IT systems are crucial elements of financial institutions' management and business strategies, and high quality IT strategies are key means of differentiating an institution from its competitors and establishing superior competitiveness.
Based on this understanding and the lessons learned from past system failures, we are engaged in risk management designed to ensure the stable operations of IT systems which is required for us to play important roles in the settlement infrastructure. Amid a changing societal environment with the globalization of economy, the tightening of supervisory regulations, and the emergence of Fintech, we are striving to meet diversified customer needs by leveraging our IT systems to provide secure, safe and seamless services in an integrated manner among our banking, trust banking and securities functions.
Under the new medium–term business plan, Mizuho will aim for "strong IT systems" that are efficient and stable and will support its "One MIZUHO Strategy." Mizuho will continue to develop IT systems that will also mobilize the Group's comprehensive capabilities to establish superior competitiveness, meet customer needs, and give a solid response to progress in IT, tighter financial regulations and other trends, while also providing global IT services in an integrated manner among banking, trust banking and securities functions. Moreover, from a systems perspective, we will pursue operational excellence and is continue to take initiatives to strengthen IT governance.
Efforts to Strengthen IT Governance to Support Our Businesses
We will continually make efforts to ensure stable systems operations by establishing frameworks for the safe and reliable development of IT systems and implementing such IT investments as those that promote common system infrastructure, strengthen management and increase the stability of systems already in operation. Furthermore, by promoting data management and measures for assuring cyber security on a group–wide basis, we are striving to strengthen IT governance.
Based on this unified group–wide IT governance, we are implementing efficient and optimal IT investments to support its in–house companies by customer segment for speedily planning and strongly implementing their business strategies.
Threats due to cyberattacks are forecast to further increase. To protect the safety of its customers, with the Mizuho–CIRT*1 as the core, Mizuho is taking the initiative in collaborating with specialized institutions outside the Group to strengthen its capabilities for rapidly and effectively dealing with cyberattacks through creating an integrated SOC*2, upgrading multilayer defense systems, and other measures.
- *1Cyber Incident Response Team
- *2Security Operation Center
As "data management" for data collection and analysis to be used in management and business become more important to respond to global financial regulations and sophistication of MIS*3, we have prepared a data base to centralize management of collected and analyzed data relating to risks and profits, etc. In addition, with the aim of using big data for more sophisticated marketing, we will promote the development of a data analysis platform.
- *3Management Information System
Transition to Next–Generation IT Systems
Regarding the next–generation IT systems, the design and programming stages have been completed, and start–up tests are in progress. The next–generation IT system will unify the current three core banking account systems, and this will result in downsizing and streamlining IT systems. By developing independent components for each business and function, it will be possible to adapt flexibly to the introduction of new services and to reduce the development time and costs, and, by structuring cutting edge core banking systems, we will be able to strengthen the infrastructure for providing services to customers and improve the processing speed of our operations. Going forward, looking to the completion of the system development, we will conduct thorough start–up tests, and, to make the transition to the new system smooth, we will specify the steps in the procedure. At the same time, we will conduct thorough training in our front offices, keep customers informed with notices. As one of our most important projects, we will take a thoroughgoing approach and work to transit our next–generation IT systems ahead of our competitors.