3 ways AIOP can benefit the financial industry
by Madhurjya Chowdhury
February 21, 2022
AIOps uses analytics and machine learning to automate and improve IT operations
Many financial institutions are increasing their online offerings to bolster their digital presence and address growing customer reliance on virtual banking. However, the financial sector is still slow to implement automation that will increase its competitive advantage. According to Cornerstone Advisors, only 57% of banks and credit unions started digital transitions before 2021. Only 14% of those who were at least marginally in their digital transitions were using machine learning (ML).
Let’s see why enhanced automation and, in particular, AIOps are essential to be competitive in today’s financial industry.
What is AIOps?
AIOps is short for Artificial Intelligence in IT Operations. It refers to multi-layered technology solutions that use analytics and machine learning to automate and improve IT operations. AIOps platforms use big data, collecting a wide range of data from multiple IT operating tools and devices to automatically detect and respond to issues in real time while offering traditional historical insights. AIOPs are made up of Machine Learning and Big Data. To integrate observational data alongside interaction data within a big data platform, it is necessary to break out of computer data silos.
AIOP in the financial sector
Technology is now fundamental to the operation of financial institutions, with many organizations relying on technology to deliver key services. Therefore, system availability is critical to customer happiness and business performance, and systems must be continuously monitored. Modern IT architectures, on the other hand, are fragmented, complicated and interconnected, and the data is too big for the human mind to handle.
Artificial intelligence for IT operations is now available (AIOps). Artificial intelligence is used in AIOps technologies to help SRE teams and DevOps practitioners monitor complex IT stacks, identify – and even predict – events, and provide actionable insights into repairs.
Here are some specific ways AIOps can help the financial industry:
Improve the customer experience
Consumers today have no tolerance for delays, and the stakes are especially high when it comes to personal finance. AIOps technologies help prevent downtime affecting customers by quickly locating and identifying issues within a system and establishing their root cause. As a result, service assurance improves and mean time to resolution (MTTR) decreases, resulting in satisfied customers.
Defend yourself against cybercrime
According to BAE Systems Applied Intelligence, approximately three-quarters (74%) of financial institutions in the US and UK experienced an increase in cybercrime from March 2020 to March 2021. AIOps can help defend against the cybercrime and its potentially disastrous risks. financial consequences for companies falling stock prices, reputational damage and legal action, in addition to known monetary losses. AIOps products provide round-the-clock monitoring, detect suspicious behavior and initiate defensive operations to secure vulnerable systems.
Free up time to innovate
While SRE and DevOps teams should develop creative technology that delights consumers and increases profitability, many are still reactive. Without the right tools, teams can waste days wading through incidents, putting out fires, and missing strategic goals. AIOps tools free up time by automating mundane operations, minimizing noise, matching events, and increasing system visibility to facilitate team cooperation.
Digital banking will become more mainstream as people embrace the virtual experiences and flexibility of always-on digital solutions. However, financial institutions must prepare for this transformation while dealing with increased consumer expectations for availability and advanced technology, and the growing dangers of cybersecurity. AIOps is critical to solving these issues and establishing competitive advantage in today’s fiercely competitive financial industry.
Share this article
Do the sharing