JPMorgan, $JPM, has developed an AI-driven management software that has slashed manual work by nearly 90%
JPMorgan, $JPM, has developed an AI-driven management software that has slashed manual work by nearly 90%.
JPMorgan has implemented a cashflow management software powered by artificial intelligence (AI), which has reportedly reduced manual work for some corporate customers by nearly 90%.
The AI tool, named Cash Flow Intelligence, was launched last year to assist corporate treasuries in analyzing and forecasting cash flows, as reported by Bloomberg.
Tony Wimmer, head of data and analytics at JPMorgan's wholesale payments unit, stated that there has been "tremendous" interest from the bank's clients in the AI tool.
Approximately 2,500 clients of JPMorgan are currently using the AI-backed tool, and its success has brought the bank closer to potentially charging for the service, according to Bloomberg.
The timeline for when JPMorgan's Cash Flow Intelligence might become available for a monthly fee, as well as the potential cost of the service, remains unclear.
Wimmer mentioned to Bloomberg that the bank intends to continue investing in this solution as they see progress in improving workflow efficiency.
JPMorgan has over 150 data scientists and engineers dedicated to enhancing its machine-learning solutions, as per CFO Magazine, although the specific number working on developing the Cash Flow Intelligence was not disclosed.
JPMorgan representatives declined to comment on this matter when contacted by The Post.
In November, the bank revealed that AI had already begun generating revenue. Although the exact figure was not disclosed, JPMorgan had set a target of achieving $1 billion in "business value" generated entirely by AI in 2023.
The firm raised this goal to $1.5 billion at its investor day in May, according to Bloomberg.
Despite the improvements in productivity facilitated by AI, JPMorgan assured that it does not plan to reduce its workforce, as stated by Teresa Heitsenrether, the bank's chief data and analytics officer.
Heitsenrether cautioned about the risks associated with this technology at the inaugural Evident AI Symposium event in New York City, emphasizing the importance of ensuring safety and control while focusing on impactful outcomes. She also noted the potential for significant talent dislocation.
JPMorgan chief Jamie Dimon has expressed optimism about the future of AI in boosting productivity and reducing costs. He even suggested that AI's rapid advancements could lead to a 3.5-day work week, potentially extending people's lives to 100 years and eradicating cancer, as he mentioned in an interview with Bloomberg TV in October.