The struggle with digital transformation and how to keep up

5 minute

The rapid rate of digital transformation means that some firms are struggling to keep up. Find out how you can stay up-to-date with technology that adapts to your needs, not the other way around.

As pandemic regulations start to lift globally and society begins to return to a semblance of normalcy, the question is: are all the digital initiatives that were put into place during the pandemic here to stay?

The answer is ‘yes’: the pandemic’s digital impact can be felt on almost all levels of society. Gen Z and millennials, who have tasted working from home for the first time, can’t get enough of it: almost 69% of those surveyed want a flexible, remote work environment at least half of the time. Industries everywhere, from banking, to hospitality and pharmaceutical, are racing to improve their systems and onboard more digital alternatives because, as McKinsey reports: at least 75% of people who used digital alternatives for the first time during the pandemic intend to continue using them even after.

Financial firms can’t keep up

However, the digital revolution is not all roses: the rapid rate of digital change has left some industries crippled with their inability to keep up. The financial services industry is one such victim: 94% of firms surveyed agree that digital transformation is putting stress on their IT systems. Legacy technology and outdated physical hardware, as well as the expense associated with modernizing, has held back many firms from being able to keep up with competitors. Furthermore, the Financial Stability Board reports that the pandemic has enabled Big Tech such as Google, Amazon and Facebook, to strengthen their foothold into financial services, resulting in significant implications for incumbents and smaller firms.

Cloud-based Software-as-a-Service solutions are the key

With all this in mind, what can be done to ensure that legacy systems aren’t holding you back, and that the cost of upgrading isn’t exorbitant? That’s where cloud-based technology comes in. Here, ‘cloud’ refers to a global network of servers that are accessed via the Internet, and the software that runs on them. With cloud computing, companies do not need to manage physical servers in order to run the software on their own machines. This has a few significant benefits: it reduces overhead cost and IT expenditures by being more efficient and reducing the need to develop and maintain physical servers. Furthermore, it is flexible and scalable, allowing firms to size up or down depending on their current needs. That said, its biggest benefit is that firms can use software solutions from providers all across the globe. Firms no longer have to produce all their software in house: they can form partnerships with Software-as-a-Service providers for a fraction of the cost and time, allowing them to quickly adapt to change, whether that be in the market or in their digital needs.

Be flexible with Privé Technologies

As one of Asia’s leading cloud-based Software-as-a-Service providers, Privé Technologies was one of the pioneers of cloud-native technology in Hong Kong, having partnered with Amazon Web Services (AWS) in 2011. Our modular approach allows clients to target their specific digital needs and tailor their digital journey, without needing to completely replace their existing infrastructure. We can fully digitize the end-to-end advisory journey, from robo-advisors to custom protocols and factsheets, and build digital wealth management platforms that handle retrocession, portfolio management, ordering, and more. Furthermore, all of our modules are able to integrate seamlessly through scalable microservices and APIs, giving our clients the flexibility to decide what is best for them.As firms struggle to keep up with digital transformation on their own, a vast network of cloud-based solutions lies waiting, full of untapped potential. Capgemini’s 2021 World InsurTech Report claims that tomorrow’s most successful players will not only embrace an ecosystem mindset but orchestrate effectively a rich ecosystem of partners.

Why not see what they have to offer?