Posts tagged ‘cloud based services’

80% of banks to replace core systems “within five years” #CloudWF

Four out of five banks believe they will have to replace their core banking system in the next three to five years, with nearly 90% in favour of including SaaS or cloud based services as part of the infrastructure, according to a new survey of senior bank executives.

In the report, Invigorating Banking, sponsored by fintech firm Five Degrees and carried out by Finextra Research, the results revealed strong support for core system replacement and renovation. Some 83% of respondents believe their bank’s existing core technology can no longer support its needs. A further 89% believe that it is inevitable that banks rapidly modernise processes and IT to avoid losing market share.

“You cannot become a digital bank without core systems renewal; you cannot renew core systems without using cloud for data management; you need to consolidate data in the cloud to be able to perform effective data analytics; and when you’ve renewed core systems through the cloud to perform data analytics, then you can innovate,” said Chris Skinner, report contributor and independent financial consultant.

table-1231

Many banks planned to respond by working with new technology providers, even where these have fewer customer references, so that the bank can ensure that it implements standard service oriented architecture (66%). A slim majority of banks still believe that IT is a unique selling point and will continue to rely on their own in-house development teams for niche technology that fits the bank’s strategy (61%). However, banks were split down the middle on whether to stick with their current technology provider, following its migration and upgrade process even if it would not provide the benefits of newer SOA technology (50% versus 50%).

There were also geographical differences in how the banks planned to respond to these challenges. While support for new cloud based platforms was strong overall, it was lowest in western Europe, where only 51% were strongly in favour, versus Asia Pacific, where the equivalent figure was 76%. Yet , across all banks, 97% believe that the bank needs to be able to offer new financial products and services faster.

On others areas there was virtually unanimous agreement. Some 97% of respondents agreed that security must be improved for customers due to the increasing risks associated with multi-channel technology. Likewise, overwhelming majorities supported the need to equip bank staff and customers to a higher level of self-service (97%). Unsurprisingly, 82% agreed with the statement that customers prefer an excellent mobile channel over a branch nearby.

However, there is still a place for face to face dialogue. Responses were strongly divided over whether customers prefer an efficient virtual dialogue over a personal one to solve financial matters (52% in favour, 48% against) – suggesting that banks are far from confident that the branch can be done away with entirely.

A number of obstacles to modernisation were identified in the report. One of the biggest was the difficulty of getting a sponsor at boardroom level (71%). Another was regulation: 67% believe their bank is too busy with regulation and compliance to think about innovation and modernisation. Yet at the same time, regulation also appears to be prompting change, since 92% of respondents believe that modernising their systems and processes is necessary to comply with constant regulatory change.

The threat of new entrants and disruptive competitors rate highly in the responses. Some 77% of respondents recognise new market entrants such as Google and Apple as a real threat that could steal their customers. Most respondents (56%) also felt that the digital only banks like Moven, Simple and Frank are a serious threat. However, the presence of new challenges is not necessarily seen as entirely negative – fully 88% of banks believe that new market entrants have a positive effect on the traditional banking scene by keeping banks focused.

Source: Banking Tech

————————————————————————————————————–

The Cloud World Forum will take place at Olympia Grand in London on the 24th – 25th June 2015.

It will feature 300+ speakers, many of whom represent the financial sector, including Thomas Naylor, CIO, Salamanca Group; Oliver Bussman, Group CIO, UBSJohn Finch, CIO, Bank of England and many more.

Don’t miss the chance to take advantage of all the knowledge and networking opportunities presented by EMEA’s only content-led Cloud exhibition.

Register for your FREE exhibition pass here!

CWF static banner

 

 

 

Advertisements

Accenture, Huawei target telcos, enterprises with private cloud services #telcocloud

Source: Business Cloud News

Huawei and Accenture have announced a strategic alliance that will see the two firms jointly develop cloud services for telcos and enterprise customers.

The companies plan to jointly develop cloud solutions – including business support systems (BSS) for telcos, and customer care solutions for enterprises – by leveraging Huawei’s deep experience with networking and IT hardware and Accenture’s consulting and systems integration experience.

Accenture will also work to integrate its infrastructure as a service platform with Huawei’s private cloud infrastructure, with a view towards developing integrated private cloud solutions for enterprise customers.

“In an era where the physical and digital worlds are increasingly converging, no enterprise is able to address all customer needs alone. Enterprises need to collaborate openly and integrate their resources and capabilities to help customers succeed,” said Eric Xu, chief executive officer of Huawei.

“Our collaboration with Accenture will further augment Huawei’s business in the enterprise ICT market, enabling us to build on our diverse product portfolio to offer our enterprise and carrier customers even more innovative software and services solutions that support them in boosting efficiency and driving revenue growth,” Xu said.

The companies will focus initially on developing solutions for clients in China, Southeast Asia, and other emerging markets.

“The combination of Accenture’s industry-aligned offerings and reputation for delivery excellence together with a new and enhanced set of offerings based on Huawei’s infrastructure and software products will enable us to better help clients achieve their business requirements with reduced costs, risks and time of implementation,” added Gianfranco Casati, group chief executive – growth markets at Accenture.

Accenture is the latest systems integrator to partner with Huawei, which views SIs as a critical avenue for enterprise penetration. Last month Infosys announced a partnership with the Chinese hardware manufacturer to jointly develop IT solutions that combine Huawei’s cloud infrastructure with service expertise from Infosys.

The two companies plan to build reference architectures and standardised solutions for big data platforms on Huawei hardware infrastructure, and explore setting up a joint lab in China to enable better delivery in all areas of the partnership.

Huawei is also working with a number of Chinese incumbent telcos to roll out cloud-based services to the country’s vast SMB base.

Information Communications Technology (ICT) in the UK: investment opportunities #publicsectorcloud

Cloud computing

The UK cloud computing market is predicted to reach £6.1 billion by 2014 (source: TechMarketView) and offers big investment opportunities for companies in the ICT sector.

18% of UK small medium enterprises (SMEs) use cloud and a further 30% plan to use them in the next 12 months. 81% of established cloud users in the UK plan to increase cloud usage over the next 2 years.

Almost all software companies in the UK are using cloud. Opportunities exist in both the public and private sector for companies offering cloud or linked services.

Public sector opportunities

The UK government’s ICT strategy includes a strong focus on cloud technologies.

The G-Cloud Programme is changing how the public sector buys and uses Information Technology (ICT). This means more opportunities for companies to access government contracts. It’s designed to support the purchase of cloud based services.

By 2015 half of all new ICT spending by the UK government will be on public cloud services through the G-Cloud programme. This provides new opportunities for overseas companies looking to enter the market.

Private sector opportunities

The main reasons for businesses using cloud services in the UK are:

  • flexibility in meeting business demands
  • quicker disaster recovery
  • automation of software updates
  • increased collaboration between employees
  • reduction of costs
  • low cost of using cloud services

Small and medium sized UK companies are adopting cloud into their businesses which often gives them an advantage against competitors.

Opportunities exist across all the different models of cloud solutions, particularly the Software as a Service (SaaS) market, where applications are hosted by a vendor or service provider and made available to customers. Other areas include:

  • email
  • storage and sharing services
  • unified communications (telephone, online chat)
  • video-conferencing solutions

Many businesses are using software tools such as Salesforce automation and Customer Relationship Management (CRM) and these continue to grow in the UK market. Other related software in demand includes:

  • marketing automation tools
  • social media management
  • email marketing
  • web analytics

Source: www.gov.uk
Published 19 February 2014

PS-468x60-rotation

Tag Cloud

%d bloggers like this: