Cloud-based digital asset management solutions can provide unparalleled agility and speed when it comes to strategic planning for surges in computing resources, the ability to scale up and down as business demands, and preparing for peak demand/traffic surges that every asset finance company needs today. Having the provision of accommodating spikes on demand and owning the base configuration enables you to pay only for what you need.
Cloud-based equipment leasing software providers like Odessa today offer an array of innovative products-as-a-service that can be accessed on their platforms and can enable equipment finance companies to implement business and operating models that help improve revenue generation, increase customer insights, contain costs, deliver market-relevant products quickly and efficiently, and help monetize enterprise data assets.
A cloud-based solution also offers the opportunity to synchronize the enterprise; to break down operational and data silos in risks, finance, regulation, and customer service. Once massive data sets are combined in one place, the organization can apply advanced analytics for integrated insight.
When used correctly, cloud computing reduces the amount of DevOps work that must be performed within a company, saves money after the initial investment, and improves reliability, speed, and customer satisfaction. Check out the benefits and downsides of cloud computing for financial institutions today—don't view it as a solution to all problems.
So let’s explore how modern-day cloud-based equipment finance platforms can enable your organization to leverage the agility and speed that today’s dynamic markets demand, and help you to compete in the new leasing landscape.
Cost savings
Historically, building and operating a complete IT ecosystem has been costly. The construction of new data centers, servers, and building the right skill sets has been time-consuming and requires significant investment in terms of hardware costs, application development and licensing, as well as building and managing teams for the same.
Cloud computing eliminates the need for leasing companies to invest heavily in hardware and software that is limited in shelf life, nor the manpower to maintain them. As a result, companies can instead focus on driving more business value and innovation by investing in a secure, dedicated cloud service provider's infrastructure.
In addition, scalability on demand ensures you're only paying for the space you're using on the cloud. A mainframe itself is not guaranteed to be eliminated by moving core functions to the cloud rather than maintaining them on-premises. Take a look at your setup and see if that makes business sense to you.
Agility and scalability on demand
Most equipment finance companies still use legacy systems based on outdated programming languages and mainframes, which hinder their overall agility, and ability to adjust to market changes in time and scale on demand.
The digital economy has made it imperative for companies to be proactive in responding to disruption. As a result, the company has needed to undergo digital transformation, as well as align itself with changes in market and consumer behavior. Legacy systems, however, impede agility, which is essential for adapting to change in the market.
A good example of this is digital disruptors and fintech companies. They don't depend on legacy infrastructure, they're cloud-native, and they're able to provide innovative and user-friendly solutions at a much faster pace while attracting a large number of customers.
The increasing competition requires traditional equipment finance companies to evaluate their applications and processes for cloud compatibility. After that, they can gradually transition from legacy systems to SaaS-based equipment leasing software, which will enhance their flexibility, functionality, and efficiency as long as they meet regulatory requirements.
Unparalleled customer experience
The cloud allows financial services companies to meet customers where they are, streamline customer experience (CX), and empower customer service and sales teams to provide a personalized experience.
With cloud-based communications, support and sales teams can have access to up-to-date customer information when interacting with customers, such as your customer relationship management (CRM) system.
A single unified cloud-based core leasing platform allows organizations to easily communicate with customers and collaborate internally. It is easy to deliver an omnichannel experience with chat, voice, email, and video conferencing.
By utilizing a cloud-based contact center platform that incorporates real-time analytics, financial services firms can make staffing decisions and changes to call flows on the fly.
Scalable, continuous operations
More and more organizations are turning to the cloud for scaling. According to leading industry experts, by 2025, three-quarters of enterprise-generated data will be generated and processed at the edge. Depending on the stage each organization is on the cloud journey, a cloud provider will be able to recommend a plan.
The scale factor will also help you determine what your organization what your cloud strategy should look like or if it is moving in an appropriate direction to be cost-effective when connecting. Providing exactly what your customers want with their money in an uncertain time may mean taking into account how to weather an economic downturn and providing exactly what they need in an uncertain time for leasing and other financial services. Your financial institution should consider whether or not modernizing will be a good decision.
Leveraging DevOps and modernization
Cloud technologies bring with them modernization, but some of it is just another case of finding the right experts among mere humans. Organizations can outsource technical specializations for cloud, mainframe, and modernization through its cloud solution. As its services are designed for financial institutions, its employees will also have industry-specific expertise and ideas.
The transition from legacy to cloud-first systems can be made easier with assisted modernization. A good cloud service provider knows how to tailor its offerings to fit the kind of legacy systems an organization has; just as financial cloud services enable customers to have more personalized services. They will differ in their speed of modernization and the systems they upgrade when and for what reasons.
Stronger security and risk management
It may surprise you to find out that businesses that utilize cloud computing may enjoy stronger security than those that attempt to go it alone, and with an on-premise system. Despite some business leaders' concerns about security, cloud providers have largely adapted to meet and exceed regulatory requirements and industry needs.
The right cloud technology partners build their infrastructure on enterprise-level equipment that's simply out of reach for all but the biggest firms, giving financial service organizations peace of mind. In cloud computing, there is no single point of failure because of the redundancy built into the system. Data can even be backed up across large geographical regions because there is no single point of failure. In the case of a server crash or hardware malfunction, the risk is minimalized as your data is safely stored in redundant locations.
Today, most cloud-based equipment leasing platforms are equipped with built-in anti-virus and malware protection; your e-mail communication is secured with multiple layers of spam and virus protection, email retention for compliance, policy-based e-mail encryption, and multi-layer email encryption.
About Odessa
Headquartered in Philadelphia, USA, Odessa is a software company exclusively focused on the leasing industry. The Odessa Platform powers a diverse customer base globally, providing end-to-end, extensible solutions for lease and loan origination and portfolio management. Odessa facilitates business agility through rich feature sets including low-code development, test automation, reporting and business intelligence to ensure organizations can more effectively align business and IT objectives. Learn more at www.odessainc.com
