How intelligent automation is helping to create the next generation of financial services

Implementing intelligent automation is a key component of unlocking the capacity to take on even more customers without worrying about data quality or reliability. Intelligent automation can handle complex, business-critical AML & KYC processes, deliver greater speed and accuracy, and extract information that can be fed into downstream systems. In-house IT solutions were found to be the most common for data handling across payment operations, used by 44% of firms – a higher https://www.metadialog.com/ reliance on in-house systems than in most other sectors. Given the high costs of managing the back-office via legacy systems, embracing Banking Automation is an indispensable step in modern banking’s evolution. The global crisis has served as a catalyst, prompting banks to rethink their business models. The development of new Business Process Management (BPM) strategies that optimize processes while maintaining back-office performance and compliance has become critical.

As well as being recognised in the UK’s Big Data 100 and the Global Top 100 Data Visionaries for 2020 Sue has also been shortlisted for the Milton Keynes Women Leaders Awards and was a judge for the Loebner Prize in AI. In addition to being a regular industry speaker on issues including AI ethics, data protection and cyber security, Sue was recently a judge for the UK Tech 50 and is a regular judge of the annual UK Cloud Awards. Mitigate automation banking industry the costs and risks of manual processes by automating bank customer onboarding. Multiple banking teams interacting with clients at various stages of the onboarding process increases the likelihood of costly clerical errors. 31% of compliance decision-makers list false positives as the greatest operational challenge related to AML. One incorrect data point has far-reaching consequences such as being marked regulatory non-compliant.

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Clearly, the use of automation and AI is expanding and evolving across many industries, with the FS sector a particularly active participant. Indeed, according to Infosys, companies in this space have each invested, on average, $14.5m in AI technologies to date, compared to an average of $6.7m in other industries. It is likely that the most enterprising and largest institutions will always be there. Their clients are often loyal, and they benefit from strong brand recognition, often endeavoring to become digital native. Our consultants are knowledgeable in their chosen markets and can support you throughout your career. “While technology will likely create as many jobs as it displaces, people need to learn new skills and develop their understanding in order to adapt,” said Kevin Ellis, Chairman of PwC UK.

Customers can have conversations in natural language, and chatbots can reply when they have something important to tell. While chatbots are providing customer service management, understand a problem and give recommendations, they are not developed enough to provide services fully unassisted yet. An unavoidable issue when moving to automation is the need to dismantle existing IT architecture, protect underlying systems and, at the same time, keep costs under control. To help minimise costs during this process, IT architecture should be simplified and a service layer added, to allow a company to integrate its IT with other systems and intelligent automation technologies. Whether the displacement of human labour by automation is, as is often depicted, another nail in the manual coffin seems a moot assertion.

Enhanced Efficiency

A large number of people rely on online banking solutions every day and this has consequently increased the customer base in the banking sector. With the emergence of financial technology in the banking sector, it’s more than clear that banks will have to change the way they run their business if they don’t want to lose their customers. There are many workflow tools on the market, off-the-shelf software and in-house development. The larger low code workflow solutions are built to serve multiple sectors and so you end up custom building workarounds to handle the complexities of financial services.

Analytics helps banks to identify potential risks, such as credit default, fraud, and money laundering, and take proactive measures to mitigate these risks. Data analytics is also used to manage the supply side of the equation, such as cash flow management, which automation banking industry involves analyzing cash inflows and outflows to ensure that there is sufficient liquidity to meet the demands of customers. On top of that, AI is predicted to decrease annual costs by at least 10% for over one-third of the respondents in the banking sector.

Similarly, nearly three-quarters of Americans believe AI will eliminate more jobs than it creates (rising to 79% in the financial, insurance, real estate and consulting industries). PwC estimates around 30% of jobs in the UK could potentially be automated by the middle of the 2030s, which is when the ‘third wave’ of automation is expected. The Big Four firm’s predictions for the next few years are far more conservative; just 2% of people’s jobs are expected to be at risk of automation by the early 2020s. This digital energy transition campaign week will focus on the digital transformation of the energy sector, its ability to deliver higher impact through tech and the capability of our industry to deliver a just transition.

This granular visibility and reporting is particularly important for compliance and responding quickly to regulators. Some solutions even have inbuilt features to support PCI DSS, GDPR and other standards. An overhaul of legacy systems is sometime prompted by a merger, where complex applications and data flows need to be streamlined. If you’re experiencing missed payment deadlines, inaccessibility, frustrated clients and the risk of fines, then it’s time to replace it. For example, a bank may use data analytics to identify customers who are more likely to switch to a competitor, based on their transaction history and other data points.