Cloud Computing in Banking Flexibility and Scalability for Financial Institute
Keywords:
Cloud platforms, Cloud computing services, Banking Industry, Financial institutions, Cybersecurity threatsAbstract
Cloud computing is transforming the banking industry with flexible, cost-effective IT capabilities that advance innovation and service delivery. This research examines the key factors that underpin cloud adoption in financial services firms and highlights the importance of enhanced operations, customer experience and business agility. Based on quantitative data from 3,254 professionals and customers from 208 branches, this study presents the COTED framework that captures five dimensions: Cost, Organizational, Technology, Environmental, and Decision maker. The model was constructed to understand the diverse factors that affect the adoption of cloud within the banking sector. Our results suggest that all five factors affect the decision to adopt; however, technology readiness and environmental conditions have the greatest impact. Two faces of the same coin. These two aspects echo the increasing value of infrastructure compatibility, innovation potential and regulatory adherence in cloud decision-making. Additionally, the finding presents a moderate but significant association between these barriers and inclination towards cloud computing, which indicates that a balanced strategy that connects both internal capabilities and external pressures is essential. The COTED model is not only serving as a shared diagnostic in assessing readiness and barriers but also acts as a strategic roadmap for banks and CSPs when implementing cloud computing. At a higher level, the lessons learned from this research reinforce banks' digital transformation strategy and provide visibility into how cloud computing can be used to advance future growth, resiliency, and competitiveness in a growing digital world.
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