AI has displaced blockchain as the most popular technology buzzword, but AI is a huge exaggeration. Instead, consider the Mercator term Software Savants. This term much more clearly delineates what the current technology is capable of and hence where it will have an impact. This article is a recap of an Accenture survey that indicates bankers are very worried regarding the impact of AI on their business. Rather than review the responses bankers provided to the survey, it is more important to look at the three recommendations that Accenture identified:
“Accenture believes there are three actions that need to be taken immediately to benefit from the potential of artificial intelligence.
1. Ensure that there is a well-defined strategy for the use and application of data. Beyond an analysis of how data will be used, there needs to be an agreed upon understanding of the role AI tools can play to help build value for data for employees and customers.
2. Explore the feasibility of developing an AI ‘Center of Excellence’ that can provide a central capability that can be applied across the organization. This may include external resources that can provide flexibility and agility.
3. Create a scalable test-and-learn environment that can explore AI and cognitive processes, speeding up the innovation process.”Mercator agrees with these items but would suggest Accenture failed to recognize a key additional consideration which is this. Savants can identify associations between data that humans miss and FIs have access today to a broad range of data elements utilizing APIs and cloud technology. As a result, executives should carefully consider which third party data, when properly analyzed, will deliver higher engagement and greater value to customers.
Overview by Tim Sloane,
VP, Payments Innovation at Mercator Advisory Group
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