Network visibility: how banks can transform their IT

NETWORK VISIBILITY:

how banks can transform their IT and security

Financial services have undergone rapid digital transformation, and continue to do so as a result of the pandemic. It is no surprise the traditional set-up of silos and legacy IT no longer helps firms to adapt to the new business environment. And it is essential that financial services continue to modernise processes and focus on delivering frictionless, digital experiences, if they want to keep up with new market entrants.

One of the ways financial services have responded to the increasingly digital world, is through the adoption of cloudbased solutions. However, the latest State of the Cloud report from Flexera has found that security and the management of cloud spend remain the top challenges for organisations working within this environment. Therefore, unless the cloud is optimised, it can create more issues than it solves – making it difficult to improve ROI and protect against the evolving threatscape. Through improving observability into all data, organisations can address the digital challenges faced by the industry and build resilience to drive business performance and success.

Budget versus efficiency

For business leaders navigating the challenges brought on by the pandemic, weighing up technical priorities with budget constraints has been essential. Investing in solutions, such as network visibility, is one way to increase profitability and improve digital capabilities. Observability in particular enables organisations to optimise network tools and continue to grow and innovate whilst on a reduced budget. The use of legacy technology and reliance on systems of record limits the growth and efficiency of financial organisations. A recent study highlighted that 68 percent of insurance organisations named legacy systems as the greatest barrier to digital transformation, and silos are often cited as the enemy of changes within any industry. These issues can be best addressed by monitoring all systems and devices through one ‘single pane of glass’ and gaining a holistic view of all IT environments, from on-premise to the cloud. By investing in digital capabilities and optimising current tooling, organisations are able to increase ROI and network efficiency, which in turn will drive additional value and better service for customers.

Improving customer experience

Cloud migration and network optimisation becomes more of a challenge for NetOps teams when they do not have a clear view into traffic. This can then cause a rise in application performance problems. Addressing the ‘visibility gap’ common in hybrid environments allows tools to filter out low risk or duplicate data, freeing up bandwidth to help improve digital services. However, if the lack of visibility is left unmanaged and negatively impacts the user experience, revenue will ultimately decline, putting greater pressure on IT professionals who are left with an overly-complex and underperforming network to manage.

Customers want to interact with their bank in the same way they do with Google, Apple or Amazon – through seamless digitally-enabled experiences. Without this digitisation,

Source:

https://info.flexera.com/CM-REPORT-State-of-the-Cloud?lead_source=PPC&utm_source=google&utm_medium=cpc&utm_campaign=Branded&campaignid=45250988&adgroupid=132614208624&utm_term=flexera%20state%20of%20the%20cloud%20report&https://info.flexera.com/CM-REPORT-State-of-the-Cloud%3Flead_source%3DPPC&_bt=538674931107&_bk=flexera%20state%20of%20the%20cloud%20report&_bm=p&_bn=g&_bg=132614208624&gclid=CjwKCAiA4veMBhAMEiwAU4XRr6rwm7JeAZJMvB8USHlaRWbfJIxMM4VKPVxx82dAL5GrQtN57NmbmRoC_FcQAvD_BwE 2. https://www.genpact.com/lp/assessing-digital-impact-across-insurer-and-channel-operations 3. https://www.pwc.com/gx/en/banking-capital-markets/publications/ assets/pdf/pwc-new-digital-tipping-point.pdf 4. https://www.agcs.allianz.com/news-and-insights/expert-risk-articles/financial-services-risk-cyber.html 5. https://www.bloomberg.com/news/ articles/2020-11-24/ anks-see-billion-dollar-cyber-costs-soaring-even-higher-in-2021

banks will be on the side lines watching as their market position fades in favour of new digitally-enabled competitors. If they fail to begin their transformations now, they are likely to lose customers. Furthermore, with younger generations citing digital as an important factor in their financial service provider decision, it is crucial that financial institutions act now and invest in network optimisation, if they want to continue attracting new customers. crucial in ensuring applications, traffic and users are all being monitored thoroughly. If done correctly, this can help security teams mitigate cybersecurity vulnerabilities and be better prepared against future attacks. With total observability, SecOps teams can respond to data breaches proactively, which could be the difference between a minor and major breach. And a large enough event could undermine the organisation and its reputation.

Optimising security

Since the start of the pandemic, the number of cyber-attacks within the sector has risen by over 200 percent. And with such critical data to protect, the financial industry must continue to regularly test the security of their IT infrastructure and processes. Deloitte predicted that the sector will see a 64 percent increase in cybersecurity investment across 2021, however it is important organisations ensure that the right diligence and testing is carried out. Rather than simply investing in a mis-match of point solutions, the tools and solutions implemented should help financial services increase their resiliency to cyber-attacks while also contributing to future growth.

The cloud is often a safer option than on-premise tools, as long as consistent and unwavering visibility is prioritised. It is important businesses implement a security strategy that functions in an ever-evolving environment, whilst also protecting millions of users across multiple platforms. Having a consolidated view of all data in motion on the network is For financial services organisations, undergoing vital digital transformation successfully without full visibility will be a challenge. To succeed in the long term and mitigate risk, it is fundamental they invest in gaining a full and singular view into their entire IT infrastructure. Advancing network visibility will improve an organisation’s cybersecurity drastically. It will also help to optimise IT tools and teams, which in turn will propel ROI. All of these elements are key to consider, as while we adapt to the post-pandemic world, financial services must continue to integrate new digital banking solutions in order to stay competitive.

Anthony Brown, Director, Gigamon