January 18, 2022 5:16 pm
Author Name: Jaspreet Chawla
To match up with the growing customer expectations and create an exclusive user experience financial institutions and banks have to keep on increasing their service offerings to the users which in turn leads to the increase in the number of new applications and database.
To manage the increasing number applications and their integration with the existing ecosystem, there is dire need of an efficient connectivity approach and an enterprise integration tool. This is where MuleSoft and its API led connectivity approach kicks in. The use of the APIs is not new in the industry but its approach towards the industry has transformed a lot. APIs have been in use in the corporate IT ecosystem since last 20 years. Earlier APIs were mostly used for the connectivity of the applications within the corporate IT ecosystem but due to the flexibility it offers in the terms of open connectivity, API reusability and the possible automation leveraging composers and the already available API connectors, the BFSI companies have increased their rate of digitisation tremendously thus leading to an improved user experience.
APIs usage has grown exponentially and according to a 2016 Apigee report (now part of Google
LLC) the “media, retail, and information services industries account for 73% of API traffic.”
Benefits of using MuleSoft & its Anypoint Platform for API led connectivity
Bridges the IT connectivity gap
The use of APIs for connecting the applications, data & devices within & outside the existing corporate ecosystem enables one to achieve a swift digitisation. It would have been challenging to write code for every integration and adopt the point-to-point integration approach where the number of new applications increases on monthly basis. Leveraging MuleSoft’s Anypoint platform and its API-led connectivity approach helps in minimizing developers’ effort and saves on resources that could be used on other critical systems. It also leads to an agile approach that aids in faster data integration and transfer.
Empowers for competition management
There must be a modernisation application that can have ready access to data when needed. With the API led connectivity, the BFSI companies can make sure that the logic is reused across multiple applications. The APIs can help interface with the massive volume of customer data and allow services to be provided to various third parties. MuleSoft connector development can pull the data from the underlying incumbent systems and deliver it to the applications that need them. It helps in minimising the resources allocated and assures a faster turnaround time.
Enables you to launch new products/services quickly
The adoption of API based connectivity can speed up the delivery of several processes. Helping third parties to spruce their services portfolio can help bring on board new offerings thus leading to increase in revenues. Banks & financial institutions can focus on user based experiences reorganise their business as a bank as a service, thus realising their full potential. They can have a firm footing in the wealth management value chain and open newer growth channels. They also work with hybrid cloud integration for business-wide connectivity and seamless work.
Improving services through API led connectivity
APIs are essential for enhancing business by improving their services and offerings. Businesses are trying to create growth strategies through integration architectures that allow easier information access. Using the Mule 4 architecture, the BFSI companies can quickly connect other APIs utilising a plug and play model. APIs can enable users to check their credit scores and allow these companies to change their services portfolio completely.
This model can allow financial institutions to manage their customer’s wealth through APIs. The banks can open their APIs to financial institutions that provide wealth management services and improve their revenues. Financial firms can use this new methodology and add it to their services portfolio.
Digital transformation improves revenue streams
As organisations opt for digital transformation, they must reorganise their workflows and stakeholder relationships using the latest integration architectures. The use of API based connectivity can help address the competitive environment and stay ahead of peers. Financial institutions can open interfaces with start-ups and other businesses to increase their revenue stream.
Businesses can strategize the integration middleware and engage with their stakeholders better. The Mule 4 architecture uses the latest technologies can also complement the use of API based connectivity. The technology can help assure enhanced customer satisfaction and help to engage with them better. The customers remain loyal and improve the customer lifetime value. The financial information can be used by customers in various ways and help to create dashboards that make better wealth management.
As competition is fierce in the financial domain, the incumbent players must find new growth areas. They have vast customer information and can open APIs to allow third parties to access the data to augment their services. API based connectivity can also help to improve productivity by ensuring minimal resources are utilised in projects.