The Fourth Industrial Revolution : reshaping the fabric of finance ?
Driven by ever advancing scientific and academic progress and the boundless energy of a few colossal tech giants, a new wave of technologies is poised to impact the industrial and service landscape on an unprecedented scale – and in that way, alter the relationship between companies and individuals.
At the onset of the so called ‘Fourth Industrial Revolution’, it’s clear technologies as varied as supercomputing, gene editing and self-driving vehicles all have the potential to upend vast industries. In the Financial Services industry as we know it, this revolution has already started. Although less obvious to the naked eye, the consistent application of Artificial Intelligence to core banking processes, carries the same far-reaching potential as some of the more visible elements that will characterize the ‘Fourth Industrial Revolution’.
Far from being a future phenomenon, AI is already changing banks and insurers – and their customers – as we speak. In a quest for deeper customer intimacy and increased productivity – and motivated by not a little fear of the aforementioned tech giants – banks and insurance companies around the globe have decided not to wait to implement advanced computing and artificial intelligence with a bang, but to start implementing these technologies at a piecemeal pace, realizing iterative improvements across the board.
Although a fundamental cornerstone to the fabric of the ‘Fourth Industrial Revolution’, the known- how for AI-technology has probably been around longer than most readers of this article. Many of the ideas and algorithms supporting todays revolution, where conjured up in the Fifties, Sixties and Seventies. In order to realize the full potential of these ideas – two elements were missing : data and computing power. Fast forward to today – the exponential growth in the number of financial transactions occurring across the world mean banks are sitting on piles of client data. Computing power meanwhile has become an ordinary commodity.
Just as sure as self-driving vehicles will upend the transport industry, and health care will be altered by advanced medicine, banking and insurance companies will fundamentally change due to the tectonic shifts driven by the promise of AI. The most clear-eyed amongst them are not merely giving teams of data-scientist and PhD’s the freedom to experiment in creating new value-propositions for their customers, they are also installing a data-driven culture. Perhaps the most important ingredient in the AI-mix, turning their institutions from a traditional bank or insurance company into a data-centric enterprise, will allow them to compete with whomever ‘wins’ the AI-race.
This is where DynaFin comes into place. At DynaFin we have years of experience not only in operational excellence, we also have a firm understanding of the core banking processes creating value for our clients. Our unique market position allows us to help you – and help you both in the short term and the long term.
The experience gained by our consultants in the field of Robotic Process Automation and Intelligent Process Automation means we can help your organization identify and materialize the short-term benefits in increased productivity and lower operational costs. Our strategic partnership with BrightKnight allows us to implement these technologies in your organization. Finally, our long-standing focus on operational excellence and our more recent foray into data-quality and artificial intelligence, mean our consultants will be able to rally help prepare your organization for the future – whatever it might bring.