Banking on the future
The CEO of JP Morgan Chase Treasury and Securities Services discusses the bank's forward-thinking strategies.

NEW YORK (Fortune) -- Fortune interviews Heidi Miller, CEO, JP Morgan Chase (Charts) Treasury and Securities Services:

Thinking about business challenges while running the business is its own challenge. Last year, forward-looking strategy took more of a backseat because we needed to deal with merger-related activity and fixing the factory floor. This year I'm finally able to step back.

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My business is the payments and securities piping - the critical boiler room of the bank. When I think ahead, I have to plan for price compression.

Whether it's custody, asset servicing, trade, or payments - every single one of my products has had significant price compression. What do I do about it? My scale should help me, so I better have the best efficiency and operating costs out there.

First I'll look at my existing customers to determine if I can boost business growth by providing them with additional products. At the same time, I'll look at my penetration in a client segment. There are some industries, like asset management, where I work with every single major player. But in other industries I need to extend my reach.

Then I have to tackle a bigger issue, which is how to expand internationally. Our international revenues are approximately 30 percent of our total revenues, a smaller share than is the case for Citigroup (Charts) or HSBC (Charts). There are short-term adjustments I can make, like putting more sales people into some regions, and longer-term ones like developing targeted product features.

Another longer-term challenge is payment innovation, since I worry that non-bank competitors will be more nimble in creating answers to evolving customer needs.

Stored valued cards are a great example for us: we helped to develop them, we sold them to FEMA during Hurricane Katrina, and now we're packaging them as solutions for insurance companies. They're cost-effective, and they're easier for the customers. That's the kind of thing we want to be doing more and more. --Interviewed by Eugenia Levenson

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Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.