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Why Financial Institutions Should Outsource IT 

By July 11, 2020 No Comments
Financial Institutions Should Outsource IT 

In the past, outsourcing a financial institution IT department was a non-starter. Most financial institutions believed that IT outsourcing was unreliable, unresponsive, and costly. However, the costs of an in-house IT department and infrastructure are increasing with time. IT Outsourcing has also evolved over time. Most MSPs can meet the needs of financial institutions now.

The digital transformation has already changed the working of banks. It has changed the responsibilities and roles of the IT department. If you are outsourcing your IT infrastructure, then you can focus on other priorities. Your MSP will free-up resources which you can use for growing your business.

IT infrastructure is still not a market differentiator for businesses. However, poor IT infrastructure and performance can affect the consumer experience. This will ultimately lead to loss of revenues and customers. If you are maintaining your IT infrastructure in-house, then you are putting too much on non-core activities. Financial institutions should focus on their strategy and vision which will ultimately lead to business growth.

IT teams are also becoming smaller with time and their work is becoming more complex. You need to spend a lot of money on their training, software, and hardware. The best way to avoid all this spending is by working with an MSP. You can invest all this money in developing your business. Financial institutions are also facing many challenges like compliance, audit, cyber threats, and operational risks. We are going to talk about the benefits of IT outsourcing for financial institutions.

  1. Cost-Savings

Almost every business is outsourcing IT services for saving their money. If you are working with an MSP, then you don’t need to worry about hiring an IT department. This will help you in avoiding the costs of hiring, training, hardware, and software. Your financial institution will get access to world-class IT infrastructure. Also, your provider will help you in solving all your IT issues. You don’t need to worry about finding an IT provider that can help you in solving your IT problem.

  1. Scalability

If you have an in-house IT infrastructure, then scalability is going to be a big issue for you. You need to invest money into new hardware and software. The best way to avoid this cost is by working with an MSP. They will help you in quickly scaling up and down your IT infrastructure. Also, they can handle your special projects. This will ensure that you don’t need to hire IT employees for handling your special projects.

  1. Access to IT Experts

Most financial institutions don’t have access to world-class IT experts. They have a small IT team that can handle simple IT tasks. If you are working with an MSP, then you will get access to a team of IT experts. They will help you in maintaining the quality of your service. You can even deliver better services to your customers.

  1. Extend your Team

The best way to enhance your IT project is by working with outside IT experts. They can help you in completing your IT projects. Also, you will get access to the best team. If you already have an IT team, then you should ensure that they are only focusing on their core projects. They shouldn’t waste their time in fixing simple IT issues. Experienced MSPs like Bleuwire can help your employees in resolving their IT issues. This will ensure that your team won’t waste their time in solving simple IT problems. Thus, your managed IT services provider can improve the productivity of your IT team.

  1. Reduce your Risks

You can reduce some of the security risks by working with IT professionals. Bleuwire can even help you in creating a perfect IT security strategy. You can use this security strategy for protecting your financial data. Financial institutions need to follow various security regulations like PCI DSS. MSPs already know about these security regulations. Thus, they will ensure that you are following all these security regulations. This will help you in avoiding unnecessary fines and penalties. They will also help you in implementing better security systems. These security systems will protect your data from attackers. Most hackers are targeting financial institutions as they have access to sensitive data. Thus, it is important to ensure that you are using the latest security tools and strategies.

  1. Establish a Relationship

If you are partnering with a new IT firm, then your business relationship will only feel new in the starting. You will start to feel comfortable after some time. Your provider will also learn everything about your infrastructure and network. Thus, they can quickly solve your IT issues. Most banks are working with MSPs for ongoing support and maintenance. Financial institutions can also get knowledgeable assistance whenever they need it. Your partner will become familiar with your business needs. Thus, they can help you in solving your IT problem.

  1. Support Restructuring Efforts

You should work with an MSP if you want to restructure your entire IT infrastructure. They will ensure that your business is operational during the migration process. You can contract with an MSP before starting the restructuring process. They will help you in creating an alternate platform that you can use during the transition platform. This will ensure that you maintain functions like compliance and quality controls during the entire transition phase. You can provide services to your customers even during the transition phase.

Conclusion

Financial institutions are now moving towards IT outsourcing as they don’t have access to a good IT team. Also, they can save a lot of money by working with an MSP. They can invest this money in improving their services. It can be very difficult to maintain your entire IT ecosystem. You need access to IT experts and multiple tools for maintaining your IT ecosystem. MSPs will provide the scalability and flexibility that you need. They will help you in growing and evolving your business. Your provider will also ensure that your data and applications are protected. If you need more information regarding Managed IT Services, then you can contact Bleuwire.

Contact us today to learn about Bleuwire™  services and solutions in how we can help your business.

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