Let’s talk numbers. Bank of New York Mellon (BNY Mellon) runs a set of systems that track up to USD 30 trillion worth of wealth globally through investment management, investment services and wealth management. That’s about a quarter of all the world’s wealth of private assets, assets under management and assets under custody and/or administration.
When it comes to technology numbers, BNY Mellon operates a private cloud out of their own data centers, and has about 900 projects going on at any moment in time, run and managed smoothly by a 13,000 strong team.
During his talk at WSO2Con USA 2015, Michael Gardner, managing director and Head of the BNY Mellon Innovation Center explained how these numbers converged into creating the NEXEN digital ecosystem powered by WSO2’s API management platform, to transform the financial services industry.
The path of the open source code
Software driven disruption is impacting every company in every industry, Gardner noted, and the only way to survive is to keep moving in the same velocity, ability and agility as technology itself. Companies have evolved from mere ecommerce-related online retailers to managing entire customer relationships, to complete supply chain management and today, to digitized business operations. Such a company, according research firm Gartner, is defined as a ‘digital enterprise’.
Gardner noted that it’s critical for BNY Mellon to be a digital enterprise, to have the ability to accept new technologies and adapt, pushing very hard on it’s digital transformation and doing so by converging various technologies. He then went on to express why open source is now the center of their focus in this transformation.
“Open Source is very very important to us,” Gardner said. “We believe that open source is the future of enterprise collaboration. It’s not because it’s free. That’s great… but it (open source) becomes the basis for enterprises to collaborate together to evolve software mutually in ways that they need.”
The NEXEN digital ecosystem
BNY Mellon is bringing a collection of progressive software projects and technologies together, with an API program that enables the digital transformation of the organization to occur as an ecosystem.
“This transformation takes technology, it takes process and people, all these things working together,” Gardner comments. “It’s not easy to do this. If you are not driving that people part of it and the business process part of it, you are not going to accomplish the digital transformation.”
This convergence, Gardner said, was what finally lead BNY Mellon to create what is called the digital ecosystem of NEXEN. It involves BNY Mellon employees, covering both technology and business areas, customers as well as partner collaborators, including WSO2.
APIs – the critical link within the ecosystem
WSO2’s API management solution was chosen for the NEXEN ecosystem’s API program. “We selected WSO2 not just for the reason that it was open source. It gave us the chance to be able to actually work with the code, and understand the behavior of the system.”
How important are APIs for this digital transformation?
To keep the BNY Mellon cloud as modern as possible, the team constantly refactors backend systems. For this, smaller teams need to be empowered to carry out a given functionality.
“So APIs become really critical in being able to implement the most modern microservices based platform and architecture that we can,” Gardner noted. His team needs to ensure that whatever generation of technology a service is architected upon, that there is a modern REST API that’s available not only to interact with software systems, but to also allow people to consume these services.
“The microservices and architecture end up being the enabler of the digital transformation,” Gardner said. “If you’re going to be able to have the business move quickly, and adapt to new technology – you have to have APIs as the enabling lifeblood of it.”
Developer productivity too, according to Gardner was fundamental in achieving digital transformation. With 13000 people in technology at BNY Mellon, he explained how important it was to enable them to move at the same velocity as the technology itself, with modern API capabilities.
“At the end of the day what we are doing via the NEXEN program and the API Program is we are building a digital ecosystem that allows collaborations, and allows us to operate as a digital enterprise where every aspect of our business is digital.”
For more detailed information on BNY Mellon’s NEXEN API program, view Gardner’s WSO2Con USA 2015 presentation.
To understand more about BNY Mellon, check out ‘A History of BNY Mellon’ on Youtube.