Getting ahead with AI: Transforming the future of financial services

Digest

September 2017

Advances in processing power, data storage, data retrieval, sensors and algorithms have given way to a number of breakthroughs in artificial intelligence (AI).
 
Google’s UK-based AI company DeepMind, for example, made history when its AlphaGo computer program defeated Lee Sedol, the world’s second highest ranking player of the ancient Chinese game of Go. Computer scientists at Stanford University’s Artificial Intelligence Laboratory in California have trained an algorithm to visually diagnose potential skin cancer. Microsoft, meanwhile, has demonstrated a speech recognition system that is as accurate as professional transcriptionists. And major automakers, including Toyota, Tesla and BMW have unveiled autonomous vehicles which use deep learning to understand the car’s surroundings and to then optimise driving decisions and actions.
 
This progress has led to a number of new opportunities for banks and insurers, who can now use AI techniques to automate and transform their businesses. In fact, leading banks the world over agree that AI will become the primary way in which they will interact with their customers within the next three years. It seems likely that AI will revolutionise the way they gain information from and interact with customers, and may even become the face of their organisation or brand.
 
But despite the clear benefits that AI presents to businesses operating across the financial services industry, developing expertise in the subject requires significant investment and commitment. Mastering new AI-enabled technologies is key, but so is knowing where in the enterprise to apply them for maximum benefit.
 
In the following pages we bring together the most recent insight from across the globe to explain more about what AI is, the depth of potential it presents to financial services organisations and the challenges that need to be met in order to realise success. We also provide an overview of how the most pioneering banks and insurers across the globe are leveraging AI to great effect, and offer a series of recommendations for organisations looking to begin their AI journey.

Keywords : Operational excellence/Cost efficiency , Robotics/AI , Digital/Mobile channels