5 years later, where are they? – News Center

Microsoft France reveals the results of its latest report which analyzes the digital maturity of the sector

  • 80% of companies believe that knowing their customers is an external factor that accelerates the digital transformation of their company (+7 points compared to 2017);
  • 80% of respondents believe that being perceived as an innovative company is a factor in accelerating digital transformation (+8 points compared to 2017)
  • 74% indicate a way to attract and retain talent (+17 points vs. 2017);
  • 62% of CIOs are involved in their company’s digital transformation strategy, compared to just 24% 5 years ago;
  • 35% of companies believe that their information system (IS) is suitable for digital transformation projects (+18 points);
  • 71% of companies would be ready to trust a superb Cloud hosting data in France and trust the technologies of large expert companies, even American.

Press Release, December 2, 2022 – The pandemic has significantly accelerated the use of digital, and the banking/finance/insurance sector is no exception. Between the need for compliance, protection of customer data, revolution in working methods or even strategic issues around customer relations, digital transformation has for many years been at the core of the priorities for all players in the financial sector. . In collaboration with the IDC institute, Microsoft France publishes a new report on the maturity of French banks and insurance companies in relation to digital transformation. Five years after the previous report, what are the new considerations driving the acceleration of the sector’s digital transformation? What initiatives have the companies launched? What are the challenges?

Customer relationships and brand image, the most important levers to accelerate digital transformation

When companies in the banking/finance/insurance sector are asked about the external factors that accelerate their digital transformation, the answer is clear: 78% of respondents say that digital makes it possible to adapt to new customer behaviour. Knowing the customer is an important issue for bankers and insurance companies, 80% of whom believe it is an accelerator for the digital transformation of their business (+7 points compared to 2017). Le digital has therefore also changed the customer cards significantly:

  • 72% of companies in the sector indicate a need for faster responses thanks to digital tools;
  • 67% observe that their customers expect the same level of service from one channel to another;
  • 66% note that their customers wish they could do more transactions on their own;
  • 1 in 3 customers would like to use video conferencing tools to talk to experts. In 2017, 49% of companies in the sector planned to develop this principle: initiatives that therefore pay off 5 years later.

The issue of image is equally important. Take effect, 80% of respondents believe that being perceived as an innovative company is a factor in accelerating digital transformation (+8 points compared to 2017) and facilitates talent retention for 74% of companies (+17 points compared to 2017) .

Finally, response to regulatory requirements and risk management are two issues that are growing strongly: for 83%, the issue of compliance is one of the most important internal factors of digital acceleration (+17 points compared to 2017), ahead of better risk control ( 81 %, i.e. +15 points compared to 2017).

IT service departments, from support function to strategic function

The year 2022 marks the return to the forefront of IT departments (DSI) in the digital transformation strategy for companies in the banking/finance/insurance sector. If in 2017, when the creation of Chief Digital Officer positions flourished to launch large projects, only 24% of CIOs left engaged in digital strategy, the latter is now 62% to be concerned about, an increase of 38 points. CIOs have a central role in the company, as they pilot projects and ensure their rollout in 89% of cases. They play also an important supporting role:

  • They set monitoring indicatorsp and performance in 71% of companies surveyed;
  • In 86% of cases, they advise the lines of business or even general management or the digital department to help them innovate;
  • Finally, in 61% of cases their expertise allows them to decide which suppliers to use (versus 32% for general management and 24% for business departments).

On their side, General management is gradually handed over to experts, as 54% of them participate in defining the transformation strategy of their companies, that is 9 points less than in 2017. Rather, they have a leadership role and stimulation of digital initiatives (93%) and most often intervene at the end of the chain when validating the projects to be launched (53% against 34% for the business departments and 33% for DSI ). The management committee continues to place particular emphasis on the digital transformation strategy, as it is he who must coordinate digital initiatives at company level (79%).

An advanced sector in terms of digital transformation

This redefinition of roles in companies in the banking/finance/insurance sector makes it possible to observe significant progress in their digital transformation. If in 2017 only 7% had completed their digital transformation and 36% had planned a transformation program, in 2022 75% of companies have already started or completed projects related to innovation. In details :

  • 71% of companies are well underway or have already implemented projects to transform the way they work, thus developing hybrid work and the use of collaboration tools, facilitating remote access and improving performance management;
  • 63% of them have made good progress or already implemented transformations in relation to operational efficiency, focusing on digitization and automation of processes and decision-making tools;
  • 62% have successfully started or completed their customer relationship transformation projects, bringing more personalization, sales support tools and a better 360° view of customer profiles; but also by implementing new distribution models such as mobile apps, marketplaces or by integrating third-party digital products or services.

A digital transition that makes it possible to define major priorities

The progress of these projects has enabled companies to define major priorities for the next two years:

    • 1/3 of the companies surveyed say they are investing in the next two years in remote work projects in terms of security and collaboration:
        • 38% plan to invest in access and identity management solutions to secure remote work;
        • 36% plan to invest in tools for remote teamwork, including television and video conferencing;
        • 36% plan to invest in performance monitoring tools.
    • Customer relations, focus for investments in the next two years with 7 priorities:
      • Online subscription, dematerialization of contracts, electronic signature
      • Ease of use of digital services
      • Development of self-service operation
      • More personalized and contextualized marketing campaigns
      • Implementation of chatbots or voicebots for remote management of customer relations
      • The same user experience across all channels
      • Personal online content
      • Process automation for more operational efficiency
      • Development of a 360° vision of the customer
    • The security of the information systems of companies in the sector is a key priority, with the projects multiplying:
      • In the next 24 months, more than 70% of companies surveyed will make investments to ensure regulatory compliance and protect against targeted attacks.
      • The priority to secure the public cloud, private or hybrid and access to applicationsp the cloud concerns only ¼ of the responding companies;
      • For 50% of companies surveyed, email exchange is the topic where bankers and insurers find it most difficult to ensure compliance and mitigate data risks;
      • While for the production of IT data in the public cloud, only 6% of the companies surveyed believe that it is difficult to ensure compliance with the legislation.

Ultimately, IT security is an essential part of the digital transformation of companies in the sector, led by the need to ensure compliance with legislation (77%), the need to protect against targeted attacks (71%) and the need for secure file sharing ( 48). %).

The cloud at the heart of reflections on the digital transformation of companies in the banking/finance/insurance sector

Today, 35% of companies believe that their information system (IS) is suitable for digital transformation projects, a figure that is still timid but in clear progress compared to 2017, when they were only 17%. 67% of them thus want to develop their IS in relation to security and data protection and 55% in relation to agility.

For this, the use of the private cloud continues to be preferred by 92% of companies in the sector. This is because this solution, although heavy in terms of infrastructure, offers functionalities that are used only by the enterprise that has implemented it and more efficient management of data processing and storage.

Conversely, the public cloud, which is easier to configure because it uses a fully virtualized infrastructure, is used by only 45% of companies in the sector, primarily for messaging functions (75%) and the use of business applications in SaaS mode (50%) .

Method: Survey conducted by telephone between May and June 2022 among 76 companies in the banking/finance/insurance sector with less than 500 to more than 5000 employees.

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