Transformation Of Retail Banking To Cloud Services
C.Anitha Mary, S Chandni · Journal of Emerging Technologies and Innovative Research · 2018
Retail banking refers to the consumer-oriented services offered by commercial banks. These services include checking and savings accounts, mortgages and various types of loans and investment services relating to retirement and educational planning. Retail banking encompasses the services offered to consumers by commercial banks. The term refers to the almost storefront-shopping nature of commercial banking services. Retail banking is a framework that allows commercial banks to offer banking products and services in one place at virtually any of their branch locations. The retail banking aspect turns commercial banks into a kind of store (or retailer) where clients are able to purchase multiple banking products. The merits of cloud technology in retail banking have been hotly debated over the last 5 years, creating a huge amount of marketing hype in the process. While some continue to see this as principally vendor noise, what is undeniable is that IaaS, PaaS, and SaaS do form an important part of retail bank IT sourcing strategy. The unfortunate consequence of the years of debate is that attention has been drawn away from the developments in cloud, and the real benefits it delivers to the banks that have successfully adopted it. The use of cloud in retail banking today is widespread. Almost all of the retail banking IT decision makers interviewed for this study reported the use of at least some cloud technology, with only relatively minor differences in take-up across banks of all sizes and in all regions. This broad level of adoption is reflected in the degree of new IT spend accounted for by cloud technology components. Respondents were asked what proportion of their organization’s current new IT infrastructure spend was allocated to IaaS/PaaS versus on-premise infrastructure. They were also asked what proportion of total new application spend (including license, maintenance and services costs) was allocated to SaaS versus traditional packaged, or in-house developed, software.