Artificial Intelligence within Banking Sector

Running head: ARTIFICIAL INTELLIGENCE WITHIN BANKING SECTOR
Artificial Intelligence within Banking Sector
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1ARTIFICIAL INTELLIGENCE WITHIN BANKING SECTOR
Table of Contents
1. Introduction..................................................................................................................................2
2. Discussion....................................................................................................................................2
2.1 Impact of AI within Banking Sector......................................................................................2
2.2 Advantages and Disadvantages of AI Applications in Banking Sector................................2
2.3 Ethical, Legal and Security Implications/Concerns of AI within Banking...........................3
3. Conclusion...................................................................................................................................3
4. Recommendations........................................................................................................................4
5. References....................................................................................................................................5

2ARTIFICIAL INTELLIGENCE WITHIN BANKING SECTOR
1. Introduction
Artificial Intelligence or AI is one of the most discussed technological aspects within
every sector. The use of AI is also noteworthy within the banking sector. The various impacts
within the sector such as a stronger backend technological platform is one of the biggest assets of
the sector of banking (Russell and Norvig 2016). In the recent times, the rise of AI based
software systems and the underlying technologies have provided much help to the sector as
people mainly depend on advanced computing systems and chat-bots in order to process
commands and thus get the desired outputs. The use of this technology also helps in enhancing
the banking experience of the customers and also helps in the ease of operations within the
sector.
2. Discussion
2.1 Impact of AI within Banking Sector
The technology is a fast evolving platform. As the technology is advancing and getting
smarter in the recent years, it has led to the widespread adoption within the sector of banking.
Banks make use of AI based technologies to bring in the efficiency within their everyday
operations. The basic form of applications that are adopted by the sector of banking include the
use of smart chat-bots that are meant for customer service, providing personalized services for
the individuals (Choudhary, Akhtar and Zaheer 2013). Banks are also investing much higher
amounts for the adoption of this technology in order to bringing a huge efficiency within the
backend applications, which would also be highly useful for reducing several cases of risks and
fraud within the systems. The impact of chat-bots within the systems might also lead to the
aspect of voice based commands. This process would prove to be extremely useful as customers
would not have to type in commands for processing them. The Interactive Voice Response
System (IVRS) would be helpful for processing different kinds of requests, connecting the
customers with the customer care support and answer the queries of the customer (Jizi et al.
2014).
2.2 Advantages and Disadvantages of AI Applications in Banking Sector
The implementation of AI facility within the sector of banking has various kinds of
potential form of advantages within the banking sector. Some of the various kinds of advantages