CSC Position Paper Helps Banks Navigate and Benefit from Digital Transformation in the Enterprise
OREANDA-NEWS. A new position paper entitled “Digital Banking Creates Opportunity for Customer-Focused Finance,” from CSC (NYSE: CSC), a global leader in next-generation IT services and solutions, provides expert insights and information to help bankers navigate key technology and market shifts on their digital transformational journey.
The paper is part of CSC’s “Journey to the Digital Enterprise” series from the company’s global CTO team.
“Banks are under tremendous pressure to comply with growing regulations, to satisfy customers and employees who are demanding more choice, collaboration and mobility, and to fend off digital startups that are chipping away at their profitable payments sector,” said Mike Steinharter, vice president and general manager, Banking & Capital Markets, CSC. “These industry shifts require banks to create new, dramatically higher scales of efficiency through next-generation infrastructure.”
The CSC paper presents opportunities for banks to free up funds for innovation through customer-focused financial services, a new CSC approach that helps banks reverse the “80:20 rule” by migrating off existing systems, modernizing off-the-shelf and custom applications and moving to new cloud-based platforms, providing APIs that enable new experiences with more agility. Traditionally, banks have spent 75 percent to 80 percent of their IT budgets on run-the-bank operations, leaving only 20 percent to 25 percent to fund change-the-bank activities.
“By integrating next-generation infrastructure with the IT architectures they’ve been building for decades, a customer-focused approach will help banks wring out savings of as much as 50 percent on daily run costs,” said Steinharter. “Those funds can be then redirected to even more digital innovation. Through CSC’s partner ecosystem, we have defined more than 20 specific business problems that banks must address—and a four-layer reference architecture to guide a cohesive transformation—to advance their digital journey.”