Why the journey to digital transformation for financial services is so important
The financial services sector is at a pivotal point in its journey to modernisation. Disruption across the industry from the rise of Fintech firms, the effects of the pandemic, increased regulation and acceleration in digital innovation spurred by changing customer behaviour means that banks and traditional players are carefully assessing their business models and concluding that solutions-focused reinvention and agility are key. Inevitably, technology is at the core of this.
In order to compete in a crowded marketplace, digital transformation is vital. Financial Firms face many challenges: they must streamline operations, increase efficiency, manage costs, amplify security and ultimately improve the customer experience. In this radically changing environment, embracing innovation at pace and scale is crucial in order to thrive.
The benefits of adopting advanced technology are compelling, with research by management consultancy McKinsey & Company revealing that revenue growth initiatives generate 41 per cent of the value of a digital transformation in those businesses that go “all-in” on transforming themselves. The sheer speed of digital innovation coupled with industry drivers means that the responsibility is on banks to address business models and respond to a new and changing marketplace.
(Source: Financial Times)
At Highwood, we are beginning our Digital Transformation and welcoming the change to a more modern front. If you want to hear more about how we are using new systems to better interface with clients, don’t hesitate to ask!