Welcome!

News Feed Item

New Research from the International Institute for Analytics Examines Analytics Maturity Levels in Financial Services Industry

New research released today from the International Institute for Analytics (IIA) explores the relationship between data-driven decision making, analytics maturity and success in the financial services industry. Sponsored by customer experience management solutions company NGDATA, this research found that, while financial institutions are aware of the need to be more data-driven, they are lagging far behind digital native companies in their effective use of data.

For the study, IIA conducted a quantitative analysis on 17 key competencies that differentiate high and low performing analytics. While financial services was the second highest-scoring industry, earning high marks for understanding the importance of analytics and making efforts to be more data-driven, financial institutions nevertheless lagged far behind digital native companies. Even high-scoring financial firms, the report cites, “are highly data-oriented, have analytical tools, and make wide use of analytics. However, there remains a lack of commitment to fully compete on analytics or use it strategically.”

“This research demonstrates that financial services companies, while able to see the value of analytics, are unable to mobilize their organizations around them. This has created an opportunity for technology companies to disrupt their business by delivering what today’s consumers want - value from their service providers,” said Luc Burgelman, CEO of NGDATA. “Financial organizations demonstrated a keen understanding around the need to be more data-driven, but it’s critical that they make the step towards operationalizing analytical insight, especially when it comes to connecting with their customers and preserving their business against the digital natives. Organizations need to transform the customer experience by integrating data across all channels and generating impact from analytics.”

The IIA report examines where organizations fall within a five-stage maturity model. The financial services industry collectively achieved Stage 3 – Analytical Aspirations – a category defined by an understanding of the value of analytics and data-driven decision making but an inability to infuse it into their operations. In order to achieve Stage 5 – Analytical Nirvana, in which organizations use analytics across the entire enterprise, both as a competitive differentiator and in strategy – financial services companies must leverage technology solutions that help them close the gap between their industry and digital native companies and become more customer-centric.

The research also showed a positive correlation between a company’s analytics maturity score and its adoption of analytics for marketing and customer engagement: areas in which digital native companies excel at using analytics. Financial services companies were far less likely to use analytics in these areas. However, a separate survey from NGDATA announced recently found that customer expectations are at an all-time high, especially among millennials, and that banks must commit to exceptional, personal experiences fueled by analytics to retain customers. Combined, these findings demonstrate a clear path to disruption for digital native companies if financial services firms aren’t able to engrain strategic use of analytics across their organizations to improve the customer experience and create business value.

The IIA study examined 28 market-leading financial services companies, examining the analytical maturity of US banks, Canadian banks, wealth management firms, credit unions, credit card processing companies and insurance companies. Participating organizations included American Express, Bank of America, Goldman Sachs, JPMorgan Chase, MetLife, Visa, and Wells Fargo, among others.

To learn more about the research from IIA and NGDATA, including key takeaways for financial services companies, please visit https://www.ngdata.com/iia-research-brief-analytics-transforming-financial-services/

About IIA
The International Institute for Analytics (IIA) is an independent research and advisory firm for organizations committed to accelerating their business through the power of analytics. Co-founded by Tom Davenport and CEO Jack Phillips in 2010, IIA works across a breadth of industries to uncover actionable insights from its global network of analytics practitioners and industry experts. IIA members benefit from access to experts and peers, an extensive research library with documented best practices, faculty-moderated executive roundtables, phone conversations, webinars and events. IIA also provides analytics maturity assessments, and dynamic inquiry and consulting services, allowing business leaders and analytics professionals to keep their fingers on the pulse of analytics in the new data economy. For more information about IIA, and how you can become a member, visit http://www.iianalytics.com or call 503-467-0210.

