Financial services organizations cannot afford to take short cuts when it comes to managing data for their business needs. Whether you are a credit union, a life insurance company, a retail brokerage, or a Global Systemically Important Bank (G-SIB), it is critically important to ensure every business unit, application, and end user has access to timely, trusted, transparent, and secure data to:
Despite the availability of purpose-built data management and data governance tools in the market, these functions and activities have been primarily led and performed by smart human beings. In other words, the financial services industry has been accustomed to throwing bodies at the data problems that have led to inconsistent practices, processes, and controls. These often result in higher losses from fraudulent transactions, increased credit risk exposures, lower responses to cross-sell marketing campaigns, and delays in onboarding new clients.
The Drawbacks of Legacy Data Management Tools
Why aren’t organizations using data management tools more often to augment human effort? Let’s take a closer look.
- Past tools were too complicated for the average user. For example, data quality management, data analysis, and governance were primarily designed for the data engineer or data warehouse developer, which required a degree in information management to use correctly.
- Lack of integration between different tools. Integrating a business glossary term down to the technical data lineage level in the metadata repository, for example, can be difficult to operationalize without proper integration between tools.
- High entry and ownership costs. Back in the day, data management software required companies to purchase licenses, download the software onto their own hardware, hire people to maintain and support the systems, and also pay the vendor for ongoing support.
Deliver Business Outcomes With Cloud-Native, AI-Powered Data Management
But data management and governance technology is now at a tipping point due to the confluence of four major trends. These include:
- Rapid growth and adoption of cloud-native solutions for modern business applications, analytics, and compute infrastructure
- Ubiquitous integration and operationalization of artificial intelligence (AI) to automate human-led tasks and decisions
- Acceleration in DataOps and lean integration principles in modern enterprise data management and governance
- The standardization of cloud-native delivery models and subscription-based pricing options that remove the need to install, operate, and support a heavy and dedicated software stack.
The Informatica Intelligent Data Management Cloud (IDMC) exemplifies the union of these four trends. Introduced at Informatica World 2021, IDMC delivers to the global financial services industry the first modern, agile, and intelligent data management platform designed to help businesses truly innovate with their data on any platform, any cloud, multi-cloud, and multi-hybrid for all users across the enterprise, beyond just IT. Cloud-native at scale, IDMC provides:
- Data management and governance capabilities that help improve customer experience for everything from traditional brick-and-mortar financial institutions to modern cloud-native fintech organizations
- AI-powered, metadata-driven intelligence to turn data into insights at massive scale—regardless of where your data is created, processed, or consumed—to help you comply with industry regulations and manage risk
- The ability to help financial services companies leverage cloud-native marketing and analytics solutions to grow wallet share
- A low-code, no-code environment to facilitate critical data management activities in support of ongoing mergers and acquisitions
- Security and trust by design, with best-in-class data governance to help combat fraud and satisfy new and existing data privacy regulations from CCPA and GDPR to VCDPA
Learn more about Informatica’s new Intelligent Data Management Cloud and Informatica for Financial Services.