Data holds the key to many financial institutions reliability and safety. From compliance to cybersecurity, data backs the everyday processes of financial institutions, making it possibly their most valuable resource. How a financial institution handles this data can affect their customers, security, and compliance. Financial Technology Today has compiled top stories that focus on data as a valuable resource. Read on to learn more.
Mike Fumai, President and Chief Operating Officer at AppGuard, recently shared his opinions on preventing cyber attacks in a piece on CSO. Fumai says these attacks are more than just an internal problem and involves breaches to PCI and other data protection standards which can leave institutions with hefty fines. Industry observers comment that the detection and reaction model is ineffective and a waste of resources.
“A pound of detection and reaction is worth more than an ounce of prevention,” said Fumai.
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In the piece, Monetizing Data: Follow The Yellow Brick Road, Mark Katz, Senior Principal at HP Marin Group, compares the journey of data monetization with the epic tale of The Wizard of Oz. Dorothy treks all the way to Oz, only to find out that it isn’t real. Katz suggests that firms can undergo the same kind of journey, finding there is no “magic” to data monetization.
“While the tools have vastly improved, and the power of BI buttressed by AI and Machine Learning has helped greatly with incorporating challenges like unstructured and disparate data (internal and external), that Yellow Brick Road journey still requires cultural and operational steps including empowerment of associated teams,” said Katz.
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The European Union’s General Data Protection Regulation (GDPR) regulations went into full effect last week which will change how companies manage, use, and protect data of EU citizens. While many institutions began planning for GDPR after its announcement two years ago, some are scrambling to meet compliance.
Cheryl Chiodi’s article offers five questions institutions should ask about GDPR compliance. According to Forrester Research, one-third of financial services firms believe they are GDPR-compliant, but may not be.
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Leveraging data to gain a 360-degree view of the customer can unveil what they need and want, helping the sales process. Before data can be analyzed, it needs to be collected, creating a data warehouse. There are several design and operational challenges that must be overcome before creation of a data warehouse can begin.
Business analysis is the first step to creating a data source system. Next, aggregating data across each silo of the warehouse is necessary to organize Data Elements and create an approved definition of the data for the business domain.
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