SAP Philippines Managing Director Edler Panlilio has shared insights on how the concept of the ‘bank’ continues to dramatically change. According to him, digital tools like Artificial Intelligence (AI) and Machine Learning (ML) influence the evolution of banks towards the future—intelligent and able to provide a more convenient and impeccable banking experience for everyone.
Panlilio added that the ongoing pandemic has made it apparent that customer-centricity and financial inclusion are still a challenge in the banking sector. The past year has significantly driven more consumers into digital banking and transactions in line with the Bangko Sentral ng Pilipinas’ (BSP) goal to reduce the unbanked population in the country.
Here are some other key points from the SAP director (excerpts from Panlilio’s own words):
Unlocking possibilities through data intelligence
With AI-enabled tools, financial institutions can effectively use and transform them into data intelligence, which is necessary for making intelligent business decisions and staying competitive and profitable. Banks need a clear data strategy to utilize the full benefits from data, which constitutes three crucial aspects.
As financial services become more available due to digital banking, AI-powered analytics can help banks differentiate themselves, particularly with the help of data intelligence. Nowadays, data intelligent banks utilize AI and ML to analyze and transform massive data sets into intelligent insights. With these insights, banks can understand better their collected information and provide better services and experiences to their customers while ensuring robust regulatory compliance and risk management.
Becoming an ‘Intelligent Bank’
Among the country’s banks that utilize data intelligence is the UnionBank of the Philippines (UnionBank). As part of its data strategy, the UnionBank accelerated its digital initiatives further by collaborating with SAP to create a new banking model to support customer-centric services.
With the help of SAP Data Intelligence, UnionBank integrated into their systems the first-known “Data Science Factory” model in SEA’s financial sector. This model can help the bank realize enhanced business management, improve internal processes, and have a better end-to-end perspective of all its operations.
Intelligent banks using this solution can easily find the most relevant data through enriched metadata tags, user-generated ratings and comments, and unified business glossaries. It can also build an enterprise data fabric that connects data silos and increases visibility into several data assets.
Making transactions easier
As UnionBank embraced this new model, the company also saw the need to improve its efficiency and communications internally, particularly since the bank handles numerous documents every day. To tackle this challenge, the bank now employs SAP Signature Management by DocuSign.
As a global reseller of DocuSign, SAP knows first-hand the great benefits that customers like UnionBank gain from the solution. It allows users to automate workflows from simple agreements to the most complex transactions like loan applications to service agreements.
DocuSign provides users the ability to send, review, and sign documents from anywhere at any time for their convenience, with network support for iOS, Android, and Windows Mobile. It also helps employees increase productivity by integrating with common document authoring applications, document management, and identity management systems.
Embracing intelligent banking
Amid the ‘never normal’ world, organizations across all industries are taking initiatives to retain their customers—banks and financial institutions are no exception to this reality. As intelligent banking becomes one of today’s most significant trends in the industry, it’s high time for banks and financial institutions in the country to embrace AI-enabled technologies for their digital transformation journeys.
Becoming an intelligent bank does not only ensure customer retention. It also enables banks to develop innovations that make for better banking experiences while helping achieve increased financial inclusion and defining what lies ahead for the future of banking.
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