The pandemic has left an indelible mark on the banking industry, catalyzing a rapid shift towards digital transformation the way banks operate. This transformation has brought about both challenges and opportunities, prompting experts to offer nuanced opinions on the impact of increased online services and its ripple effects on traditional and digital banking.
Application of artificial intelligence in banking venkat vajradhar - mediumvenkatvajradhar1
Digital disruption is about redefining industries and changing the way businesses operate. Each sector is evaluating options and adopting ways to create value in a technology-driven world. The banking sector is seeing exceptional changes: above all, an increase in customer-centricity.
Machine learning algorithms analyze vast datasets to detect patterns, helping financial institutions and best payment processors identify potential risks and opportunities. To know more about this visit: https://webpays.com/payment-processing-companies.html
The Work Ahead in Banking & Financial Services: The Digital Road to Financial...Cognizant
Banking and financial services organizations are moving beyond the basics of digital banking and one-size-fits-all services, according to our recent study. Using AI, automation and analytics, they aim to speed processes, blend human-centric and tech-driven customer engagement and deliver personalized financial wellness.
The future of financial technology (FinTech) - Trends and PredictionsAlexander Clifford
Through the adoption of innovative technologies, the financial sector is undergoing a digital transformation that achieves efficiency, increased accessibility, and economic growth. This increased digitalisation is being powered by financial technology, known as FinTech. Let’s dive into the trends of FinTech as well as the predictions about what the future of the financial industry looks like.
Application of artificial intelligence in banking venkat vajradhar - mediumvenkatvajradhar1
Digital disruption is about redefining industries and changing the way businesses operate. Each sector is evaluating options and adopting ways to create value in a technology-driven world. The banking sector is seeing exceptional changes: above all, an increase in customer-centricity.
Application of artificial intelligence in banking venkat vajradhar - mediumvenkatvajradhar1
Digital disruption is about redefining industries and changing the way businesses operate. Each sector is evaluating options and adopting ways to create value in a technology-driven world. The banking sector is seeing exceptional changes: above all, an increase in customer-centricity.
Machine learning algorithms analyze vast datasets to detect patterns, helping financial institutions and best payment processors identify potential risks and opportunities. To know more about this visit: https://webpays.com/payment-processing-companies.html
The Work Ahead in Banking & Financial Services: The Digital Road to Financial...Cognizant
Banking and financial services organizations are moving beyond the basics of digital banking and one-size-fits-all services, according to our recent study. Using AI, automation and analytics, they aim to speed processes, blend human-centric and tech-driven customer engagement and deliver personalized financial wellness.
The future of financial technology (FinTech) - Trends and PredictionsAlexander Clifford
Through the adoption of innovative technologies, the financial sector is undergoing a digital transformation that achieves efficiency, increased accessibility, and economic growth. This increased digitalisation is being powered by financial technology, known as FinTech. Let’s dive into the trends of FinTech as well as the predictions about what the future of the financial industry looks like.
Application of artificial intelligence in banking venkat vajradhar - mediumvenkatvajradhar1
Digital disruption is about redefining industries and changing the way businesses operate. Each sector is evaluating options and adopting ways to create value in a technology-driven world. The banking sector is seeing exceptional changes: above all, an increase in customer-centricity.
Mobile Wars: Fintech vs. Banks... and Big Tech in AmbushKatia Bazzocchi
Pure mobile banks gain users daily, as they benefit from accessible smartphone technology. Millenials are the principal users of mobile banks, and will soon be followed by Generation Z. As consumer expectations continue to be shaped by new technology and innovative consumer affairs, a full mobile strategy is key for traditional banks to maintain market share.
The most prevalent trend in today’s
financial services industry is the shift to
digital, specifically mobile and online
banking. In the era of unprecedented
convenience and speed, consumers don’t
want to trek to a physical bank branch to
handle their transactions. While on the one
hand, banks are releasing new features to
attract more customers and retain the
existing ones, on the other hand, startups
and neo banks with disruptive banking
technologies are breaking into the scene.
The use of Artificial Intelligence (AI) in the
banking industry can revolutionize the way
banks operate and provide services to
their customers, improving eciency,
productivity, and customer experience.
Digital Transformation of U.S. Private BankingCognizant
U.S. private banks need to rethink their business models and accelerate their push to meet the ever-rising expectations of digitally savvy high-net-worth clients.
Six Fintech Trends of Foremost Importance in 2017eTailing India
The scourge of innovation in the financial sector has long been the legacy technology on which banking systems are built. Whether back, middle or front office, inefficient and uncompromising systems have hindered improvements to customer service and expectations.
