These days, financial services firms face numerous challenges just to stay ahead. They need to modernize their operations, they have to be flexible enough to accommodate continuous changes, and they need to boost their data security continuously.
And all these need to be cost-efficient.
That’s why savvy owners of small and medium-sized businesses (SMBs) in the financial sector are embracing virtualization. This IT strategy is a cost-effective way to improve operations while keeping IT costs manageable.
What is virtualization?
An IT network is composed of physical components such as servers, storage systems, desktops, and networks. Usually, one piece of hardware houses a single application or operating system (think of how a laptop only has one operating system available).
Now, imagine creating virtual or online versions of servers, storage systems, and other components, then housing them in just one piece of hardware. That’s virtualization. It’s more efficient and less wasteful because multiple virtual machines can run at the same time on just one hardware.
Virtualization is like having several digital offices operating inside one physical office. You get all the functionality minus the added overhead.
Why virtualization matters for finance firms
Whether it’s a CPA office, an investment advisor, or a credit union, your financial firm handles sensitive data and runs resource-heavy applications. The last thing your firm needs is to suffer operational downtime.
With virtualization, you get five key benefits:
Cost savings without compromise
Say goodbye to purchasing and maintaining multiple physical servers. Fewer machines equal lower hardware costs, less office space needed, and reduced power and cooling costs. Virtualization also extends your existing hardware’s lifespan, stretching your IT investment further. This is great for SMBs looking for effective ways to manage operational costs.
Enhanced data security and backup
Financial institutions operate under strict regulatory and compliance standards. Virtualization can streamline how organizations can protect and recover their data. Automated backup processes and unified management of virtual environments make it easier to maintain security and reliability.
Should there be hardware issues, virtual machines can be swiftly restored or transferred to different servers, minimizing both downtime and the potential for data loss. This level of resilience is essential for organizations that manage confidential financial information.
Scalability that matches your growth
With a virtualized setup, you can swiftly and efficiently onboard additional users, deploy new applications, and add more service offerings. Scaling your operations won’t require constant investment in new physical equipment, allowing your business to adapt to changing demands with less hassle. The flexibility offered by virtualization keeps your organization agile and competitive.
Better business continuity and disaster recovery
Imagine a massive storm or power outage disrupting your operations. Or maybe you get hit by a cyberattack. The downtime from these can be very lengthy and costly. But with virtualization, your virtual machines have remote backup, so restoring operations can be done faster. And if you also have cloud-based solutions or location services, you can continue to serve clients despite disruptions.
Improved IT management and efficiency
Overseeing conventional IT systems can be labor-intensive, requiring the handling and maintenance of various hardware components and software platforms. Virtualization streamlines upkeep and oversight by having one central dashboard to manage everything, making it easy to apply updates and security patches across several virtual machines at once.
Why finance firms should consider virtualization now
As the financial service industry grows, forward-thinking businesses are adopting smarter IT solutions to stay relevant. But don’t think virtualization is for big banks and Wall Street firms only. Even SMBs can afford to use enterprise-grade technology, especially if they partner with a managed IT services provider (MSP) like predictiveIT.
Virtualization allows financial services firms to future-proof their business. Ready to transform your firm? Then reach out to us. We can tailor specific IT solutions to your needs, helping you transition to a virtualized environment with ease and confidence.
