In the fast-paced world of financial services, data is the lifeblood of operations. However, the quality of that data can significantly impact a company’s success. Gartner’s 12 Actions Data and Analytics Leaders Can Take to Improve Data Quality provides a roadmap for organizations to improve their data practices.
According to Gartner, poor data quality costs organizations an average of $12.9 million every year. And this situation is likely to worsen as business operations and data ecosystems become increasingly complex. Organizations that don’t have impactful and supportive DQ programs in place will face a multitude of complications and lost opportunities.
The Critical Role of Accurate Identity Data for Financial Services
Accurate identity data is a fundamental component of data quality within financial services organizations. Accurate, complete, and enriched identity data underpins critical processes to strategic growth, such as:
- Customer Onboarding: Verifying identities to prevent fraud and comply with regulations.
- Risk Assessment: Evaluating creditworthiness and identifying potential risks.
- Fraud Prevention: Detecting and preventing identity theft and other fraudulent activities.
- Regulatory Compliance: Adhering to KYC/AML and other regulatory requirements.
Many financial services organizations already have a Master Data Management (MDM) solution in place to help manage their identity data and drive these strategic initiatives, but many of these systems are deeply in need of modernization, having become outdated in the past 20 years of data deluge.
Getting Started: Actions for Data Quality with an Identity Lens
When it comes to Gartner’s 12 actions, there are four core areas to think about when aiming to improve data governance and data quality.
- Focus on Business Priorities: Identify critical data assets, such as customer identity data, that directly impact key business objectives.
- Develop a Balanced Approach: Invest in both data quality practices and technology solutions, such as identity verification and fraud prevention tools.
- Establish Effective Governance: Implement robust data governance policies and procedures to ensure data accuracy and consistency.
- Improve Data Quality Culture: Foster a data-driven culture that prioritizes data quality and accuracy.
By working through these considerations, your team can determine how best to tackle the ongoing and daunting data management—and maximization—challenge.
Verato’s Role in Enhancing Data Quality and Identity Data
Verato is a leading provider of identity verification and data quality solutions that can help financial institutions implement Gartner’s 12 actions. Our solutions enable you to:
- Verify Identities Accurately: Reduce fraud and improve customer onboarding.
- Enhance Data Quality: Cleanse and enrich your data to improve decision-making.
- Comply with Regulations: Adhere to KYC/AML and other regulatory requirements.
- Optimize Operations: Streamline processes and reduce costs.
By prioritizing data quality and accurate identity data, financial institutions can build trust, reduce risk, and drive growth. And by augmenting your existing legacy MDM solution, you can rapidly realize additional value from your existing set-up.
Download Gartner’s report, 12 Actions Data and Analytics Leaders Can Take to Improve Data Quality
