The Swedish furniture store, IKEA started in 1943 and has grown to be the biggest furniture store worldwide. This DIY furniture approach has grown to a market of almost $14B globally, according to Statista. Many of us have recollections of the endless screws, washers, and furniture components needing our attention to create the resulting chair, table, or bookcase.Whether or not your organization chooses to utilize any IKEA DIY hacks while sprucing up your workplace, your institution may be willing to try a similar approach when it comes to technology. As community financial institutions (CFIs) and other organizations find it expensive and difficult to hire qualified developers and programmers for continuing digital banking demands, many are finding a need to shift their approach to develop and upgrade websites and apps. The COVID conundrum. This year will see just shy of 197MM digital banking users in the US. The heightened demand for digital capabilities has resulted in insurmountable workloads for IT departments. More than 88% of IT specialists having seen their workloads significantly increase over the past 12 months, according to a recent survey by Salesforce. Meanwhile, the ongoing dearth of qualified candidates has made it extremely difficult for CFIs to adequately staff their IT departments to keep up with technology maintenance and further enhancements.Bridging the gap. Having an idea about what a website or app should look like and the functions it should execute is important, but it requires someone capable of implementing that vision and turning it into a reality. Not only can the technical execution be costly, but also 96% of IT specialists believe that the surge in demand for apps cannot be met by only using traditional computer coding. To bridge that gap, many institutions are turning to low-code and no-code software programs. What is low-code/no-code software and how can CFIs use it?
Coding made easier. IT engineers spend years learning the ins and outs of different types of software programs and operating systems. A large portion of their time involves creating codes that provide computers and electronic devices with step-by-step instructions on what to do. Fortunately, for the banking industry, low-code and no-code development platforms are essentially the equivalent of “Coding for Dummies.” They allow individuals with minimal technology proficiency to build websites and apps with minimal, if any, supplemental coding. Instead, users rely on visual modeling or drag and drop capabilities to structure the building blocks that already contain the coding necessary for the desired function(s). Business professionals with some proper training can use this type of software code. That said, you will need to find a separate solution that allows you to do the back-end integration and provides you with the necessary security. Rising credibility and usage. While low-code and no-code software cannot necessarily meet an organization’s most intricate technology needs, they are increasing in usage for other typical technology requirements. These types of software have become more sophisticated, and offer an increasing number of ways to use them. They have been embraced for the speed and reliability they provide in getting new features and functionality to market. In fact, Salesforce says that low-code has been used to create 1.4MM apps in its app marketplace over the past 18 months, including apps for financial institutions. Using low-code software, RBC Wealth Management dramatically reduced the amount of time it takes for new account openings — from several weeks to roughly 24 minutes. Low-code also helped a $3B-asset CFI in MO, where IT specialists used it to create an app to process Paycheck Protection Program applications in roughly five hours. This gave the institution an edge over its competitors in Kansas City. Brazil’s Banco Bradesco also used low-code and no-code software across multiple businesses, including wealth management, for a CFI it purchased in FL. CFIs are finding themselves needing to keep up with digital solutions. Yet, the high cost and shortage of skilled IT professionals make it challenging. Low-code/no-code software may be worth exploring to stay on track with digital banking.
Coding made easier. IT engineers spend years learning the ins and outs of different types of software programs and operating systems. A large portion of their time involves creating codes that provide computers and electronic devices with step-by-step instructions on what to do. Fortunately, for the banking industry, low-code and no-code development platforms are essentially the equivalent of “Coding for Dummies.” They allow individuals with minimal technology proficiency to build websites and apps with minimal, if any, supplemental coding. Instead, users rely on visual modeling or drag and drop capabilities to structure the building blocks that already contain the coding necessary for the desired function(s). Business professionals with some proper training can use this type of software code. That said, you will need to find a separate solution that allows you to do the back-end integration and provides you with the necessary security. Rising credibility and usage. While low-code and no-code software cannot necessarily meet an organization’s most intricate technology needs, they are increasing in usage for other typical technology requirements. These types of software have become more sophisticated, and offer an increasing number of ways to use them. They have been embraced for the speed and reliability they provide in getting new features and functionality to market. In fact, Salesforce says that low-code has been used to create 1.4MM apps in its app marketplace over the past 18 months, including apps for financial institutions. Using low-code software, RBC Wealth Management dramatically reduced the amount of time it takes for new account openings — from several weeks to roughly 24 minutes. Low-code also helped a $3B-asset CFI in MO, where IT specialists used it to create an app to process Paycheck Protection Program applications in roughly five hours. This gave the institution an edge over its competitors in Kansas City. Brazil’s Banco Bradesco also used low-code and no-code software across multiple businesses, including wealth management, for a CFI it purchased in FL. CFIs are finding themselves needing to keep up with digital solutions. Yet, the high cost and shortage of skilled IT professionals make it challenging. Low-code/no-code software may be worth exploring to stay on track with digital banking.
