Improved banking performance provides opportunity to protect against downturn

According to a study from EY, investments in technology and innovation will have the potential to increase efficiency, manage evolving risks and meet consumer expectations that are required for sustainable success. Banks and credit unions are working hard to become more digitally mature, transitioning from regulatory and transaction-driven organizations to innovation-led firms that will be in a better position to withstand future marketplace challenges.

But the most successful organizations will not move forward alone. “Banks must do less themselves and make extensive use of an ecosystem of industry utilities and a diverse range of partners to support investment, deliver better services, drive out costs, manage risks and protect their organizations,” states the report.

Other highlights from the report include:

• 59% of banks surveyed anticipate that their technology investment budgets will rise by more than 10% in 2018.
• For banks that are beginning to invest or increasing their investment in new technologies, 44% plan to purchase the technology from a third party, while only 17% plan to acquire an entity to onboard the technology.

 

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