The potential of AI in resolving financial services providers’ challenges

AI (Artificial Intelligence) has already become a part of our daily lives, with tools like ChatGPT being widely used. However, AI is being used even more extensively in the background of the financial services industry. In a recent interview, Bryan McLachlan, Managing Director for Africa at CyborgIntell, spoke about how AI is being used by insurers, lenders, and banks to predict fraudulent activities, identify customers who may stop using their services or stop paying, and classify transactions. In fact, according to a McKinsey report, the global banking sector could source about $1 trillion in value through AI. 

While AI is being extensively used in the financial services industry, there are still some challenges that need to be addressed. McLachlan identified five key challenges, which include a shortage of qualified talent, the time it takes to deploy AI projects, the difficulty in trusting AI, the risk of a model failing, and the ethical considerations surrounding AI. 

However, McLachlan believes that these challenges can be addressed through new-age AI technology, such as that offered by CyborgIntell. Their technology enables AI project timelines to reduce from three to six months down to one to four weeks. Additionally, their platform automates the entire data science process, including data preparation, model building, model deployment, and ongoing risk management. By automating the entire process, the cost of the project is reduced significantly. 

Moreover, CyborgIntell’s technology makes it possible to explain every decision made using AI models in real-time, which helps build trust among stakeholders. This is important because stakeholders, including regulators, customers, and shareholders, need to understand what is happening with the AI models. By making the outcomes of AI models fully explainable, companies can ensure transparency, which is crucial for building trust. 

According to McLachlan, companies that are involved in AI projects that take longer than a month are doing something wrong. In other words, it is possible to get a quicker return on investment (ROI) by using a service like CyborgIntell. By reducing the deployment time of AI projects, companies can get their AI solutions up and running quickly and start seeing the benefits of AI sooner. 

In conclusion, AI is transforming the financial services industry in many ways. While there are still some challenges that need to be addressed, new-age AI technology is making it possible to automate the entire data science process, reduce the deployment time of AI projects, and build trust among stakeholders. By using AI solutions, financial services companies can source significant value and get a quicker ROI.  

The future of AI in the financial services industry is exciting, and companies that embrace it will be at the forefront of innovation. 

Editor’s takeout 

1. AI is being extensively used in the financial services industry, with insurers, lenders, and banks using it to predict fraudulent activities, identify customers who may stop using their services, and classify transactions. 
2. The global banking sector could source about $1 trillion in value through AI, according to a McKinsey report. 
3. Challenges in implementing AI in financial services include a shortage of qualified talent, deployment time, trust issues, model failure risk, and ethical considerations. 
4. New-age AI technology, such as that offered by CyborgIntell, can address these challenges by reducing deployment time, automating the data science process, and making AI outcomes fully explainable in real-time to build trust among stakeholders. 
5. Companies that embrace AI solutions can source significant value and get a quicker ROI.