The Capco consultancy has published the results of its recent survey into data management practices and perspectives among European financial institutions (FIs). Entitled ‘Data, Still the Unknown Unknown’ it surprisingly says it found that nearly a quarter of FIs do not understand the positive impact of effective data management on profit and loss (P&L) accounts.
The survey questioned European financial executives on five key aspects of their current data approach, covering: Data Management; Data Ownership; Data Costs; Data Quality; and Unstructured Data. The key findings include:
- Awareness of data policies is low among financial institutions.
- Nearly a quarter of respondents do not understand the impact of data management on a company’s P&L.
- 42% manage customer data as a regulatory compliance issue without considering its revenue potential.
- 80% have not yet fully explored the use of social media data, nor do they fully understand its value.
Commenting on the results, Mark Record, a partner at Capco, said: “FIs need now to take action. Over the last two years changes in the financial industry have been substantial: spiralling costs, multiple regulations, consumer expectations and the development of new data-rich media add pressure. Effective data management can no longer be misunderstood, still less ignored.”