As impressive — or scary — as that might sound, artificial intelligence technologies aim to further revolutionize the way banking is done and the relationships between banks and their customers’ experience.
banking sector is becoming an active adapter of artificial intelligence — exploring and implementing this technology in new ways. The entry of artificial intelligence into the banking sector was not recognized and slowed down until the era of Internet banking.
Digitization in Lending: Evolution, Benefits, Challenges, Future Trends | GQ ...GQ Research
This article delves into the evolution, benefits, challenges, and future trends of digitization in lending, highlighting its transformative impact on the financial sector.
GRC and Anti-Money Laundering Services.pdfbasilmph
Anti-money laundering services have been a part of compliance activities and processes in financial institutions for a long time. With the complexity and sophistication of the global financial system, anti-money laundering regulations are becoming more important.
This presentation explores what future of commerce may look like given the current trends in mobile devices, digital payments, social commerce and security including tokenization and new forms of identity verification
Robots. Thinking machines. Trusted exchanges of anything.
Automated everything. This is the new reality of the Financial
Services industry. Today, the global banking industry faces a
rebirth by necessity that is challenging traditional operating,
workforce and leadership models, as well as inviting
tremendous opportunity. PSD2, and its arrival in 2018, will
further fuel the tension between opportunity and disruption, as
fintechs and tech incumbents muscle in on the ownership of
banks’ customer data, and offer broader choices to consumers,
reinventing the financial customer journey.
The Role of Artificial Intelligence in Reshaping Financial Industry360factors
Artificial Intelligence (AI) profoundly transforms the financial industry by improving operations and sweeping changes across various sectors. This new technology enhances decision-making accuracy, boosts prosperity, and helps businesses build competitive advantages such as improved customer experience. Critical applications of AI in financial services include advanced fraud detection, superior customer service, better credit risk assessments, and more efficient compliance management.
Future of artificial intelligence in the banking sectorusmsystems
The banking sector is becoming an active adapter of artificial intelligence — exploring and implementing this technology in new ways. The penetration of artificial intelligence in the banking sector had been unnoticed and sluggish until the advent of the era of internet banking.
Project Management principles serve as the bedrock for effective project execution, providing fundamental concepts and guidelines that guide the entire project management process.
Project Management Perspectives Successful Banking IT Solutions.pdfCeyhun Jay Tugcu
Whether it's implementing advanced cybersecurity measures, adopting agile methodologies, or undertaking core banking system transformations, the success of these endeavors hinges on meticulous project management.
Mobile Wars: Fintech vs. Banks... and Big Tech in AmbushKatia Bazzocchi
Pure mobile banks gain users daily, as they benefit from accessible smartphone technology. Millenials are the principal users of mobile banks, and will soon be followed by Generation Z. As consumer expectations continue to be shaped by new technology and innovative consumer affairs, a full mobile strategy is key for traditional banks to maintain market share.
The most prevalent trend in today’s
financial services industry is the shift to
digital, specifically mobile and online
banking. In the era of unprecedented
convenience and speed, consumers don’t
want to trek to a physical bank branch to
handle their transactions. While on the one
hand, banks are releasing new features to
attract more customers and retain the
existing ones, on the other hand, startups
and neo banks with disruptive banking
technologies are breaking into the scene.
The use of Artificial Intelligence (AI) in the
banking industry can revolutionize the way
banks operate and provide services to
their customers, improving eciency,
productivity, and customer experience.
Digital Transformation of U.S. Private BankingCognizant
U.S. private banks need to rethink their business models and accelerate their push to meet the ever-rising expectations of digitally savvy high-net-worth clients.
Six Fintech Trends of Foremost Importance in 2017eTailing India
The scourge of innovation in the financial sector has long been the legacy technology on which banking systems are built. Whether back, middle or front office, inefficient and uncompromising systems have hindered improvements to customer service and expectations.
As impressive — or scary — as that might sound, artificial intelligence technologies aim to further revolutionize the way banking is done and the relationships between banks and their customers’ experience.
banking sector is becoming an active adapter of artificial intelligence — exploring and implementing this technology in new ways. The entry of artificial intelligence into the banking sector was not recognized and slowed down until the era of Internet banking.
Digitization in Lending: Evolution, Benefits, Challenges, Future Trends | GQ ...GQ Research
This article delves into the evolution, benefits, challenges, and future trends of digitization in lending, highlighting its transformative impact on the financial sector.
