Over the course of the next few weeks, we will be discussing the impact cloud is having on the asset finance industry. In this four-part series, we will look at the potential benefits asset finance firms both large and small and located literally anywhere in the world can experience by leveraging cloud technology. In the series, we will discuss how cloud reduces the need for IT resources, the powerful effect of a cloud enabled ecosystem of asset finance technologies, flexibility to only pay for what you use, and the ability to leverage cloud alongside a current deployment. Today we will start with efficiency gains that cloud provides.
We have seen many evolutions in business over the last 100 years. The impact of technology on the banking and asset finance market cannot be understated. From the days where everything was done on paper and manually calculated, to the integration of systems to help automate these processes, the rise of information technology (IT) has become a key component of any financial operations. And because of its importance to the ongoing operation of the financial institution, IT has steadily increased in cost and complexity. As executive management has become more sophisticated in their understanding of the mystery of IT, there has been pressure to reduce spending on this infrastructure. But, this is not always possible if the company continues to build and maintain all IT in house. The good news is that there is a solution available today to solve this business challenge in our industry.
Moving IT to the Cloud
One of the clear benefits of cloud technology is the shift in responsibility of building and maintaining systems in-house (on-prem) to simply access technology that is built and maintained by the vendor. In cloud implementations, the vendor assumes the responsibility to have the critical underlying hardware foundation to ensure the data infrastructure has redundant power, security measures, and is properly backed up at regular intervals. The vendor is also governed by contractual agreement which include service level agreements (SLAs) guaranteeing that the service will be available with built in penalties if the service level is not met. With this shift, there is less dependency on IT systems to support these applications, which can directly translate to a reduction in system-based cost for the asset finance company.
A move to the cloud may also impact the number of IT staff needed to support your asset finance applications and can be redeployed to focus on other critical aspects of the business. Cloud enables this shift and provides an efficient way to manage application consumption and support your business needs today and in the future.
Providing this type of service to our customers was at the heart of our development of IDScloud. We wanted to take the complexity of standing up and maintaining IT infrastructure from our customers and simply let them connect to their data through a web browser. IDS supports the application, which built on industry leading cloud foundation in partnership with AWS. For more information on how your business can transition to the cloud, please check out our IDScloud solution brief.
Ray Wizbowski, Vice President of Marketing