In our previous blog posts, we’ve looked at the challenges financial institutions (FIs) face and the benefits to FIs of moving to the cloud . In this post, Colin Sweeney, Fenergo’s VP Client Operations, explores the ways FIs can adopt cloud technology from conversations with customers and Fenergo experts.
Understanding around cloud technology, both within IT departments and – crucially – in the boardroom, has improved markedly in recent years. The technology is proven to be providing benefits to the financial sector and decision makers are getting comfortable with migrating operations to the cloud, so how can financial institutions start adopting cloud technology?
Put Security First
One Fenergo client at a tier-one global bank recommends starting with risk management.
“With the cloud, like any environment, it’s essential to manage the security and risk associated with that environment,” he explains. “That should be a foundational piece of your strategy. Don’t give in on something until you feel comfortable.”
Experience Through Doing
Our client adds that to do something right, it’s key to avoid the temptation to over-analyze cloud technology because the technology works.
“Pick a use case and a pattern that is least risky to you, yet can give you the benefit of experiencing taking steps in the cloud,” he advises. “You get experience through doing. Take those lessons, continue to learn from it and continue to move on. There will be a lot of things that will go well and there’ll be some things that won’t. Failing quickly, adjusting, recalibrating – they’re all important parts of the cloud journey.”
Explore the Financial Benefits
Cloud technology offers FIs the opportunity to have greater control over their workloads and, even with out-of-the-box cloud solutions, they can enjoy greater insights into those workloads and budgets associated with them.
In a world of shrinking budgets for both people and resources, the cloud offers a lot of additional tooling at very competitive prices, whether that comes via a third-party or as part of the native toolset.
"Cloud technology is ideally suited for small or currently unknown workloads. So, if you have unpredictability and want to start small and grow that into something bigger, the cloud is ideally suited. You only pay for what you use."
Adopt a Cloud Mindset
To implement cloud projects, it’s key to have a cloud mindset. This means understanding that the cloud is an OopeEx model where the customer pays monthly. FIs Financial institutions must be willing to understand that costs will increase over time, map them out using the tools provided, and accept that they will go to certain thresholds.
This is good for FIs because it means they are in complete control of their expenditure and there are no surprises.
Engage with a Managed Service Provider
Adopting cloud technologies is a key strategic business decision and FIs looking to start their cloud programmes should engage with experts early to help them formulate their strategies, understand their options, and plot a way forward.
This is where managed service providers can really add value, and save time, money and stress over the long term.
“It’s very tempting to put a toe in the water and get your existing in-house teams to start doing initiatives. That can sometimes work out very well. But when you engage with a managed service provider you can move up the learning curve very quickly. It can prevent you from wasting time making mistakes that could have easily been avoided.”
Are you facing challenges migrating to the cloud or would like to learn more about how cloud infrastructure could help your business? Get in touch to see how Fenergo could help or download our whitepaper.