GRC and Anti-Money Laundering Services.pdfbasilmph
Anti-money laundering services have been a part of compliance activities and processes in financial institutions for a long time. With the complexity and sophistication of the global financial system, anti-money laundering regulations are becoming more important.
This presentation explores what future of commerce may look like given the current trends in mobile devices, digital payments, social commerce and security including tokenization and new forms of identity verification
Robots. Thinking machines. Trusted exchanges of anything.
Automated everything. This is the new reality of the Financial
Services industry. Today, the global banking industry faces a
rebirth by necessity that is challenging traditional operating,
workforce and leadership models, as well as inviting
tremendous opportunity. PSD2, and its arrival in 2018, will
further fuel the tension between opportunity and disruption, as
fintechs and tech incumbents muscle in on the ownership of
banks’ customer data, and offer broader choices to consumers,
reinventing the financial customer journey.
The Role of Artificial Intelligence in Reshaping Financial Industry360factors
Artificial Intelligence (AI) profoundly transforms the financial industry by improving operations and sweeping changes across various sectors. This new technology enhances decision-making accuracy, boosts prosperity, and helps businesses build competitive advantages such as improved customer experience. Critical applications of AI in financial services include advanced fraud detection, superior customer service, better credit risk assessments, and more efficient compliance management.
Future of artificial intelligence in the banking sectorusmsystems
The banking sector is becoming an active adapter of artificial intelligence — exploring and implementing this technology in new ways. The penetration of artificial intelligence in the banking sector had been unnoticed and sluggish until the advent of the era of internet banking.
Project Management principles serve as the bedrock for effective project execution, providing fundamental concepts and guidelines that guide the entire project management process.
Project Management Perspectives Successful Banking IT Solutions.pdfCeyhun Jay Tugcu
Whether it's implementing advanced cybersecurity measures, adopting agile methodologies, or undertaking core banking system transformations, the success of these endeavors hinges on meticulous project management.
Strategies for Success in IT Project Management Banking.pdfCeyhun Jay Tugcu
Effective project management is crucial for the successful implementation of IT projects in the dynamic and highly regulated banking industry. By identifying and addressing potential pitfalls, banks can enhance project outcomes, optimize resource utilization, and improve overall operational efficiency.
Issue Management in Complex IT Integration Programs.pdfCeyhun Jay Tugcu
The ability to proactively identify, escalate, and resolve issues is foundational to ensuring the program's success, maintaining stakeholder confidence, and cultivating a culture of resilience and continuous improvement.
Project Management Failure in Banking Digital Transformation.pdfCeyhun Jay Tugcu
Digital transformation is a strategic imperative for the banking industry, promising enhanced efficiency, customer experiences, and competitive positioning. However, project management failures have emerged as critical obstacles, impeding the seamless execution of digital transformation initiatives.
AI in Banking Industry and Effects on Customers.pdfCeyhun Jay Tugcu
From personalized recommendations to automated wealth management, AI is revolutionizing the customer experience in banking, offering convenience, efficiency, and improved financial well-being. This material delves into the transformative aspects of AI in banking and the ethical considerations and challenges that come with its adoption.
LF Energy Webinar: Electrical Grid Modelling and Simulation Through PowSyBl -...DanBrown980551
Do you want to learn how to model and simulate an electrical network from scratch in under an hour?
Then welcome to this PowSyBl workshop, hosted by Rte, the French Transmission System Operator (TSO)!
During the webinar, you will discover the PowSyBl ecosystem as well as handle and study an electrical network through an interactive Python notebook.
PowSyBl is an open source project hosted by LF Energy, which offers a comprehensive set of features for electrical grid modelling and simulation. Among other advanced features, PowSyBl provides:
- A fully editable and extendable library for grid component modelling;
- Visualization tools to display your network;
- Grid simulation tools, such as power flows, security analyses (with or without remedial actions) and sensitivity analyses;
The framework is mostly written in Java, with a Python binding so that Python developers can access PowSyBl functionalities as well.
What you will learn during the webinar:
- For beginners: discover PowSyBl's functionalities through a quick general presentation and the notebook, without needing any expert coding skills;
- For advanced developers: master the skills to efficiently apply PowSyBl functionalities to your real-world scenarios.
State of ICS and IoT Cyber Threat Landscape Report 2024 previewPrayukth K V
The IoT and OT threat landscape report has been prepared by the Threat Research Team at Sectrio using data from Sectrio, cyber threat intelligence farming facilities spread across over 85 cities around the world. In addition, Sectrio also runs AI-based advanced threat and payload engagement facilities that serve as sinks to attract and engage sophisticated threat actors, and newer malware including new variants and latent threats that are at an earlier stage of development.
