Valley Bank is using AI and automation to boost its efficiency without adding as much personnel.
The $62 billion bank is using AI, machine learning and robotic process automation to limit “repetitive, manual tasks” for employees, Russell Barrett, senior executive vice president and chief operating officer, told Bank Automation News.
Deploying technology helps Valley Bank “avoid having to hire additional people” in roles related to data processing “because we can offload that work,” to automated solutions, Barrett said.
Like Wells Fargo, Deutsche Bank and Goldman Sachs, Valley is tapping technology to ensure employees are accomplishing higher-value tasks and leaning on tech to accomplish lower-value work, Barrett said.
Morristown, N.J.-based Valley Bank has implemented, AI, machine learnings and automation over the years to:
- The use of an AI chatbot to serve associates with human resource information;
- Machine learning to monitor suspicious transactions to boost risk management; and
- AI for customer verification to reduce fraud.
Alongside its investment in tech, the bank has reduced headcount, according to its 10K filings with the Securities and Exchange Commission. In fact, the bank reported a 56% drop in headcount to 3,749 full-time and part-time employees from December 2022 to December 2023.
The bank reported an efficiency ratio of 56% in December 2023, up from 50% in December 2022, according to the 10K filings.
Early-bird registration is now available for the inaugural Bank Automation Summit Europe in Frankfurt, Germany, on Oct. 7-8! Discover the latest advancements in AI and automation in banking. Register here and apply to speak here.
