There is no doubt that the banking sector has cheerfully embraced technology in the last decade. Today’s financial providers prioritize convenience and ease of access. As such, the COVID-19 pandemic catalyzed the need for remote access to banking and other financial services.
After the pandemic, many financial service providers have had to resort to providing their services through electronic channels. This means that some of the incredible milestones in Fintech, such as e-banking and agency banking, have become commonplace around the world.
In addition, physical transactions and the need for branches are secondary to remote transactions, hence most Banks and SACCOs have had to revisit their old ways of brick and mortar to embrace the use of ICT in service provision. However, technology is ever-changing, and jumping into it too quickly can be like running on quicksand.
Firstly, you must have well-articulated strategies long before any decision-making. It is encouraged that you have straightforward KPIs that will in turn determine the impact of digital transformation on business operations.
Secondly, look to your competitors for inspiration. Benchmarking is an essential part of strategizing, especially for startups. Armed with this information you can adjust you can analyze your weaknesses and make improvements to match or surpass the competition.
Thirdly, stay informed about the latest technology and changes in customer needs. Knowing increases your chances of seizing opportunities and competitive advantage in the market. Can you imagine if you had been Border Books and scoffed at Amazon’s e-commerce venture?
Fourthly, all departments ought to have access to, and knowledge about, company technology. This means that digital transformation will alter all internal operations, and your staff should have a basic working knowledge of the new system.
Last but not least, watch your market for inspiration. Without market data, digital transformation is futile. Data analytics is the backbone of a modern business, and since change is more agile today, knowledge is a substantial asset in banking.
In the past decade, digital banking and cloud migration have been the craze of the banking industry. During this time new challenges in security, backlog, and data safety have cropped up, and there is a need for technology that addresses these challenges. This means the most popular technological advancements today address this predicament. They include:
Older core banking systems designed for reliability rather than an open-architecture framework are an obstacle to smooth digital transformation. Scalability and speed are essential features if a core banking system is to support integration and other third-party systems.
It is, therefore, necessary to procure a robust core banking system or improve on the existing one to replace manual processes, especially in loan origination; since such manual processes are an obstacle to digital strategies in automated loan recovery processes.
In essence, the function of digital transformation is to automate activities such as loan recovery, and the process of loan repayment. Meanwhile, a strong CBS will perform instant credibility analysis for every individual through specified validations and issue loans to the creditworthy, reducing risk and time of effort.
The financial sector is enjoying plenty of transactions daily, thanks to financial technological innovations like mobile banking. Consequently, the likelihood of experiencing system intrusions or internal attacks is more common with the rise of cybercrime. As a result, your digital transformation can not be wholesome without investing in external security technology layers.
For example, with the advent of social engineering, a PIN is no longer sufficient to protect your customer’s mobile transactions. Extra protection through sim swap portability technology ensures SIM cards and mobile devices are tied to your members’ accounts, and if they are lost all transaction requests are blocked.
In these times, investing in security is an essential part of the digital transformation journey to avoid loss of data and unnecessary delays. With the latest economic climate, data is an invaluable asset for your organization, and keeping it safe inspires credibility and loyalty from your members.
With more transactions conducted daily, sorting through heaps of these data can waste time and slow down the decision-making process. This is where Big Data Analytics technology can help restructure and generate business insights in descriptive, diagnostic, predictive, and prescriptive forms. These insights will serve the strategic agility of the whole organization across all departments.
In the modern world, most adults have access to a laptop, PC, or smartphone that they use to conduct transactions and/or access various services. Therefore, your organization can leverage the data collected through the internet to cater to the specific needs and preferences of your customers. In the process, you attain efficiency in financial information analysis.
All the above analytics can later inform your organization’s technological needs. For instance, if your customers require easier payment plans you can opt to acquire utility payment software.
We offer various tailor-made products for technology solutions in auditing, Counter Fraud Management System, Credit Management, Debt Collection, Reconciliation, Mobile Banking, Agency Banking, Core Banking System, and Sacco Management System.
All of the above products are in line with the latest technology trends. Also, our package includes military-grade security and integrates software seamlessly to any adaptable Core Banking system.