The latest edition of the OT/ICS and IoT security Threat Landscape Report 2024 also covers:
State of global ICS asset and network exposure
Sectoral targets and attacks as well as the cost of ransom
Global APT activity, AI usage, actor and tactic profiles, and implications
Rise in volumes of AI-powered cyberattacks
Major cyber events in 2024
Malware and malicious payload trends
Cyberattack types and targets
Vulnerability exploit attempts on CVEs
Attacks on counties – USA
Expansion of bot farms – how, where, and why
In-depth analysis of the cyber threat landscape across North America, South America, Europe, APAC, and the Middle East
Why are attacks on smart factories rising?
Cyber risk predictions
Axis of attacks – Europe
Systemic attacks in the Middle East
Download the full report from here:
https://sectrio.com/resources/ot-threat-landscape-reports/sectrio-releases-ot-ics-and-iot-security-threat-landscape-report-2024/
GraphRAG is All You need? LLM & Knowledge GraphGuy Korland
Guy Korland, CEO and Co-founder of FalkorDB, will review two articles on the integration of language models with knowledge graphs.
1. Unifying Large Language Models and Knowledge Graphs: A Roadmap.
https://arxiv.org/abs/2306.08302
2. Microsoft Research's GraphRAG paper and a review paper on various uses of knowledge graphs:
https://www.microsoft.com/en-us/research/blog/graphrag-unlocking-llm-discovery-on-narrative-private-data/
Epistemic Interaction - tuning interfaces to provide information for AI supportAlan Dix
Paper presented at SYNERGY workshop at AVI 2024, Genoa, Italy. 3rd June 2024
https://alandix.com/academic/papers/synergy2024-epistemic/
As machine learning integrates deeper into human-computer interactions, the concept of epistemic interaction emerges, aiming to refine these interactions to enhance system adaptability. This approach encourages minor, intentional adjustments in user behaviour to enrich the data available for system learning. This paper introduces epistemic interaction within the context of human-system communication, illustrating how deliberate interaction design can improve system understanding and adaptation. Through concrete examples, we demonstrate the potential of epistemic interaction to significantly advance human-computer interaction by leveraging intuitive human communication strategies to inform system design and functionality, offering a novel pathway for enriching user-system engagements.
Transcript: Selling digital books in 2024: Insights from industry leaders - T...BookNet Canada
The publishing industry has been selling digital audiobooks and ebooks for over a decade and has found its groove. What’s changed? What has stayed the same? Where do we go from here? Join a group of leading sales peers from across the industry for a conversation about the lessons learned since the popularization of digital books, best practices, digital book supply chain management, and more.
Link to video recording: https://bnctechforum.ca/sessions/selling-digital-books-in-2024-insights-from-industry-leaders/
Presented by BookNet Canada on May 28, 2024, with support from the Department of Canadian Heritage.
"Impact of front-end architecture on development cost", Viktor TurskyiFwdays
I have heard many times that architecture is not important for the front-end. Also, many times I have seen how developers implement features on the front-end just following the standard rules for a framework and think that this is enough to successfully launch the project, and then the project fails. How to prevent this and what approach to choose? I have launched dozens of complex projects and during the talk we will analyze which approaches have worked for me and which have not.
DevOps and Testing slides at DASA ConnectKari Kakkonen
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Software Delivery At the Speed of AI: Inflectra Invests In AI-Powered QualityInflectra
In this insightful webinar, Inflectra explores how artificial intelligence (AI) is transforming software development and testing. Discover how AI-powered tools are revolutionizing every stage of the software development lifecycle (SDLC), from design and prototyping to testing, deployment, and monitoring.
Learn about:
• The Future of Testing: How AI is shifting testing towards verification, analysis, and higher-level skills, while reducing repetitive tasks.
• Test Automation: How AI-powered test case generation, optimization, and self-healing tests are making testing more efficient and effective.
• Visual Testing: Explore the emerging capabilities of AI in visual testing and how it's set to revolutionize UI verification.
• Inflectra's AI Solutions: See demonstrations of Inflectra's cutting-edge AI tools like the ChatGPT plugin and Azure Open AI platform, designed to streamline your testing process.
Whether you're a developer, tester, or QA professional, this webinar will give you valuable insights into how AI is shaping the future of software delivery.
