23 January 2025
New year, same challenges? The way we see it, 2025 presents a compelling chance to embrace change and set strategic resolutions that drive operational excellence and innovation. The challenges ahead are matched by the potential to reimagine and reinvent. We’ve identified key priorities our clients are focusing on and the tangible business impacts we foresee in the year to come.
The term “digital transformation” is no longer a buzzword – it’s a necessity. However, this journey works best when approached with purpose. Think of your bank’s data operations like meal prepping for your busy work week. Imagine every morning starting from scratch – chopping vegetables, grilling chicken, and packing your lunch while rushing out the door. The chaos, delays, and stress would pile up quickly. Now picture this: you have spent Sunday evening prepping all your ingredients, portioning out meals, and organising everything in containers. Suddenly, mornings are calm, quick, and efficient.
Organising and extracting contractual data in order to stream and automate operational workflows can have a similar effect. Smarter, more efficient processes reduce operational delays, improve accuracy, and free up valuable time for high-value activities. Manual processes and fragmented systems are like unprepped mornings – they slow everything down and create unnecessary frustration. By optimising operations, teams can focus on strategic initiatives that drive growth and innovation.
Investing in smarter data operations builds a solid foundation for success. With streamlined data operations, banks are able to shift their focus from managing inefficiencies to delivering value. It’s about creating an environment where innovation thrives and customer experiences are elevated.
In an environment where market conditions and regulatory landscapes shift rapidly, readiness is key. Legal crises and compliance challenges can emerge unexpectedly, demanding robust crisis management strategies. Building resilience means more than just adhering to current regulations—it’s about anticipating changes and preparing proactively.
Staying agile means keeping an eye on the horizon for potential changes and being proactive rather than reactive. Regular risk assessments, adaptable compliance systems, and robust frameworks for monitoring new regulations are essential. But it’s not just about systems – it’s about understanding your exposures. Legal crises and compliance hiccups don’t have to derail business if you have all the information at your fingertips when a crisis hits.
By tapping into advanced technologies like Likezero, our clients have been able to see exposures in their counterparty trade agreements and remedy clauses that put them at risk, avoiding crisis whilst optimising their trades.
Let’s face it, after trading with a counterpart for 10+ years, your contractual relationship becomes a tangled web of renegotiated clauses and risky, outdated terms. Standardising these trade agreements isn’t just about saving time, it’s about setting a stronger foundation for future deals.
By leveraging smart contract tools, firms are able to ensure consistency, leverage standardised clauses that benefit the business and ensure consistency while still allowing for customisation when it matters. It’s like trading a messy, overstuffed filing cabinet for a sleek, digital dashboard that gives you exactly what you need at a glance.
Not only does this approach reduce risks and cut costs, but it also frees up your teams to focus on building stronger relationships with counterparties and driving innovation. Not to mention speed up onboarding. It’s about creating a system that’s not just efficient but also a joy to work with, because when your contracts are in order, everything else falls into place.
The resolutions above are not standalone efforts. They are interconnected strategies that, like a well-tuned orchestra, create harmony when executed together. By accelerating data operations, banks enhance their ability to respond swiftly and effectively to legal crises. Meanwhile, optimising your agreements not only strengthens partnerships but also creates momentum, laying a solid foundation for resilience and agility. Together, these strategies form a cohesive approach to navigating the challenges and opportunities of the year ahead.
The financial landscape of 2025 will reward firms that don’t just adapt but actively shape the future.
The new year is like a blank canvas, ready for bold strokes and innovative ideas. With the right strategies in place, banks can move beyond surviving the challenges ahead – they can thrive by setting the pace. Are you ready to lead the way?