Why standards are important in software development
The term ‘software development standards’ has almost become an oxymoron today. Computer manufacturers and developers have to compete on so many levels and having a few proprietary quirks is often the only real advantage that one developer has over another. Therefore the utopia of the computer world, where everything conforms to a set of standards will never be more than a dream.
There are certain other standards, however, that become critical to adhere to should you wish to compete in the world of finance and financial systems.
The standard adhered to by Finteq, such as such as ISO 20022 is an international industry standard which ensures compliance in both domestic and international cross-border payment arenas.
But before we look at the specifics, it makes sense to properly understand some background about ISO itself.
What is ISO?
ISO is the International Organization for Standardization that was founded on 23 February 1947. It is headquartered in Geneva Switzerland and is an international standard-setting body composed of representatives from various national standards organizations.
For an interesting look at ISO’s history including graphic timeline read The ISO Story.
What are International Standards?
According to ISO, “International Standards make things work. They give world-class specifications for products, services and systems, to ensure quality, safety and efficiency. They are instrumental in facilitating international trade.
ISO has published more than 21000 International Standards and related documents, covering almost every industry, from technology, to food safety, to agriculture and healthcare. ISO International Standards impact everyone, everywhere.”
The main aim of conforming to standards is to ensure that products, systems and organisations are safe, reliable and good for the environment.
In our field, standards help make systems interoperable. Standards are important in effective communication between disparate systems. Standards also make it easier to track and monitor transactions, metrics and more.
Systems that are developed to standards also make them more credible. Software that is developed to a set of standards can be more cost-effective because it becomes easier to implement and to learn for those who have been exposed to the standards previously.
Read more about the benefits of standards.
ISO 20022 is a single standardisation approach (methodology, process, repository) to be used by all financial standards initiatives (or a universal financial industry message scheme).
Watch the video at the end of this post, courtesy of ISO.
Anyone who is developing software in the financial sector should be working within this framework.
Visit https://www.iso20022.org/ today for everything you will need to get started.