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You have the data: Now take control of business

We all know the age-old saying: “Knowledge is power.” It’s still true, perhaps more now than ever.

I’ve noticed that the more data regulatory bodies require us to create and archive, the more access we have to new information about business, clients and assets. 

It’s time to make use of this vast repository of data to create a seismic shift in the way we work. 

Data becomes more valuable when we organise it in a structure that includes:

  • Innate transparency Giving every level of management lateral and downward visibility
  • Increased flexibility by virtualising and/or consolidating applications and simplifying structures
  • Reduced complexity Homogenising the data architecture to reduce cost and complexity

Wise banks and other financial organisations are offsetting the cost of compliance with virtualisation and consolidation of applications and putting the savings back into the business, creating even more opportunities.

According to EY's Global Banking & Capital Markets report, John Gerspach, CFO, Citi said: “Of the US$2.9 billion expense savings that we’ve gotten through our efficiency efforts, approximately 50% are being consumed by additional investments that we’re making in regulatory and compliance activities.”

We can now pinpoint the profitability of business lines and clients in ways that were not previously possible, but two levels of support are needed to make this work in the wider business.

  • Financial support recognizes that investment can provide a tangible return over regulatory goals.
  • Managerial support relies on a company-wide understanding of how a company can grow through better data.

A well-defined approach that matches the needs of individual business lines, as well as the wider business can be supported with accessible data used to identify the profitability of business lines and clients.

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