We are in the middle of the fourth industrial revolution, which will bring machines and people together, break up traditional value chains, and build new business models. The fourth revolution’s growth steps are no longer straight but rather exponential. The process moves faster because mobile devices have a network or multiplier effect. Anyone can get any information or service in a concise amount of time. Big tech companies like Google, Apple, Facebook, and Amazon open their systems so millions can use them.
Partnering with domain experts in Banking Digital Transformation like Maveric Systems, banking institutions gain strategic advantage and a leg up in creating a culture of innovation.
Digital Transformation in Banks – Facts, Advantages, and Trends.
- Robotic Process Automation: The main thing that makes up a bank’s operations is many standardized processes. Software robots can be used to make sure that all of the data is handled in the best way possible. Robotic Process Automation (RPA) is already used to hold many tasks. Costs will go down, and there will be fewer mistakes. Also, the amount of work people must do drops significantly, which means that the freed-up resources can be used for new, essential tasks. When PRA is used, processing costs can be cut by up to 70%. For instance, RPA can be used in customer service to solve customer problems quickly. Simple questions can be answered promptly and effectively. But this technology can also be used to follow the compliance rules. RPA can help improve efficiency and make sure that tasks are done right. Fraud prevention is becoming more and more critical, and business deals that are handled digitally can help. New technologies make theft easier, so an RPA can find possible fraud in a short amount of time.
- Big Data Analytics: Information is the gold of the 21st century, and Big Data can be used to collect and analyze this info. Financial companies have access to much information that has yet to be used. Over the next few years, the amount of data will also grow exponentially, so there are many reasons to use the data correctly. Simple customer connections can be used to find correlations, look at time series, and spot trends. Most importantly, companies can use their knowledge about their customers to their advantage. A better experience for the customer can also lead to new business possibilities. When you know more about your customers, you can also develop better services for them. Financial institutions can get a complete picture of what their customers want, which will be considered as they continue to work on their strategies. But Big Data can also improve internal processes and the customer experience.
- Cloud Computing: Cloud companies are getting more and more work from banks. Instead of spending much money on their own data centers, banks use other companies’ data centers. Clouds are perfect places to work together, especially with Fintechs. IT professionals think cloud computing will become more critical over the next few years. Experts in the field say that the technology is already in high demand and essential. Most of the time, the technology is used in mobile banking and payment services in the banking business. Other possible use cases include CRM (customer relationship management), trading, and evaluation methods.
- Crypto and Blockchains: In the news, a lot over the past few years have been cryptocurrencies like Bitcoin and Ethereum. Due to rapid price rises and speculation, these digital currencies got much attention. In this context, distributed ledger technology comes up a lot. This is the main idea behind the blockchain: the grouping of data records into arrays that refer to their predecessors and are sent to all network members. This technology has great potential for the business world and can help many areas, especially the banking industry.
Conclusion
Knowing how the financial industry changes is essential to prepare for the digital future. This will help you choose the right way to change and move in the right direction. As part of the digital transformation of banking, modern ways of offering services are being used increasingly. The number of bank offices is decreasing, and many benefits, like lending and investing, are being moved online. Digital transformation is the only way for banks to move forward if they want to be stars in their field.
About Maveric Systems
Starting in 2000, Maveric Systems is a niche, domain-led Banking Tech specialist partnering with global banks to solve business challenges through emerging technology. 3000+ tech experts use proven frameworks to empower our customers to navigate a rapidly changing environment, enabling sharper definitions of their goals and measures to achieve them.
Across retail, corporate & wealth management, Maveric Systems accelerates digital transformation through native banking domain expertise, a customer-intimacy-led delivery model, and a vibrant leadership supported by a culture of ownership.
With centers of excellence for Data, Digital, Core Banking, and Quality Engineering, Maveric Systems teams work in 15 countries with regional delivery capabilities in Bangalore, Chennai, Dubai, London, Poland, Riyadh, and Singapore.
