With 48% of credit union executives listing cybersecurity as a top concern — up from 35% in 2023 —leveraging cutting-edge technology and cloud adoption to safeguard your credit union is critical to your short- and long-term success.
As the need to serve members 24 hours a day, 365 days a year, has become commonplace, a traditional in-house model will no longer suffice.
Unlock five key factors driving cloud adoption to create a robust cybersecurity strategy, ensure secure migrations, and protect your credit union and members.
1. Cloud Ecosystem Maturity
Cloud computing has been around since the 1960s.
However, over the past decade, other pieces of the puzzle have matured to enhance the value of the overall system. Cost-effective bandwidth and storage, increases in computing power offered by leveraging large computing environments, and advancements in IT infrastructure have all enabled cloud adoption to come into its own.
Additionally, the advanced computing power of the cloud enables you to take advantage of advanced threat detection systems that were previously unobtainable for most credit unions.
2. Resiliency
When was the last time you evaluated your Return Time Objectives (RTOs)?
RTOs represent the time needed to get your system back up and running after experiencing a service disruption. With members expecting timely, convenient, and around-the-clock service, the FFIEC updated its guidance to reflect the new norm of near real-time RTOs. Whether driven by member expectations or technological advancements, previously established RTOs that once allowed for several hours of downtime may now require near real-time recovery.
Moreover, an increasing number of examiners are using this as a basis to argue credit unions must improve their recovery capabilities — meaning examiners recommend migrating to the cloud to enhance your resilience and meet modern recovery standards.
3. Security
The frequency of cyberattacks is rapidly increasing, with each attack becoming more destructive than the last.
Today, the average cost of a data breach is $4.88 million — representing a 10% increase over last year — with cybercriminals targeting critical infrastructures like financial institutions due to the substantial adverse impact on society.
As the threat landscape continues to evolve, your strategy for mitigating cyber risks must evolve, too.
Take advantage of cutting-edge security features within cloud platforms to help you keep pace with technological advancements, better manage compliance and costs, improve your cybersecurity posture, and strengthen disaster recovery models.
4. Data And Analytics
Protecting member data has been an area of concern for years, but the growing emphasis on data-driven decision-making highlights the need for a solid data strategy.
This strategy should address scalability and how data moves within your organization. Cloud platforms are well-suited to handle the heavy computing required for advanced analytics while offering better security and flexibility compared to traditional in-house environments.
Recently, auditors and examiners have increased their focus on data integration and resilience. Understanding where your data is stored will help you develop a strategy to mitigate risk while adopting a system-level perspective — rather than just an application-level one — allowing you to create an optimal architecture.
5. Get Off The IT Hamster Wheel
To better manage security risks and maintain optimal system performance, your IT infrastructure will need to be patched and updated continuously.
As a result, more credit unions are migrating their servers to the cloud — stepping off the “IT hamster wheel” of upgrading server operating systems and underlying hardware every few years.
As you navigate your cloud adoption journey, keep these five factors in mind to help you build a robust cybersecurity strategy, streamline your operations, mitigate risks, and effectively safeguard your credit union and members against evolving threats.
Discover the power of cutting-edge technology and the private cloud from Jack Henry™ to help you detect and mitigate modern cyber threats.
