Enhancing IOT Ecosystem in Banking Sector

Avirag Jain, EVP & CTO, R Systems

The first thought

One can connect plenty of devices and send data alerts over internet and manage an appliance, but he cannot connect humans and machines. Probably one can only send alerts based on which a human can request or perform some action(s). Sending some meaningful data to a human based on which he can perform some action is in itself a tedious talk. The sophisticated gadgets which we are using now a days and ample of data available on cloud can be used to work as your analytical brain extension.

“Banks, by using the power of IOT and its current data, can enable itself to know their customers better and offer meaningful advices”

A rough figure: over 4000 Exabyte data is available on cloud today to be explored. In past one has connected Computers to Computers over internet, and then connected mobile devices to computer over internet and now connecting everything to computers over internet. So this is how one has evolved from “A Thing on Internet” to “Internet of Things”. The implementation model lies in the name IOT— “Integrate–Offer–Transform”.

Now to mingle with this IOT ecosystem, we need humans to have a unique identity, which can be recognized by a digital device. Thinking of few, it can be ones smartphone or a smart wearable band or a smart watch. So let’s call this identity the ID@H (Identification at Human) which will become the IP address of a human being. By using this identification digital device will be able to recognize and differentiate an individual human being.

IOT in banking

IOT can touch many aspects of banking, to discuss a few:

Security:

“Enhancing security aspects of financial sector will be the best use of this evolving IOT ecosystem.”

IOT can open whole new world of connected devices to Banking network and unlock opportunities. One of prime challenges in financial world is the security aspect, in-spite of lots of measure in place, security issues are still discovered.

IOT can bring in new security paradigm to banking word by making ones personnel identity unique and make this a very robust system.

With this extra security measure of identifying an individual, bank can rely on some automated systems where in one can access the banking services without banks intervention. Banks can feel more secure when a customer with ID@H is standing in front of a teller than a customer without ID@H, who can be treated with some extra precaution. One without ID@H can have restricted access to branch and ATM rooms. ATM machines rooms installed with Retina/Fingerprint scanners can be more secure than current ATM rooms with ATM card access.

Customer Service:

“Banks by using the power of IOT and its current data can enable itself to know their customer better and offer some meaningful advices.”

Currently banks only send static information or real-time alerts based on customer’s financial transactions. By using IOT, bank can use analytics on the real-time data available in the IOT environment and send dynamic alerts and advices to customers.

Every bank will offer you similar products, will give you similar infrastructure, like ATM and branches, but how a bank services and how good it is in advising its customers makes a lot of difference.

Customer with ID@H can help the financial world to identify and offer Privilege services to an individual. Simply by using ID@H banks can sense a particular person’s visit to a branch and offer a VIP lodge access or offer some specific products on his mobile application during his presence in the branch.

ID@H can also help in banks response time improvement. The system, after identifying a person, can automatically fill customer details on the teller screen and a welcome massage can be displayed on the digital customer wall. This will help the bank to save tellers time in filling the customer details ending up a quick and personalized service to a customer.

Identifying customer visit trend is a tricky task for a bank, which if tracked can help bank to enhance it client service. A door sensor installed on a bank’s branch can be integrated with the banking systems to analyze the customer branch visit trend during a time interval and bank can arrange the staff shifts accordingly. Even based on this data, person sitting in the Bank’s Data Center can get alert to request an increase in the branch’s bandwidth.

R Systems specializes in offering a rich array of Banking and Finance services and solutions to meet the distinct and diverse needs of the sector. “In our Banking and Finance COE located in India and US, we walk an extra mile to help global Banking and Finance institutions to enhance their efficiency and serviceability,” says EVP and CTO, R Systems. “For ISVs catering to Banking and Finance domain, we offer Outsourced Product Development Services using our time-tested and proven model of iPLM. This ensures transparency, quality and cost effectiveness.”