Cloud adoption rates are increasing across all industries and show no signs of slowing down. Even in more established fields like finance and insurance where traditional players dominate the field, there has been a shift towards the Cloud. A growing number of financial institutions using Cloud computing are accessing the benefits offered to them by Cloud partners – but banks, investment firms, lenders and insurers have operated for decades on their own systems. So why switch now?
The short answer is that the benefits now outweigh the costs. Financial institutions using Cloud computing experience a number of benefits when working with a Cloud computing partner experienced in the security and compliance issues:
The systems that much of the finance industry relies on to conduct daily operations are aging, complex and in many cases, poorly documented. As business has boomed over the past several decades, there was little incentive to make major changes to operational systems. But as new, digitally native competitors move onto the field, established players have hurried to adapt to maintain their market position. The power of Cloud computing reduces the need for cumbersome proprietary infrastructure and makes it easier for institutions to reach new mobile audiences and adapt to changing market demands.
As we’ve already mentioned, the technology and systems that many established financial institutions rely on are dated and poorly documented. That also means there is a worrying lack of technicians still working who are able to support and maintain them. That would be troubling in any business, of course, but for firms working with the sensitive personal and financial data of thousands, even millions of customers, it can be tantamount to a death sentence. By working with an experienced team to transition to Cloud computing, these institutions gain more than just a more robust, flexible system – they gain the support of highly skilled experts, who they can rely on for assistance for any and all issues.
Some businesses don’t need to worry about compliance – how they handle their data is a matter of personal or corporate responsibility. Financial institutions, however, are bound by industry and government regulations to ensure their clients’ data is secure and safe from the ever-present threat of cyber criminals and identity thieves. Of course, as new cyber attack tactics evolve every day, standards must also change to keep pace with threats. Keeping even the most basic system compliant with constantly updating technologies and regulations can be a challenge, but to maintain compliance in the complex systems employed by financial institutions requires serious expertise and real dedication – the kind of dedication available when partnering with a Cloud team specialising in working with firms in the financial industry.
Possibly the most significant benefit to financial institutions using Cloud computing experts for managed hosting actually comes after a transition to the Cloud has been completed. Cloud partners can provide ongoing monitoring and proactive maintenance to protect critical systems and reduce the risk of outages from attack or overload. When ezbob CEO Tomer Guriel set out to master the SMB financial services market back in 2011, he realized quickly that a support and maintenance team he could count on would be vital to his company’s success. He recognized that the right Cloud hosting partner would keep an eye on system performance, load and security safeguards to identify and address problems before they could take down an entire system – and all the data stored inside.
There are numerous benefits that financial, insurance and government institutions who rely on aging systems to house critical data can gain from partnering with a Cloud team dedicated to security and compliance. At Umbee, our team is proud to have played a key role in ezbob’s success. Want to discover exactly how Umbee’s managed hosting services helped catapult ezbob to the top of their market, or how we could help you? Download your free copy of our case study today.