Deutsche Bank is facing significant technology overhaul challenges, the likes of which might make IT teams at the most sophisticated companies beg for mercy. Yet experts say the company, which last month recorded a $ 6.6 billion loss for the third quarter, must clear these hurdles if it’s going to survive in a sector where consumers expect to manage their money and other financial services from any device.
Deutsche Bank, like many large banks, is paying down technical debt accrued from years of rushed technology choices intended to help grow their businesses. “It is an incredibly painful transformation process,” says Dan Latimore, senior vice president of the banking practice at Celent, a research firm focusing on financial services. “There’s a certain amount of jury-rigging that you can do to keep up with [aging systems] for a while, but it places increasing strain on the back end and at a certain point, the strain is going to break things.”