Can Digital Transformation Benefit Financial Services?

Can Digital Transformation Benefit Financial Services?

By CFO Tech Outlook | Tuesday, June 30, 2020

Financial services firms are effectively leveraging digital technologies to innovate and improve the customer experience.

FREMONT, CA: Like many industries and businesses, financial organizations in banking are finalizing and implementing business continuity/contingency plans and allowing all employees to work from home. Meanwhile, they are diligently working to meet the changing client needs and formulating new ways to serve the clients. Other than the operational actions underway, banks and capital markets need to start developing medium- and longer-term plans to address each element of financial, risk, and regulatory compliance, and create new environments to support the business in fully digital settings.

In late 2019, a survey was commissioned and reported that only 30 percent of organizations have a digital-first, enterprise-wide strategy and readiness. Many other organizations are still in the middle or beginning of the digital transformation.

Top 10 FinTech Solution Companies - 2019While most of the organizations have business continuity plans, they have been tested over the last few weeks. Here are a few operational steps that are essential to consider now for banks.

Transparency and trust- Companies are trying to adjust a communication plan to quickly liaise with employees, business partners, customers, regulators, vendors, and investors. Building close communication with customers and other stakeholders creates the opportunity to strengthen the relationship.

Operating model- They are implementing a dynamic, scalable, and flexible operating model to make sure business continuity in any scenario. For instance, in the case of temporary closures, branches need to quickly train branch employees to provide online help or assist the call center in serving clients.

Remote services and capabilities- Numerous enterprise organizations have an extensive set of workflow tools, document collaboration, document management tools, and electronic signature solutions in place, but they are not entirely utilized. For instance, one department in a company may fully embrace digital documents and signatures, while another department might continue receiving and sending snail mail. Here, it would be recommended to review best practices and tools across the organization, understand the full capabilities of available solutions, and offer them to unit managers to utilize as immediate solutions.

Digital project prioritization- Conduct project prioritization exercises, and speed up projects related to providing digital products and services or operational inefficiencies. If possible, speed up time-to-market or release solutions with limited/partial functionality or limited integration points.

See Also: Top FinTech Consulting/Service Companies

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