extended and mobile enterprise on any device. you would appreciate that controlling sensitive or confidential documents is more difficult than controlling records in databases. most organisations including banks focus the majority of their security resources on the network rather than their applications. banks would need to prioritise their application security to avoid being “ sitting ducks ” for impending attacks. there ’ s a silver lining here. according to a report, 6 security in the banking vertical worldwide has shown its dedication to security. during 2011 – 12, banking websites have had the highest remediation rate at 74 %. go cloud but with caution the rapid emergence of cloud computing is transforming the way financial institutions think about how they consume their it resources. the cloud is here to stay. we all know it but are worried whether or not to acknowledge it. this is because we are worried about the security and data integrity in the cloud. cloud computing, which in the most basic of terms, offers unlimited computing resource as a service on a pay - per - use basis, is proven to directly translate to less upfront capital expense and reduced it overheads, offering a cost - effective, simple alternative to accessing enterprise - level it without the associated costs. but world over, financial sector is treading with caution in adopting this technology. indian financial sector needs to be conscious of this reality, at least until such time, the industry evolves indian standards for cloud computing. whitehat security website statistics report 2011. bis central bankers ’ speeches source outsourcing is still in. it may have taken on new names like the cloud but traditional outsourcing is not really extinct. cios need to work towards improving their relationship with their vendor so that banks may finally look, in the long run, towards increasing their productivity. in order to cut outsourcing costs, banks may look towards setting clear expectations from the vendor, take control of the project, and choose the vendor wisely. at times, banks may look towards being reasonable in their negotiations, at times “ put the contract away ”, partner with them to bring about change and be nice ; of course not at the cost of expecting sub - optimal performance!! manage mobile the mobile revolution has created a sort of new world order. it has the potential to change the way banks do business. it is up to the banks to take cue. while banks are embracing the mobile channel – and continuing to support the old standby of online banking – they are not integrating the technologies used to build e - banking

non banks. banks, may have to look at opportunities particularly with respect to harnessing product, service and process innovation to serve customers better, and to create a niche in an increasingly crowded marketplace. two main trends that may stand out here, as the most significant forces that will drive industry change are increasing customer centric products and intensifying competition. further, the other trends that may change the way we do banking in the future would be – managing human capital, regulations and technologies – and these may strongly contribute to and reinforce the effects of intensifying competition and customer empowerment on banks ’ strategic choices. 2 are we ready? and could these be the niche areas of focussed research for the idrbt? before moving on to the next set of issues, let me set out a few more questions. if it is to rule our lives, how do we measure whether it has delivered? it has certainly enabled banks to increase its business multiple times with less of man power. but is this sufficient? what has been the customer experience? do banks study the customer satisfaction levels after a new product is offered? are there tools or techniques available to measure the impact of it? can idrbt and the experts here suggest tangible methods of measuring the success or failure of it deployment? mind the gap – issues in it delivery in the banking sector though it is increasingly becoming an invaluable and powerful tool in driving development, supporting growth, promoting innovation, and enhancing competitiveness in the banking context in india, there are several potential areas where technology can deliver better. financial inclusion technology plays a major role in financial inclusion, a sustainable banking theme very relevant to a country like india that has a large unbanked population. for example, handheld devices, used by bank agents to draw people living in remote areas into the banking fold, run on technology. internet and mobile technologies are trying to reach out to the populace starved of banking services as well. financial institutions are also joining forces with network operators in providing access to mobile based payment services even to those who do not have bank accounts. these product and channel innovations require robust and scalable ict platforms. lisa morgan - “ making change : the future of payments is ease of use. ” the paradox of banking 2015 - ibm paper. bis central bankers ’ speeches if we want to move the mobile financial services sector beyond payments space and create products that reach every level of society, we have to be creative. the industry requires product innovation that focuses on customer desires,