public Cloud and the general public cloud could have some timing challenges, there’s nonetheless some regulatory issues that must get labored out. And, you understand, not all of our establishments are fascinated by transferring to the general public cloud. At the very least from a core perspective, we’ve lots of our merchandise already within the public cloud. However However once more, there isn’t anyone on a core perspective. So there’s some issues that individuals should get comfy with. Earlier than that can, you understand, that would be the mainstream form of form of factor. However, you understand, the opposite stuff that we’ve been we’ve been extremely targeted on is de facto our capability to boost our fraud merchandise. So we imagine that, you understand, if you discuss to the establishments immediately, many of the CEOs proceed to be very involved about fraud, you understand, actual time fraud that comes from Zell, the actual time funds community that the Clearinghouse runs, and naturally, now the Fed now community. So these are, these are issues that individuals wish to be certain that, as a result of Quicker Funds, equals sooner fraud. So we’ve been extremely targeted on utilizing some options that we’ve, once more, monetary crime, its defender, I introduced up a few instances, which is a product that we’ve rolled out to assist fight that it does have actual time processing capabilities, one thing that we’ve not seen from any of our opponents, immediately that which might be actually actual time. So we imagine we’re going to have a chance to assist the establishments and a few of these, these rails combat fraud slightly bit higher. examine fraud is one other huge concern that’s been out within the market. And once more, this product, in addition to different issues that we constructed, internally, are targeted on on examine fraud. You understand, you may’t do something immediately, when you consider the monetary companies, banking business, with out having a extremely good digital platform. And so we’re fairly pleased with our bandel platform, and lots of the characteristic performance that we’ve in there that enables you understand, that individual platform to be the entrance door for the establishment, in order that expertise and developments have all been a part of, of actually how Jack Henry is, I believe form of turned the nook, we’ve all the time been generally known as a a really excessive degree service excellence group. However I believe individuals at the moment are recognizing us as a very modern expertise firm as properly. So if you put modern expertise with superior customer support, you understand, we’re beginning to see the outcomes of that with our, with our gross sales wins and pipeline progress over the past couple of years. So

Whitney McDonald 17:48
shifting slightly bit right here, I do know that we’ve talked concerning the expertise, the roadmap for 2024, slightly bit about your background, however we are able to form of perform a little bit extra of a ahead look. Now, I’d love to listen to slightly bit extra about your transition into your new function, how David fosse has helped you put together what that has regarded like and what the subsequent couple of months will appear like as you guys make this transition?

Greg Adelson 18:11
Yeah, nice query. And so one of many issues that Jackanory we delight ourselves on are are very succinct and constant succession planning. So we really do that, each, each single particular person all the best way down to really the bottom supervisor degree we’ve, is answerable for making a succession plan. And in order that succession plan will get submitted, will get reviewed, really, Dave and I, over the past 4 years have gone by way of everybody’s succession plans that at quite a lot of ranges to be sure that we’re comfy. You understand, we requested lots of questions, the groups ask lots of questions. So the brief model of that’s, is that, you understand, this dialogue for my upcoming function has been happening for some time. And in order a part of that preparation, clearly, you understand, moving into the CEO function and form of residing the each day routine of have lots of involvement with clients and our workforce and issues alongside that line as a part of the preparations. However the different half is, is that I’ve been very lucky that I’ve been at Jack Henry nearly 13 years and Dave is the one boss I’ve ever had and that’s vital as a result of he you understand, he and I are are very a lot aligned on form of philosophical method to working the enterprise, we’ve completely different backgrounds, I’ve an accounting diploma and he has a you understand, extra of a is diploma Info Providers diploma, however, however we’ve lots of commonality and and once more, how we view the corporate. So, you understand, a part of that preparation is is de facto understanding a number of the The issues that you simply don’t you don’t see in your co chair that you simply’re going to see in your co chair. So Dave is given lots of his time and serving to me put together for that. However actually, you understand, lots of it’s simply by way of, like I stated earlier, form of working by way of different roles and positions and an understanding that you would be able to’t change your philosophical management method. No matter what function you’re in. That’s one thing I’ve been very constant in. And so the work that Dave has helped me with, but in addition simply my very own background, and, and attempting to be constant, and the way I lead is de facto what I believe has helped put together me for the function.

