The hype around automation and AI has risen to a fever pitch over the past few years. Meanwhile, FIs also find themselves facing new challenges that have boosted the appeal of AI-based technologies. For example:
- Regulatory pressure. New regulations, and the massive volumes of data required for compliance, need new tools to address them.
- Ballooning staff numbers. To deliver compliance, FIs have also hired many new FTEs to aggregate and report on the risk data
- processed within their organizations. AI presents new opportunities to optimize workloads and manage costs.
- Data demands. The vast lakes of data generated by digitization and its ‘3Vs’ – volume, variety, velocity – present significant integrity and control challenges, which can be effectively addressed by AI.
Facing these difficulties, FIs’ system selection staff must ensure they have the knowledge to cut through the hype to find the right systems and supporting architectures to address their specific use cases.