Why Leading Financial Institutions and the Best AI Development Companies are Teaming Up

The unprecedented success of AI in the transportation industry has turned quite a few heads. If autonomous vehicles can self-park, take charge of cruise control features, and make driving safer for all of us, why can’t the same techniques be applied to other critical industries? The COVID19 pandemic has proved that banks are in no position to even experiment with AI technologies, let alone create dedicated AI strategies. Here are the reasons why financial institutions, especially the smaller ones, are struggling so much with AI implementation –

  • No investments in the technical departments of banks.
  • Unstructured data assets.
  • Severely out-of-date operating models that can’t collaborate with technology teams of other firms.

Most small-scale financial institutions have outdated tech systems. What they need to realize is that there is no post-COVID19 return to normalcy. Modern customers entering the world of financial services prefer “AI-first” institutions. So, merely adopting AI technologies isn’t enough – banks need to make AI the foundations of their institutions.

According to a recent Deloitte study, there has been a 35% spike in the number of customers engaging with online banking services during the pandemic. The use of online banking channels is the new normal. AI can play a vital role in this digital transformation. Customers are already used to digital financial services. The leading financial institutions are better prepared as well.

Digital experience leaders (large-scale financial institutions) are investing heavily in personalized user experiences. These AI-powered systems can anticipate customer requirements even before customers make official requests.

The best AI development company can take financial service providers a few steps ahead with highly accurate predictive models that change in real-time. As more financial data is fed into the system, the AI programs’ decision-making skills improve.

Be it tracking fraudulent credit card transactions or engaging in direct marketing efforts – machine learning programs can find patterns and make accurate decisions within milliseconds.

Demands of the Competition

A recent study revealed that 60% of financial service providers witnessed at least one AI capability get integrated into their workplaces during the global pandemic. These financial institutions are using AI-powered tools to –

Finance Robotics

Robotic Process Automation (RPA) in the financial industry is constantly evolving. From automating simple computational tasks to automating processes like creating accurate financial analyses – RPA technology has advanced superbly in the past few years. Finance robotics are ideal for structured operational tasks.

Hassle-Free Marketing

The goal and role of Artificial Intelligence in financial services is reformation. The average customer needs AI-powered virtual assistants, conversational interfaces, and other AI-based customer service tools. With these tools, financial institutions can –

  • Create brand-new omnichannel experiences that are designed for modern-day customers.
  • From new interfaces to new data processing systems – upgrades with AI-powered tools are always seamless.
  • These financial instruments are more trustworthy than ever. AI-powered systems can help cut down the risk of fraud amongst clients or and help them maintain regulatory compliance.

Overall, machine learning techniques and AI-powered tools can easily transform the responsibilities financial institutions face. Shying away from technological progress isn’t a viable solution for financial institutions anymore!

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