Page 32 - Banking Finance October 2020

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industry. Banks are leveraging the power of RPA for anti-money laundering activities. Moreover, AI supports the
streamlining end to end process and easier to manage and banks in managing huge volumes of customer data and
increase productivity. RPA acts as a huge value-add as it develops valuable insights. AI features such as Bots, Digital
enables the banks to utilize its employees on more critical Payment Advisers and Biometric Fraud Detection enhances
tasks which can significantly boost the ROI as the employee online security and customer loyalty.
time can be reinvested in improving the products and
processes which has a positive impact on customer WHAT? HOW?
experience and to improve their loyalty to the bank.
Enhanced Customer Based on past interactions, AI
Experience develops a better understanding of
Indeed, Robotic Process Automation (RPA) offers a customers and their behavior.
compelling opportunity to the banks and financial institutions
to reduce time and automate activities which are manual, Prediction of Future Helps banks to identify fraud,
repetitive and rule-based, allowing them to enhance Outcomes detect anti-money laundering
pattern and make customer
efficiency and speed up critical processes for reducing the
time to market new products and services to end customers. recommendations.
Fundamentally, RPA is a software approach for indulging in Cognitive Process It enables automation of a variety
activities involving multiple systems as it simulates human Automation of information-intensive, costly and
actions for any transaction processing in single/multiple error-prone banking services like
applications. claims management.
Realistic Interactive Chat Bots identify the context and
Specifically, the robotic software allows configuration of a Interfaces emotions in the text chat and
software robot which is pre-programmed to amalgamate respond to it in the most
necessary steps involved in an application process right from appropriate way.
user recognition to workflow execution. Further, the
software robots simulate the same steps as robotic processes Robotic Automation AI reviews and transforms
within applications and reduce human intervention. Further, of Processes processes by applying Robotic
software robots provide a simpler implementation of Process Automation (RPA).
automation, carrying out exactly the same steps as the
(Source: https://www.wipro.com/business-process)
humans. This requires little or no system intrusion and
provides 100% consistency with the process requirements.
Strategizing AI in Banking: Analysis and
Exploiting AI for enhancing Competitive- readiness of stakeholder eco-system
ness and Sustainability As reported by the report “AI in Banking & Finance” by The

With customers becoming tech-savvy, they expect the banks Centre for Internet & Society, there are significant number
of stakeholders that enable the banking and finance
to use advanced technologies and enable a seamless banking
experience. To meet this burgeoning expectation, banks ecosystem and rigorously and continuously work together
for the successful adoption and implementation of AI in this
have enabled critical services of online and mobile banking
by integrating industry domains of Retail, IT and Telecom. sector. In order to map the stakeholder ecosystem,
But this integration has augmented the transfer of identifying the key stakeholders that have an impact on the
customers’ vital information over a virtual network that is use of AI in banking and finance is crucial. The stakeholders
quite vulnerable to online frauds and cyber-attacks. are divided into five categories:
Exploiting such vulnerabilities impacts the trust and 1. Developers
relationship that the bank shares with customers. 2. Government Agency
3. Funders/investors
With AI, the power of advanced data analytics is used to
fight deceptive transactions and improve compliance. It 4. Academic
takes a few seconds for the AI-based algorithms to complete 5. Consultancy and industry agencies.

32 | 2020 | OCTOBER | BANKING FINANCE