There are many reasons investment firms start looking at outsourced processing including, disaster recovery, staff augmentation and system administration. However, after choosing to outsource, firms quickly realize the additional benefits of scalability and cost savings. For example, many of our customers have found that they are able to quickly accommodate business growth including acquisitions without needing to incur the added costs or delays that may have been needed if they had to expand their internal infrastructure or operational resources.
Considering outsourcing? Here are a few key questions to ask yourself to determine if outsourced processing is right for your financial institution:
- How will outsourced processing impact compliance and business continuity? Financial institutions remain responsible for risk management and mitigation, but outsourced processing services offer structure and support that can streamline regulatory compliance processes and simplify disaster recovery.
- What about flexibility and scalability? Outsourced processing enables financial institutions to respond to market demands as needed by quickly and cost-effectively implementing new solutions and services. If your organization is growing through acquisition, a hosted environment can make it easier to absorb rapid growth, in part because there is no need for additional hardware and IT staff. Financial institutions can often retain 24x7 system access and control over many daily processing steps.
- What are the cost implications? Budgets can be trimmed when a financial institution transfers the cost of owning and operating hardware and physical assets – and redirects back-office IT staff to revenue-enhancing activities. Financial institutions that manage technology in-house see spending fluctuations from year-to-year due in part due to large and sometimes unplanned IT expenditures. Organizations using an outsourced delivery mode typically find costs to be more stable.
- Are there staffing and support considerations? With outsourced processing, financial institutions can assign resources to more profitable, service-oriented tasks. Utilizing outsourcing services enables financial institutions to turn their focus from managing technology to serving customers and driving profit.
To see if SS&C it the right outsourcing partner for you, please contact us at firstname.lastname@example.org.