Organisations Must Balance Risk and Investment, According to SAP
Pressure to meet industry standards could compromise long-term success as financial services organisations are more likely to focus on risk protection than innovation and growth, according to a new report from SAP. The report also reveals that meeting customer expectations around trust and quality of service is dominating boardroom debates as the pressure is on IT departments to deliver creative solutions that will solve big data demands whilst meeting customer expectations.
Key findings of the report include:
This independent industry report, commissioned by SAP, of 100 financial services companies found that improving customer service was the number one business priority by 65% of respondents. This was followed by increasing sales and revenue (63%), building customer trust (61%) and regulatory compliance (61%). Firms in the finance sector are clearly aware of the need for continuing investment in technology in 2012. The challenge they face however, is in prioritising this investment, and balancing the need to protect themselves from risk with the need for changes to the back office operations that enable longer-term strategic service improvements.
“The findings from the report all point towards the fact that the industry is in desperate need of balancing IT investment in order to keep up with, what looks set to be, a highly competitive year. There is a fundamental need to meet regulatory requirements but at the same time the sector needs to find a way to grasp big data. Currently the industry is failing to maximise the potential for revenue growth and improved customer interaction by utilising the data at its disposal,” said Jane Tweddle, financial service principal SAP UK and Ireland.