current
Building Operational Resilience
Banks are prioritizing operational resilience in the face of increasing cyber threats and reliance on third-party services.
Timeframe
immediate
Categories
Subcategories
Impact areas
Detailed Analysis
The increasing reliance on cloud, data, and AI introduces new resiliency challenges for financial institutions. Cyberattacks and system outages pose significant threats to business continuity, particularly for banks where uninterrupted access to funds is crucial. The CrowdStrike outage in July 2024 highlighted the vulnerability of disaggregated supply chains. As Murphy explains, "The resiliency challenge, as banks harness the power of cloud, harness the power of multiple third-party SAS solutions, is becoming a greater and greater challenge that banks are trying to grapple with." This necessitates robust security measures and governance frameworks to protect against potential threats and ensure compliance. Building resilience is essential for maintaining customer trust and safeguarding the stability of the financial system.
Context Signals
Increasing frequency and sophistication of cyberattacks.
Growing reliance on cloud and third-party services.
Regulatory pressure to enhance operational resilience.
Edge
Zero trust security models and decentralized identity solutions could enhance security and resilience in cloud environments.
AI-powered threat detection and response systems can improve real-time monitoring and mitigation of cyber risks.
Increased collaboration between banks and cybersecurity firms to share threat intelligence and best practices.
