Challenge
The bank had experienced significant growth through organic expansion and acquisitions but lacked a formalized technology strategy to guide its operations. While core banking systems were up to date, other technology areas were primarily focused on daily operations, with no strategic direction to address future needs.
The lean IT team structure presented a critical challenge. Key application knowledge was concentrated in the head of technology, creating dependencies that posed succession risks and scalability concerns. This lack of redundancy threatened operational stability as the bank continued to grow.
In addition, the on-premises data center introduced operational inefficiencies and increased cybersecurity risks. Without dedicated cybersecurity personnel, the bank faced vulnerabilities in an increasingly regulated and complex industry. Finally, the reliance on vendor-provided data analytics solutions prevented the integration of data across systems, limiting insights needed for informed decision-making.
Faced with these challenges, the bank sought a partner to conduct a thorough IT assessment, identify risks, and create a clear roadmap for modernization and growth.
Solution
Technology Partners developed a comprehensive IT due diligence assessment, incorporating technical expertise and a deep understanding of the banking industry’s unique demands.
Key actions included:
- Thorough Evaluation: Conducted detailed reviews of applications, infrastructure, cybersecurity, enterprise architecture, and IT financials through documentation analysis and stakeholder interviews.
- Risk-Based Prioritization: Identified key vulnerabilities, including cybersecurity gaps, operational risks in the data center, and succession planning weaknesses.
- Strategic Roadmap Development: Created a 36-month technology roadmap with actionable initiatives, including timelines and budget frameworks.
- Benchmarking and Recommendations: Analyzed vendor relationships and technology contracts, identifying opportunities for consolidation and cost savings while justifying increased technology investment.
This holistic approach balanced operational improvements with long-term strategic planning, providing the bank with clear direction and immediate next steps.
Results
The IT assessment provided a comprehensive understanding of the bank’s current technology landscape and a detailed roadmap to address critical gaps and unlock future potential.
Strategic Planning: A 36-month roadmap outlined five key strategic initiatives, including cybersecurity enhancements, data center modernization, and the adoption of cloud technologies. These initiatives provided a framework for optimizing the bank’s $6 million annual technology budget.
Risk Mitigation: Identified critical cybersecurity vulnerabilities and succession planning risks, allowing the bank to take proactive steps to secure its operations and address leadership dependencies.
Operational Efficiency: Recommended implementing an enterprise data warehouse to improve analytics capabilities and streamline decision-making. Other recommendations included modernizing HR and financial systems to enhance day-to-day operations.
Financial Optimization: Benchmarked technology spend against industry standards, revealing that the bank’s current investment was below average and demonstrating the need for increased funding in key areas.
This assessment was about aligning the bank’s technology with its ambitious growth goals. By providing clear, actionable insights, we’ve positioned them to navigate the complexities of digital transformation with confidence.
Brianna Stelmach
Strategic Account Manager, Technology Partners
Key Outcomes
- 36-Month Strategic Roadmap: Guided the bank’s modernization efforts with actionable recommendations.
- $6M Budget Optimization: Improved technology spend allocation for better resource management.
- Enhanced Cybersecurity: Addressed critical vulnerabilities to reduce operational risks.
- Operational Scalability: Developed a plan for cloud adoption and data center modernization.
