Artificial intelligence and machine learning technologies

Artificial intelligence and machine learning technologies in bank processesSpeaker – Alexander Ozerov

Colvir Software Solutions

Colvir Software Solutions was established in Great Britain in year

2000 as a software company with its business focus in the development,

implementation and support of end-to-end integrated solutions designed to

automate the core business, financial and administration activities of banks,

post offices, other businesses and public finance institutions.

20 yearsin the Banking IT Market20

present in 20 Countries600+successfully Implemented Projects

14R&D Offices

450+employees

Colvir Lines of Business

Multichannel Support Core Banking Treasury

Corporatetreasury

ERP AnalyticalPlatform

Colvir CESB Colvir AI100+MODULES

AI in banking

AI use cases in 2020

Use case

AI solutions application

AI technology

AI basic elements

The AI Stack

Customer service Sales and marketing Fraud management Financial advisory KYC

Virtual assistants Cognitive automation Bots Industry

Expert SystemsFace and voice

recognition

Machine learning Deep learning Naturallanguage processing

Natural language generation

Facerecognition

Data and Analytics

Intelligent automation of functions such as payments reconciliation, and trade documents scrutiny

Operationalefficiency Customer service

Chat-bots and virtual assistants usage will bring tangible results in efficiency and costs cut.Hyper-personalized recommendations at scale on self-service channels based on data from bank, third-party channels, mobile usage pattern, and other sources

Fraud detection and Risk management

AI-based identity verification/user authentication applications such as “Smile to unlock” and “liveliness” checking will gather momentum Investment in AI, esp. machine learning and deep learning platforms for regulatory technology and cybersecurity will increase

AI&ML technologies in Enterprise

Data and ETL

Middleware

Languages

Colvir Banking System and AI&ML usage

17

35

26Colvir

BankingSystem

Colvir AMLAnti-money laundering

Colvir AICashflowCash flow forecast

Colvir Smart Management

Assignments and tasks distribution

Colvir AIChatbotIntelligent chat bot

Colvir AIProfileCustomer needs

determination

Colvir AIOpsInfrastructure failures

predictions

Colvir Employee AttritionEmployee termination forecast

4

Colvir AI ChatbotTool allowing to build high-level customer support

What is Colvir AI Chatbot

That’s a technology that allows bank to reduce the cost of customer support, as well as improve the quality and speed of services.

Technology is based on the Colvir AI Engine that allows to:

Accurately identify the context of the issue within client`s correspondence history

Automatically suggest a solution to the client's problem by requesting the necessary data

Send a question to specialists or to support if no suitable solution has been found

Colvir AI Chatbot

Colvir AI Chatbot

Users

Colvir AI Engine

Support Chat

L3

L2

L1

AutomaticProblem solving

IT Support Analytics

Support Issues Tracking SystemIT Support Levels

Colvir AI ProfileSelection of the best possible product for the client

What is Colvir AI Profile

Colvir AI Profile allows bank to offer a client the product that could be of potential interest to him.

Product selection is carried out by determining the similarity of the client's digital profile with the impersonal profiles of other bank clients.

Colvir AI Profile

Colvir AI Profile

DataUsers cluster

Product 1Product 2Product 3Product 4

Product 5Product 6Product 7Product 8Product 9

Digital profile

1

Digital profile closer to cluster or ?

Data

Data

Colvir AI Engine

Users cluster 21 2

Colvir’s Solution of Employee AttritionA state-of-the-art service making life easier for the HRD and for business

Colvir Employee Attrition means:

A service that leverages machine learning and artificial intelligence technologies to facilitate reduction of operational risks and costs of finding, adapting and training of new employees, thanks to:

Creation of a probability-based employee dismissal model

Construction of predictive analytics

Forecasting of future employee behavior

Employee dismissal model outcome interpretation and visualization

Creation of a probability-based employee dismissal modelColvir Employee Attrition