Whitney McDonald 20:40
Nice, and thanks a lot for speaking us by way of that, that timeline and extra of the succession plan and what these conversations would possibly appear like. I do know that you simply additionally talked about that you simply’re aligned with the technique with Jack Henry, however possibly you could possibly go away us off right here and inform us slightly bit extra about your distinctive management type, the way you anticipate to steer as CEO and the way you’ve led prior to now. Yeah,

Greg Adelson 21:02
thanks. So a pair issues. So again to the technique, simply so that you, once more, I form of put a bow round that’s, we’ve been constructing out our tech technique for for a few years. And once more, being part of that, after I took over it as Chief Working Officer, I needed to institute a program that we referred to as one Jack Henry. And so that actually was was positioned round creating the power for our firm to be a greater companion with our shoppers to be a greater companion with the consultants in our business, and creating extra alternatives for our associates. As a result of if you’re if you’re form of constructed as a extra siloed firm, which form of comes out of a mess of acquisitions that we’ve achieved, we’ve achieved 57, I believe and in our 47 12 months historical past, and you understand, form of a byproduct of that’s you are inclined to get form of siloed not not on objective, however it simply occurs. And so I needed to create extra consistency and extra alternative. And so I’m form of main that up into my management type. In order part of rolling that out and attempting to get individuals behind this system, you understand, I’m huge about making a imaginative and prescient, after which attempting to speak that imaginative and prescient in quite a lot of manners. So in maintaining in line with that, however I imagine that the one means that this program was going to work was for us to undertake what I’ve, I’ve referred to as the 4 tenets. And people 4 tenets are transparency, consistency, collaboration, and communication. And my perception was, is that if we let our groups utilizing these 4 tenets, but in addition had those self same rules apply with our clients, that we’d be the corporate that we aspire to be utilizing one Jack Henry as form of the North Star. And so it began with transparency? Nicely, you understand, you wish to just remember to’re having direct conversations along with your associates, you wish to just remember to’re having direct conversations along with your clients. And that doesn’t all the time imply that you simply’re going to inform them what they wish to hear. You’re going to inform them what they should hear. And so, certainly one of my mantras was do what we are saying we’re going to do. And so, you understand, let’s be sure that we’re we’re being very clear on issues that we’re in a position to go do, and issues that we’re not, and let’s not inform individuals, oh, yeah, we’re gonna get to that if we by no means are. And so I began to create roadmaps that form of utilized to that and the execution of these. And in order that was form of the transparency mindset consistency was actually like I stated, you understand, making it simpler for our associates, to, to cross over into different teams. You understand, a number of instances in corporations, individuals go away an organization simply because they don’t really feel like they’ve a chance the place they’re, properly, the extra we stored created consistency in our firm, the extra that we have been going to create profession paths, as a result of they wouldn’t really feel like they have been leaping to a different firm simply because they have been going to a distinct division. And, and we’ve seen that we’ve seen much more profession development and alternatives for our associates, but in addition, once more, again to our shoppers, creating that capability for us to appear like one firm by way of constant processes and approaches and issues like that. Collaboration actually is all about ensuring that you simply’re working collectively as a workforce in once more in the direction of that Northstar purpose. So our our focus has been the extra that we get not solely various of us into our group, however the extra we collaborate throughout the teams the place once more, individuals would form of go resolve their issues to get it inside their very own little partitions, and so they wouldn’t share their their their superior and a few of these points. So we’d form of recreate the identical challenge once more, and one other group. And now, groups are spending extra time collaborating, and constructing merchandise collaborating to resolve customer support challenges, issues alongside that line. After which communication is de facto what it’s. It’s simply ensuring you’re speaking to your workforce’s your clients in quite a lot of mediums to make sure that they’re, that they’re within the know, and the extra individuals are within the know, the extra they’re, they’re motivated to go resolve regardless of the subsequent drawback is. And so we’ve seen that that’s form of been the management type that has labored for me, actually, in all my my roles. And so I needed to be sure that that was one thing that was a focus for right here.

Whitney McDonald 25:44
Nice, and that that positively comes by way of and thanks a lot for breaking down these 4 areas of focus and, and it actually stands out the the consistency and ensuring that not all the pieces modifications without delay. Proper. And I believe that goes again to what you have been saying about simply these long run conversations and, and having the succession plans in place. And all of it form of connects these dots, as you do have change in management. So thanks a lot for breaking that down. Certain. Earlier than we shut out something that we missed that we didn’t contact on that you simply needed to remember to

Greg Adelson 26:19
know I believe one factor I’d love to do is I’d like to provide an actual shout out to Dave Fosse. You understand, Dave has been our CEO for eight years he’s achieved an incredible job. He’s been an incredible chief mentor. And I’m like I stated, I’m very humbled and enthusiastic about and also you’re planning assuming the subsequent function however your time and remember to you understand, he’s he’s transferring into an government board chair function, so he’s not going too far. However, however, and he’ll be there, you understand, if I want him as our board chair, however it’s been a it’s been an actual pleasure working with Dave and he has achieved a terrific job for Jack Henry and, and his legacy might be one which might be remembered for a very long time.

Whitney McDonald 27:06
You’ve been listening to the excitement, a financial institution automation information podcast, please observe us on LinkedIn. And as a reminder, you may price this podcast in your platform of selection. Thanks to your time and remember to go to us at Financial institution automation information.com For extra automation information,