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Deutsche Bank Taking Dives Into ‘Big Data’
December 14, 2015 by admin
Filed under Around The Net
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Deutsche Bank is undertaking a major computer systems overhaul that will help it to make greater use of so-called “big data” to provide a detailed picture of how, when and where customers interact with it, the bank’s chief data officer said in an interview.
JP Rangaswami, who joined Deutsche Bank in January as its first-ever chief data officer, said better and cheaper metadata was allowing the bank to analyze previously inaccessible information.
“We are able to see patterns that we could not see beforehand, allowing us to gain insights we couldn’t gain before,” Rangaswami told Reuters in an interview.
Upgrading the technical infrastructure Deutsche Bank needs to get the most out of this data is a priority for Chief Executive John Cryan. He is trying to improve the performance of Germany’s biggest bank, which is struggling to adapt to the tougher climate for banks since the financial crisis.
Cryan, who unveiled a big overhaul at Deutsche on Oct. 29, said at the time that imposing standards on Deutsche’s IT infrastructure was key to improving controls and reducing overheads.
The CEO said in the October presentation that IT design had occurred in silos with the application of little or no common standards. “Our systems are disjointed, cumbersome and far too often just plain incompatible.”
An annual global survey of more than 200 senior bankers published last week by banking software firm Temenos found that “IT Modernization” was now top priority, displacing earlier investment objectives such as regulation and customer friendly mobile apps. IT modernization ranked only fourth among major priorities in the survey last year.
The shift toward technology as a priority shows the extent of the challenge facing banks to modernize infrastructure to analyze internal customer data and try to fend off competition from new financial technology companies.
Rangaswami, who was chief scientist at Silicon Valley marketing software giant Salesforce from 2010 until 2014, said the data would allow Deutsche to tailor services to customers’ needs and to identify bottlenecks and regional implications faster and solve problems more quickly.
Source- http://www.thegurureview.net/aroundnet-category/deutsche-bank-taking-a-deeper-dive-into-big-data.html
FTC Pushes For Security Standards
Despite growing resentment from companies and powerful industry groups, the Federal Trade Commission continues to insist that it wants to be the nation’s enforcer of data security standards.
The FTC, over the past years, has gone after companies that have suffered data breaches, citing the authority granted to it under a section of the FTC Act that prohibits “unfair” and “deceptive” trade practices. The FTC extracted stiff penalties from some companies by arguing that their failure to properly protect customer data represented an unfair and deceptive trade practice.
On Thursday, FTC Chairwoman Edith Ramirez called for legislation that would bestow the agency with more formal authority to go after breached entities.
“I’d like to see FTC be the enforcer,” Law360 quoted Ramirez as saying at a privacy event organized by the National Consumers League in Washington. “If you have FTC enforcement along with state concurrent jurisdiction to enforce, I think that would be an absolute benefit, and I think it’s something we’ve continued to push for.”
According to Ramirez, the FTC supports a federal data-breach notification law that would also give it the authority to penalize companies for data breaches. In separate comments at the same event, FTC counsel Betsy Broder reportedly noted that the FTC’s enforcement actions stem from the continuing failure of some companies to adequately protect data in their custody.
“FTC keeps bringing data security cases because companies keep neglecting to employ the most reasonable off-the-shelf, commonly available security measures for their systems,” Law360 quoted Broder as saying.
An FTC spokeswoman was unable to immediately confirm the comments made by Ramirez and Broder but said the sentiments expressed in the Law360 story accurately describe the FTC’s position on enforcement authority.
The comments by the senior officials come amid heightening protests against what some see as the FTC overstepping its authority by going after companies that have suffered data breaches.
Over the past several years, the agency has filed complaints against dozens of companies and extracted costly settlements from many of them for data breaches. In 2006 for instance, the FTC imposed a $10 million fine on data aggregator ChoicePoint, and more recently, online gaming company RockYou paid the agency $250,000 to settle data breach related charges.