Most financial experts think that digital assets will play an important role in organizations in the future.
The introduction, evolution, and integration of blockchain technology into financial services have led to its exponential growth. According to Deloitte’s Global Blockchain Survey 2021, blockchain technology will primarily be used for
- 45% of respondents said that getting custody of digital assets will be a priority
- 42% think that establishing new payment channels and types will be more important.
- 41% think that diversifying their portfolio of investment will
- 39% of respondents said that it will be used for accessing decentralized platforms
- 39% of respondents said that it will be used for the tokenization of assets
All this presents a lot of opportunity for VPS server Singapore businesses operating in financial services but they also have to overcome their fair share of challenges in order to take full advantage of the growth in the financial services industry. How can financial leaders achieve this goal?
Let’s find out.
In this article, you will learn about six ways finance leaders can pave the way for innovation in the financial service sector.
6 Ways To Kickstart Innovation In Financial Services Industry
Here are six ways business and finance leaders can adopt to bring innovation in financial services.
- Prioritize User Experience
When you tell your IT team what you expect from your system and how you want it to perform, this narrows down their focus. This restricts their creativity and innovation and they start following a set guideline.
Due to this, you end up delivering a final product that checks all the boxes but could not delight the users by going the extra mile or does not offer anything unique.
This makes it even more difficult for your business to make its offerings stand out in an already saturated financial services space.
Instead of telling your IT team what you want the system to do, ask them to invest more time and energy towards improving the customer experience.
Give them the freedom to try new things and experiment with new ideas. Ask them to explore any avenues they can to make the customer experience even better.
This way, the customer experience users get from your financial services will be unmatched and hence can prove to be a competitive advantage for your business.
- Change Your Mindset
Your IT and technical teams are your biggest assets in today’s hyper-digital world. Instead of thinking of them as a liability, you should think of them as an asset just like you consider a cheap dedicated server hosting.
Could you deliver the same experience you are delivering without the IT department? No, right. After all, every functional unit is working towards fulfilling the same organizational goals.
Yes, they might have their own objectives but at the end of the day, they are all working towards a common goal. Encourage your technical teams to share their perspectives, they could have ideas that you have never thought of.
Think of IT as a partner instead of looking at it as a separate functional unit. Make your technical leaders sit together with your financial leaders and decide on both long-term and short-term goals.
Create a strategy by taking all the stakeholders on board so you do not experience any resistance and implementation happens smoothly.
When you closely collaborate with your IT department, the end result is a more secure, refined, and scalable final outcome. Not only that, it will have a brighter chance of fulfilling all regulatory and compliance requirements because they are designed with those considerations in mind from the beginning.
- Remove Roadblocks
Another mistake most financial services make is they ignore the roadblocks their technical teams might be facing.
This has a negative impact on user experience. You should not only ask them about the challenges they are facing but also take steps to overcome those challenges. If they are experiencing work-related stress or employee burnout due to workload, you should look for ways to reduce the burden.
If the current system is not delivering desired results, you should think about replacing it with a more efficient tool that could make their lives easier.
- Make IT an Integral Part of Your Business Strategy
Just because you are an insurance company or a bank does not mean that you should keep your IT team away from strategic decisions.
Today, every business in the financial sector needs technological support to function. That is why you should involve IT in decision-making as well and do so from the early stage. In fact, you should create your entire business strategy around how technology is integrated into your current business model. You will soon start to reap the rewards for it.
- Take Feedback and Improve
If your employees are not speaking up due to any reason, ensure that their opinion will be kept secret.
Take their feedback and it will give you a better idea of your strengths and weaknesses. Identify areas that need improvements in light of their feedback and work to overcome your shortcomings.
Go above and beyond to ensure anonymity so they can share your feedback freely. Once they are comfortable that their opinions won’t be disclosed or made public, they share things that they have never done before. Trust is also an important factor and if they trust you then they would share their opinion.
- Celebrate Small and Big Wns
Your team could lose motivation especially if things are not working. As a leader, your goal is to keep them motivated and focused.
It is your duty to keep them on the right track. The best way to do that is to celebrate both small and big wins. Let’s say you have achieved your first milestone, you should celebrate it.
This will give your team members a sense of achievement and encourage them to push even harder. They will continue to give it their best shot, which would assist you in achieving your goal.
What steps do you take as a business leader to speed up innovation at your organization? Share it with us in the comments section below.