How Colvir Employee Attrition works

1. We define parameters for use in employee behavior analysis.

2. We prepare a data set needed to put together a sample for training and testing purposes

3. We use historic data to build a reference behavior pattern for the employee to be dismissed

4. We process data for the selected employee for the requisite period leveraging the neural network feature

5. We identify employee behavior deviations from the reference behavior pattern

6. We calculate the employee dismissal probability

7. We visualize the data for subsequent review and decision making

Key Components

AI AnalyticalSystem

Training Sample Reference Model

Data to Be Analyzed Database Data Visualization

Employee outcome sampleH

igh

quitt

ing

risk

Qui

ttin

g ris

k –

3 m

onth

s

Low

leve

l of

empl

oyee

qui

ttin

g (d

ism

issa

l ris

k) 0

10

20

30

40

50

60

70

24.10.18 09.12.18 13.02.19 29.04.19 14.07.19 16.09.19 18.11.19 05.02.20 28.04.20Вероятность увольнения, % Среднее за 4 нед., %Dismissal probability, % 4 weeks average value, %

Colvir AIOpsIntelligent superstructure for infrastructure and application service monitoring systems

End user issues may escape being noticed

IT incidents may occur at different service, platform or infrastructure levels. If one were to consider just availability of individual system elements, it may be quite high, yet the system may not be available to the end user for an extended period of time.What makes it more complicated is the fact that problem solving approaches may differ quite dramatically at different IT tiers.

Application

JEE Server

Database

OS

Network

DDoS

End User

99,5%

99,6%

99,7%

99,1%

99,4%

99,2%

75%

Our approach: we must anticipate service unavailability at each IT tier

What is AIOps all about?

AIOps input accepts both historic and current real-time data, loads such data to the data warehouse and processes them leveraging artificial intelligence and machine learning technologies.

* based on articles published by Gartner in 2018-2019.

AIOps Flowchart*

Monitorin

gAnalysis

Actions

Big Data

MachineLearning

Monitoring System Data

Historic Data

Data available online

LogsMetrics

ChannelsText

Documents

Historic Analysis

Anomaly detection

Performance Analysis

Searching for Inter-relationships

AIOps embraces leveraging Big Data, machine learning and data visualization technologies to detect inter-relation among IT landscape events and to facilitate early detection of anomalous system object behavior.

Colvir AIOps is a monitoring systems superstructure for infrastructure and application services

HTM (Hierarchical Temporal Memory) artificial intelligence algorithm designed for anomaly detection in data flows

Application Performance Monitoring (APM) Approach

Infrastructure resource analysis with reporting of potential (predictive) threshold excess

Provision of information with regard to current infrastructure bottlenecks

Colvir AIOps facilitates real-time extraction of critically important information from the flow of infrastructure and service error data, identify cause-and-effect relations of errors occurring in the IT landscape, detect anomalies and forecast future events.

Anomaly Detection Implementation Method

Metrics + Time SDR

Learning Algorithms

Оценкааномалии

EncoderAnomaly

Evaluation

Forecasting and Classification of

Detected Anomalies

Infrastructure Monitoring Systems

etc.

The Reporting module will be unavailable during the next 12 hours with 85% probability caused by database overloading

Functional Flow ChartMobile Application Mobile Device 1

iOSAttritionSDK

AndroidAttritionSDK

User Scenario / System Metric



…

AnomalyLocal Database

MetricsWeek 1

NeuralNetwork Training Neural Network

Metric Flow

Web

AttritionSDK

Anomaly

…

Infrastructure

AttritionSDK

Anomaly

https https https

Health Web Service

Receipt of summary anomaly information, analysis performance

and trend forecasting


Colvir Banking SystemCore Banking System from Colvir Software Solutions

Use of AI&ML in Colvir Banking SystemColvir Banking System – is a state-of-the art core banking system localized for Azerbaijan, taking into account all relevant legal requirements, translated in the Azerbaijani language and designed to improve customer experience.

Standard Colvir CBS functionality comprises:

modules designed to automate all standard banking business processes and products

a state-of-the-art service bus including an API tier that can facilitate simple and quick integration

a Data Warehouse to support construction of regulatory and management reports, data retrieval and analysis from diverse sources

a product factory

a report builder

a template builder

BPM

in Azerbaijan include Ziraat and AzerPost

35banks throughout CIS

2

Alexander Ozerov – Head of AI&ML department [email protected] +7 904 422 9528

Denis Yudin – Head of Sales in [email protected] +7 963 655 42 37

[email protected]

London / Istanbul / Moscow / Minsk / Tashkent / Nur-Sultan

Today and tomorrow we will be happy to welcome you

at our booth