Fight or befriend AI? ?? What about buying a leash for it?

Businesses are faced with a crucial decision: to embrace the advancements of artificial intelligence (AI) or to resist them. Drawing inspiration from the ancient Chinese military philosophy of Sun Tzu, who once said, "Keep your friends close and your enemies closer," we can apply this wisdom to the modern business landscape, especially in the finance industry.

The Chess Game of Business and AI

Just as in chess, where players anticipate their opponent's moves, businesses today must strategize by keeping an eye on their competitors while also introspecting their own performance. The goal? To outmaneuver the competition in terms of profit and revenue. The financial results of 2022 highlighted the inclination of banks, non-bank lenders, and financial organizations towards innovation in their business processes.

A closer look at banks embracing AI

Let's take a look at how the major Wall Street banks are integrating AI. Here's a brief overview, but for a deeper dive, you can refer to this article on Bloomberg .

Deutsche Bank AG: They are utilizing AI to scan wealthy client portfolios, aiming to provide more tailored financial advice and services based on the insights derived from these scans.

ING Group NV: The bank is employing AI to screen for potential defaulters, which can help in early detection of financial risks and enable the bank to take preventive measures.

Morgan Stanley: The bank's approach is more exploratory. They mention that their bankers are "experimenting" with AI in a "safe and contained environment." This suggests that they are testing various AI applications to determine the best fit for their operations.

JPMorgan Chase & Co.: They are aggressively expanding their AI talent pool. The bank is advertising more AI roles than any of its competitors, indicating a strong push towards integrating AI into their core operations.

I just have to talk about Saudi Arabia when it comes to this. The nation views AI as a tool for achieving sustainability and increasing inclusivity in their economy. Such is the importance of this technology that it's being incorporated into their Vision 2030 development program. Long story short, this program will boost the #fintech sector in KSA and will profoundly impact nearly all areas of Saudi life. I’ve delved deeper into this topic in a recent article, so… Check this out for more info!?

The Evolution of Financial Institutions' Perception of AI

Previously, financial companies were wary of AI due to its unpredictability and complexity. However, today, AI is steadily climbing the ranks of must-have technologies in the banking and financial sector. Gartner has highlighted a range of tasks and opportunities for automating human work and enhancing interactions with clients and employees.

The question then arises:?

Is AI an enemy that might take away jobs, or is it a friend that can enhance efficiency within a team? The answer is multifaceted and largely depends on individual perspectives and adaptability.

The answer is both simple and complex: it all boils down to your perspective. Flashback to 2019: I was grinding away in a bank and juggling my MBA classes. The idea that a machine or software could rival me seemed far-fetched.

We've always believed that customers crave that personal touch, that human interaction. After all, humans can empathize, navigate cultural nuances in conversation, and manage their emotional intelligence to achieve results. You might think, "There's no way a robot can outsell a human." But here's the kicker: they can, and sometimes they even outperform us. Plus, robots don't need to put food on the table, so no salaries required. ?? The introduction of chatbots in banks has shown performance levels that sometimes surpass human customer service reps. And get this, "... businesses can reduce customer service costs up to 30% by implementing conversational solutions using chatbots." Check out this article for more on that.

So, does this mean workers - whether they're in pink, white, or new-collar jobs - should view AI as the enemy? Hold one. Take a breather, maybe brew some coffee. Abraham Lincoln once said, "There is no better way to destroy your enemy than making him your friend." This sentiment has split the tech world: some criticize AI for its potential to disrupt the global economy and spike unemployment rates. Others see AI as a boon, a partner that can help streamline tasks and boost personal performance metrics. Back in 2019, I sided with the skeptics. But now? I believe our future lies with teams and institutions that can merge human and artificial intelligence. In other words, we need to keep AI on a leash. But how?

By 2023, the SYNERGY of "human capital + AI" has become the yin and yang of the financial business world. They complement each other. Humans drive innovation, set goals, and manage both academic and emotional business channels. Meanwhile, AI handles the grunt work, crunches massive data sets, boosts business conversions with its rapid information processing, and even generates fresh ideas and content. The benefits are endless, but for a real-world example, check out this or this case study.

The bottom line? For AI to be a force for good, it needs a guiding hand. In the business world, that means a dedicated team. This team sets the rules for AI and monitors its impact on key business metrics, like ROI. Here's an insightful article on the ROI of implementing AI in financial services .

But a word of caution: to ensure AI doesn't "bite the hand that feeds," businesses must continually upskill in AI, stay updated on the latest trends, and be fearless in testing new applications. That's why our team invests so much time in onboarding our clients through articles, video tutorials, and one-on-one interactions.?

Today, GiniMachine AI's clients and partners are leveraging the platform not just for credit and collection scoring optimization but also for training their teams in AI, understanding machine learning product principles, experimenting with data, and much more. Whether you're an analyst, a data science specialist, or just curious, GiniMachine AI offers tools for instant processing of vast historical data sets, data segmentation, pattern recognition, and even assessing data readiness for modeling - the train & test process. No matter your current role, it's time to befriend AI.?

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