In recent weeks, I’ve blogged about different forms of exponential technology and the ways in which these innovations are affecting (and will continue to affect) financial institutions (FIs) in the coming months and years. I’ve shared my thoughts on 3D printing, integration, artificial intelligence, quantum computing and virtual reality. Now, I’d like to take a look at sensors and robotics.
The use of sensors and robotics is an important way exponential technology is helping companies innovate. Both sensors and robotics monitor and react to humans as if they themselves were humans – capable of communicating and reacting to external stimuli.
Sensors are feeding the data appetite, enabling companies to get to prescriptive, predictive results in real-time. Although sensors are a part of the Big Data revolution, much of the information sensors provide is actually known as “small data.” Soon to number in the trillions, sensors further enable the Internet of Everything (IoE). IoE refers to webcams, pacemakers, automobiles, refrigerators, toys and “smart” clothing, all of which are talking to one another through a vast network connected to the Internet. It’s an almost unfathomable force already impacting consumer and business behavior in new and interesting ways.
Financial consulting company, Deloitte believes sensors will one day connect health monitors to investment accounts. At the sign of a serious health hazard, like a heart attack, investment accounts could automatically rebalance to limit downside exposure or transfer holdings to more liquid securities, so as to prepare the client for most-likely cash needs.
For their part, robots are already at work in many businesses. Amazon uses robots to pick, pack and ship products in more than 18 million square feet of warehouses. Last holiday season, Lowe’s added customer service robots to enhance a customer’s in-store shopping experience. Harvest Automation, a robotics company, is designing machines that take on the hard and costly labor of agriculture.
WHAT IT MEANS:
Robots and sensors in banking have the potential to reduce costs, expand skills and improve the customer experience. The growth in the power of technology, digital sensors and information processing has improved the potential of robots just as interest and investment in these innovations is building.
WHAT’S NEXT:
Interestingly, there is also a blending of virtual reality and robotics. Right now, we’re seeing it mostly in entertainment, but it doesn’t take a lot of creative stretching to imagine a day when FIs use this technology as well. When leveraged properly, sensors and robotics can be invaluable players in FIs’ continued innovation and integration.