BANKING
W hile incumbent banks still rule the financial services industry globally , it would be a mistake to assume they are comfortable sharing the space with up and coming fintechs .
The cutting-edge technology used by swiftly scaling fintechs that are now being granted banking licences are popular with the younger generation of customers who appreciate fast service , constant connectivity and mobile app convenience .
In order to compete with the rise of fintechs , banks must transform from their traditional systems and embrace the new era . It ’ s expensive , requires considerable disruption and takes time . But adopting lean and agile principles as part of the transformation process is also a large part of employing Business Intelligence practices .
Lean and agile teams in finance According to Tim Carmody , CTO at IPC , it is the fintech industry ’ s ability to adopt new technologies and embrace emerging business models quickly that has led to the sector ’ s considerable success .
He says lean and agile development has allowed the space to dramatically accelerate and increase the rate of technology adoption – an aspect that traditional banking has struggled to implement .
“ Historically , financial institutions would embark on massive development projects , typically using waterfall , which would require many months or years to scope , develop and implement . Now , we can deliver minimum viable product features quickly and iterate frequently .” This change , says Carmody , has enabled fintechs to “ push the envelope and rapidly evolve ”. And the proof is in marketplace performance . “ IPC has embraced agile software development for years , and this has significantly decreased time to market for new features and technology adoption .”
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