The financial services industry is facing an environment of rapid change. Recent shifts include:
- major regulatory changes
- industry restructuring
- new business models
- post-crisis economic realities.
Today, effectively managing risk requires accurate and timely business intelligence data. Management information systems often fail to measure up to the challenge of responding to the demands of an unpredictable environment.
But new visual analytics solutions are revolutionizing how companies aggregate, analyze and report their financial and operating data. An intuitive reporting dashboard synthesizes relevant data to produce a single graphic that can offer valuable insights more effectively than a complex spreadsheet. Solutions that offer mobile business analytics are also becoming increasingly important for senior executives who are typically traveling or in meetings.
Weaknesses of traditional business intelligence solutions
Business insight technologies have been around for decades, but few approach business intelligence with real-time data analysis. The problems of most current solutions are threefold:
- Lack of timely, accurate, cohesive data. Finance, operations and risk departments have historically used separate data systems, without the ability to combine this information into one cohesive view of the business.
- Inability to modify the reporting structure. Most management information systems generate static reports on a fixed schedule without an option to delve deeper or adjust the format in order to seamlessly extract business insights.
- Lengthy implementation process. In some cases, business intelligence solutions take months – even a year – to set up for new customers. It’s possible that before going live, the solution has become irrelevant.
Key features and advantages of an intuitive visual analytics dashboard
In the constantly changing financial services industry, companies need agile data, technology and implementation. Visual analytics products simplify and streamline the task of extracting management data. Intuitive front-ends enable insightful real-time reports and a cohesive view of a company based on relevant, timely information from a number of disparate data sources.
And because they build on current systems rather than replacing them, implementation can happen in weeks rather than years. The result? Anyone in the business can ask any question they have whenever they want and get relevant answers.
At KPMG member firms, our Financial Services practice area professionals have leveraged agile technology solutions with visual analytics in both our internal operations and in solutions for our member firm clients. Typical visual analytics applications include:
- An investment management dashboard, which allows users to view overall assets under management with the ability to segment by asset class, region, fund type and currency as well as drill down to fund level, client portfolio or fund manager performance.
- A banking workforce analytics dashboard, offering a holistic view of all workforce data (cost, capability, compliance, talent and engagement) in order to enable banks to improve financial performance, customer experience, risk and employee engagement.
- A management information tool, which allows users to draw on multiple data sources to view the performance of a business at the team level, by function and across an organization for better decision-making.
The ability to view information instantly, from anywhere, allows organizations to respond to rapidly changing demands as well as identify opportunities to make performance improvements. Moreover, these new business intelligence solutions are both cost-effective to implement and money-saving over time.
Visual analytics can dramatically decrease the time and effort spent aggregating, reconciling and cleaning data from various sources. Management can focus on genuinely valuable data and insights instead of spending time debating ‘the truth’ found in multiple business analysis dashboards. With business knowledge and industry experience, real-time data solutions with visual analytics can deliver dramatic impact for the business relative to both effort and cost.
Questions to consider
- How agile are your data and technology?
- Are you spending too much time extracting management data?
- How would you benefit from a single graphic telling a story that is otherwise buried in complex spreadsheets?
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