Decades of expertise: The cornerstone of composable banking success

Written by Narendra Mistry CPTO, Universal Banking
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As the Chief Product & Technology Officer for Universal Banking at Finastra, I bring a perspective shaped by years of navigating the intricate intersection of technology and banking. In light of our recently released whitepaper, which delves into the power and promise of Composable Banking, I reflect on the paramount importance of choosing a technology partner with decades of experience in applying the most appropriate technology to solve complex banking problems.

The whitepaper posits that Composable Banking is the key to rapidly creating the products and experiences that customers demand. It underscores the central role of core banking platforms, signaling the obsolescence of legacy systems and the urgent need for a new, strategic choice. Creating the core banking platform needed to enable this new world requires a technology partner with a profound understanding of both technology and banking.

Like many other industries, financial services has seen an influx of new entrants touting technological prowess. Their core proposition of reinvention relies on the power of modern technologies to rapidly create banking platforms. By leveraging rapid development programming languages, cloud, and API-driven architectures these new entrants have created base systems for banking. However, it is crucial to discern the difference between those who understand technology and those who comprehend the nuanced intricacies of banking. The whitepaper's question — how to choose the right core banking platform — resonates deeply with the necessity of recognizing that deep expertise in banking is as indispensable as technological acumen when building Composable Banking systems.

At Finastra, we firmly believe that success in Composable Banking is rooted in experience, particularly the kind that spans decades of collaboration with banks globally. New entrants, though equipped with cutting-edge technology, often grossly underestimate the sophistication of banking. They may provide solutions that appear promising on the surface but fall short in enabling banks to fulfill their complex operational needs.

Choosing a technology partner with a profound understanding of banking ensures that the systems align seamlessly with the intricate requirements of financial institutions. Deep expertise not only enables the identification of current challenges but also anticipates future trends and demands, offering a comprehensive and sustainable solution. Systems with rich, broad and deep banking functionality are needed because banking is sophisticated. As banking continues to evolve, banks and other financial institutions will need systems with advanced technology. Banks using systems without both aspects will be at a competitive disadvantage. Worse, as they rush to build out missing capabilities, not only will they be playing catch up, but they run the risk of creating of creating tomorrow’s site-specific, costly to maintain, difficult to upgrade, technology dead-ends. These problems can be easily avoided by choosing the right technology partner.

In the pursuit of Composable Banking, where agility and adaptability are paramount, the whitepaper underscores that the choice of a technology partner is not a mere transaction but a strategic decision that will profoundly impact a bank's trajectory. Finastra, with its rich legacy and continuous innovation, stands as a testament to the importance of marrying technological expertise with an in-depth understanding of the banking landscape.

Our commitment to providing complete solutions, solutions that are more than just alluring at a superficial level is grounded in the belief that true innovation arises from a fusion of technical prowess and industry acumen. As we navigate the transformative landscape of Composable Banking, I advocate for a discerning approach, one that places decades of experience at the forefront, ensuring that the technology chosen is not just cutting-edge but also profoundly aligned with the intricate needs of the banking ecosystem.

In conclusion, it is clear that banks must adopt a strategic decision-making process when choosing core banking platforms. Finastra's journey is emblematic of the symbiosis between technology and banking expertise, and it is this synergy that we believe will define the success of Composable Banking in the years to come.

For more insight read our whitepaper, "If Composable Banking is the answer - what’s the question?", here.

Written by
Narendra Mistry

Narendra Mistry

CPTO, Universal Banking

Narendra leads the global product and technology organization for Universal Banking as the Chief Product and Technology Officer (CPTO).

Narendra has been in the financial software industry for more than 25 years and his career with Finastra spans more than 13 years in various leadership roles...

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