When will artificial intelligence really have'arrived'? For a long time, this was a question for philosophers and computer scientists, pondering over whether passing the Turing test truly indicates intelligence, or debating about how broad our definition of artificial intelligence should be. Over the last several years, however, this question has changed considerably: with the advent of consumer AI tools such as virtual assistants and the increasing availability of off-the-shelf solutions offering to bring the power of AI to business operations, the issue has become less philosophical, and much more pragmatic. Now, for business leaders, it is often a matter not of whether to respond to the arrival of AI, but of how to respond to the arrival of AI. The promise is, of course, huge.
A McKinsey survey looking at the banking, auto insurance, retail energy, health insurance, and mobile communications sectors found that the quality and availability of digital interactions have a significant impact on customer satisfaction. Adding digital offerings is crucial to what consumer-facing companies must do to remain competitive in the face of increased customer expectations. However, some organisations still only offer basic digital services, and not all have created integrated, omnichannel experiences. Companies that use technology to transform customer experience have increased customer satisfaction by 15 to 20%, reducing cost to serve by 20 to 40%, and boosting conversion rates and growth by 20%. As consumers have come to expect the same experience of their financial services providers that they have elsewhere in their lives, traditional financial institutions (FIs) are increasingly looking for ways to improve customer service and deepen engagement.
Artificial intelligence (AI) and machine learning (ML) have the power to deliver business value and impact across a wide range of use cases, which has led to their rapidly increasing deployment across verticals. For example, the financial services industry is investing significantly in leveraging machine learning to monetize data assets, improve customer experience and enhance operational efficiencies. According to the World Economic Forum's 2020 "Global AI in Financial Services Survey," AI and ML are expected to "reach ubiquitous importance within two years." However, as the rise and adoption of AI/ML parallels that of global privacy demand and regulation, businesses must be mindful of the security and privacy considerations associated with leveraging machine learning. The implications of these regulations affect the collaborative use of AI/ML not only between entities but also internally, as they limit an organization's ability to use and share data between business segments and jurisdictions.
Itiviti, a leading technology and service provider to financial institutions worldwide, announces the appointment of Mireille Adebiyi as Head of Marketing & Communications. Mireille has 17 years of experience within Fintech. Before joining Itiviti, she spent most of her career at Murex and joins from AI pioneer Yseop, where she held her most recent position as Chief Marketing Officer. Mireille began her career in London for a Paris-headquartered software provider, developing the company's marketing and sales support processes, which started her journey into the B2B financial software industry. For the past 17 years, she has run global marketing and communications for two of the top ten French software providers, leading new initiatives to raise brand awareness while working closely with management teams to support overall company strategy.
Financial services companies are becoming hooked on artificial intelligence, using it to automate menial tasks, analyse data, improve customer service and comply with regulations. About half of financial services and insurance firms globally already use AI, according to a 2019 study by research group Forrester, and that number is expected to grow as new uses are found for the technology. "We are only scratching the surface of the potential that AI has for the industry," says Katherine Wetmur, Morgan Stanley's international chief information officer. Financial institutions already use AI to analyse stock market data and machine learning to improve fraud detection -- technology that Jamie Dimon, chief executive of JPMorgan Chase, last year said saves the US bank $150m annually. Another US bank, Morgan Stanley, also uses AI for fraud detection, virtual assistants for customer inquiries and for "sentiment analysis", which measures how positive or negative an analyst is about a company stock.
Turn around in almost any city, and you're likely to see a bank or lender or brokerage on the corner. In fact, in my family's small town, we have two financial institutions by the same name on either side of a two-lane street. And, while I love the personal experience I get from visiting my hometown banker, I also appreciate being able to conduct my business after the bankers have gone home to dinner, and knowing that my fraud protection never sleeps. Financial services institutions (FSIs) of all sizes recognize that they are in fierce competition to deliver differentiated services while meeting stringent regulatory and compliance requirements. Among the earliest adopters of digital transformation, FSIs satisfy these requirements with a range of emerging technologies, including artificial intelligence (AI).
The World Economic Forum (WEF) and Deloitte Global's latest report studies the strategic, operational, regulatory, and societal implications of AI on the financial services industry to elucidate previously sensationalized debates and help the industry look forward. The report finds that artificial intelligence is changing the physics of financial services, weakening the bonds that have held together the component parts of incumbent financial institutions and opening the door to entirely new operating models. The report highlights nine key findings that describe the impact. The report describes key AI-enabled strategies that are substantiated with real world examples, as well as identifies core institutional and broader ecosystem challenges and uncertainties that need to be addressed. Read the report to learn how AI can transform your business.
Whether we discuss K-12 or academic students, the role of education is to prepare young minds for future development as best as possible. With the continued rise of artificial intelligence (AI) technologies, being familiar with emerging new tech has become a necessity for students across the globe. According to Adobe, AI has become a norm due to its application in data processing, with worldwide data growth projected to increase by 61 percent by 2025. Additionally, demand for AI-enabled talent has increased twofold in the past years, with tech and financial service companies absorbing 60 percent of young graduates. This data paints a clear image of the world we live in, as we move away from manual labor and into automation and machine learning.
It will also innovate financial support and expand credit to guide financial institutions' involvement in key projects featuring cutting-edge technology and broad market prospects. In 2019, the local government rolled out an action plan for accelerating the high quality growth of Binhai New Area, vowing that the area would become a world-class innovation center driven by intelligent manufacturing. With that goal in mind, Binhai joined hands with China Traffic Construction Group among others and launched a 30 billion yuan ($4.25 billion) fund to support the development of the intelligent technology industry. The fund was expected to facilitate cooperation among global intelligent engineering technology centers and Binhai's Sino-German Industry 4.0 intelligent manufacturing center, its integrated circuit center, automotive electronics and automated driving center, and intelligent transportation center. An industrial development fund was also established to support intelligent technology, biomedicine, new energy and new materials, aerospace, and equipment manufacturing.