Fine-Tune Your Operations: Leveraging Specialized Technology Consultants

Did you know 23% of banks and 27% of credit unions say they’ll never be done with their digital transformation strategies?

As technology evolves, staying ahead of the curve and keeping up with trends becomes increasingly challenging. With expenses putting downward pressure on net income, there’s a greater sense of urgency for you to improve operational efficiencies. In fact, the Jack Henry™ 2024 Strategy Benchmark indicates 80% of all financial institutions plan to increase technology spend over the next two years, placing a strong emphasis on improving efficiency to maximize profit. 

Navigating Implementation

Making a move to any new system is a big undertaking – and one that involves countless technical and logistical details.

Given systems are often deeply ingrained in our day-to-day operations, replacing or upgrading them without disrupting critical processes can be challenging. Implementing necessary cultural shifts, such as adopting an innovation mindset, agility, and openness to change requires a concerted effort.

The question is: How do you keep up after implementation? 

Post-Implementation System Optimization

Optimizing your system post-implementation is essential for maximizing benefits and ensuring smooth operations.

When navigating any new system, there are often unknown aspects that can impact efficiency. This is where outside expertise from a specialized technology consultant can be helpful. Specialized banking technology consultants can guide your team – helping you leverage your technology and pinpoint bottlenecks, areas of inefficiency, or underutilized features.  

Since technology consultants are likely not a part of your financial institution, they provide a third-party perspective on the best ways to use your technology. Whether you’re new to the system or have been using it for an extended period of time, a fresh perspective combined with extensive field experience can offer areas of improvement. 

A dedicated consultant will empower your team with the knowledge to navigate software like a seasoned pro.

From handy tips to insider tricks, technology consultants ensure both your front and back office are a well-oiled software machine. And if that’s not enough, they can also provide top-notch training to ensure maximum effectiveness. 

Key advantages of working with a specialized technology consultant: 

Cost reduction and efficiency:

• Technology consultants drive process improvements – eliminating redundancies and potential costs (sometimes across multiple systems).
• They identify areas where technology can be leveraged more efficiently, leading to additional cost savings. 

Maximizing opportunities for software and business process improvements:

• Consultants help identify and capitalize on technology opportunities that align with the latest industry trends and product upgrades – resulting in enhanced functionality.
• They help you achieve optimal system utilization by guiding you through system navigation or customization tailored to your specific needs while ensuring compliance with ever-changing regulations.

Measurable results:

• Consultants deliver transparent processes and provide clear, measurable results.
• Whether implementing new technology, resolving issues, or optimizing current performance, their expertise can ensure an effective outcome.
  
  “We are very thankful for the consultant’s vast knowledge of the software and the creativity to make it work the best way possible for us.” – LoanVantage™ Advisory Services client

With budget season upon us, what steps can you take to ensure your 2025 budget allows for these essential consultant services? 

1. Start early: Begin budgeting as soon as you decide to engage a consultant. Early planning allows you to allocate resources appropriately and set clear expectations.
2. Define consulting objectives: Understand your goals and what you want to achieve through consulting services. Are you seeking strategic advice, process improvement, or specialized expertise? Clearly defined objectives will guide your budgeting process.
3. Calculate consultant fees: Consultants often charge hourly fees for their time. However, many consultants also offer a pre-determined block of hours for a specific type of project. Consider your project’s goals, the complexity of the work, and any additional services they provide to decide which is best for you:
   1. Fixed fees or block(s) of hours: With fixed project fees, you agree on a predetermined lump sum for a project. This model can provide flexibility in terms of how the hours are used, ensure budget certainty, and define your project scope clearly and up-front to avoid unexpected additional costs.
   2. On retainer: There are times when budget constraints do not allow for a full-time employee. This is when leveraging consultants on retainer allows for the flexibility of having someone available for a set amount of time each month without the burden of additional headcount.
4. Fill in expected spending: Allocate funds to consultant fees, project expenses, and administrative costs as needed. Determine whether the project can be managed virtually or if the consultant will have travel costs. 
5. Dedicate a project manager: Decide who will manage the project internally, determining upfront if they have the expertise and capacity. 

 Maximize Success with Specialized Technology Consultants

Partnering with a specialized technology consultant can offer long-term success strategies like process improvement, efficient technology utilization, and product profitability – making a huge difference as you navigate today’s ultra-competitive environment. 

With the speed of technology and product enhancements today, no product is ever fully optimized – and you can always find ways to make it better and more valuable to users. After all, nothing ever stays the same for long, especially in financial services.