Robots To The Rescue At Deutsche Bank

John Cryan's gonna see if computers can catch his rogue traders, because his compliance people sure as hell can't.
I'm sorry, Jon. I's afraid I can't do that. By Mandruss (Own work) [CC BY-SA 4.0], via Wikimedia Commons

I'm sorry, Jon. I'm afraid I can't do that. By Mandruss (Own work) [CC BY-SA 4.0], via Wikimedia Commons

When you really get to the bottom of it, all of Deutsche Bank’s many, many, many, many, many problems boil down to one thing: humans. Deutsche Bank’s people have just not been up to snuff, whether it comes to remaining within the bounds of the law, catching those people not remaining within the bounds of the law or firing people because people couldn’t remain within the bounds of the law.

For the time being, John Cryan & co. have decided they can’t do without all people, although they can certainly do without a lot of them. Trading and human resources remain the province of homo sapiens at Deutsche Bank. But Frankfurt is going to try outsourcing one of its countless failings to technology, namely, compliance. This makes sense. For one, Deutsche Bank basically hasn’t had a compliance department until now. For another, every time a real-live human gets a good look at the gaping black hole that is Deutsche Bank’s culture, he or she runs screaming into traffic on the Taunusanlage. So Deutsche Bank has decided its first intelligence will have to be artificial.

Deutsche Bank AG, facing a vast body of financial regulations, is turning to artificial intelligence as it sorts through volumes of voice and video recordings to make sure that the bank’s professionals are complying with the rules.

The move is designed in part to help reduce costs related to regulatory compliance as well as to improve accuracy, when analyzing, say, employees’ interactions with clients, said Elly Hardwick, head of innovation at the bank, based in Frankfurt, Germany.

What’s more, you don’t have to not pay computers bonuses or worry about them getting arrested by the FBI or quitting. (The people who build them? That’s another story.) You don’t even have to worry about their morale, at least not until they become sentient. Then they’ll be as miserable as everyone else.

Deutsche Bank Deploys Artificial Intelligence to Help Meet Demands of Regulatory Compliance [WSJ]