CBA modernises its retail banking core

CBA has modernised its longtime SAP-based core banking platform, migrating off an older superseded version that ran on-premises to a newer cloud-native version that runs in AWS.

The bank yesterday revealed it had made the switch nine days ago, which appeared to coincide with an all-night maintenance window over a weekend in late September.

Preceding that was 18 months of work in collaboration with a range of partners that included AWS, Red Hat, SAP, SAP Fioneer, and Accenture, which provided overall program assurance.

The bank had previously run its core on SAP Banking Services; the last upgrade of that system was from version seven to nine back in 2019.

Since then, a new core banking platform that utilises SAP’s S/4HANA technology has emerged - initially from a joint venture between SAP and Dediq, and now marketed by the spinoff, SAP Fioneer.

CBA’s move sees it tread a common upgrade path [pdf] among retail and corporate banks - off the superseded on-premises SAP Banking Services to the newer cloud-hosted Transactional Banking (TRBK) for SAP S/4HANA. 

“This has been one of the most complex programs we’ve delivered, technically and organisationally,” executive general manager of retail technology Victoria Ledda said.

“By modernising our core, we’ve reduced reliance on legacy skills, simplified integration and unlocked the flexibility to scale with demand.

“It’s a huge testament to the team and our strategic partners that we were able to deliver a transformation of this scale in the timeframe we did."

Group CIO Gavin Munroe said the bank would be able to “innovate faster, personalise experiences and deliver greater reliability for our customers” as a result.

“This is a foundational platform that sets us up for the future, supporting our ambitions in AI, data and digital services,” he said.

The bank is looking for improved resilience and operational efficiency from having its core banking system run in the cloud.

Additionally, with the core now taking advantage of SAP’s in-memory HANA database, which should enable real-time data processing in the backend - something the bank thinks will be reflected in what customers experience.