Issue link: https://read.uberflip.com/i/1381490
May 2021, IDC #AP43050717e IDC PERSPECTIVE Four at the Forefront: Shining Examples of AI Leaders in Asia/Pacific Financial Services in 2021 Michael Araneta Sneha Kapoor Xiao Liu EXECUTIVE SNAPSHOT FIGURE 1 Executive Snapshot: Current State of AI in Asia/Pacific Financial Services Source: IDC, 2021 • Pay attention to the two I's highlighted in this report: Integration and industrialization of AI capabilities will fortify AI strengths and therefore will open a wider gap between early adopters and laggards. Financial institutions need to position themselves well in this apparent race for first-adopter advantage. AI should be taken out of the sandboxes and pilots that it has been kept to in many organizations. • Build on the fundamentals of data quality. Interestingly, machine learning (ML) has been proven to support the move to high-quality data useful for AI projects. • Watch for a rapid takeoff as more use cases are encouraged by early shining wins in AI. Key Takeaways • AI use cases most frequently reported in Asia/Pacific are fraud management, recommendations, automated customer service agents, automated threat intelligence and prevention systems, and sales process automation. These use cases are seen across four institutions profiled. • Banks and insurers leading in AI have succeeded by integrating new AI/ML capabilities with investments in data management, data analytics, robotic process automation, and others. They will continue to succeed by industrializing the process of developing and using AI throughout the enterprise. • As banks ramp up the virtuous loop of AI, we note greater use of cloud and cloud technologies for AI/ML applications and tools. There is growing correlation between cloud usage and AI capabilities. Several initiatives undertaken by four Asia/Pacific financial institutions are emblematic of the current state of artificial intelligence (AI) adoption in the industry. With these projects, AI is no longer just in pilot or a standalone project or solution. AI has now become a combination of complex and interconnected technologies, engines, and processing units to multiple tasks to meet ambitious business objectives. AI is showing economies of experience, creating a virtuous loop of benefit for these institutions. Recommended Actions