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Amsterdam Reflection Statement



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Here is a brief reflection on this period. My hope is that we retain our innovative mindset and that we abandon old school practices like: competition on technology and inward-thinking-based marketing practices. The beginnings It all started out with a certain demand of the public and small retailers, around It took however more than ten years before the city giro of Amsterdam and the national giro of the Netherlands were set up. In the period leading up to this moment, the cashiers were asked whether they wished to improve their services, as this might lead to the parliament to conclude that no national giro was necessary. Their response was too meagre as a result of which they created their biggest rival: the national giro system, operated by government.

This system effectively created a benchmark for the private industry by offering some time after it's start payment services for free to the public. Today we would call this the Internet model, but in those days, this lead to repeated discussions on the undue competition element. Bankers and cashiers assumed that the national giro was cross-subsidized by government; while effectively the reverse became true. The national giro acted as a cash cow that covered some of the other costs for the Ministry of Transport including the costs of post offices etc. The city giro Amsterdam has stood out mostly for its innovations: the use of modern bookkeeping machines, the introduction of photo-imaging in the s to process payments easier as well as the early introduction of a payment card to the public.

The national giro, in turn, was early to create a mechanism of inpayments that could be used by government services, that used similar punch card standards. In this respect it should be noted that the national giro, during the previous century, was plagued by several operational distortions, leading to 'giro stops'. One big one occurred in the s and shut the system down for almost a year, other ones happened after the second world war. These stops instilled a big trauma into the organisation with the effect that when in a change was made to using punch cards and mainframes, this was done with meticulous scientific precision in order not to fail.

Ever since, the postal giro later Postbank would be very keen and strong in the area of operational logistics and control. Competition on standards and technology For the most part of the evolution of Dutch payments, there were differences in technology used. A first attempt to bridge these differences occurred after the second world war when a commission on the integration of giro traffic tried to bridge the bankers vs giro gap. This didn't work out. In the mid s the bankers were keen to find funding in the retail market and realised they needed a better clearing system to process faster payments. For strategic reasons, the banks decided not to do this and chose a slightly modified technology and numbering system of their own. Remember: this was of course the age of shielding off markets by technology.

The net effect for the consumers and companies was less positive however. And even when the digital, networking time started in the s banks and giro found it hard to abandon the classic competition by technology paradigm. Yet, due to misunderstandings and distrust at the board room level, the Postbank decided to jump the Chipknip ship to start the separate Chipper product. They enable advertising networks to track your internet behaviour. Master Programmes Information Sciences. Lead the way in digitalisation for a smart, sustainable society. Information Sciences. Overview Curriculum Future Admissions. Apply now. How should we process information to create value for businesses, individuals and society?

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