UiPath Test Automation using UiPath Test Suite series, part 4DianaGray10
Welcome to UiPath Test Automation using UiPath Test Suite series part 4. In this session, we will cover Test Manager overview along with SAP heatmap.
The UiPath Test Manager overview with SAP heatmap webinar offers a concise yet comprehensive exploration of the role of a Test Manager within SAP environments, coupled with the utilization of heatmaps for effective testing strategies.
Participants will gain insights into the responsibilities, challenges, and best practices associated with test management in SAP projects. Additionally, the webinar delves into the significance of heatmaps as a visual aid for identifying testing priorities, areas of risk, and resource allocation within SAP landscapes. Through this session, attendees can expect to enhance their understanding of test management principles while learning practical approaches to optimize testing processes in SAP environments using heatmap visualization techniques
What will you get from this session?
1. Insights into SAP testing best practices
2. Heatmap utilization for testing
3. Optimization of testing processes
4. Demo
Topics covered:
Execution from the test manager
Orchestrator execution result
Defect reporting
SAP heatmap example with demo
Speaker:
Deepak Rai, Automation Practice Lead, Boundaryless Group and UiPath MVP
The Art of the Pitch: WordPress Relationships and SalesLaura Byrne
Clients don’t know what they don’t know. What web solutions are right for them? How does WordPress come into the picture? How do you make sure you understand scope and timeline? What do you do if sometime changes?
All these questions and more will be explored as we talk about matching clients’ needs with what your agency offers without pulling teeth or pulling your hair out. Practical tips, and strategies for successful relationship building that leads to closing the deal.
Dev Dives: Train smarter, not harder – active learning and UiPath LLMs for do...UiPathCommunity
💥 Speed, accuracy, and scaling – discover the superpowers of GenAI in action with UiPath Document Understanding and Communications Mining™:
See how to accelerate model training and optimize model performance with active learning
Learn about the latest enhancements to out-of-the-box document processing – with little to no training required
Get an exclusive demo of the new family of UiPath LLMs – GenAI models specialized for processing different types of documents and messages
This is a hands-on session specifically designed for automation developers and AI enthusiasts seeking to enhance their knowledge in leveraging the latest intelligent document processing capabilities offered by UiPath.
Speakers:
👨🏫 Andras Palfi, Senior Product Manager, UiPath
👩🏫 Lenka Dulovicova, Product Program Manager, UiPath
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Smart TV Buyer Insights Survey 2024 by 91mobiles.pdf
TRANSFORMATION - BANKING INDUSTRY.pdf
1. Image Source: LinkedIn
TRANSFORMATION OF BANKING INDUSTRY
The pandemic has left an indelible mark on the banking industry, catalyzing a rapid shift towards
digital transformation the way banks operate. This transformation has brought about both
challenges and opportunities, prompting experts to offer nuanced opinions on the impact of
increased online services and its ripple effects on traditional and digital banking.
Increased Online Transactions and the Escalation of Fraud:
The surge in online transactions during the pandemic was a necessary response to social distancing
measures. However, it also created fertile ground for a surge in cyber fraud. The acceleration of
online banking and e-commerce during the crisis led to a corresponding increase in digital fraud,
exploiting new vulnerabilities and tactics.
Increased Regulatory Requirements and Risk Policies:
To counteract the uptick in fraud, regulatory bodies have strengthened their requirements. The
result is that banks now face more stringent compliance obligations, which come with added
complexity and costs. Anti-Money Laundering (AML), Know Your Customer (KYC), and
cybersecurity protocols are just a few of the areas where regulatory scrutiny has increased. While
these measures are essential for consumer protection, they do create additional administrative
burdens for traditional banks.
Traditional Banking's Complex Landscape:
The complex and evolving regulatory environment, coupled with the need for robust risk
mitigation, has made traditional banking more intricate, cumbersome, and costly. The cost of
compliance, particularly for smaller institutions, has surged, impacting profitability and resource
allocation.
2. Rise of Digital Banks and Fintech Services:
Concurrently, the pandemic accelerated the adoption of digital banks and FinTech services. These
technology-based platforms not only managed to weather the pandemic but also thrived. Their
agility, customer-centric approach, and technological prowess have attracted a growing number of
customers. These digital banks often operate with lower overheads, allowing them to provide more
competitive products and services.
Forced Transformation in Traditional Banking:
The challenges posed by the pandemic and the rise of digital competitors have compelled
traditional banks to make significant changes. These changes extend beyond compliance and risk
policies to encompass cultural shifts and technology investments.
