Like long-standing revolutions of ages past that we read about in history books today, Artificial Intelligence, or AI as it is called, is the next big wave for nearly every form of business including financial institutions. AI will not only speed up the discovery of solutions to major problems but will automate minor tasks and extend the human reach of productivity.
With data and computing intersecting across many different platforms and industries, and machine learning increasingly becoming more demanding, the transformation that AI is set to bring is evident. AI solutions are deemed to meet the challenges of collaboration, performance, communication, and accessibility through technology and innovation.
For financial institutions specifically, AI offers the opportunity to dramatically improve efficiency, automate solutions to certain challenges, manage risk, and improve customer experience. Roberto Ferrari, managing director of CheBanca! said, “AI will become the most defining technology of the new banking and financial services of the future.”
As of right now, we’re barely getting started with AI. In order to move into the next decade with AI capabilities, here is what we need to consider:
#1 AI is here to stay and banks must get on board.
AI technology continues to improve which makes for faster processing and big data analytics. Not getting on board today could mean falling behind tomorrow.
#2 AI can be applied in three ways: customer interaction and experience, fraud management, and process optimization.
Customers want to interact with AI-based systems but they also want to be certain that their data and money is protected from fraud.
#3 Regulatory implications have to be considered when implementing AI technologies.
Banking firms must talk to regulators to avoid black box solutions and implore audit trails while also touting the benefits of AI.
Banks now must consider these implications, use the consumer tech industry as an example, and work toward a streamlined banking process that is automated but accurate and engaging.