The financial services industry has long been an industry of change, innovation and growth. But along with the opportunities this business sector is facing, it has just as many challenge to overcome. To remain competitive and profitable, financial service companies need a strategy to turn challenges into opportunities. This can be easier said than done but many organizations have succeeded in doing this. So, what is their secret?
Business continuity planning.
Business continuity management is the strategies and tactics to ensure that the necessary steps are taken to identify the impact of potential losses and maintain viable recovery strategies, recovery plans, and continuity of services. This is synonymous with proactively identifying potential challenges and means to overcome them.
Let’s take a look at some of the major financial services industry challenges where business continuity management can help:
Challenge #1 : Complex Compliance
Compliance is a pain point for every business. It can be especially challenging when regulations from the SEC, FINRA and FFIEC change frequently.
Business Continuity’s Role: Business continuity makes sure you are meeting compliance standards and in turn, avoiding audit fines and maintaining ethical and safe business practices.
The Opportunity: When you are in compliance, you are building trust with your senior leadership and clients, letting them know you’re doing your due-diligence in keeping your organization, data and assets safe and secure.
Download our free tip sheet "Financial Services: 6 Pain-Free Ways to Keep Up with Business Continuity Compliance."
Challenge #2: Advances in Technology
The financial services industry is amidst the “digital transformation.” Data analytics, artificial intelligence and blockchain are just a few of the major players causing organizations to rethink and adapt their business strategies and operations.
Business Continuity’s Role: With advances in technology, comes new and unpredictable threats that organizations need to plan and protect their business from.
The Opportunity: These changes can seem daunting or risky, but are necessary to innovate and grow. Companies that embrace the change and plan for resiliency can win.
Challenge #3: Increasing Cyber Attacks
A report by the New York State Department of Financial Services (DFS) noted that cyberattacks against financial services institutions are becoming increasingly frequent and sophisticated.
Business Continuity’s Role: Having a business continuity plan that specifically tackles how to avoid and react to cyber attacks is critical for organizational safety.
The Opportunity: Attempted cyber attacks won’t be going away but having a business continuity plan in place can put current customers at ease and win business from competitors who aren’t prepared.
Challenge #4: Industry Competition
The consumer-mindset shift which demands instantaneous, digital and affordable financial services has built increasing competition amongst the industry.
Business Continuity’s Role: Having business continuity in place minimized the likelihood of an event or incident occurring that could disrupt businesses operations and frustrate customers.
The Opportunity: By not having to worry about how you’ll handle a down time or a cyber attack, you can focus on what matter most—finding new and better ways to meet customer’s needs.
Your Secret Weapon
As you can see, business continuity is an essential component for helping your organization overcome potential threats and challenges in today’s market place. But keeping up with these challenges and business continuity planning can take time. This is why you’ll want to use a comprehensive business continuity planning software to make your efforts that much easier. Take the first step to overcoming your businesses’ challenges today.
Want more insight into what the financial services industry is facing in 2018? Check out our free whitepaper: “Rising Trends & Threats: 2018 Financial Services Outlook.”
Written by Assurance Software
Assurance Software takes your company’s enterprise-wide business continuity and resiliency program to the next level. With Assurance as your go-to partner for continuity and resilience, you can confidently mitigate risk, manage recovery, and safeguard your employees, customers, operations and brands.