Banking trends are constantly evolving due to advancements in technology, changes in customer
behavior, regulatory developments, and economic shifts. Here are some rapidly evolving and
statistics and trends in digital banking:
Mobile Banking Adoption: The global adoption of mobile banking reached
approximately 61% among adults. (Source: Statista)
Online and Mobile Transactions: In the United States, mobile banking transactions
grew by 50% in 2020, reflecting the increased reliance on digital banking services.
(Source: Statista)
Digital-Only Banks: The number of digital-only banks worldwide is on the rise. There
were over 200 digital banks operating globally. (Source: McKinsey & Company)
Use of AI in Customer Service: Over 30% of banks plan to implement AI-driven
chatbots for customer service by 2023, enhancing the customer experience. (Source:
Gartner)
Biometric Authentication: Biometric authentication methods, such as fingerprint and
facial recognition, are becoming more common. By 2023, it's estimated that 87% of
banks will use biometrics for customer authentication. (Source: Deloitte)
Rise of Contactless Payments: The COVID-19 pandemic accelerated the adoption of
contactless payments. In the U.S., 57% of consumers reported using contactless payments
more often in 2020. (Source: Statista)
Increased Digital Lending: Digital lending is growing rapidly, with the global digital
lending market projected to reach $27.82 billion by 2026, driven by convenience and
accessibility. (Source: Mordor Intelligence)
3. Growth of FinTech Partnerships: Traditional banks are increasingly partnering with
FinTech companies to offer innovative digital financial services. 60% of traditional banks
reported actively collaborating with FinTech firms. (Source: PwC)
Cybersecurity Concerns: The adoption of digital banking has raised concerns about
cybersecurity. In the U.S., cybercrime losses in the financial sector exceeded $4.2 billion
in 2020. (Source: FBI's Internet Crime Complaint Center)
Sustainability and ESG Banking: Banks are showing greater interest in sustainability
and Environmental, Social, and Governance (ESG) principles. 75% of global banks
reported plans to increase their investments in ESG initiatives. (Source: Deloitte)
Image Source: LinkedIn
Traditional banks are increasingly investing in digital transformation. They are adopting
artificial intelligence and data analytics for more efficient and accurate risk management.
The integration of innovative technologies like blockchain is helping to fortify security and
streamline compliance efforts. Traditional banks are undergoing a profound transformation, driven
by the imperative to adapt to the digital age and stay competitive in an increasingly technology-
driven financial landscape. This transformation involves a significant shift towards digital
technologies, including the adoption of artificial intelligence (AI) and data analytics to enhance
risk management. Survey shows that 70% of customers interactions are expected to involve
emerging technologies such as machine learning, chatbots and mobile messaging (Source:
Gartner).
Digital Transformation in Banking:
Banks are recognizing the importance of digital transformation as a means to remain relevant and
competitive. The rise of online banking, fintech startups, and changing customer preferences have
prompted them to invest in technology to provide modern, convenient, and customer-centric
services.
4. The Role of Artificial Intelligence:
AI plays a central role in this transformation. AI brings efficiency, personalization, and security to
banking services, fundamentally reshaping the customer experience. From enhanced customer
service through chatbots to personalized recommendations and advanced fraud detection, AI is at
the forefront of banking innovation, leading to improved financial well-being and accessibility for
customers. Its impact is not only transformative but also essential in ensuring that banking remains
responsive and relevant in the digital age.
AI could potentially result in $1 trillion of cost
savings for the banking industry by 2030 (Source:
Autonomous Next).
83% of banks that have implemented AI said that
it is creating new jobs (Source: Accenture).
52% of financial services’ and products’
executives are making substantial investments in
AI (Source: PwC). Image Source: Zipdo
Traditional banks are harnessing the power of AI to streamline and optimize their risk
management processes in several ways:
Credit Risk Assessment: AI algorithms are used to assess credit risk more accurately. These
models can analyze a wider range of data sources, including transaction history, behavioral
patterns, and external market data, to make more informed lending decisions.
Fraud Detection and Prevention: AI-powered fraud detection systems use machine learning
to analyze transaction data and detect unusual patterns indicative of fraudulent activity in real-
time. These systems can adapt and improve their accuracy over time as they learn from new
data.
Operational Risk Management: AI helps identify and mitigate operational risks by analyzing
data to detect anomalies, errors, and process failures. This proactive risk management is vital
for maintaining operational stability.
Market Risk Analysis: AI systems analyze market data, economic indicators, and news to
assess market risk. This enables banks to make more informed trading and investment
decisions.
