Cloud Computing in the Financial Industry: The financial sector has not been immune to the increasing popularisation of cloud computing. The biggest banks have seen how cloud computing has positively affected specific sectors of the industry, such as banking and insurance. They might not be shouting out in the streets, but they agree with the cloud’s impact on their business. It has allowed them to streamline their processes and work more effectively.
Skyhigh Networks surveyed to find out how comfortable financial institutions are with cloud technology. Based on their results, the average financial services firm uses more than 1,000 cloud-based services.
It was created based on survey data gathered from 3.7 million employees working at banks, insurance companies, banks, credit card companies, and various financial establishments. What factors lead these businesses to be at ease with cloud-based services?
Table of Contents
What is the best way to make Cloud Computing benefit the Financial Industry?
Security
There is no doubt that security is the primary issue when it comes to adopting the latest technology and especially cloud-based options. Many businesses are shifting to cloud-based services to improve their security framework.
In light of the year-on increase in the frequency of cyber-attacks, it’s impossible to keep your IT environment secure from cyber-attacks. In a typical IT configuration, it is not uncommon for something as easy as a phishing attack, even if it is done in a sophisticated way could cause the entire network to be destroyed.
Cloud computing is a secure security framework that regularly passes rigorous security tests.
Cost Effectiveness
Cost optimization might not be the top priority in the industry, but one cannot complain about the additional advantages of cloud technology. Cloud can reduce the cost of data centers, servers, and other essential IT infrastructure. Cloud will eliminate the entire cost of maintenance and ownership of the infrastructure.
Storage and Big Data
Storage is among the most significant advantages of moving your data into the cloud. The finance industry generates staggering quantities of data daily because of millions of transactions with cards and stock market transactions, loans, insurance documents, and payments. In contrast to traditional IT configurations that require continuous maintenance and upgrade, cloud computing allows for unlimited storage to ensure that companies do not need to be concerned about growing volumes of data.
Scalability
While financial institutions are blessed with plenty of resources for the various tasks they complete efficiently at any given time, It is still possible for them to experience fluctuations in multiple areas at specific moments. There is also the possibility of seeing an increase in their governments announcing a policy change or new initiative in the finance industry that could affect the effectiveness of their resources. Cloud computing can quickly scale resources without intervention to ensure the work is completed without a hitch.
Compliance
Cloud providers take extremely stringent steps to ensure that, when joining and providing services to finance companies, either side has no compliance violations. The compliance bodies collaborate with some of the largest cloud providers for monitoring. But, financial institutions should review the details before signing any contract with a vendor.
Mobility
Cloud computing lets employees work while on the move. They can utilize their smartphones and tablets for live-time monitoring and analysis and access company email, proprietary software for business, and CRM tools even when they’re not in the office or working during working hours.
Conclusion – Cloud Computing in the Financial Industry
According to a survey conducted by Finextra Research, 83% of respondents claimed that their bank’s technology could no longer accommodate their needs. In addition, almost 90% of them favor including SaaS or cloud-based services in an infrastructure upgrade.
Here’s the report’s contributor to the information and what financial expert independent Chris Skinner had to say about moving your IT infrastructure into the cloud:
“You cannot become an online bank without core renewal of your systems. You cannot renew your core systems without using cloud storage for data management; you must combine data on the cloud to conduct effective data analysis. Once you’ve renewed your core systems in the cloud to carry out data analytics, you’re free to invent.”
Cloud computing is taking the technological world and industries to the forefront. Financial industries are not a good time to delay moving to the cloud.
If you require cloud services, please contact us at [email protected] or visit our website at www.synccore.io.
Read More:
How To Evaluate Cloud Service Provider Security
Why SyncCore is considerably a better choice compared to AWS?
