A Future Malaysian Banking Landscape in Embracing IR4.0: A New Leadership Model

Abstract

The Industry Revolution 4.0 (IR4.0) presents a significant impact on work and lifestyle of most people in Malaysia especially in the banking industry. Industries that are adapting to advance technology such as VR (virtual reality), Internet of Things (IoT), cloud computing, data analytics, artificial intelligence and machine learning will bear changes through physical, digital and biological aspects. The banking industry will need to go through with these three aspects of transformation as its need to be relevant and quickly acquainted to serve their new customer demands besides protecting against risks in cybersecurity, fraud and money laundering in the financial transactions. In order for these banks to stay relevant, both employees and management must be able to bear the changes. To ensure the success in embracing the change, it is suggested in this paper that banks must use a new model of leadership to steer the institutions direction towards the right path and accelerate its transformation. There are four pillars comprises of disruptive driver, human touch, sense of urgency and continuous learning that will constitute the new leadership model called “Leadership 4.0” suggested to banks that will be discussed in this paper.