Commonwealth Bank Collaborates with Business School to Study AI in Banking
Commonwealth Bank is partnering with Melbourne Business School to enhance its understanding of artificial intelligence (AI) in the banking sector. The Australian bank, serving 17 million customers, aims to investigate how Australians perceive, use, and trust AI.
The collaboration has led to the creation of the AI Attitude Barometer, a tool designed to explore Australians’ attitudes towards AI within financial services. According to Will Mailer, Chief Behavioural Scientist at CommBank, the research will provide valuable insights as AI adoption continues to grow rapidly.
A study conducted by the University of Melbourne last year revealed that 80% of Australians are likely to trust AI when ethical and responsible practices are in place. Nicole Gillespie, a professor at the university, emphasized the importance of ensuring responsible and ethical use of AI to build trust among consumers.
Early findings from the AI Attitude Barometer show that the perception of AI introducing more risks than benefits is lower in banking compared to other sectors like media, arts, healthcare, and education. This ongoing research initiative will enable CommBank to align with customers’ experiences and provide support as AI adoption expands.
Regulators in the UK are also addressing the challenges of integrating AI in the banking sector. Concerns have been raised about potential risks to consumers due to insufficient risk management practices by regulatory bodies like the Bank of England and the Financial Conduct Authority (FCA).
The FCA recently announced a review of the long-term impacts of advanced AI in finance, known as the Mills Review. This review aims to assess the potential implications of AI surpassing human reasoning on consumers, financial institutions, and regulators in the future.
Research projects like the one conducted by CommBank play a crucial role in helping banks leverage AI effectively and aiding regulators in understanding its implications better. Banks are increasingly adopting AI technologies to drive productivity gains and enhance customer experiences.
According to a recent survey by Lloyds Banking Group, a growing number of firms are reporting AI-driven productivity gains and business growth. AI is also contributing to improved customer insights and experiences, highlighting the significant impact of AI in the financial sector.
