Optimization for Financial Services

Boost profitability and efficiency with mathematical optimization

Forrester Opportunity Snapshot: A Custom Study commissioned by Gurobi

Make better strategic decisions

Financial services analysts must make sense of mountains of data—so they can predict what’s likely to happen next and make precise, strategic decisions for maximizing returns and minimizing risks in that given future.

This level of analysis and decision-making requires a complete data analytics toolbox, including both machine learning and mathematical optimization. With a full toolbox, analysts can get a glimpse into the future, while also identifying the best way to proceed.

To learn more about how financial services decision-makers are using optimization technologies today, Gurobi commissioned a study from Forrester Consulting. And the results are in.

Download your copy of the complete Forrester study, infographic, and webinar recording today.

Fifty-four percent of decision-makers consider optimization to be critical to their financial services organization.

Seventy-seven percent are implementing or expanding their optimization technologies — with 61% investing in two or more areas of optimization.

Decision-makers report that mathematical optimization helps them achieve greater profitability, a competitive advantage, and operational efficiency.

  • Situation
  • Challenges
  • Opportunities

Financial Services Organizations Prioritize Optimization Technology

Over half of decision-makers indicated that optimization is critical to their financial services organization and over three-quarters of them are planning, expanding, or upgrading their optimization technology implementations.

Financial firms recognize that optimization tools can give them a competitive edge in making business decisions, so time is of the essence.

Mathematical Models Must Change At The Speed Of Business

Every business decision affects the decisions that follow it. It’s therefore important to consider all of an option’s factors before moving forward.

With mathematical optimization, decision-makers can explore a possible decision’s impact by simply tweaking and re-running their mathematical models. This enables them to adjust their strategies frequently and to keep up with the ever-changing business landscape.

Forty-five percent of respondents want to assess and adjust their strategies more frequently, knowing that this approach enables them to reduce operating costs, respond quickly to market changes, manage risk, and achieve greater efficiency.

Decision-Makers Are Investing In People And Technology

Financial services firms are quickly taking steps to invest in optimization projects, with 70% investing either in mathematical optimization technology or in using machine learning with mathematical optimization technologies. Over 60% are investing in two or more initiatives for optimization projects.

But acquiring technology is not enough. That’s why 64% of respondents are investing in people with mathematical optimization expertise — whether hiring and training employees in-house or reaching out to a consulting firm.

By turning to mathematical optimization and leaning on optimization experts, financial services firms can embrace the complexity of running a modern business and, ultimately, maximize profits while minimizing risk and maintaining compliance.

Optimization delivers a competitive advantage

Forrester research indicates that optimization is critical for financial services organizations. In fact, over 75% of firms are implementing or expanding their use of optimization technology in the next 12 months. Download the complete Forrester study, infographic, and webinar recording to find out why.