8May 2018A Balancing Act: Technology Developments and Operational EfficiencyScott MorrisonFirms should innovate as much as possible and utilize technology as a toolbox for developing high quality solutionsFor the last several years, fintech companies have waged a crusade into the financial services space, which has traditionally been occupied by larger, more mature players. These nimble new entrants often scare the pants off the old guard firms due to their ability to rapidly develop mobile capabilities and effectively leverage the internet and open architecture for their solutions. Instead of fighting the change, firms should innovate as much as possible and utilize technology as a toolbox for developing high quality solutions. However, effectively doing so requires the foresight to delicately balance the company's emphasis on technological developments with the operational efficiency of the firm. Here are a few things to keep in mind: Respect the Strongest TrendsThere are two big technology trends I see shaping the industry and innovation ­ the rapid adoption of cloud-based services and Application ProgrammingInterfaces (APIs) for real-time data exchange. Amazon Web Services (AWS) and other cloud-based service providers have made the process of configuring servers and hosting applications so simple and efficient that it provides companies with an unlimited amount of flexibility and scalability for their platform infrastructure. The simplification of a formerly time-consuming internal IT process for getting code out to customers has allowed many companies to rethink their approach to launching software products. For instance, because the release and hardware setup processes are no longer significant time barriers, a firm can quickly launch four beta versions of a new web-based product instead of trying to pick the "best" one for a single production launch.Additionally, the widespread use of APIs and the adoption of open architecture standards has increased the exchange of real-time data between financial services companies. This trend toward information sharing has taken the expectation of instant data access to a whole new level. For today's customers, being able to access checking, savings and retirement accounts via aggregation platforms like Mint, LearnVest and PowerWallet has become the norm. Financial services providers must extend their architecture to communicate and share data with partners and third parties if they wish to stay relevant in this evolving landscape.By Scott Morrison, Chief Product Officer, Ascensus College SavingsIN MYOPINION
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