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Most CIOs are kept awake at night by digital transformation challenges

digital transformation
(Image credit: Image Credit: Chombosan / Shutterstock)

The skills gap is keeping many Chief Information Officers (CIOs) and Chief Technology Officers (CTOs) awake at night, as it presents a major roadblock to their digital transformation efforts, which are essential to post-Covid recovery.

This is according to a report from B2B banking service provider Banking Circle. Polling 600 CTOs and CIOs at banks, fintechs and PSPs across Europe, the company found that basically all of them (99 percent) suffer from skills gaps.

Even though almost two-thirds (63 percent) expect to see their payments IT teams increase in headcount in the next twelve months, a third (34 percent) aren’t confident in their recruitment plans. What’s more, a third of banks aren’t confident their systems maintenance and infrastructure is future-proof, while a third of fintechs feel the same about API technology.

Most firms won’t have enough money to cover a complete overhaul of their technology or payment infrastructure, the report states, so collaboration will be paramount. Two-thirds of the respondents (65 percent) said they plan to utilize partnerships when building out their payment technologies. 

“To bring about the required transformation, respondents plan to employ a combination of building payments tech in-house, buying ‘off the shelf' solutions and collaborating with external providers,” said Anders la Cour, Chief Executive Officer, Banking Circle Group.

“The study found that Banks and fintechs have yet to move their operations into the cloud, with close to half saying they have less than half of their IT or Payments systems in the cloud. Utilising cloud-based systems via an external partner is a faster route to gaining the flexibility, speed-to-market and competitive edge that being cloud-based can bring.”

Sead Fadilpašić

Sead is a freelance journalist with more than 15 years of experience in writing various types of content, from blogs, whitepapers, and reviews to ebooks, and many more, across sites including Al Jazeera Balkans, TechRadar Pro, IT Pro Portal, and CryptoNews.