siliconindia | | July 20189In next five to ten years, emerging scalable technologies like block chain and quantum computing will bring a complete paradigm shift that may not follow the traditional siloed structurestricity, it will attract more people into the market. Automation in turn will bring the efficiency by reducing the manual intervention.Cognitive Agents Engaging Front OfficeToday, most of the product distribution is done through brokerage houses and retail banks. Relationship managers of these firms play key role in distribu-tion. The products are bit complex for the average investors due to numerous asset classes. With traditional technol-ogy, it was a herculean task to build a simplified investor support system that can help customer to decide on the right product. But today, cognitive computing has made it possible to sim-plify this. In the advent of AI powered platform such as Watson, intelligent bots are being developed who can per-form majority of relationship manag-ers job. These bots will help investors in addressing their queries, explaining them about their investment perfor-mance and providing a frictionless experience to the investors. In future, these bots will be capable of interact-ing with investors on their preferred social platforms. These bots will have wider and more memorable contextu-al awareness of investors than human relationship managers, hence can pro-vide a better engagement experience. Smart Workflows and RPA will Transform Middle Office and Back Office OperationReal-time data integration and cogni-tive technologies will help in creating smart workflows for middle office processes. The complex processes such as customer on boarding will be faster and will help in creating has-sle-free processing of client requests. As the systems will start adopting new deep-learning technologies, it will make the entire middle office oper-ation automated. RPA technology is driving the automation of back office. RPA-powered Bots are replacing hu-mans in back-office gradually. Most of the firms have just started replac-ing standard manual activities with Bots. This has helped bringing down the running cost and improving the processing power of the operation. In coming years, RPA technologies will increase the cognitive power of these bots to increase their intelligence.The Orchestration will Drive the Effectiveness of the TransformationToday, most of the processes are built around the products that are traded in the market. As newer products en-ter the market the processes continue to be more complex and hence mak-ing the transformation journey cum-bersome. This requires a shift from product-centric processes to custom-er-centric processes. The only way to achieve this is by orchestrating the end to end activities in front-middle-back office and make them customer-cen-tric. For example, cognitive agents at the front office should be able to drive intelligent work flows that are directly integrated with back-office bots. The Challenges In Driving The TransformationDigitalization has multiple challenges. The current transformation approach through digitalization and automa-tion are still build on top of legacy structure. The technologies some-times are not scalable due to design limitation and lack of skill availabil-ity. In next five to ten years, emerg-ing scalable technologies like block chain and quantum computing will bring a complete paradigm shift that may not follow the traditional siloed structures. Hence, the market should start relooking at its core structure. Traditional front-middle-back office model should be demolished. By le-veraging on emerging technology, a new customer-centric model should be developed which will help adopt-ing the future technologies faster. This will help in increased participation and reducing the risks. Suvrata Acharya
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