Financial services leaders cite increased future revenues (62%) and improved future profitability (52%) as leading reasons to deploy cloud technologies, according to a new financial services study by Capco, a Wipro Company and Wipro Limited.
In the report – entitled Cloud’s Transformation of Financial Services – Capco and Wipro’s cloud experts take a deeper look at the financial services data collected in the Wipro 2021 global survey and report – Making Business Thrive: A Cloud Leader Roadmap for Achieving 10x ROI. The report identifies the key trends and opportunities ahead and offer insights to allow financial services institutions (FSIs) to become cloud leaders. Wipro’s FullStride Cloud Services study incorporated 1,300 responses from C-suite executives and key decision-makers across 11 industries, of which 26% were drawn from financial services — specifically, banking, insurance, and capital markets, including wealth advisory and asset management firms.
Looking exclusively at the financial services and insurance-related dataset within the main study, the new findings include:
Peter Kennedy, Partner & Cloud Lead at Capco, said: “We believe financial services firms often do not consider the total cost benefits when measuring return on investment (ROI) on the cloud. Only 40% cited benefits arising from decreased non-IT costs, and even fewer measure reduced carbon footprint, accelerated time to market, or improved productivity.”
Commenting on perceived obstacles, to cloud implementation, Kennedy added: “Roadmaps that charted a digital journey for the entire organization were slow to emerge, if at all. Early in the transformation process it is crucial to develop an enterprise-wide cloud strategy and roadmap that details technology choices, governance measures and spending priorities, and that moderates other potential battlegrounds that can dilute implementation.” He also noted that the survey results reinforce that training, recruitment, and retention are fundamental competencies that need careful and early planning or risk snagging an institution’s shift to the cloud: “An average of 25% of FSIs said limited access to cloud skills and talent along with a need for training were serious impediments to successful cloud implementations.”
Download Capco’s research report Cloud’s Transformation of Financial Services to discover practical and actionable recommendations for financial services leaders on how to design and expedite a successful journey to the cloud.