TITLE:
A Literature Review on the Impact of Artificial Intelligence on the Future of Banking and How to Achieve a Smooth Transition
AUTHORS:
John Smit
KEYWORDS:
Artificial Intelligence, Machine Learning, Human Intelligence, Human-Machine, Co-Intelligence, Operational Efficiency, Service Standards, Risk Management, and Banking Industry
JOURNAL NAME:
Open Journal of Business and Management,
Vol.12 No.1,
January
30,
2024
ABSTRACT: The banking industry significantly
impacts individuals, businesses, and the economy. While it has made progress in
adopting Artificial Intelligence (AI), it has also encountered some challenges. The banking industry is transforming significantly due to adopting AI-based
technology across all banking disciplines, including the front, middle, and back
offices. While the AI benefits are significant, its challenges require careful navigation.
Undoubtedly, AI will continue to significantly contribute to how banks conduct their
business in the future. To remain competitive, banks must introduce the technology
and continuously deepen its application. However, a sound upfront understanding
of its potential benefits, challenges, and critical implementation milestones will
be essential to achieve optimal success from its implementation. Based on an investigation
of peer-reviewed literature, the paper explores the benefits and obstacles of incorporating
AI technology into the banking industry and recommends critical success factors
for its implementation.