Database technology has evolved, have you?
The cloud database market has been one of the fastest-growing public cloud services (except for the recent rise of remote working initiatives post-COVID-19). It accounted for approximately $6.12 Billion USD in 2018 and looking to grow to nearly $495.26 Billion USD by 2026, per Statistics MRC. Financial firms, and indeed most firms, need to support their growing data requirements by having flexible and scalable data management solutions.
When thinking in a more digital and transformational way, the end to end customer experience is critical. It must pave the way for integration to the app economy of the now and future tense (AI, IoT Mobile initiatives).
All applications require matching databases to function correctly, and the choice you make today will define your future data management strategy. – especially when competing with challenger banks and fintech disruptors in this space. However, databases are the bedrock on which banks build their digital transformation programs and more.
I often get asked this question – “What database technology should I use” – and every time I say, it depends!
When choosing the correct database environment, it depends on several factors: Your current business objective, your current technology environment and budget. This initiative cannot be stereotyped into a one size fits all approach, and anyone telling you otherwise is just simply wrong! However, it is not as complicated to work out for yourself if you look at some fundamental elements of each respective technology providers offerings. I will give you a head start with a list of must-haves for the financial services industry.
Compliance – This is a must-have when dealing with financial services data in a regulated industry
Performance – With enhanced security principles you need to have exceptional elastic performance!
Accountability and Auditability – With data (transactional and non-transactional) governance with enhanced security and the manageability of the any transaction
Elasticity at Scale – Nobody wants more legacy technology, and you must have the ability to scale at pace, move or migrate if need be!
At the end of the day, it comes back to data and the ability to get the most value from it at the right time (while ensuring only the correct staff can access it). To achieve this, you must have the ability to perform accurate, real-time analysis, which is vital to both compliance and competitive success while applying hardened security. The firms that achieve this will be the banks that remain compliant while ensuring customers don’t leave them because they receive a bad online experience (amongst other factors). Regulation within financial services is there for a reason, to be compliant with procedures and to demonstrate capability and accountability.
This leads into performance, a must-have for any financial institution. The financial industry requires lighting speeds when discussing technology.
