As technology continues to accelerate its impact on the banking sector, the composition and capabilities of bank boards are under scrutiny. The focus is on whether these boards have the technology experience necessary to effectively navigate the digital transformation landscape, as well as associated risks.
Technology is reshaping bank boardroom agendas
The role of technology in banking has transformed dramatically over the last decade, presenting both opportunities and challenges. Digital advancements like artificial intelligence and cloud computing have shaped boardroom discussions, highlighting the need for boards to adapt to these changes.
Tech experience on bank boards has improved
Recent studies reveal significant growth in technology-savvy board members, increasing from 6% in 2015 to 16% in 2025. This trend indicates banks are recognising the necessity of having tech expertise to support their digital strategies.
Bank board tech-savvy members are driving digital and AI leadership
With 84% of bank boards now including a member with technology experience, there’s been a notable improvement in oversight and strategic direction concerning tech adoption and risk management.
Achieving better outcomes with a reinvention mindset
Banks with a culture of continuous reinvention tend to excel in utilising technology. This mindset fosters collaboration between boards and executive teams, enabling informed discussions on technology strategies and investments.
The importance of operational resilience and regulatory compliance
Enhanced tech oversight within boards not only improves governance but also meets various regulatory expectations concerning operational risks, including cybersecurity and third-party risks.
Creating effective boards for technology transformation
Successful boards actively integrate technology discussions into their agendas and prioritise having tech experts who can effectively communicate and educate other members.
Building TQ across the board
Encouraging tech fluency, or TQ, among all board members is vital for fostering informed discussions about technology’s impact on banking operations. Regular training and updates on the tech landscape are recommended to keep all members aligned and informed.
Key takeaways
- Technology is now central to performance, risk, resilience, and transformation in banking.
- Increasing board tech experience is crucial for overseeing growth and risk management.
- Only some banks lack specialist tech members on their boards, creating potential oversight gaps.
- Ongoing education about technology trends is essential for all board members.
- Regular discussions about tech capabilities and risks enhance board effectiveness.
Why should I read this?
If you’re involved in the banking sector or just curious about how tech is shaping the future of finance, you’ll want to check this out. This article lays bare the importance of having tech-savvy board members to navigate today’s fast-paced digital landscape. Spoiler alert: banks without tech experts are likely at risk of falling behind. So, save yourself some time and get the lowdown on why your bank’s leadership needs to step up its tech game!
