FINSERV
“ We will see more personalisation in this field as fintechs in this area expand their customer base ”
NATALIE CRAMP PROFUSION
“ Right now , the biggest barrier to constructive organisational planning is decision paralysis . Leaders know that their decisions can have far-reaching ramifications . However , their organisations are too large and too complex for them to see what these could be – and they don ’ t have the data , analytical capabilities or tools in place to guide them .”
As a result , leaders are kicking decisions on the health of their organisation down the road , and missing opportunities to improve business performance , he argues .
Experts believe augmented data analytics is one of the biggest innovations to happen in the finserve space in the past decade . Augmented analytics enables banks and finserve providers to make worthwhile decisions based on the vast amount of data from the latest data streams .
Business Intelligence has also benefitted from predictive analysis and data-driven decision-making . For example , banking institutions can make their decisions by analysing customers ' feedback and raw data . Augmented analytics also helps many institutions streamline their performance metrics , such as net income , expenditure , etc , while maintaining distinct boundaries and containers .
FIVE WAYS BI AND DATA ANALYTICS ARE CHANGING BANKING
1 ) Risk Management Strategy Risk evaluation in banking is essential . Every loan and investment requires evaluation . BI tools provide banks new insights into their systems , transactions , customers , and environments to help them avoid certain risks .
2 ) Better marketing Data provides a clearer picture of customer wants , needs and preferences . Analytics draws accurate insights from that data , allowing for a much more personalised marketing approach .
3 ) Retention of high-value customers If banks can better ascertain the preferences of their customers , they can create products better suited to their needs . The knock-on effect is better customer retention .
4 ) Future-proofing By looking at past and present date patterns , better analytical predictions can be made that shape the growth strategy of the bank . Trends can be predicted and crisis management more accurately planned .
5 ) Security and compliance The latest analytic tools can assess customer behavioural predictability and are far more efficient at spotting fraudulent activity . Better BI and data analytics also provides better regulatory compliance .
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