# Why the Financial Services industry is struggling with digital transformation Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2016-08-12 Category: TECHNOLOGY Category URL: https://financedigest.com/category/technology Meta Title: The State of Digital Transformation in Financial Services Meta Description: Discover the key obstacles facing Financial Services organisations in their journey towards digital transformation, according to Bizagi's latest research. URL: https://financedigest.com/why-the-financial-services-industry-is-struggling-with-digital-transformationhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/bizagi-finance-digest-finan-1736844584120-compressed.jpg) **By Gustavo Gomez, CEO, Bizagi** The state of digital transformation in the Financial Services industry Despite expressing a willingness to go digital and understanding the benefits of doing so, nine in ten (91%) Financial Services (FS) organisations are facing significant challenges in making it happen, according to Bizagi’s latest global research ‘ [The Agility Trap Report](http://helper.bizagi.com/activities/The_Agility_Trap/).’ The pressure to keep up with the sheer pace of digital change doesn’t help. Even those FS businesses that haven’t yet started on the road to [digital transformation](https://www.financedigest.com/digital-transformation-for-the-world-of-finance-the-rise-in-collaboration-tools-and-saas-applications.html "Digital transformation for the world of finance: The rise in collaboration tools and SaaS applications ") are preparing to put their foot on the accelerator. Enterprises in this industry that fail to act, or act fast enough, will be displaced by more innovative competitors. Bizagi found that while only one in three FS companies worldwide (33%) [currently have a high level of live transformation projects](https://www.financedigest.com/polycaprolactone-market-is-projected-to-expand-at-an-impressive-cagr-of-10-over-the-next-decade-to-be-valued-2-5x-its-current-side-by-2030.html "Polycaprolactone Market Is Projected To Expand At An Impressive CAGR Of 10% Over The Next Decade, To Be Valued 2.5X Its Current Side By 2030") on the go, more than half (53%) claim they are working on a ‘moderate’ level of live transformation projects. In addition, 45% of [Financial Services](https://www.financedigest.com/can-financial-services-brands-ever-be-credible-on-social.html "Can financial services brands ever be credible on social? ") respondents have significant plans to develop digital projects in the future. **What exactly is holding FS [industry businesses](https://www.financedigest.com/metal-cans-and-glass-jars-market-demand-from-food-industry-to-grant-sustainable-business-prospects.html "Metal Cans and Glass Jars Market – Demand from Food Industry to Grant Sustainable Business Prospects ") back?** The Bizagi Agility [Trap Report](https://www.financedigest.com/trapping-and-mating-disruption-systems-market-is-witnessing-high-sales-growth-over-2028-fact-mr-report.html "Trapping And Mating Disruption Systems Market Is Witnessing High Sales Growth Over 2028, Fact.MR Report") shows that companies all over the world are working hard to keep up with their industry peers, but the majority find major obstacles along the way. The challenges are widespread, with 88% of Financial Service enterprises experiencing at least one of the five most common issues during the [transformation](https://www.financedigest.com/why-digital-transformation-in-finance-is-crucial-for-post-lockdown-success.html "Why digital transformation in finance is crucial for post lockdown success") process: 1. Taken a long time to implement (49%) 2. [System too complex to manage](https://www.financedigest.com/a-report-on-global-clinical-trial-management-system-market-by-pmr.html "A Report On Global Clinical Trial Management System Market By PMR") or change (48%) 3. Fails to meet overall user expectations (30%) 4. Lacks intelligence on user content (30%) 5. Fails to engage users (21%) In addition to these challenges, almost three quarters of FS businesses (71%) agreed that digital transformation needs to happen fast in order to avoid commercial failure. So these barriers listed here represent [huge risks to the future](https://www.financedigest.com/title-interventional-pulmonology-market-shows-huge-demand-and-future-scope-including-top-players-2031.html "Interventional Pulmonology Market Shows Huge Demand and Future Scope Including Top Players 2031") of the business. This is crucial because the [technological environment affected by transformation impacts](https://www.financedigest.com/how-can-technology-impact-public-health.html "How can Technology Impact Public Health") on so many areas of the business, defining an organisation’s ability to profitably compete. **A** [digital mind-set for Financial Services](https://www.financedigest.com/the-future-for-financial-services-is-digital-engagement.html "The future for financial services is digital engagement") Despite these common pains of transformation, its necessity is doubted by no-one. The [world of financial and asset management](https://www.financedigest.com/marketmind-purchasing-managers-of-the-world-diverge.html "Marketmind: Purchasing managers of the world, diverge") really is changing as businesses, industries and customers reinvent the way they work. With multiple moving parts and highly complex, regulated processes,FS enterprises require the agility to progress and follow-up disputes within set timeframes, and in line with tight procedures. For digital transformation to have impact in the FS sector, the customer [must be at the centre of their thinking](https://www.financedigest.com/three-must-do-think-about-before-opening-a-company-in-hong-kong.html "Three Must-Do Think about Before Opening a Company in Hong Kong"). An exemplary business process [management system](https://www.financedigest.com/traffic-management-systems-growing-at-a-cagr-of-22-5-for-2022-28.html "Traffic Management Systems growing at a CAGR of 22.5% for 2022 – 28") project for one of the UK’s largest credit rating agencies focused on an entire end-to-end workflow supported throughout the business.The result – within a 16-week turnaround – was a smooth progression for excellent customer experience; from the moment the dispute is raised through to the subsequent investigation, resolution and response. In order for a [digitally transformative project to positively impact business agility](https://www.financedigest.com/world-class-finance-digital-transformation-and-analytics-based-decision-making-among-key-imperatives-for-creating-finance-agility.html "World-Class Finance: Digital Transformation and Analytics-Based Decision Making Among Key Imperatives for Creating Finance Agility"), not impinge too greatly on the day-to-day, and improve customer experience two things need to marry up. The project [driver digital](https://www.financedigest.com/packaging-and-textile-industries-key-driver-for-digital-printer-market-demand-2021.html "Packaging And Textile Industries : Key Driver For Digital Printer Market Demand 2021") mind-set must be paired with a company-wide cultural mind-set of innovation. The combination will enable FS businesses to build out [digital processes that are stronger than the resistance](https://www.financedigest.com/the-bug-resistant-medicines-market-to-be-presided-over-by-exponential-digitization.html "The Bug Resistant Medicines Market to be presided over by exponential digitization") to change and the most common barriers to success. **Download the full global executive study‘The Agility Trap’ report** [**here**](http://helper.bizagi.com/activities/The_Agility_Trap/) **for more insights into the pace of digital transformation in your part of the world.** --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---