Heavy Core Systems: An Underlying Complexity for Banks

Heavy core systems have caused concerns for the way in which patterns of systemic processing failures in Kenya have occurred in recent years. Thus, the current wave of crises may not yet be drawing to a close.

Of cause, that sounds like something most Heads of System Development and Architecture, Senior Managers, or IT Heads, would be interested in. If you are one such individual, conventional wisdom should tell you customers routinely blame the bank for services they don’t like. This is often with good reason: heavy core system processing.

Core Systems Have Many Process Flows

Clients expect quick, on-demand service. On the other hand, workers anticipate that digital skills will become standard. This makes digital and virtual banking table stakes for banks. Therefore, banks must move more quickly with their digitization plans.

For the majority, digitization has grown to be a significant burden due to heavy core systems. This digitization frequently results in workarounds that require IT executives to perform ambitious and courageous routine operations to stabilize operations. But beyond aligning experts around this common goal, banks’ core systems require relieving to digitize swiftly and effectively.

Based on our experience, there are four major challenges to a CBS:

• Costly System Overhaul
• Difficulty in real-time data processing
• Integration problem
• Slow performance

Although full replacement approaches to core systems are successful, they are expensive and have high risk profiles. Tech leaders note that complete system overhauls require migration of all services, products, customer data, and functionality.

Similarly, real-time data processing isn’t without its challenges either. Banks often experience excess constraints on implementing applications and services that meet customers’ demand for real-time offerings and capabilities.

Every failed integration effort is the equivalent of a high-risk brain surgery. But there’s a more robust process that articulates integration procedures, eventually leading to a nimbler core. To prevent errors during integration, stakeholders should first ensure they’ve a complete understanding of the CBS, its features and interfaces.

Moreover, the way money moves in and out of the customers’ bank accounts is not always the fastest process. Most banks have heavy core systems not designed for high throughput transactional processing. And in between, depositors won’t be able to access money they woke up early each morning to work hard for.

A Perfect Solution is Already on the Table

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Take advantage of our data processing and CBS complementing capability. Together, we can work to solve your core system needs.