Rethinking Banking: Why we need to change how we view silos

Anthony Walton, CEO, Iliad Solutions

It’s often said that a big problem in financial services is that different departments within banks and other large financial institutions work in isolation from each other. This makes it hard for them to come up with new and innovative ideas. The solution to this problem, we’re often told, is to get rid of these barriers between departments. So how can this be overcome?

A fresh approach to breaking down the obstacles caused by separate working groups

One common issue banks face is poor communication among different departments, which can make it hard for them to get a full picture of a customer’s financial situation. This is because important customer data is often kept separate in different databases, making it harder for banks to understand their customers’ needs.

Working separately can cause teams to do the same work, which wastes time and resources. It also slows down new ideas and progress.

Wasted Resources

A common example of wasted resources happens when different departments within banks buy their own standalone simulators for testing products. This not only costs a lot of money but also creates problems when they try to work together.

In the face of these challenges, I often hear that we should break down the barriers between different groups. This makes sense because it can help teams work more efficiently, be more creative, and save time and money.

However, in Iliad’s experience, it tends to be more productive to follow the path of least resistance. When it comes to the size and complexities of global financial institutions, it’s far better to work with, than attempt to change their internal landscape.

Bringing departments together instead of keeping them apart

When it comes to payments testing, it’s important to find ways to connect different parts of a company. This is especially true because financial transactions now go through many different departments and use various old types of technology.

Developers are facing increasing pressure to work together and test their software on different parts of a financial institution. Using separate testing tools can cause issues, slow down progress, and be costly.

A good solution is one that doesn’t favour any specific departmental technologies but still allows teams to see the whole process even if it involves different systems. This way, nobody has to completely replace their current platforms. Instead, they can try out new things more quickly without sacrificing safety or quality.

In addition, companies should be able to use and automate tests and resources at every stage of the development process, so that developers can solve problems promptly.

In the world of finance, big banks are finding that it’s better to connect different parts of their business instead of keeping them separate. This is because the way we handle money is getting more complicated, with things like open banking and digital currencies. To keep up, banks need technology that can work smoothly both within the bank and with other companies in the financial world.

If you would like to find out about Iliad’s world-leading payment’s testing solutions and how they can be utilised across your institution’s payments needs, please reach out.

https://www.iliad-solutions.com/