How Risk Management Affects Learning Innovation in Financial Services
Financial services firms must use learning to innovate while maintaining risk management procedures.
When we trust our financial information to a financial institution, we want to know that it’s secure. At the same time, we also want easy access to our money via apps on our smartphones. This balance between security and innovation is a fine line that today’s financial services firms must walk.
Fintech startups are changing the landscape of financial services, using artificial intelligence to automate processes and workflows that were once done by the back office and customer service agents. To compete, established firms must drive innovation to meet consumer expectations, while still maintaining strict risk management procedures.
The balancing act between risk management and innovation plays out throughout the entirety of an organization and its learning and development practice is no exception. In my work with financial services clients, I’ve seen risk management processes change quite a bit over the last 10 years, and it’s impacted how financial services organizations implement learning technologies.
In partnering with learning platform providers, financial services firms assess potential solutions across security, reputational, human resource risk and more. While storing learning-related data like employee numbers and scores doesn’t involve the same level of risk as storing financial statements, it’s a process that still needs to be thoroughly assessed. Learning technology providers must be aware of the regulatory and risk requirements that financial services firms operate under, and they must be prepared to work with their clients to categorize the level of risk involved in the learning technology.
Once approved, the learning technology platform provides a secure environment where innovation in learning can flourish. Companies can use video, adaptive learning, artificial intelligence and more to create personalized learning paths that engage and inspire employees. Those same employees can then apply their learning to innovate in their jobs and help their companies embrace new options for fintech to bring the best services to market.
I’ll be speaking about this in more depth, together with a panel of experts, at the 13th Financial Services Learning & Development Innovations conference on October 19th in Philadelphia. I look forward to continuing the conversation and joining this event where we’ll foster innovation, balanced with risk, among financial services firms.
This post was originally published on LinkedIn Pulse