About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

Keeping a Team Onshore to Monitor Data Quality is Key, Agrees Offshoring and Outsourcing Panel

Subscribe to our newsletter

Institutions should keep a small team of data experts on board in order to adequately monitor that service level agreements are being met by outsourcing providers and data requirements are being catered to by offshore teams, agreed FIMA 2008’s panel on offshoring and outsourcing.

Susan Outzen, business relationship manager in the enterprise data management (EDM) division at HSBC, talked about her previous experience at UBS, where the bank kept a small team onshore to deal with high risk data while they outsourced the low risk data. “It was good to have that expertise remaining in-house to monitor what was going on and reacting to any problems that the outsourced unit experienced,” she explained. HSBC has decided to take the offshoring approach to deal with capacity issues and increase their data capacity across the organisation, Outzen continued. “It was not primarily driven by cost savings because these were only around 25-30%,” she said.

Predrag Dizdarevic, president of KonsultLab and chair of the panel, recommended finding a good onshore team to control the outsourcing or offshoring relationship. Jean Pierre Gottdiener, independent consultant, seconded this notion and urged firms to hire an “available and aware” team. “The staff needs to be aware of the issues that may crop up and the service level agreement must be very clear,” he added.

Dizdarevic listed some of the potential pitfalls within outsourcing agreements for the delegation and these included issues such as liability when a vendor makes a mistake, complications in the internal delivery of data and meeting certain legal requirements. He said that pricing could also be an issue: “Don’t expect these vendors to offer a commoditised price because this business is in the early stages of development and they are likely to charge higher one off project rates.”

Subscribe to our newsletter

Related content

WEBINAR

Recorded Webinar: Hearing from the Experts: AI Governance Best Practices

The rapid spread of artificial intelligence in the financial industry presents data teams with novel challenges. AI’s ability to harvest and utilize vast amounts of data has raised concerns about the privacy and security of sensitive proprietary data and the ethical and legal use of external information. Robust data governance frameworks provide the guardrails needed...

BLOG

Gaining a Holistic View of the Modern Investment Portfolio: Webinar Preview

The economic landscape has been transformed in recent years by a combination of technological upheavals, rising cost pressures on financial institutions and a rewriting of geopolitical and trading norms. All of these have inevitably led financial institutions to reconfigure their operations and the data processes on which they depend. The next A-Team Group Data Management...

EVENT

RegTech Summit New York

Now in its 9th year, the RegTech Summit in New York will bring together the RegTech ecosystem to explore how the North American capital markets financial industry can leverage technology to drive innovation, cut costs and support regulatory change.

GUIDE

Regulatory Data Handbook 2025 – Thirteenth Edition

Welcome to the thirteenth edition of A-Team Group’s Regulatory Data Handbook, a unique and practical guide to capital markets regulation, regulatory change, and the data and data management requirements of compliance across Europe, the UK, US and Asia-Pacific. This year’s edition lands at a moment of accelerating regulatory divergence and intensifying data focused supervision. Inside,...