Data Analytics for Improved Decision-Making:
In addition to AI, data analytics is another critical component of the digital transformation in risk
management. Banks are leveraging data analytics to gain insights into customer behavior,
transaction patterns, and market trends, which can inform decision-making and help manage
various risks more effectively.
5. Predictive Analytics: Banks use predictive analytics to forecast trends, customer behaviors,
and economic conditions. This aids in developing strategies and products that align with
changing market dynamics.
Real-time Risk Monitoring: Data analytics allows for real-time risk monitoring by analyzing
large volumes of data to detect emerging risks and trends. This provides banks with the ability
to take swift action to mitigate potential threats.
Regulatory Compliance:
AI and data analytics also support banks in their regulatory compliance efforts. As mentioned
above, compliance with anti-money laundering (AML) and know your customer (KYC)
regulations is more efficient with AI's ability to process and verify large datasets quickly, ensuring
that banks adhere to regulatory requirements and reporting obligations.
Benefits of Efficiency and Accuracy:
The integration of AI and data analytics in risk management not only increases the efficiency of
processes but also improves accuracy. By automating routine tasks and providing real-time
insights, banks reduce the risk of human errors and enhance their ability to make well-informed
decisions.
The Path Forward:
Traditional banks that invest in digital transformation and adopt AI and data analytics are better
positioned to navigate the evolving financial landscape. These technologies enable them to offer
improved customer experiences, reduce operational costs, and effectively manage risks in a
dynamic and data-intensive environment.
Therefore, traditional banks are increasingly investing in digital transformation, with a strong
emphasis on AI and data analytics to enhance risk management. This strategic shift allows them
to stay competitive, comply with regulatory requirements, and make data-driven decisions that
ultimately benefit their customers and the overall stability of the financial system.
To stay competitive, traditional banks are reimagining
their customer service models, exploring omnichannel
approaches, and focusing on delivering personalized
banking experiences. Many have started collaborating
with FinTech startups to leverage their technological
prowess. Traditional banks are in the midst of a dynamic
and necessary evolution to stay competitive in today's
rapidly changing financial landscape. Key to their strategy
Image Source: N-iX
is the reimagining of customer service models, the exploration of omnichannel approaches, and
the pursuit of personalized banking experiences. Additionally, many of them are embracing
6. collaboration with FinTech startups to harness the advantages of cutting-edge technology.
Survey shows that 93% of organizations perceive customer experience as either a “primary” or
“partial” competitive differentiator (Source: Statista).
Reimagining Customer Service Models:
Traditional banks are recognizing the need to move beyond the transactional nature of traditional
banking services. They are actively reimagining customer service models to prioritize a more
customer-centric approach.
Enhanced Engagement: Banks are investing in creating a more engaging customer
experience by offering proactive financial advice, personalized recommendations, and
readily accessible support.
Diverse Service Channels: Banks are expanding the range of communication channels,
allowing customers to interact through various means, including in-person at branches,
over the phone, through web chat, email, or mobile apps. This multi-channel approach
ensures customers can choose the method most convenient to them.
Enhanced Training for Staff: Banks are providing extensive training to staff,
empowering them to better address customer needs and provide a more personalized,
consultative service.
Image Source: LinkedIn
Exploring Omnichannel Approaches:
To cater to the preferences of their diverse customer base, traditional banks are embracing
omnichannel strategies that enable seamless and consistent customer experiences across all
channels, be it physical branches, online portals, mobile apps, or social media.
7. Unified Customer Data: Banks are aggregating customer data from various touchpoints to
create a comprehensive profile. This data allows them to understand customer behavior and
deliver more relevant services.
Cross-Channel Consistency: Traditional banks are ensuring that customer interactions are
consistent, whether a customer starts a transaction online and completes it in a branch, or vice
versa.
Streamlined Account Access: Omnichannel banking facilitates convenient and secure access
to accounts and services, providing customers with a unified experience across devices and
platforms.
