The use of AI in banking

Over recent years, artificial intelligence (AI) has become more commonly used across a wide range of industries. Interestingly, banking appeared to be slightly slower to adapt to using it. However now that more organisations within the industry are beginning to adopt this way of working, it’s having a significant effect on the banking industry.  

The ways in which AI is being used in banking

According to Accenture, banks are steadily moving towards using AI for interaction, as opposed to purely for processes. They believe that by using AI for internal and external interactions, the customer experience will be improved. Currently, almost all banks use AI in their back office operations, ensuring tasks are completed as quickly and efficiently as possible. 

However, one of the ways in which a number of banks are now using AI is to analyse the varying patterns and trends of customer behaviour. For example, if your card has been cloned and a number of transactions are being made, AI can help to spot these sooner, and the bank can contact you to resolve the issue. As this technology develops further, these skills will now be required to assist the front office on a much larger scale. This is leading to an increase in the demand for AI specialists. 

The future of AI in banking

Looking forward, as customers get used to receiving answers almost instantly, the need for robo advisers or chat bots is likely to increase. As one of our consultants, Trystan Davies-Tommason explains, this is leading to a high demand of big data engineers and analysts within the industry. 

AI has the ability to analyse a vast amount of data much faster than a human could. As The Financial Blend explains, robo advisers are able to provide customers with personalised advice and communication. This will give customers a better experience overall, giving the impression that banks fully understand and appreciate their needs. Furthermore, AI software can also manage portfolios, with the help of algorithms and automation. 

The next big thing in banking AI

Some banks are also trialling the use of voice recognition, allowing customers to interact with their services easily. So instead of having to manually log into their online banking, they can easily check their balance or transfer money using systems such as Alexa or Siri. This technology allows for the whole process to be much quicker and convenient for the customer.

Essentially, AI will continue to transform the banking industry; delivering the personalised, speedy service that customers want, at a level that wouldn’t be possible if you relied on humans alone. However, in order for these technological advancements to succeed, the industry is required to invest in a significant amount of skilled specialists. This skill gap will offer a number of opportunities for big data engineers and analysts to take part in exciting, innovative projects.

How is AI affecting banking jobs?

Whenever an organisation introduces AI and automation, the first thought for many is ‘does this mean people will lose their jobs?’ In reality, whilst some job roles may change as a result of artificial intelligence, it’s unlikely that we’ll find ourselves in a position whereby we no longer need humans. 

Instead, staff will be able to spend more of their time with customers that come into branches or call up asking for advice, allowing customer service to be improved. Although online banking is generally considered more convenient, there are still many concerns surrounding the cybersecurity risks associated with it. Because of this, many individuals will still expect a face-to-face service. 

12% of those that took part in the survey conducted by Narrative Science in conjunction with the National Business Research Institute revealed they weren’t using AI because of security reservations. This suggests that there’s an increased demand for both cybersecurity professionals and AI professionals within the industry. These advancements are likely to open up a range of exciting opportunities for those looking to put their skills to use in the banking industry.

A wealth of opportunity for AI professionals

Here at Huxley, we work with organisations of all sizes across the world, helping them find the skilled candidates they’re looking for. If you’re looking for a new job within FinTech, our consultants are passionate about finding the opportunity that’s right for you. They’ll take the time to get to know you and your career goals, in order to place you in the role that’s going to help you achieve them. If you’d like to view all of our available jobs, our Job Search is a great place to start. 

Huxley takes part in the KIWL 500 bicycle charity ride

01 Jul 2019

For the second year in a row, Huxley has sponsored KIWL (The Knights in White Lycra) 500 km bicycle charity ride. Partnering with YouMeWe NPO, this charity event aims to raise funds to improve the lives of abused and neglected children who live under care in orphanage home in Japan.

Is Japan truly moving to a ‘Cool Biz’ dress code?

22 Aug 2019

Summer in Japan is getting hotter every year with a 35 degree weather as the new norm. In such soaring temperatures, having to commute to work in a suit every day is not a pleasant experience and can in fact be quite stressful. Find out how the nation copes with their new “Cool Biz” dress code for the summer.

Is Asia-Pacific the place to be in finance for 2020?

17 Dec 2019

The biggest challenge for organisations today would be to manage their evolving workforce at a time of rapid change. This is especially so within Asia-Pacific’s (APAC) robust banking and financial industry where growth can be impeded due to the lack of the right digital talent.

2019 Japan Hiring Trends Overview

24 Dec 2019