US capital market firms with a rigorous cloud adoption program are running more than 50% of their applications on the cloud and are likely to cross the 70% mark over the next two years. – Wipro Cloud Survey
Cloud adoption has become one of the top priorities for firms across the US capital market value chain as they realize that sticking with their old, legacy systems is far riskier than shifting to cloud-based platforms.
US companies are at the forefront of global cloud adoption, but not all companies are progressing at the same rate. For leaders, cost reductions are just the beginning of realizing benefits. Leaders who have embraced the cloud are driving growth and streamlining operations. As capital market firms mature during cloud transformation journey from beginner to leader, they get better implementation skills and may even exceed their ROI targets.
Leaders are looking beyond the cost benefits of the cloud to other potential benefits such as increased agility and scalability.
Benefits of cloud adoption for US market capital firms
Cloud leaders are those who have realized that there are much greater benefits to cloud adoption than simply reducing costs. The cloud can offer opportunities for driving growth and streamlining operations, which can significantly impact a company. Consequently, these leaders focus on taking advantage of these opportunities rather than simply reducing costs.
The cloud offers many benefits for capital markets, such as:
- -inventing new business models
- -driving growth from the API economy while accelerating time to market
- -scaling businesses
- -reaching new clients.
Wealth managers who use the cloud find that their clients’ journeys improve in several key areas, from onboarding to investment strategy and portfolio management to reporting. This helps them boost client retention rates and ensure each client contributes a greater share to the wealth manager’s revenue.
Driving growth using cloud computing
- Innovating new business models
- Driving growth from the API economy while accelerating time to market
- Scaling business and increasing retention rate and wallet share of existing clients
Streamlining operations with cloud computing
- Empowering decision making
- Driving employee productivity and experience
- Enhancing risk management and compliance
- Strengthening business continuity
- Driving sustainability across operational footprints
How to drive ROI from the cloud transformation program
Wipro has identified six best practices for capital market firms that want to make the most of their cloud transformation programs. If you’re starting or are still in the process of adopting cloud technology, these steps will help you address some of the key challenges you face.
By following these best practices, you’ll be able to get the most out of your cloud transformation journey
- Engage CXOs early
- Develop an enterprise-wide cloud strategy
- Define cybersecurity controls
- Combine the cloud with other technologies to boost the ROI of cloud adoption programs
- Develop talent & define clear KPIs
Cloud technology enables investors to access and rebalance their portfolios faster, a huge advantage from a client’s perspective. To ensure a successful and smooth transition to the cloud environment, cloud transformation leaders must have a robust change-management program that involves key stakeholders. Furthermore, it is important to communicate relevant updates to clients and employees promptly and consistently so that everyone is on the same page.
Read more about how to implement the above steps for the success of your cloud transformation journey in our latest report, which you can download here.