Omni-channel banking was making significant strides in the industry. Here are some key insights
into the impact of omni-channel banking on the industry:
Customer Expectations: Approximately 76% of consumers expect consistent interactions
across multiple banking channels, including online, mobile, and in-branch. (Source:
Avaya)
Channel Preference: A study found that 85% of customers preferred digital channels like
mobile apps and online banking, while 62% favored in-branch banking. (Source: PwC)
Enhanced Customer Engagement: Banks with effective omni-channel strategies can
achieve up to a 30% increase in customer retention and engagement. (Source: Invesp)
Efficiency Gains: A well-executed omni-channel approach can reduce operational costs
by approximately 15-35% and enhance overall efficiency. (Source: Deloitte)
Mobile Banking Usage: Mobile banking usage saw a 50% increase in the United States,
with customers relying on mobile apps for a variety of banking activities. (Source: Statista)
Customer Satisfaction: Banks that offer seamless omni-channel experiences tend to have
higher customer satisfaction rates, with a reported 23% increase compared to those with
less integrated approaches. (Source: McKinsey)
Digital Lending Growth: Omni-channel capabilities have contributed to the growth of
digital lending, with significant increases in loan origination through digital channels.
(Source: Mordor Intelligence)
Rise in Digital-Only Banks: The omni-channel approach has facilitated the emergence of
digital-only banks, which are gaining traction globally. (Source: McKinsey & Company)
AI and Personalization: AI-driven personalization, a key component of omni-channel
banking, is expected to become even more prevalent. In 2023, over 30% of banks plan to
implement AI-driven chatbots for customer service. (Source: Gartner)
8. Cybersecurity and Data Privacy: With the expansion of digital channels, there is an
increased focus on cybersecurity and data privacy, with customers and banks alike
recognizing the importance of secure interactions.
The rapid evolution of the banking industry and technology means that more recent statistics and
trends may be available.
Delivering Personalized Banking Experiences:
Personalization is a key element in differentiating traditional banks from their competitors.
According to research if done well, personalization at scale can lead to annual revenue uplifts of
10% (Boston Consulting Group). Banks are leveraging technology and data analytics to deliver
customized solutions, including:
AI-Powered Recommendations: AI-driven algorithms analyze customer data and behavior
to offer tailored product recommendations, such as savings accounts, investment options, and
loan offers that align with individual financial goals and preferences.
Targeted Services: Banks are developing personalized wealth management services, financial
planning tools, and budgeting apps that help customers achieve their specific financial
objectives.
Responsive Communication: Personalization extends to communication, with banks
delivering targeted promotions, alerts, and educational content to address customers' financial
needs and interests.
Collaboration with FinTech Startups:
To tap into cutting-edge technology and
innovation, many traditional banks are
collaborating with FinTech startups. The
share of banks viewing bank-FinTech
partnerships as at least somewhat important
rose to 89%, up from 49% in 2019
(PYMNTS). In addition, US Open Banking
Regulations Will Force More Bank-FinTech
Collaboration.
Image Source: Columbia Engineering
Collaboration with FinTech is becoming increasingly vital for banks to thrive and adapt in a
technology-driven world. These collaborations offer several benefits:
9. Access to Specialized Technology: FinTech startups bring specialized technology solutions,
enabling traditional banks to enhance their services quickly without building these capabilities
from scratch.
Innovation and Agility: FinTech collaborations inject a culture of innovation and agility into
traditional banks, helping them adapt more rapidly to changing customer expectations and
market conditions.
Diversification of Services: Traditional banks can diversify their service offerings by
integrating FinTech solutions for payments, lending, wealth management, and more.
Traditional banks are making concerted efforts to stay competitive by focusing on customer-
centric models, adopting omnichannel approaches, delivering personalized experiences, and
embracing collaboration with FinTech startups. These strategic moves allow them to better serve
their customers, respond to changing market dynamics, and harness the advantages of innovative
technology. By blending the strengths of tradition with the agility of technology, traditional banks
are poised to thrive in the evolving financial landscape.
To tap into cutting-edge technology and innovation, many traditional banks are collaborating with
FinTech startups. The share of banks viewing bank-FinTech partnerships as at least somewhat
important rose to 89%, up from 49% in 2019 (PYMNTS). In addition, US Open Banking
Regulations Will Force More Bank-FinTech Collaboration.
Collaboration with FinTech is becoming increasingly vital for banks to thrive and adapt in a
technology-driven world. These collaborations offer several benefits:
In conclusion, the pandemic has accelerated the digital transformation of the banking industry,
compelling traditional banks to embrace technology and adapt to a rapidly changing landscape.
The challenges brought on by increased online services, stricter regulatory requirements, and
heightened fraud risks are being met with innovative solutions. As the banking sector continues to
evolve, it is the institutions that successfully blend traditional banking values with modern
technology that will thrive in the post-pandemic era. This transformation will ultimately benefit
consumers as they gain access to more secure, convenient, and personalized financial services.
Published By:
Ceyhun Jay Tugcu
https://www.linkedin.com/in/tugcu