With data analytics and AI, the banking and financial services industry (BFSI) is embracing big data to increase organizational success and ensure risk management, profitable growth and efficient performance. The global market size of big data analytics in the BFSI sector is expected to exceed $86 billion by 2027. The recent growth in velocity, volume and variety of banking and financial data has prompted the industry to utilize data analytics to extract insights from multiple sources. AI technology. Additionally, tech powerhouses such as Google, Amazon and Paytm have entered the BFSI space in recent years by expanding their services and creating payment and banking applications.
The pandemic has brought several obstacles to BFSI business. Implementing digital transformation, including artificial intelligence (AI) and other cutting-edge technologies to speed up operations and successfully serve consumers, has helped businesses succeed. The servicing model on which the industry relied just a few years ago needs to be updated. As an industry, businesses must continually innovate and stay relevant and ahead of their competitors.
But how will these technologies help the new generation and established players in the BFSI industry create efficiencies and enhance customer service?
- Seamless customer service: During the pandemic, the industry’s most important issue was to meet client requests error-free and provide uninterrupted and timely service. Thanks to AI, financial institutions can now return to inquiries and information, develop services that seamlessly meet the needs of all their customers, and enjoy banking from the comfort of their own home without going to the bank. rice field.
- Interactive agent: Interactive Agent is an AI-enabled tool that helps banks and financial institutions recognize and respond appropriately to customer situations and emotions via text chat. This AI capability will help BFSI save not only time but also money and improve efficiency.
- Speed, flexibility and agility: Unlike traditional banking, AI and data analytics have provided unparalleled services with greater speed, agility and flexibility. We made the system paperless and made it possible to instantly retrieve any information and provide it to our customers. In addition, AI has facilitated many activities for customers and enabled them to perform various transactions from home.
Why does the BFSI sector need AI and data analytics?
Our banking and financial business relationships with our customers are based on trust, loyalty and personal service. However, as services and products become more sophisticated, there is a growing demand for effective decision-making tools that enable more thoughtful decisions to produce better business outcomes. Just looking at the materials and diagrams won’t affect your business. The BFSI industry should use that data to analyze and make better decisions. After analyzing the data, you can decide how to optimize revenue while improving business connectivity and customer service.
Data analytics and AI have become necessary ingredients for the banking industry and financial institutions to operate well. With continued development and innovation in banking and financial services, AI will enable BFSI organizations to readily leverage human and machine skills to reduce costs, increase productivity and maintain safety. . By automating employee knowledge, he not only strengthens the BFSI business, but also protects the entire automation process from increased cyber risk.
Start building a data-driven company today to help your industry better meet client demands.
(The author is Praveen Paulose, MD and CEO of Celusion Technologies, and the views expressed in this article are his own.)
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