After over 30 years at the intersection of technology and sociology, I’ve witnessed a fascinating evolution: the digital age has bestowed upon us incredible tools that, when wielded wisely, can bridge the gaps that historically isolated banks from their customers and non-customers from the financial system.
We are at a critical moment, where technology, far from being an obstacle, can be the bridge that unites us all. Digitalization doesn’t have to be cold and alienating; Instead, it can and should be a tool to improve the connection and understanding between banks and their customers.
After more than 30 years at the confluence of technology and sociology, I have witnessed a fascinating evolution: the digital age has offered us incredible tools that, when used well, can close the gaps that have historically isolated banks from their customers and non-customers from the financial system.
The relationship between technology and people, which ideally should be synergistic and enriching, is beginning to flourish as institutions take a more human, customer-centric approach. Digitalization doesn’t have to be cold and alienating, creating more gaps. It can and should be a tool to improve the connection and understanding between banks and their customers. For example, the implementation of artificial intelligence (AI) in the financial sector. If handled ethically and transparently, it can improve accuracy and efficiency, allowing employees to spend more time on high-value tasks that improve the customer experience.
Gap between banks and customers
The gaps between banks and their customers can be closed through the smart use of technology that simplifies and demystifies financial services. Financial products, often seen as complex and full of inaccessible jargon, can be redesigned to be more intuitive and easier to understand. Banks such as the UK Savings Bank have implemented “plain language” policies. This has resulted in its services being more accessible to all users, demonstrating that clarity and simplicity can coexist with financial innovation.
Gap between banks and non-customers
Financial inclusion for those who have traditionally been excluded from the financial system is now more possible than ever. Banks are beginning to understand that they can expand their customer base while also playing a vital role in improving economic equity. With programs like Grameen Bank’s microfinance in Bangladesh, which provides small loans to low-income entrepreneurs without requiring collateral, they are not only closing the financing gap, but fostering economic development from the bottom up.
Gap between technology and people
Technology, rather than being a barrier, is emerging as a key enabler of inclusion. With the universal design of financial products and improved access to internet devices and connections, we are seeing a future where everyone, regardless of technological ability or economic status, can benefit from financial services. Education and training programs can help everyone navigate this new digital world, ensuring that no one is left behind.
Gap between the use of AI and employees
As for AI, far from threatening employment, it offers the opportunity to redefine roles and improve human capabilities. Human-machine collaboration can enrich the workplace, allowing employees to focus on creative and strategic aspects of financial service. By integrating AI ethically and responsibly, we can maximize its benefits while minimizing risks.
I choose to be an optimist
In this era of digital transformation, financial sector leaders have a golden opportunity to lead by example. We can use technology not only to improve efficiency and profitability, but to make financial services more inclusive, equitable, and compassionate. By addressing these gaps with a spirit of innovation and a commitment to social welfare, we can ensure that this era of technological innovation is remembered not only for its technical achievements, but for its contribution to a more just and equitable future for all.
