A recent survey of banks from around the world reveal the varied challenges that financial institutions are facing when it comes to managing their enormous amounts of data. Chief among the hurdles mentioned are antiquated data infrastructure and regulatory requirements. A closer look at the data tells us that poor data quality is one of the main reasons for the frustrations endured by the respondents.
Data Quality Issues Cause More Issues
According to the survey, a full 42% of respondents said that creating a singular, coherent view of their data from across the company was the greatest data management hurdle they faced going into 2018. To us, this is a data quality issue through and through. Being able to bring accurate, valid, and timely data into a single point of accessibility is crucial to the integrity and mission of any organization. Without this ability, other data initiatives can never be successful, as evidenced by the further responses; 20% said keeping up with regulatory changes was their biggest hurdle, while 16% cited providing detailed data to regulators as their biggest challenge. Both of these issues are directly related to being unable to access clean data quickly and with confidence.
Data Quality and Data Regulation Headaches
Heavily mentioned in the report is the strains of keeping up with the increasing level of data regulations found in the financial industry. As new and varying regulatory measures are adopted around the world, banks are finding it extremely difficult to meet these ever-changing, and often confusingly overlapping standards. 60% of survey respondents said meeting these data regulation requirements were their biggest challenge in regards to data compliance, while 20% said providing regulatory reporting in a timely fashion was their most challenging task. Both of these issues would be far more easily addressed with advanced data management and data quality solutions. While the report does not mention to what degree these institutions have adopted data quality processes and solutions, it did say that just 17% or survey participants had the systems and procedures in place to support data compliance regulations. We’d go out on a limb to say these financial institutions have a tremendous opportunity to meet these regulatory hurdles should they invest in a data quality solution.
To read more on this survey, check out it out here.