The changing #bank branch is a twofold story of innovation and closures. The physical bank branch is by no means dead, but is trending toward consolidation or closure, as in the case of Iberia Bank in Louisiana. Earlier this week, the regional bank announced the closure of 22 #branches. CEO Daryl Byrd said the move […]
Bank Innovation
A common scene in the African savanna is a small, yellow-billed oxpecker perching on the back of a zebra. They are collaborating for mutual benefit. The oxpecker feeds off ticks and parasites that live on the zebra’s skin and—when it senses danger—it flies up near the zebra’s head and sounds a distinct warning. The oxpecker gets a free ride and a constant source of food, while the zebra gets constant pest control and a head start on predators. Each benefits from the collaboration.
Nearly 80 percent of the senior banking executives interviewed for our recent Future Workforce Survey plan to use AI to automate tasks to a large or very large extent in the next three years.
In banking, we see a similar synergistic relationship emerging #between bank employees and artificial intelligence (AI). Our analysis¹ indicates that between 2018 and 2022, #banks that commit fully to AI and human-machine collaboration could boost their revenue by an average of 34 percent and, critically, increase employment levels by 14 percent. There are many things that #machines do very well and also things that #humans do very well, but we are increasingly recognizing that in many activities, man + machine is the most powerful combination.
We are also at the beginning of a material investment wave. Nearly 80 percent of the senior banking executives interviewed for our recent Future Workforce Survey plan to use AI to automate tasks to a large or very large extent in the next three years. Findings from our 2018 North America Banking Operations Survey show that 22 percent of banks are already using AI, machine learning, and natural language processing—and another 55 percent intend to do so within the next year.
Following industries like manufacturing, banks have already embraced the power of AI to automate processes and lower costs. Yet to win against digital startups and non-banks, incumbents will need to move beyond automation—applying in more nuanced ways AI’s ability to sense, communicate, interpret and learn within a broad enterprise structure that elevates human capabilities and unlocks new value. It’s what Accenture calls “applied intelligence,” combining #technology and human ingenuity across all parts of a bank’s core business to solve complex challenges, delight customers, break into new markets and generate entirely fresh revenue streams. Rather than working in isolation, humans and machines are going to be working together just like the oxpecker and the zebra to produce a combined effect greater than the sum of their separate outcomes.
While they see the potential, most banks have yet to take a disciplined enterprise-wide approach to AI. A significant barrier is banking executives’ anticipation of resistance from employees. Most cite a growing skills gap as the leading factor influencing their workforce strategy, and they believe that, on average, only 26 percent of their workforce is ready to work with intelligent technologies.
We think this pessimism is misplaced, and that they are in for a pleasant surprise. In part two of this topic, I’ll discuss what bank employees told us about their views on human-machine collaboration.
Until then, I invite you to read the entire report to learn more.
¹ Accenture econometric modeling, “Reworking the Revolution”, 2018, page 42
The post Identifying the synergies between humans &038; machines appeared first on Accenture Banking Blog.
It was a wonderful indian summer day in Boston, Massachusetts back in 1999, sailing boats were battling it out on Charleston River, joggers lined the river #banks, and many a Red Sox fan was silently dreaming and hoping that one day, yes one day, their cursed team may win the world series again.
At the MIT Media Lab — back then, one of the culmination points where all things digital were being research and thought through by a multinational, highly switched on crowd of academics &8212; I had the pleasure to attend a conference labelled “The #Future of #Cars”, where researchers #from different faculties and Research Groups came together with industry representatives to discuss how digital will transform cars and how we will use them in the future.
To be honest, I don’t remember much from that day back then – the one example that sticks in my mind is a research project on intelligent rear-mirrors, that were able to measure objects approaching too fast and warn the driver that someone was approaching his or her car at collision course &8212; a simple algorithm that measured how fast 2D spatial objects increased in size and calcs the speed based on this.
Today, many higher end cars have similar technologies as standard built in. And the #connected car has definitely arrived. How disappointed do I usually get when I step into a rented car and find out I can&8217;t connect my iPhone via Bluetooth and listen to Spotify. Damn, feels like being thrown back into the neolithic ages.
While smart digital systems already assist and take a lot of hassle and bad moments out of the driving experience (and #some fun too, as sporty drivers like to emphasize), we are looking at a even more radical digital transformation of cars in the future. Our recent PwC Strategy& study estimates a revenue potential of >155bn USD by 2022, split across safety, autonomous driving and services delivered in and out of connected cars.
Estimated connected car revenues (and market share) by product package, 2015–22
If ongoing tests and pilots continue to build momentum, we will soon be driving without our hands on the wheel, or even sitting on a backseat enjoying the car basically drive itself from A to B. Of course the car can also inform us of any location specific things we need to know, offer us services and entertainment, or contact the closest garage, if the engine is making strange noises.
In our viewpoint on the Connected Car 2016 we are also looking more broadly at how connected cars will become a part of our daily lives &8211; the how and the why.
Prospects and profits for makers of connected cars
If interested, please have a look here
p.s.
for financial services i see a big potential in using the time we are being driven by autonomous cars more productively, e.g., engaging with my bank or FS provider around advice, reporting, transactions or just catching up in general and discussing ideas.
With the right multimedia Interfaces that experience can actually be made quite enjoyful, and people will definitely &8220;have more time&8221; and &8220;be at ease&8221; than at work or right before stepping into the car or when finally arriving at home from a long commute.
This article first appeared on LinkedIn Pulse
The post Connected Cars &8211; How To Move From A to B in The Future (And Maybe Do Some Banking in Between) appeared first on Fintech Schweiz Digital Finance News – FintechNewsCH.
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