Refurbishing the Finance Industry with Cognitive Computing

By CIOReview | Wednesday, June 26, 2019

Customers expect the automation to be more human-centric and cognitive technology plays a crucial role in that direction.

FREMONT, CA: Whether businesses are using enough intelligent technologies is a hot topic for debates. But the more important aspect is whether the technologies in-use intelligent enough. The meaning of intelligence in this context is whether the technologies are positively impacting the workflow of an organization. In the case of finance, artificial intelligence (AI) promises unprecedented levels of automation and efficiency. However, despite the contributions of AI in finance, the current applications are just leveraging a minuscule portion of the AI capabilities.

As AI technology evolves in the next few years accompanied by the emergence of better applications, the primary use cases of the technology such as text prediction on the smartphone keypad will become the minimum requirement in the future applications. The system-generated transaction details, demographic-based emails, the automated procedure of issuing debit or a credit card, and SMS based security messages for online shopping were once essential use cases. Today they are just a part of the operations all over the world. Today, AI is evolving through its branches like deep learning and getting better at the problem-solving pattern of humans. Cognitive technology is a development in the direction.

Cognitive Intelligence

It’s a branch of computer science that enables the machines to think and behave like humans. The technology involves leveraging stacks of data and analyzing it a much deeper level than the prevalent AI-driven systems.

Cognitive Technology Shaping Finance

Apart from automating administrative tasks and back-ends, technologies are also engaging in customer-facing activities. While the customers are not opposed to these technologies, they expect the automation to be more human-centric. Thus cognitive technologies in finance will play a key role in enhanced customer experience in the future in the following ways:

In-Depth Knowledge of a Customer

Most of the existing tools cannot generate relevant information from the available data because they cannot process human languages that form a significant portion of the unstructured data. With cognitive computing, advanced human languages can be processed, enabling financial institutions with better consumer insights.

Automated Solutions for Complex Issues

Chatbots are getting increasingly ubiquitous across business websites. However, their applications are limited to simple queries and issues. A complex problem necessarily requires human intervention. With the help of cognitive computing in finance organizations, even the highly complex issues can be handled without the need for human interference.