By now, credit unions are aware of the industry’s changing landscape. Credit Unions are facing Fintech influence, industry disruption, and realize it is no longer an option, but a necessity to capture and optimize every piece of obtainable data to remain competitive in financial services. Large banks have been investing heavily in big data and continue to do so. Unfortunately, these banks are directly competing with credit unions, which don’t have the same resources available to effectively invest in big data. Awareness is step one, but one state is taking action to put the power of big data in the hands of credit unions.
Let’s face it: we live in a world where a strong data and analytics competency is becoming a “must have” for successful companies. Despite the growing significance of analytics, the majority of banks and credit unions are not “data-driven” organizations.
We’ve uncovered a number of common reasons why investment in data and analytics has been pushed off or outright rejected. Despite these challenges, most of the common reasons against data and analytics are driven by inaccuracies or misinformation.
In this post, we will address the common pushbacks against data and analytics projects and how to overcome those challenges.
The financial services industry is being constantly challenged with new regulations and outside threats. Two important developments in the financial world recently that are worth noting are the immense growth in blockchain technology utilization, as well as the impact of the Financial Accounting Standards Board’s (FASB) recent comments on Current Expected Credit Loss (CECL) guidelines. These are both undoubtedly items to keep top-of-mind, as they are impacting institutions from community banks and credit unions to the large banks.