Survey reveals more pressing areas for investment
As the financial sector moves towards a digital future, driven by customer demand and competition from FinTech startups, choosing which areas to investment in is key.
A survey of retail banks by InfoSys Finacle shows that investment by financial institutions in 2018 will centre on ‘topical’ areas such as information security and advanced analytics rather than the ‘future-looking’ areas such as AI and automation. Only 10% of respondents have a robotic process automation solution.
Systems integration, legacy technology, and the time and cost required to move from concept to reality are highlighted as the three top challenges for innovation.
The return on investment in innovation is expected to be seen by half of respondents within 1-3 years with almost a third expecting ROI within a year.
"As we expanded the scope of organizations included in this year's study, we find a significant difference in the innovation maturity and commitment to technology investment between the largest and smaller organizations, with smaller firms appearing to fall further behind market leaders,” says Jim Marous, Owner and Publisher of the Digital Banking Report and author of Study.
“We also see a continued focus on iterative innovation as opposed to disruptive innovation, limiting the potential benefits of big data, advanced analytics and digital technologies. The winners in the future will be defined by those organizations that can leverage these three pillars in the delivery of a better customer experience," adds Marous.
A survey of retail banks by InfoSys Finacle shows that investment by financial institutions in 2018 will centre on ‘topical’ areas such as information security and advanced analytics rather than the ‘future-looking’ areas such as AI and automation. Only 10% of respondents have a robotic process automation solution.
Systems integration, legacy technology, and the time and cost required to move from concept to reality are highlighted as the three top challenges for innovation.
The return on investment in innovation is expected to be seen by half of respondents within 1-3 years with almost a third expecting ROI within a year.
"As we expanded the scope of organizations included in this year's study, we find a significant difference in the innovation maturity and commitment to technology investment between the largest and smaller organizations, with smaller firms appearing to fall further behind market leaders,” says Jim Marous, Owner and Publisher of the Digital Banking Report and author of Study.
“We also see a continued focus on iterative innovation as opposed to disruptive innovation, limiting the potential benefits of big data, advanced analytics and digital technologies. The winners in the future will be defined by those organizations that can leverage these three pillars in the delivery of a better customer experience," adds Marous.
