A recent survey, conducted by Sun Microsystems and Morse, found that cost reduction and regulatory compliance are the key drivers of current business strategy. The findings are in line with those of A-Team’s survey Reference Data Now, commissioned by Reuters and available on their website (http://about.reuters.com/datascope).
The Sun survey, conducted among 50 financial institutions, consultants, and technology vendor attendees at a recent event, found that 73% of financial institutions said cost reduction was “very important”, while 55% cited regulatory compliance as very important. Eighty per cent disagreed that cost reduction has been pushed to the limit and there is nothing more to be gained. The top three key technology drivers highlighted in the survey were automating internal processes, reducing costs and reducing operational risk, with 45% of respondents suggesting all three were “very important”.
Regarding outsourcing, 33% of financial institutions said they were likely to outsource or use a service utility for back office functions, which could include data management.