Intelligent Fin.tech Issue 19 | Page 30

CASHING IN

operational efficiencies to an enhanced customer experience , are clear to see . By embracing the digital tools available and the latest developments offered by AI , firms can experience a transformative impact that can revolutionise their business .
One of the main ways businesses can move towards digitisation is by reducing reliance on paper-based forms of communication and record-keeping , choosing to adopt digital channels instead . With regular strike action and potential plans to reduce the Royal Mail ’ s postal schedule , going paperless and embracing digital solutions will soon become a prerequisite for financial service providers who want to provide letters and documentation quickly and efficiently .
Not only does a switch to paperless incur key economic benefits , with the price of first-class stamps increasing by 45 % in the past year alone – it also has profound sustainability benefits .
Paul Holland , CEO of Beyond Encryption
Furthermore , switching from paper to digital also creates space to improve the categorisation and compartmentalisation of key consumer information . Digital filing systems offer easier access for both businesses and consumers to access a backlog of important data in real-time .
Protection and security
It is important to note that Digital Transformation is not an entirely riskfree process . Only this year , IBM issued nationwide guidance on what technology trends the financial services sector needed to take up in 2024 . Among operational resilience , the uptake of AI , cloud and the further digitisation of services , cybersecurity was listed as a key concern .
However , as this technology proliferates the market , businesses will not be the only ones harnessing the benefits , with threat actors also using these to create more sophisticated forms of cyberattacks and further power instances of black hat hacking . Quantum Computing , as one example , can crack an encryption key in a matter of hours , leaving current security approaches at significant risk .
Already , the Information Commissioner ’ s Office ( ICO ) reports that UK firms have experienced a 30 % increase in data incidents between 2022 and 2023 , showcasing that there is more need than ever to invest in the right technology to prevent the risk of malicious attacks and human error .
For financial services companies , secure communication is also essential , and the focus must extend beyond simply storing sensitive financial data .
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