Keeping up with trends and holding a market share in the financial industry is impossible without implementing advanced technologies. A path to success is paved with tech and management challenges. Luckily, on-site experts or devoted tech partners can predict and address them.
Let’s dive into seven critical software development challenges in the financial sector and explore effective strategies to address them.
According to Cybersecurity Ventures, global cybercrime damage costs will be $10.5 trillion annually by 2025.
With the digitalization of banking processes and the trends among 78% of American users to leverage virtual banking over the traditional experience, security measures can identify a financial company’s reputation and influence revenue.
Taking proactive steps in securing financial processes and data requires in-depth tech expertise, which financial companies can lack. Financial companies must integrate encryption protocols and multi-factor authentication to protect against evolving cyber threats. Regular security audits must become routine. The on-site tech team must know the latest cyber security techniques and trends, monitoring every suspicious activity in your network, in-system processes, and data management.
Hiring a dedicated cybersecurity team capable of predicting and handling the vulnerabilities can become a win-win solution. At Sprinterra, we provide tailored solutions to ensure seamless and secure client systems operation.
The financial industry is subject to many regulations, and compliance is non-negotiable. A survey by Thomson Reuters found that 73% of financial institutions increased their spending on regulatory compliance in 2023. Shoulder to shoulder with legal experts, developers must embed compliance into the development lifecycle, ensuring that the software remains up-to-date with regulatory changes.
Hiring banking software development services as your tech partners can help you automate your processes following up-to-date regulatory demands. Sprinterra developed a tailored solution to comply with the new norms, leading to a 250% increase in client productivity, doubled system performance capabilities, and reduced processing time by 3x.
Many financial institutions grapple with legacy systems deeply ingrained in their infrastructure. According to Deloitte, 62% of respondents cited legacy systems as a barrier to digital transformation. Adopting an incremental approach to integration allows for a seamless transition. This approach minimizes disruption and ensures thorough testing at each stage, addressing the challenges posed by legacy systems.
We at Sprinterra know the pain of letting go of routine. Using cutting-edge technologies like machine learning and AI and leveraging Big Data, we create tailored solutions that digitalize financial operations, keeping your data safe without the old-fashioned bulletproof door.
As financial institutions expand, their software must scale accordingly. When undergoing digitalization, financial institutions must find banking software development companies capable of introducing scalability as early as in the MVP development process. Growing bigger, you won’t need a new solution for each operation. Your tech partner can help you scale up the existing software without wasting your budget and time.
The financial industry boosts with data, and extracting meaningful insights is crucial for decision-making. According to a survey by Mordor Intelligence, the market size of Big Data analytics in the financial sector will reach $19.7 million in 2028. This sophisticated analysis enhances decision-making processes. Implementing robust data management strategies, including efficient data storage, retrieval, and analysis, is critical. Artificial intelligence and machine learning algorithms improve data analytics capabilities, providing valuable insights for strategic decision-making.
Hiring and managing tech experts and architects in-house to build a data management system is costly and time-consuming. With Sprinterra, you will get a dedicated and managed expert team with relevant experience.
Financial software should not only be technologically advanced but also user-friendly. According to a study by WebFX, the design of a company’s website determines whether a client will trust you for 75% of users. At Sprinterra, we prioritize creating intuitive interfaces, streamlining workflows, and implementing feedback loops to improve user experience continuously. Regular usability testing with end-users ensures that the software aligns with the expectations and needs of its primary users.
In the fast-paced financial industry, time is of the essence. However, rushing the software development process can compromise quality. We stick to Agile methodologies, which have a 3x higher success rate than Waterfall. Setting realistic timelines, regular communication, and continuous feedback loops with stakeholders help manage expectations and ensure timely delivery without sacrificing quality.
Software development in the financial industry is a multifaceted challenge that demands a holistic and strategic approach. In this ever-evolving landscape, the key lies in embracing change, staying adaptable, and collaborating with tech experts to build resilient and cutting-edge financial software.
Are you ready to audit your financial company to identify the weak points and combat the existing and upcoming tech challenges? Contact Sprinterra for tailored software solutions — our expertise, armed with cutting-edge technology, will pave your path to digital success and invulnerability.