How IT is Playing a Pivotal Role in the Financial Services Industry

Image Source: John Liu

Over the last year, financial services companies have had difficulty when delivering customer service. This, coupled with the blame attributed to these financial companies is making it difficult to build trust. It seems that clients need more from their financial services.

Just like personal relationships, once trust is destroyed it is very difficult to build that confidence back. So, what can financial services do to start rebuilding trust with their customers?

Since the financial crisis, the financial services sector have been busy implementing changes. This is to ensure that nothing like this happens again. There is a new regulatory body, the FCA, which has replaced the FSA that is overseeing procedures and practices. One thing that nearly all financial services companies have been criticised for is their lack of openness. IT can play an enormous role in building up trust and helping financial services is open with their customers. Giving customers access to their own account is vital. They need access to other information too. This could prove to be the sole element in financial services rebuilding trust.

Of course, this can be done in a number of ways. The use of IT can be an active force for building upon customer confidence.

There are two main ways IT can help build bridges. They can help engagement. But, they can also ensure a reliable service is delivered.

Reliable Services

Customer data, transactions and a wealth of individual and company data are held on a variety of platforms. This is delivered through a number of different channels.

Websites like can shed light on the information technology areas. It is these areas that financial services organisations need to run efficiently.

Simple tasks like backing up data at regular intervals seem straightforward enough. But, even this can go wrong from time to time. Having a failsafe system that avoids any knock on effect to customers is essential in building up trust.

Other areas of IT such as cloud storage and data security is also important to financial services companies. Protecting customers, as well as the enterprise, is pivotal to operational success. Without the best practices and systems in place, companies can almost expect to fail. Today we live in a world where failure and mistakes are just not tolerated. The ease and speed a customer can switch banks or building societies means that no mistakes can be made. This is regardless of how big or small they may be.

Engaging with Customers

Having the right information technology in place opens up various different channels. This means that you can decide when and how you engage with your clients. It all starts with the information technology that holds the customer data. Having the right services and systems that open up access for the client plays an essential part. The front end, whether that is a website or call operator, can then be used to obtain this information.

This engagement goes back to financial service organisations being open with their customers. This needs to be done in a reliable and engaging way.

If financial services companies want to succeed in this technological and customer driven world, they need to adapt to these cultural and market changes.

Author: Richard Casteel

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Richard is the chief author of this blog. He worked as a financial advisor in money market form last 10 yrs. His financial sense in Share trading and any other trading is just outstanding. He just shares his knowledge and experience through this blog. You can contact him directly though

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