ABeam Consulting is advising the Financial Services Industry FSI to utilize Data Virtualization to gain a game-changing competitive advantage
ABeam Consulting (Thailand) Ltd. unveiled an insight study on key challenges for digital transformation – The needs for adaptation and evolvement to stay competitive especially in the financial service industry; including banks, insurance companies and finance companies.
Technologies are now changing the landscape of the industry from existing and emerging players, as well as consumer needs. Digital transformation for financial institutions has been challenging; however, Data Virtualization is a flexible technology helping financial institutions to perform a variety of new capabilities.
With Data Virtualization, financial service providers will be able to access and leverage all data in organizations immediately as if it’s from a single source, significantly reduce costs and reduce the time spent managing data. This can provide enterprises with a competitive advantage to stay ahead.
Mr. Ichiro Hara, Managing Director of ABeam Consulting (Thailand) Ltd., a subsidiary of ABeam Consulting Ltd., a global consulting company headquartered in Japan that specializes in digital transformation, disclosed that ABeam Consulting (Thailand) Ltd. is now providing digital transformation services in order to create a strategic advantage, improve business processes, leverage technology innovation, and enhance organizational performance for its customers in various industries including financial service customers in Thailand. The service helps clients to diagnose and solve their real challenges with solutions that combine industry and operational best practices with technical expertise.
“From the ABeam’s insight study by qualitative study method, the major challenges for digital transformation is the need to adapt and evolve as competitors enter the market, or to stay ahead of peers who are also implementing digital strategies. In more developed markets, new entrants have been at the forefront of the industry and left traditional businesses behind. They are exerting real change on the industry by virtue of their digital-first approach, offering more sophisticated technology that increases the digital expectations of customers. Three quarters (75%) of insurers surveyed fear competition from data-driven digital competitors according to Big data and AI executive survey 2019 by The Digital Insurer*,” said Mr.Hara.
Financial service providers are developing new business models and leveraging technology to introduce products that today’s customers expect. These developments have pushed the financial services industry forward and created an environment of innovation. Existing players in the financial services industry have shown they are prepared to compete. Banks, insurers, consumer finance companies and brokerages have all acknowledged the need to adapt to the changing landscape. For instance, Siam Commercial Bank embarked on a 40 Billion Baht, 5-year digital transformation project in 2015. UOB launched a digital bank – TMRW, that has no brick and mortar presence and offers innovative products for millennials such as budgeting services and spending analysis.
Mr. Hara revealed that traditionally, digital transformation has been challenging for financial institutions, many of which rely on well-established systems that are often not only poorly integrated, but also highly resistant to modernization without downtime. Typically, the integration is performed by batch-oriented extract, transform, and load (ETL) processes, operated by custom-coded scripts that need to be re-written, re-tested, and re-deployed whenever there is a change to a data source. Data virtualization, in contrast, is a flexible technology facilitating digital transformation via a modern data integration / data delivery approach that is significantly more agile, flexible, and powerful than most ETL processes.
“With Data Virtualization, financial institutes will be able to access and leverage all data in organizations immediately as if it is from a single source, rather than access to separate servers and different applications that store data. By consolidating data in a single source and removing duplicated copies it will significantly reduce infrastructure and operational costs. Eliminating the information silos reduces time spent managing data and can use data real time. Most importantly, they can provide better services to their customers and can be a game changer in the business sector,” explained Mr.Hara.