Digital Banking Transformation: Application of Artificial Intelligence and Big Data Analytics for Leveraging Customer Experience in the Indonesia Banking Sector

Discussions related to the Digital Banking (DB) transformation has become the main issues in the industry nowadays. Digital disruption has changed the way peoples do business and perform transactions. However, the bankers still found many problems when performing DB transformation. Main issues on DB transformation are that many banks still assume that digital transformation is about workflows and systems rather than focus on customer experience. Nowadays, Artificial Intelligence (AI) and Big Data Analytics (BDA) have risen and played as an important role in the new banking era. The recent trend of AI and BDA enable banking to be more customer-centric based on data driven. Personalization service becoming an important strategy for leveraging the existing customer engagement, and attracting potential customer become new customers. This study explores the application of AI and BDA in banking for leveraging customer experience. This study used literature review and interviews to gather the data. We interview more than some persons in Indonesia banking industry to get the insight on the implementation of AI and BDA in Indonesia. The paper reveals best practices of the global banking and Indonesian banking, in the implementation of AI & BDA. The contributions of this study are proposed enterprise architecture and recommended digital innovation in AI and BDA that enables banking institutions to leverage customer experiences.