A cutting-edge banking data platform can revolutionize a bank’s data quality, but it must be paired with the right organizational mindset to truly support it. A successful transformation hinges on a top-down approach that empowers every employee to take ownership of the data they work with.
Technology is a key enabler of transformation, but technology alone is not the complete answer. It’s how your people use and embrace the technology that truly drives lasting results. Building a culture of data stewardship among both leadership and employees is critical for delivering maximum impact across the institution. When an organization operates with a shared commitment to data quality, teams collaborate effectively, fostering pride and accountability. This unified approach allows banks to uphold higher standards for data accuracy and usability.
Here are some lessons we’ve learned when it comes to approaching data stewardship as a bank leader:
Data Quality Requires Unified Efforts
Unlocking the full potential of your bank’s data is not just about selecting the right tools; it’s about ensuring employees understand, adopt, and embrace their roles in maintaining data quality.
In many banks, tech teams and business units operate in silos, often with IT focused solely on systems and business teams unaware of how significantly data quality impacts their work. This disconnect can undermine data initiatives and leave investments underutilized. According to a World Business Research survey of 250 financial services leaders, the primary barriers to leveraging data management technologies are data silos (54%) and lack of buy-in (49%). Additionally, Forrester Research highlights that disconnected IT strategies often compromise the positive impact on revenue, customer satisfaction, and employee engagement.
Bridging the gap is essential. Teams must collaborate to maximize the value of the bank’s data assets.
Building a Data-First Culture is a Long-Term Commitment
Too often, banks treat data quality as just another item on their to-do list. However, achieving and maintaining high data quality is not a quick fix. It requires building an internal culture that prioritizes shared responsibility for data accuracy, consistency, and accessibility.
A strong data culture ensures that data quality is continually a top priority rather than an afterthought. This cultural shift demands continuous effort and long-term mindset.
Invest in People, Not Just Tools
While investing in tools that visualize and organize data is essential, again, technology alone cannot solve a bank’s data challenges. Success depends on empowering the people in you organization.
Every employee, regardless of their role, needs to understand the importance of data quality and their contribution to it. Tools can provide the foundation for an excellent data strategy, but they’re only as effective as the people using them. When employees recognize how their daily responsibilities can affect data quality, they are more likely to adopt practices that drive meaningful results.
Three Key Questions to ConsiderÖ
To ensure the digital tools and platforms you invest in (or are considering) deliver their full value, ask these critical questions:
Do my employees understand the business impact of data quality? Poor data management can lead to costly mistakes, missed opportunities and damaged relationships with customers. Employees must understand exactly how data quality directly impacts profitability, risk, and customer trust.
Are employees clear on their role in maintaining data quality? Data quality is a shared responsibility. Employees need to understand how their daily tasks influence data accuracy and what steps they can take to improve it.
How can I strategically incentivize data quality? Data quality should be integrated into daily workflows and reinforced regularly. Consider linking rewards to performance metrics related to data accuracy and consistency. Without clear motivation, priorities around data quality can fall behind other competing demands.
The Road to Sustainable Change
Imagine the transformative impact if banks shifted their focus from chasing the latest tech trends to fostering a culture of sustainable change. By embedding data quality as a shared responsibility across the organization and integrating it into everyday processes, banks can unlock tremendous value out of the technology they invest in. While the results won’t appear overnight, the long-term benefits will be extraordinary.
About the Author
Kim Snyder, CEO, founded KlariVis in February 2019 to solve the data conundrum in the financial institution industry. Kim is a Virginia Bankers Association Bank Management School faculty member and serves as the CFO Facilitator for the Tennessee Bankers Association CFO Forum.