Digital transformation presents ‘acute’ skills shortage for financial services

Financial services companies are looking to digital transformation at a greater rate than most vertical market businesses, and are facing an “acute shortage” of skills as a consequence.

Friday 08

Digital transformation presents ‘acute’ skills shortage for financial services

That is according to a report published yesterday by 451 Research, which reveals that 60% of financial services firms expect to use multiple cloud platforms in the next two years.

But as IT systems get more complex, 46% face a shortfall in cloud expertise, with 41% struggling to find information security skills, and 37% lagging behind on artificial intelligence (AI) and machine learning.

“The next few years will bring critical changes, including a major shift toward execution on cloud platforms,” said Liam Eagle, research manager at 451 Research.

“We expect hybrid IT strategies and partner-led managed services to be key elements in overcoming obstacles such as regulatory compliance and information security.”

The study, commissioned by software company Canonical, found that AI and machine learning are the technologies most prioritised by financial services firms.

Containers and blockchain complete the top three technologies being prioritised by the industry.

And ‘multi-cloud’ is expected be central to their plans for these technologies, with 62% of IT managers believing it will help them improve application performance and availability demands.

Agility and time to market are cited as the main cloud adoption drivers, with the report highlighting how multi-cloud allows for the isolation of different workloads when sensitive data is used.

While increasingly extensive regulations for the sector mean that 43% of IT managers expect multi-cloud to help them satisfy granular compliance and security requirements.

Moreover, 41% anticipate that multi-cloud will help them reduce the overall costs of cloud deployments through data center consolidation and more effective use of resources.

“Cloud computing platforms, once considered leading-edge technology, are now part of mainstream IT, and widely regarded as a vehicle for achieving business agility, cost savings, improvements to application performance and availability, and access to emerging technologies,” Eagle added.

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