The digital migration is the biggest transformation in this era. The digital revolution is finally upon financial institutions. Whether or not the migration is a challenge to the banking institutions is yet to be seen. However, the indecision is not a hindrance to banking and finance systems. In fact, financial institutions are taking bold steps towards embracing the change in technology.
Big Data Analytics
The rise of big data analytics is perhaps the most significant technological development that will see banking and financing migrate to a new realm. The “big” in data typically means sourcing all the information in data and transforming it to better use.
Big data makes it possible for banking institutions to analyze data in real time. Large volumes of data can be analyzed, and batch intelligence given back in real time. Big data also provides marketing strategies that configure incoming data and predict the likely outcome. Financial institutions mostly deal with data. The technology provides a platform for banks to focus on real data, which is consolidated by the technology in HDFS. The key advantage of big data is real-time decision making with its streaming and data processing capabilities.
Cloud computing has also been a major transformation. Cloud computing has provided flexible and profitable banking procedures and practices. Since everything is going digital, there is no need for banks to be left behind.
Like other businesses, financial institutions are racing to take the advantages brought about by the digital economy. Cloud computing provides the agility required to operate successfully in an economy where digital success is the major driving force. Despite the security and regulatory concerns attributed to cloud services, banks (trondheim banker) are still matching forward to reap the full benefits of cloud sourcing. Cloud-based payments are still in its infancy years, but soon financial institutions will embrace the technology. After all, no industry has so far resisted the economies of scale and agility provided by cloud computing!
Security is a major issue in the banking institutions. The new technology has significantly improved the ease of accessing information since most data is cloud sourced. Bank clients usually store data that is highly sensitive and would wish it to stay so. Financial records and saved money are prone to hackers. The digitalization of banking procedures has facilitated the vulnerability of information. As a result, banks have adopted biometrics, a new technology that will confer security and privacy to the sector and its clients.
Biometrics is a leveraging security technology with unique identifiers like fingerprinting, voice and face recognition, iris scanning and Vein-ID. The technology provides layers of protection to data that makes cyber-crime almost impossible. The feeble technology of passwords, pin codes, and the 2 step verification is fading. Biometrics is the new technology.
Banks are typically the last to adopt a technology. Like any other disruptive technologies, there are concerns about the technology in use today. However every technology has issues and with time the issues are resolved. Adoption of big data analytics, cloud computing and biometrics is still new, but the growth is acknowledgeable.