Digital transformation, the change associated with applying digital technologies to all aspects of a business, is beginning to impact financial services organisations in a big way. The industry is undergoing incredible disruption in the form of nimble, tech-savvy startups.Well-established financial services companies are increasingly finding themselves confronted with fast-moving Fintech disruption. Digital technology has the potential to revolutionise the financial industry, so do not be afraid to think outside the box and try something new.
Future hold for those who thrive with digital transformations
Enter the new era of Fintech, the convenience and trusts digital tech brings are amazing. Be it shopping or saving, transfer or receive funds, everything happens in real time. Undoubtedly, Fintech companies and other non-banking financial institutions have changed the functioning of traditional banking. These new start-ups have the advantage to tear down and rebuild. Often with the fast-changing technology, the start-ups outstrip the law and regulations. They need to adapt to the legal and regulatory framework at the beginning of the new venture. This is the key to challenge the existing models.
There are many players in the market that provide various financial services from loans, setting up the online business to accept and make payments. The talent is the most prominent investments for all Fintech start-ups. You do not need any more physical retail showrooms to sell. You just need to sign up for a Fintech app and start selling your products.
Companies need to focus on specific areas when making changes:
- Connecting old and new technology: Digital innovation can only be as effective as your technology allows it to, so understand current workflows. Review key operating model differences to understand whether currently used devices are capable of the speed, agility, fluidity and customer involvement your transformation requires. Performing this analysis early on prevents costly, time-consuming problems from occurring down the road.
- Establishing a new culture: A workforce does not just need appropriate training before new technologies or workflows are implemented; a company must also provide continuous learning opportunities to cultivate the knowledge and skills necessary for growing and maximising digital transformation impact. The most effective culture shift strategies identify which innovations will likely be responsible for the largest workforce differences and initiate education efforts there.
- Fostering collaboration: Organisational leaders should lead the charge where employee communication is concerned. A workforce needs to not only have new expectations, responsibilities and accountability clearly explained, but should also have a chance to honestly discuss any changes before they take effect. Among other benefits, creating a continuous dialogue with employees improves user satisfaction and minimises disruption.