Managing risk in financial services to get fit for a digital future has been saved
Managing risk in financial services to get fit for a digital future
Turn risk to reward
Amid the humanitarian and economic shock of COVID-19, the digital forces reshaping the financial industry have gone into overdrive. Nearly overnight, firms have pivoted to digital channels, technologies, and ways of working.
All this has taken place against a backdrop of customer demands for greater choice, transparency, and frictionless delivery in the products they receive. Innovative startups and non-traditional players are responding via new modes of competition. To protect consumers and maintain orderly markets, regulators are raising the bar for compliance.
The impact is just as dramatic inside the organisation. From cloud computing to artificial intelligence, advancing technology is transforming the front, middle, and back offices. Operating and talent models are bending to the demand.
These trends are shot through with a common thread: digital risk. In the discussion that follows, we’ll examine digital risk along its various dimensions, then break it down by type. Before we do that, however, let’s review what digital risk really means for financial services - and why it’s become such an urgent topic today.
Topics covered in this article include:
- The landscape of digital risk
- Dimensions of digital risk
- Types of digital risk
- Turning digital risk into digital advantage
- Actions for boards