House 
Bank operations
Laurie Schwartz, global head of liquidity and accounts solutions and digital and design at JP Morgan Payments, discusses driving innovation in corporate treasury with Global Finance.
girlfriend: How has artificial intelligence impacted your organization in the past year?
Laurie Schwartz: We are looking for ways to harness the power of such technologies to simplify and make our internal processes more efficient.
We have large volumes of extremely rich data that, together with artificial intelligence, can provide deeper insights and help us better manage risk and serve our clients. For example, our data solutions help turn customer data into actionable insights, helping them confidently navigate rapidly changing economic conditions. With forecasting through Treasurer Insights, clients can improve cash flow accuracy, increase cash flow returns, and discover previously unseen patterns using advanced technologies including artificial intelligence and machine learning.
Overall, technology has enormous potential and how creatively and intentionally we apply our efforts.
Has the investment ratio between keeping the lights on and innovation changed? Why?
Nothing has changed dramatically in terms of investment ratios. We have always been committed to advancing technology and continue to be leaders at various levels, setting an example for the industry.
We are also growing with our clients and are fortunate to continue to do the right things on their behalf, receiving sponsorship and support to advance our ambitious technology investment program.
girlfriend: What is the most misunderstood thing about innovation in treasury?
Schwartz: A big misconception is that innovation is only about technology. Innovation is more than just improving your technology stack or redesigning your platforms, such as treasury management systems, enterprise resource planning, or banking connections. It’s also about transforming your process and approach to doing business within the organization – it’s about increasing efficiency, changing mindsets and reengineering for maximum benefit.
Collaboration is critical to managing inefficient processes through innovation. Treasurers who take a long-term approach to technology development and work with technology and innovation teams can have a significant impact on business performance. From a seat at the table, treasurers can apply their financial expertise to advise on technology and cash flow in ways that improve operational efficiency and save costs.
girlfriend: What are the most common innovation mistakes that organizations should avoid?
Schwartz: Some pitfalls that can hinder innovation include lack of strategic alignment with key stakeholders, unclear or unproven customer benefits, lack of prioritization, and lack of long-term commitment to the program and required resources.
girlfriend: How have you changed your approach to innovation since you started working?
In this role, I learned that innovation is not just the next cutting-edge idea or opportunity. It’s equally about the path to innovation, changing the way we approach solving our customers’ problems. For example, if people can see problems from a customer or user perspective, it will fundamentally change how we solve problems in existing capabilities. The result will almost always be an innovative solution. Additionally, it is critical to the innovation process to sit down and talk to our customers about their biggest challenges and try to understand the experience from their perspective.
girlfriend: Does your team “move fast and break things?” If not, how does he feel about innovation?
Schwartz: Moving quickly is relative, but requires alignment and buy-in from critical stakeholders and teams. The most important thing is to tirelessly and constantly prioritize. Competing priorities will challenge most major projects. Innovation requires extreme prioritization and commitment. Instead of “breaking things”, we focus on modernizing the entire ecosystem.
girlfriend: What is the most important lesson you have learned during your tenure?
Schwartz: Some important lessons I learned include:
You can’t put design on top of development; it must be deeply rooted in the structure of the organization.
Our digital channel strategy across my digital and design portfolio must be omnichannel, which drives the strategy and approach to data and architecture. This gives our customers the opportunity to use our solutions digitally. Whether you’re sitting at a terminal, on the go using a mobile phone, or relying on machine-to-machine transactions, we can deliver what customers are looking for.
girlfriend: How has the skill set required in corporate coffers changed since you started?
Schwartz: The corporate treasury function has evolved from a back office function to leading transformation within the organization. They are at the forefront of change, whether it’s strategic planning for long-term business goals, expansion plans, or even implementing an innovation program.
Treasurers are savvy and use technology to solve everyday problems such as bank-agnostic reporting, virtual accounts and real-time liquidity. This frees up their time and resources to focus on strategic projects and initiatives.
Treasurers not only become technology experts within their roles, but they are also key agents of change and collaboration. Given the digital transformation treasury is undergoing, cross-departmental collaboration to inform effective results is on the rise. Treasurers can create value by speaking the language of their business peers and exerting influence.
girlfriend: How will your position change in the next five to ten years?
Schwartz: With an increased focus on industry innovation, we will continue to expand our capabilities and solutions to empower our customers.
Ongoing investment in areas such as our technology suite and expertise means that we can consistently expand our offering over many years.
As a team, we strive to continually raise the bar of quality. We want to make sure that we meet our clients and accompany them at every stage of market movement and development.