As the Chief Information Officer of Fifth Third Bancorp, Jude Schramm has been instrumental in steering the Cincinnati-based national banking institution through a transformative digital journey. With annual revenues exceeding $13 billion, Fifth Third provides a broad array of services in commercial banking, consumer retail, wealth management and more. Schramm, who joined the company in early 2018 after a nearly 17-year tenure at GE, ending his time there as CIO of GE Aviation, has spent the last seven years reshaping Fifth Third’s technology landscape to position it for scale, resilience and innovation.
Building Foundations for Scale and Resilience
Schramm’s initial focus upon joining Fifth Third was laying the groundwork for a modern, scalable infrastructure. “The first 18 months were all about investing in data centers, networks and cloud infrastructure,” he recalled. This foundational work included developing private cloud capabilities and partnering with Amazon for public cloud infrastructure, enabling remote work and bolstering the bank’s resilience; efforts that proved critical during the COVID-19 pandemic.
“We’ve built a strategy that integrates our public cloud with our private cloud, giving us both scalability and security,” Schramm explained. This dual-cloud approach allows the bank to rapidly scale its operations, whether through acquisitions or organic growth, while maintaining robust security measures.
Modernizing Platforms and Enhancing Customer Experiences
With the foundational infrastructure in place, Schramm shifted his focus to modernizing platforms and improving customer experiences. “We’ve adopted a buy-partner-build strategy,” he said. For standard banking capabilities like general ledger and mortgage platforms, Fifth Third partners with key providers. For customer-facing experiences, however, the bank emphasizes custom engineering to differentiate its offerings.
“Coming out of COVID, the importance of a seamless digital experience became undeniable,” Schramm noted. He described how the bank revamped its mobile app, transitioning from two or three updates per year to over 500 incremental improvements in the past year alone. These changes, ranging from small tweaks to significant enhancements, ensure that customers can easily manage their finances anytime, anywhere.
At the same time, Schramm emphasized the value of physical branches. “Even as digital capabilities grow, branches remain critical for complex services like loans,” he underscored. To bridge the gap between digital and in-person experiences, Fifth Third equips branch employees with modern tools like tablets, creating a seamless integration of human and digital interactions.
Leveraging AI and Advanced Data Capabilities
Under Schramm’s leadership, Fifth Third has embraced artificial intelligence (AI) and data analytics to enhance its operations. The bank’s Enterprise Data Office (EDO) manages regulatory reporting and ensures data accuracy across the organization. Meanwhile, a dedicated AI group focuses on advanced use cases, from generative AI to intelligent automation.
“We’ve identified four pillars for AI: empowering employees, enhancing engineering, streamlining business processes and improving customer interactions,” Schramm explained. For example, the bank has deployed Microsoft Copilot to its employees and GitHub Copilot to over 200 engineers. It’s also exploring how generative AI can improve customer engagement through chatbots and other interfaces.
Governance remains a top priority. “Safety and soundness are paramount,” Schramm emphasized. The EDO ensures that AI deployments adhere to strict governance standards, enabling innovation without compromising security or compliance.
Developing Talent for the Future
Another cornerstone of Schramm’s strategy has been building a team equipped for the future. Recognizing the pitfalls of excessive outsourcing, he has prioritized in-house engineering talent. “Today, nearly 50% of our team consists of engineers skilled in cloud, data, security and full-stack development,” he noted with pride.
Fifth Third’s talent strategy includes expanding its footprint to cities like Chicago, Charlotte and Richmond, as well as partnering with academic institutions for campus recruiting. The bank also runs cadet programs in collaboration with partners, training individuals who are later hired full-time. Schramm highlighted one program that successfully transitioned 20 mid-career professionals without college degrees into mainframe roles.
“We’re committed to finding and developing talent in unconventional ways,” Schramm said. “This approach has been crucial for ensuring we have the right skills to deliver exceptional experiences.”
Strategic Fintech Acquisitions and Partnerships
Fifth Third has also leveraged fintech acquisitions and partnerships to accelerate innovation. The bank acquired Rise Money, a fintech specializing in embedded and real-time payments and Dividend Finance, which provides financing for residential solar installations. It has also partnered with Stripe to deliver banking services and real-time payment capabilities.
“The industry is moving too fast for us to build everything internally,” Schramm admitted. “Acquisitions like Rise Money give us instant expertise and the ability to scale quickly.”
These initiatives align with Fifth Third’s broader strategy of expanding into new verticals and enhancing its digital banking capabilities. “Whether through acquisitions or partnerships, we’re focused on being a leader in embedded finance and real-time payments,” Schramm said.
As Schramm looks ahead, he’s optimistic about the role technology will play in shaping the future of banking. “From AI to quantum computing, the possibilities are endless,” he said. “Our focus will remain on delivering exceptional experiences for our customers and empowering our employees to achieve more than ever before.”
Peter High is President of Metis Strategy, a business and IT advisory firm. He has written three bestselling books, including his latest Getting to Nimble. He also moderates the Technovation podcast series and speaks at conferences around the world. Follow him on Twitter @PeterAHigh.