Data analytics and generative AI are revolutionising the approach organisations take to software development, testing, and delivery, enabling standardisation and scalability across the board, including test automation and management. Like other sectors, banks and building societies struggle to match the rate of transformation necessary to maintain a competitive edge.

Financial institutions leveraging these technologies are uniquely positioned to capture valuable information for the onboarding of employees and customers, accelerate ID verification, maximise speed to personalisation, and more to enhance the customer experiences and cross-sell/upsell opportunities. 

What is driving the banking transformation today? 

Technology, innovation, and workforce transformation are reshaping the banking industry. But companies are struggling to align these people, processes, and technologies in the right place and at the right times. According to a recent report by EY, 38% of banking leaders say transformations underperform against key performance indicators (KPIs). In parallel, two-thirds (67%) experienced at least one underperforming transformation in the past five years.

We found there are a few other areas where financial services companies are feeling the pressure to modernise, and should be included in any transformation strategy: 

Shifting customer expectations and experiences: Consumers have grown to expect a personalised experience in every application, and that assumption extends to their bank. More customer interactions are moving out of the branch and onto a smartphone screen. Technology is becoming more sophisticated and pervasive throughout financial services. 

Repurposing branches: Traditional banks and building societies face the huge task of repurposing their branches, especially in the aftermath of the COVID-19 pandemic. It is certainly worth considering how a branch network could work alongside complimentary services in the community and how they may be the lifeline in rural areas. 

Frictionless and omnichannel outcomes: Frictionless e-commerce experiences do not necessarily equate to e-wallets or contactless payments. As customers expand and deepen their use of digital technology, financial services providers have a greater incentive to capitalise on omnichannel banking experiences. The proliferation of devices and interfaces allows businesses to meet the customer across every touchpoint and deliver a highly personalised, high-quality experience.

Usage of generative AI for testing in banks and building societies

AI performs repetitive, hard skills such as basic automation, data entry, and more, leaving humans to handle the innovation, the ideas, and the creativity.

Generative AI, like Chat GPT, can currently only do any actions it is told to perform. When it comes to test automation and management, AI must be trained to manage different scenarios. 

Automated testing and test management can be used to test a wide range of banking-related processes and systems, including online banking systems, mobile banking apps, and back-end systems for processing transactions and managing customer data. Moreover, generative AI can be leveraged to augment these tests, specifically in terms of security. It can simulate diverse and complex scenarios that might be overlooked in manual testing, helping to identify potential vulnerabilities, and ensuring that systems are sufficiently fortified against threats. This is crucial in the world of banking, where security and trust are paramount. The key is setting the standard for fast and fail-safe onboarding when banking in a generative AI world.

Regulatory compliance emerges as the most significant consideration in deploying test management solutions in the financial services sector. Regulatory bodies enforce stringent rules to protect consumer interests and maintain the industry's integrity, and any technology employed must adhere to these. Any failure to comply could lead to severe penalties and reputational damage. Therefore, any test management solution must be not only robust and efficient but also fully compliant with the relevant regulations.

Unlocking the value of test automation for a brighter future

It can be an exceedingly challenging task to evaluate financial services applications. The task does require working with an experienced testing partner, and that’s where DXC and Tricentis, a test automation platform, can help. 

Unlocking the advantage of AI for banks and building societies means leveraging unique subject matter expertise to build robust digital testing solutions. The first step to getting there is establishing a technological foundation to drive your testing automation and management strategy. So as a bank or building society, whether you want to test your mobile app or your website, Tricentis and DXC can work together to improve quality and reduce testing time significantly while checking the boxes for security, flexibility, and ease of use.

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To discover more about how DXC and Tricentis could help your business, visit: dxc.com/us/en/industries/banking-and-capital-markets