About NGDATA
NGDATA® helps data-rich companies in financial services, media/publishing and telecom to drive connected experiences. The company’s next-generation customer data platform, Lily™, puts people at the center of every business via Lily’s Customer DNA, which continuously learns from behavior to deliver compelling experiences for companies such as Belfius Bank, Innogy and Telenet. NGDATA is headquartered in Gent, Belgium and has offices in the United States, Europe and Asia-Pacific. For more information, please visit www.NGDATA.com.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
With 10 simultaneous tracks, keynotes, general sessions and targeted breakout classes, @CloudEXPO and DXWorldEXPO are two of the most important technology events of the year. Since its launch over eight years ago, @CloudEXPO and DXWorldEXPO have presented a rock star faculty as well as showcased hundreds of sponsors and exhibitors!
DXWorldEXPO LLC announced today that All in Mobile, a mobile app development company from Poland, will exhibit at the 22nd International CloudEXPO | DXWorldEXPO. All In Mobile is a mobile app development company from Poland. Since 2014, they maintain passion for developing mobile applications for enterprises and startups worldwide.
JETRO showcased Japan Digital Transformation Pavilion at SYS-CON's 21st International Cloud Expo® at the Santa Clara Convention Center in Santa Clara, CA. The Japan External Trade Organization (JETRO) is a non-profit organization that provides business support services to companies expanding to Japan. With the support of JETRO's dedicated staff, clients can incorporate their business; receive visa, immigration, and HR support; find dedicated office space; identify local government subsidies; get...
"Akvelon is a software development company and we also provide consultancy services to folks who are looking to scale or accelerate their engineering roadmaps," explained Jeremiah Mothersell, Marketing Manager at Akvelon, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
Both SaaS vendors and SaaS buyers are going “all-in” to hyperscale IaaS platforms such as AWS, which is disrupting the SaaS value proposition. Why should the enterprise SaaS consumer pay for the SaaS service if their data is resident in adjacent AWS S3 buckets? If both SaaS sellers and buyers are using the same cloud tools, automation and pay-per-transaction model offered by IaaS platforms, then why not host the “shrink-wrapped” software in the customers’ cloud? Further, serverless computing, cl...
All organizations that did not originate this moment have a pre-existing culture as well as legacy technology and processes that can be more or less amenable to DevOps implementation. That organizational culture is influenced by the personalities and management styles of Executive Management, the wider culture in which the organization is situated, and the personalities of key team members at all levels of the organization. This culture and entrenched interests usually throw a wrench in the work...
The now mainstream platform changes stemming from the first Internet boom brought many changes but didn’t really change the basic relationship between servers and the applications running on them. In fact, that was sort of the point. In his session at 18th Cloud Expo, Gordon Haff, senior cloud strategy marketing and evangelism manager at Red Hat, will discuss how today’s workloads require a new model and a new platform for development and execution. The platform must handle a wide range of rec...
The current age of digital transformation means that IT organizations must adapt their toolset to cover all digital experiences, beyond just the end users’. Today’s businesses can no longer focus solely on the digital interactions they manage with employees or customers; they must now contend with non-traditional factors. Whether it's the power of brand to make or break a company, the need to monitor across all locations 24/7, or the ability to proactively resolve issues, companies must adapt to...
"We view the cloud not as a specific technology but as a way of doing business and that way of doing business is transforming the way software, infrastructure and services are being delivered to business," explained Matthew Rosen, CEO and Director at Fusion, in this SYS-CON.tv interview at 18th Cloud Expo (http://www.CloudComputingExpo.com), held June 7-9 at the Javits Center in New York City, NY.
DXWorldEXPO LLC announced today that the upcoming DXWorldEXPO | CloudEXPO New York event will feature 10 companies from Poland to participate at the "Poland Digital Transformation Pavilion" on November 12-13, 2018.
Without lifecycle traceability and visibility across the tool chain, stakeholders from Planning-to-Ops have limited insight and answers to who, what, when, why and how across the DevOps lifecycle. This impacts the ability to deliver high quality software at the needed velocity to drive positive business outcomes. In his general session at @DevOpsSummit at 19th Cloud Expo, Eric Robertson, General Manager at CollabNet, will discuss how customers are able to achieve a level of transparency that e...
In his Opening Keynote at 21st Cloud Expo, John Considine, General Manager of IBM Cloud Infrastructure, led attendees through the exciting evolution of the cloud. He looked at this major disruption from the perspective of technology, business models, and what this means for enterprises of all sizes. John Considine is General Manager of Cloud Infrastructure Services at IBM. In that role he is responsible for leading IBM’s public cloud infrastructure including strategy, development, and offering m...
As data explodes in quantity, importance and from new sources, the need for managing and protecting data residing across physical, virtual, and cloud environments grow with it. Managing data includes protecting it, indexing and classifying it for true, long-term management, compliance and E-Discovery. Commvault can ensure this with a single pane of glass solution – whether in a private cloud, a Service Provider delivered public cloud or a hybrid cloud environment – across the heterogeneous enter...
We all know that end users experience the internet primarily with mobile devices. From an app development perspective, we know that successfully responding to the needs of mobile customers depends on rapid DevOps – failing fast, in short, until the right solution evolves in your customers' relationship to your business. Whether you’re decomposing an SOA monolith, or developing a new application cloud natively, it’s not a question of using microservices - not doing so will be a path to eventual ...
"DivvyCloud as a company set out to help customers automate solutions to the most common cloud problems," noted Jeremy Snyder, VP of Business Development at DivvyCloud, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.