ECONOMY
BUSINESS: 380 PRACTICES
BUSINESS: 380 PRACTICES
Temenos operates for 30 years and is the market leader of global banking software industry. Our purpose is to power a world of banking that creates opportunities for everyone.
ESG is essential for realizing our vision as a company to “make banking better” by helping the industry address the biggest challenges in our world.
Banks and financial institutions
Temenos SaaS has been available on the global market since 2021. The platform is continuously evolving, integrating the latest technological advancements to provide cutting-edge solutions for the banking sector.
According to a recent Economist Impact study of 300 global banking executives, more than half (51%) of survey respondents agree that banks will no longer own any data centers because they will have moved to public cloud in the next five years.
Temenos has delivered market-leading and functionally rich SaaS and cloud banking solutions to clients in all geographies and banking sectors since 2011. Our continued technology investment in this area led to the launch of the Temenos SaaS in 2021.
Continued SaaS acceleration is one of the key components of our strategy to be Everyone’s Banking Platform. Our SaaS revenue increased by 25% in 2023 vs 2022.
Temenos is committed to achieving business excellence and long-term value through superior financial performance while operating responsibly and with integrity, honoring ethical values and respecting its stakeholders, communities and the environment. We are committed to measuring, monitoring and reporting our environmental footprint and guide our journey towards net-zero, across the whole value chain, including our own operations, our products and services and our supply chain.
Using Temenos SaaS our clients benefit from significant carbon efficiencies, not only from sustainable Temenos technology and operations (sustainability in the cloud), but also from running our software on sustainable platforms powered by hyperscalers, such as Microsoft (sustainability of the cloud).
While scope 3 can make up from 75% to 100% of a company’s total GHG emissions, less than 10% of companies can accurately measure it according to BCG. To comply with the growing climate-related regulations worldwide, banks need to spend valuable resources to calculate their scope 3 emissions. Temenos Carbon Emissions Calculator on Temenos SaaS is an industry-first tool which enables banks to effortlessly get their actual carbon footprint from the use of our software. Our SaaS customers can request through the cloud portal for a detailed annual carbon footprint report at no extra cost. The carbon footprint report helps banks to measure, manage and reduce their carbon footprint, so that they can reach their ESG targets as well as their net-zero plans.
In specific, Temenos Carbon Emissions Calculator enables banks using Temenos SaaS, powered by Microsoft Azure to easily monitor their:
• direct carbon footprint from the use of Temenos SaaS
• indirect carbon footprint from Temenos SaaS operations
• carbon performance
• carbon intensity (emissions per usage hour).
Except for Temenos Carbon Emissions Calculator, the key innovation elements of Temenos SaaS include, but are not limited to the below:
• Any deployment
The Temenos SaaS utilizes cloud-native technology to create, extend and scale financial services provided as SaaS, on the cloud, and even on-premises. The Temenos SaaS is available on major cloud platforms such as AWS, Microsoft Azure, Google Cloud, Alibaba Cloud, and Red Hat OpenShift.
• Single code and configuration base
Size agnostic, segment agnostic, deployment agnostic, database agnostic, location agnostic, type agnostic: Temenos caters for the banking industry in any way or form, from a single code and configuration base – driving higher margins, competitive edge and profitable growth.
• Composable banking
Leverage the plug-and-play nature of Composable Banking: Compose from pre-integrated services. Tap into innovative Explainable AI capabilities, Financial Crime Management, Data analytics and leverage our Temenos Exchange partners to create winning financial services.
• Temenos SaaS customers benefit from further sustainability services provided by third party applications from our Temenos Exchange partners.
Innovation and sustainability go hand in hand. Temenos SaaS incorporates both and creates environmental benefits for our customers leveraging sustainability in and of the cloud.
Sustainability in the cloud = Temenos technology + operations
From a 2021 baseline, and validated by GoCodeGreen, Temenos has reduced the carbon impact of its software by over 50%. Improving the performance with more efficient code and leaner architecture means less demand for infrastructure, less processing power needed and consequently less energy consumed and lower carbon emissions.
Temenos has recently announced a new sustainability benchmark for its cloud-native banking platform on Microsoft Azure, highlighting its efficiency in managing digital transaction demands while aiding banks in achieving sustainability goals. The benchmark, which used Temenos Retail Enterprise Services, simulated a client base of 25 million customers and 38 million accounts, processing 12 million loans on a single instance. This latest assessment revealed up to a 52% efficiency improvement in workload handling compared to the previous version, showcasing advances in Temenos’ architecture towards greater sustainability and efficiency.
Combined with Temenos sustainable operations, this brings added environmental benefits for banks choosing to deploy Temenos solutions on public cloud or as SaaS. We have already managed to achieve an impressive 31.3% reduction of our absolute Scope 1, 2 and 3 GHG emissions vs 2019 baseline year and we aim to achieve a 50% reduction by 2030 as per Temenos officially validated near-term science-based target.
Sustainability of the cloud = Cloud hosting providers
Temenos continuously invests in its cloud-native platform to ensure it leverages the latest advances and innovations from hyperscalers. Coupled with the sustainability efforts of partners like Microsoft, we offer significant environmental benefits for banks deploying Temenos solutions on public cloud or as SaaS. Through Temenos SaaS, we help our customers to streamline direct operations sustainably by migrating legacy IT infrastructure to public cloud hyperscalers and adopting a Software as a Service (SaaS) model. The environmental benefits of this transition are massive and include reduced electricity usage and carbon emission reductions up to 95% compared to on premise alternatives.
Temenos is a multinational company that partners with banks and financial institutions, providing them with essential software systems for their operations. Founded in 1993, Temenos operates in 39 countries around the world, with its headquarters in Geneva, Switzerland. Temenos boasts a global and diverse team, representing 86 nationalities across 56 offices worldwide. The Temenos Sustainability Team: Leading Global Initiatives from Athens.
The Product and Sustainability teams work closely with external partners as well as with our clients’ teams, which include banks and financial institutions. This collaboration ensures that the solutions we develop fully meet the needs of our clients while also supporting sustainable growth and the integration of best practices in financial technology. In doing so, we foster innovation and responsibility in an ever-evolving environment.
1) Reputation and Image Enhancement:
2) Innovation and Competitive Advantage:
3) Improved Business Performance:
4) Boosting Employee Morale:
5) Strengthened Partnerships:
Overall, Temenos’ sustainability initiative not only benefits its clients but also enhances the company’s competitiveness, attracts talent, and contributes to a more sustainable society.