Regional banks are right to join shared core systems, but the savings arrive with a concentration of failure that member banks rarely test together. Each member should insist on joint failure exercises and keep its own fallbacks for the few services customers cannot do without.
Regional banks are right to join shared core systems, but the savings arrive with a concentration of failure that member banks rarely test together. Each member should insist on joint failure exercises and keep its own fallbacks for the few services customers cannot do without.
The shortage of mainframe skills is usually described as a shortage of programmers. What a bank actually loses when its engineers retire is the knowledge of why its systems treat customers as they do, and it should pay to keep that knowledge in a form the business owns.
Japanese supervisors allow banks to use public cloud, provided the bank stays responsible for what it outsources. For a regional bank the honest test of that responsibility is an exit it has actually performed, and the pace of adoption should follow the exits it can rehearse.