In our most recent blog post, we outlined and discussed the components required for a successful financial process transformation. Today, we focus on migrating to the cloud with your core financial service applications.
It wasn’t that long ago that financial services firms shunned the cloud. In 2010, Forrester Research published a report entitled “Cloud Computing in Financial Services: Proceeding with Caution.” It stated that “Research has not seen any indications that banking, financial services, and insurance (BFSI) organizations are showing particularly strong interest in cloud computing as compared to other markets such as the public sector and among SMBs.”
Today, research shows a marked shift in the industry’s sentiment towards the cloud. Financial services firms have been increasingly migrating non-core applications to the cloud, and indications are that their core financial applications may follow suit shortly.
Digital transformation challenges in banking have been well understood and the strategies to address them simple and clear. However, it is becoming increasingly apparent that the industry is reaching a tipping point in the digital transformation journey.
Applications designed for the cloud, such as those centered on collaboration, were first to gain acceptance. Firms wanting to avail themselves of the power of these applications had no real choice, as they were not available for on-premises deployments. Further applications, such as travel expense management and treasury, soon followed as firms realized the speed and lower up-front capital costs of cloud-based deployments.
As public cloud infrastructure offerings have matured, the industry is faced with a situation where the major ERP financial system vendors are developing their applications specifically for the cloud. As firms are faced with upgrading, replacing, or re-implementing their core financial application suites – due to age or as a result of a finance transformation initiative – a cloud migration now provides sufficient benefits to warrant serious consideration.
As firms are faced with upgrading, replacing, or re-implementing their core financial application suites – due to age or as a result of a finance transformation initiative – a cloud migration now provides sufficient benefits to warrant serious consideration.
To learn more about migrating financial services applications to the cloud, download our insightful guide. You can fill out the form below, or you can find the guide here.