6 Digital Transformation Themes for Financial Services Firms

In February of 2021, Forbes magazine published an article detailing themes expected to “…dominate financial industry conversations and technology roadmaps in 2021….” All six of the topics covered in the piece pertained to some shift in technology. These included:

  • Modernization of core systems
  • Digital engagement
  • Real-time consumer insights
  • Security and zero-trust networks
  • Work-from-home models
  • Embedded innovation

Not surprisingly, the contributing author of the article was Ulku Rowe, Technical Director, Office of the CTO at Google Cloud. Pointing out that a Google employee wrote the article is not intended to detract from the substance of the article. Instead, this seems to punctuate how relevant the composition’s themes are to the financial services industry. It’s as if readers should ask themselves, “If Google, one of the world’s largest cloud service providers, is taking this seriously, shouldn’t I?”

The Facts Behind Digital Transformation

If you’re rethinking your priorities in 2021, you’re not alone. A quantitative research study was conducted in late 2020 by Google Cloud and IDG, focused on understanding digital transformation and innovation. Insights came from IT decision-makers from 14 countries and five priority verticals, including financial services. The results indicated a dramatic shift in the way organizations are tackling their digital transformation. Here are just a few highlights:

  • 59% of respondents accelerated or added remote working and collaboration capabilities in 2020.
  • 78% of respondents said that big data analysis capabilities are a significant consideration for the cloud provider they choose.
  • 78% of respondents want a provider that offers multi-cloud and/or hybrid cloud support.
  • 33% of IT leaders said that security risks and concerns are preventing them from increasing their focus on innovation in 2021

Financial Services Tackle Digital Transformation

The empirical results above track closely with the predictions that Ms. Rowe makes in her article. For IT leaders in the financial services industry, data sovereignty and control is a vastly important consideration factor when selecting a cloud provider. So too is understanding the environments and resources used for big data analysis.

IT leaders are pursuing various avenues to understand and accelerate their digital transformation efforts as they prepare for whatever lies ahead. Multi-cloud/hybrid cloud environments mean they can move away from monolithic, legacy on-premises environments. Adopting tools like Google Cloud BigQuery, which incorporates a serverless, highly scalable, and cost-effective multi-cloud data warehouse designed for business agility is precisely what banks, hedge funds, and securities firms need to gain real-time insights and provide rapid response to customer needs.

BeyondCorp, Google’s implementation of a zero-trust computer security approach is the type of construct that financial services firms should adopt to keep users and data safe. But, it’s the inherent security of Google Cloud coupled with Google’s appetite for world-class security and innovation that has led firms like Deutsche Bank to partner with the cloud services provider.

Don’t Go It Alone

Your financial organization’s digital transformation journey should have the personalized guidance and support required to ensure success. As a leading Google Cloud partner, WALT Labs believes in fully infusing transformation throughout your organization so that every individual can work with confidence. Contact us today to empower your teams with cutting-edge cloud offerings for smarter insights, with new apps so they can move faster, with seamless solutions to help them connect better, and with world-class protection so they can work more securely.