Independent Study Finds FIS’ Code Connect Platform Brought Productivity Gains, 193% ROI
FIS has announced results from a Forrester Consulting study on the Total Economic Impact (TEI) of its Code Connect platform. The study highlights significant financial and productivity gains for businesses using the platform. A composite customer experienced a net present value (NPV) of $623,000 over three years, resulting in a 193% return on investment (ROI).
Additional benefits include a 20% increase in both developer team productivity and IT security productivity. The platform offers over 700 APIs designed to help financial software developers achieve greater efficiency and innovation.
FIS aims to showcase the impact of scalable APIs on optimizing technology spend and enhancing market capabilities.
- Composite customer achieved a net present value (NPV) of $623,000 over three years.
- Return on investment (ROI) of 193%.
- 20% increase in developer team productivity.
- 20% increase in IT security productivity.
- None.
Insights
FIS' Code Connect platform delivering a 193% ROI and
From a financial perspective, a 193% ROI is highly impressive. It suggests the platform can deliver nearly three times the initial investment, a strong indicator of efficiency and value. Understanding NPV helps, as it factors in the time value of money. Here, it means the platform offers a significant future value when discounted to present terms.
Short-term, the benefits include immediate cost savings and productivity improvements. For example, the 20% productivity boost in both developer teams and IT security teams can lead to operational efficiencies and cost reductions. These improvements may enhance profitability and give a competitive edge.
Long-term, investing in this platform could mean ongoing financial gains and higher returns. Consistent productivity enhancements and cost efficiencies could compound over time, driving growth potential. However, investors should consider the initial implementation costs and the time needed to achieve these gains.
From a technological viewpoint, the Code Connect platform stands out for its extensive catalog of over 700 APIs. These APIs can streamline development processes, making it easier for businesses to integrate and innovate.
APIs (Application Programming Interfaces) allow different software systems to communicate and work together seamlessly. In financial services, this can lead to faster deployment of new features, better customer experiences and enhanced operational efficiencies.
The reported 20% increase in developer productivity means that developers can achieve more in less time, accelerating time-to-market for new products and services. This is important for financial institutions aiming to stay competitive in a rapidly evolving market.
Moreover, the increase in IT security productivity is notable. Enhancing security processes means better protection of sensitive financial data, reducing risks of breaches and compliance issues. This is a valuable benefit, especially in an industry where data security is paramount.
In summary, the Code Connect platform can be a critical tool for financial institutions aiming to innovate quickly and securely.
Key Facts
- Code Connect platform hosts FIS’ extensive catalog of over 700 APIs, offering a comprehensive suite of software developer solutions designed with deep financial services expertise.
- Recent Total Economic Impact™ study from Forrester Consulting sheds light on the financial and productivity benefits businesses may gain by implementing FIS Code Connect platform.
-
Study found that a composite customer using the Code Connect platform achieved a net present value of
$623,000 193% ROI.
“The study comes at a time when many organizations are preparing for next year’s budget cycles and starting to build business cases for new technology investments,” said Melissa Cullen, General Manager and Head of Core Banking Solutions at FIS. “We believe the findings of this Forrester TEI study showcase the profound impact that proven and scalable APIs can have on any organization looking to optimize its technology spend and bring new capabilities to market quickly. The Code Connect platform is part of FIS’ vision to unlock financial technology to the world.”
How Code Connect Works
First launched in 2016, FIS’ Code Connect platform hosts a catalog of over 700 open API solutions from FIS and its partners, making it easy for businesses and developers to discover, evaluate, and integrate them into their systems. By encompassing APIs that span all stages of the money lifecycle—whether at rest in deposit accounts, in motion through banking and payment transactions, or at work through wealth management functions—the Code Connect hub can help businesses achieve efficiencies, rapidly innovate, and provide rich digital experiences for their customers.
The Code Connect platform provides a go-to self-service hub for users looking to learn, try, and buy individual APIs. The company’s recently announced Atelio™ by FIS fintech platform expands on the use of APIs and caters to fintechs and other businesses looking to embed digital financial services capabilities into their existing products.
About the Study
Forrester’s TEI study evaluated the potential financial and operational impact for enterprises that adopt FIS’ Code Connect platform. Forrester interviewed representatives at four organizations using the Code Connect platform to obtain data about its costs, benefits, and risks. Forrester subsequently used the data to design a hypothetical composite organization, where the costs and benefits of integrating Code Connect were analyzed through a risk-adjusted financial modeling framework.
Beyond the study’s finding that the composite customer organization experienced cost savings and increased productivity, the study also found that the composite organization utilizing the Code Connect platform benefited from:
- Expanded revenue opportunities: As the study explained, the Code Connect hub provides access to a diverse array of financial services, enhancing the ability of financial institutions to innovate and tap into new markets.
- Faster time to market: The study found that by streamlining API integrations, the Code Connect platform allows enterprises to deploy new products and services faster and quickly adapt to changing market trends.
- Improved customer experience: The study reported that enterprises stand to gain an improved ability to meet modern customer experience demands, as the APIs provide plug-and-play solutions that embody best practices and emerging trends.
- Improved security posture: As found in the study, the Code Connect platform supports the strengthening of corporate security measures by allowing customers to incorporate advanced security features and leverage FIS' ongoing support and deep understanding of industry-specific threats.
Learn More
Business looking to rapidly innovate and create rich digital experiences for their customers can visit the Code Connect website page at https://codeconnect.fisglobal.com/app/home. For the full Total Economic Impact Study, visit https://tei.forrester.com/go/fis/codeconnect.
FIS is a financial technology company providing solutions to financial institutions, businesses, and developers. We unlock financial technology to the world across the money lifecycle underpinning the world’s financial system. Our people are dedicated to advancing the way the world pays, banks and invests, by helping our clients to confidently run, grow, and protect their businesses. Our expertise comes from decades of experience helping financial institutions and businesses of all sizes adapt to meet the needs of their customers by harnessing where reliability meets innovation in financial technology. Headquartered in
View source version on businesswire.com: https://www.businesswire.com/news/home/20240703652220/en/
Kim Snider, 904.438.6278
Senior Vice President
FIS Global Marketing and Communications
kim.snider@fisglobal.com
Source: Fidelity National Information Services
FAQ
What is the return on investment (ROI) for FIS Code Connect platform?
What financial benefits did the study find for the FIS Code Connect platform?
How much did the composite customer benefit from using FIS Code Connect platform?
What productivity gains are associated with the FIS Code Connect platform?
How many APIs does the FIS Code Connect platform offer?
When was FIS Code Connect platform first launched?
