Currently, all companies seek to enhance their efficiency and competitiveness, especially in the financial industry. Through the implementation of technology, they are trying to make their operational processes more productive to boost the growth of their institutions, be it through the use of automation and data digitization, artificial intelligence and machine learning.
The digital landscape of the financial industry
According to a survey conducted by Deloitte, the financial services industry is on the cusp of digital transformation right now, making significant investments to improve customer experience and engagement. Some 90% of those surveyed agreed that technology is disrupting to a great or moderate extent, they added.
“Most major financial institutions are well aware of the imperative to act and have embarked on the necessary transformation. It's early days though - in our experience, most are just at the beginning of their journey. And in addition to the pressures mentioned above, many face challenges in terms of financing, complexity, and availability of talent", they also noted in a McKinsey firm publication.
And now that we touch on the subject of talent availability, yes, it is one of the main stumbling blocks that companies encounter when starting a software project. That is why dedicated software developers have become one of the most valuable resources today and in this article we will explain why.
Why are financial institutions looking to hire dedicated software developers?
Access to specialized knowledge and tools
Financial institutions often have unique requirements when it comes to creating any software solution. “They must ensure seamless integration with banking systems, incorporate complex security measures, and provide an intuitive user experience for their customers,” they stated in this regard in this article on The Lead Enquiry Medium.
For this reason, dedicated software developers become an excellent option for financial projects, since they are usually profiles that are specialized in many tools and technologies, with extensive experience working with different companies from all kinds of industries. They are resources that have experience in web development, UX/UI design, security and crucial aspects in the area of financial software solutions.
Process automation
In the current reality, process automation is increasingly present to reduce errors and speed up tasks that previously required manual intervention. But it is also true that the internal teams of financial institutions are often not trained on this issue.
That is when they resort to hiring dedicated software developers to implement automation solutions by creating algorithms and software systems. All of this leads to greater operational efficiency, time and cost savings.
Costs reduction
The savings that come from hiring dedicated software developers to create a financial solution is nothing to sneeze at. “Financial and banking institutions can reduce costs by 20-30%. By choosing this practice, they are not limited to one region, which means the possibility of hiring resources from other countries with lower salaries”, they highlighted in this LinkedIn article.
Faster time to market
A company lacking engineers, designers, and testers faces the challenge of building a team from scratch. However, this recruitment and training process is often time-consuming, resulting in additional cost and effort, and delaying the entire launch of a product.
The financial market is very competitive and, sometimes, there are projects that really cannot wait for a traditional contract. By hiring dedicated software developers, organizations avoid wasting time searching, selecting, hiring, and replacing software designers and engineers. This approach provides an effective solution, allowing you to focus on financial software development without incurring the delays and difficulties associated with building an internal team.
Areas covered by dedicated software developers in FinTech
In the Fintech industry, hiring dedicated software developers is a key strategy to allow companies to focus on their core strengths while leveraging the expertise and efficiencies of third-party providers.
Here are some of the areas dedicated software developers cover with their expertise:
- Software development
Hiring dedicated software developers allows fintech companies to create custom applications and technology platforms without the need for an entire in-house development team. This includes both the development of mobile applications and cloud-based solutions.
- Cyber security
Cyber security is key in any kind of company, but even more so in financial institutions since extremely sensitive data is handled. With the help of dedicated software developers, FinTechs can protect financial systems and data from cyber threats. This can include security audits, constant infrastructure monitoring, and incident response.
- Payment processing
Many Fintech companies outsource dedicated software developers to handle payment processing to ensure secure and efficient transactions. These providers can manage the technical and regulatory aspects related to financial transactions.
- Analysis of data
Dedicated software developers possess in-depth knowledge of data analysis techniques, data mining, and statistics, enabling them to explore and extract valuable insights from financial data sets.
Additionally, these developers can tailor data analytics solutions to the specific needs of the financial institution. They can create custom models and algorithms that fit the company's unique goals and challenges.
- Customer service
Dedicated software developers can create custom customer service systems and applications that are tailored to the specific needs and processes of the financial institution. This results in a smoother and more satisfying experience for customers.
- User experience design (UX/UI)
A well thought out and attractive UX/UI design can lead to a more positive experience for customers, which in turn increases satisfaction and loyalty towards the financial institution. Dedicated software developers specializing in UX/UI can create user-friendly and intuitive interfaces, improving the overall experience for customers when interacting with financial platforms and applications.
A smooth and pleasant user experience can reduce the rate of user abandonment, which contributes to higher customer retention in the long term, so this is a fundamental aspect in any institution, not just financial ones.
Recommendations when looking for dedicated software developers
- Clearly define the needs of your company.
- Evaluate the technical skills that your project requires.
- Look for dedicated software developers who have FinTech experience.
- Check out previous projects they've worked on.
- Take a good look at the communication skills of these dedicated software developers.
- Check your flexibility and adaptability to changes.
- Evaluate the problem solving capacity of the candidates.
- It may be helpful to apply for a hands-on assignment or project as part of the selection process.
Financial institutions' search for dedicated software developers reflects their recognition of the strategic importance of technology in the modern financial industry.
These institutions seek to stay competitive and relevant in an ever-evolving environment by capitalizing on the automation, customization, and innovation that developers can offer. By having in-house development teams, financial institutions can adapt their systems, platforms, and services to meet changing customer demands, drive operational efficiencies, and ensure the security and privacy of financial data.
Do you need dedicated software developers for your next project? At Rootstack, we have +12 years of experience supporting companies in their digital transformation. Contact us!
