Other parts of this series:
- Making intelligent automation happen in finance
- Making better decisions in finance with analytics
- Making the business case for cloud technology in the finance function
- Increasing benefits from cloud technology
- The benefits of agile platforms in financial services
- Confronting the challenges of agile platform implementation in financial services
- Artificial Intelligence in Finance: Five opportunities to take the leap
As we discussed in the previous blog, the CFO’s ability to empower COOs and CIOs with data, tools and expert support for a cloud adoption business case helps with strategic alignment at all financial institutions. Without this alignment, the full potential of benefits may not be realized from cloud adoption.
Some key considerations to develop an effective case for cloud adoption are:
- A sound cloud services operating model, endorsed by CIO and business leads, is a pre-requisite before making any financial forecasts
- The model lays out how different business, operations and technology teams should work together to deliver services to consumers as well as to internal business customers
- This should include how teams run and change applications effectively, using cloud services where required
- CFOs should explore with business leads where there is an opportunity to change business and technology practices
- Only truly direct costs for applications moving to cloud should decrease over time, such as third-party license costs, maintenance costs or step change in infrastructure costs due to the large-scale retirement of servers
- Migration to cloud offers the opportunity to business leads to consider simplification in existing business processes
- Delivering business change in most cases implies a technology change; this could be delivered at a lower cost due to automated operations and development, e.g. by automating testing services, by using virtual machines and software containers and avoiding large up-front technology investment
- Cloud-enabled APIs could help the business in meeting new consumer demands and in generating new opportunities for the financial institution, such as utilizing big data, machine learning and advanced analytics
- And, finally, depending on the culture of the financial institution, cloud technologies can help teams innovate faster
- With capabilities in analytics and deep learning, cloud can provide teams with the right environment to acquire the new skill sets required for innovation; this should permit business and operations teams to test new ideas faster
In addition, depending on the cloud service provider, financial institutions can also benefit from increased data protection and improved compliance with the home regulator. Setting up other C-suite executives with a clear case for cloud adoption is aligned with the CFOs’ expanded role in the digital transformation of financial insitutions.
In the final post of this series, we will explore how artificial intelligence can help finance capture powerful insight to create value and support its role as a strategic partner to the firm. In our next post, we will learn how cloud-based agile platforms can support continuous product development and help financial firms keep pace with business growth.