With an ever-changing technical landscape, more and more leaders in the Asset Finance space are asking us for help with AI and the components associated with this revolutionary tool. Nobody wants to be left behind in the AI scramble, so companies are finding the budget to invest in software upgrades, integrations, or a full overhaul of their existing in-house systems.
But what can we really expect in the next few years? As software integrators, we’re finding most of our clients want answers to two questions: how will we be using AI in asset finance, and are the robots going to take our jobs? Read on for our take on both.
Four Key Predictions for AI in Asset Finance
1. Smarter Leasing
AI could optimise leases by predicting values at end-of-term. It would trawl data we can’t fathom, spotting patterns to guide profitable choices.
Take farm equipment on a 24-month lease. AI might show it will retain value. The lessor could then offer a new machine after 24 months. If the AI predicted a value slump, the lessor would factor that in, maybe with a 12-month extension discount.
2. Safer Lending
AI may also reduce lending risk. Taking on leases raises the risk of default. Currently, limited data makes analysis difficult. Firms rely on inflexible models that only weigh a few set factors.
AI would widen the variables considered for each deal, highlighting the most relevant. This promises better choices and risk-based pricing – rewarding good payers and protecting lessors.
3. Time Savings
AI could save hours wasted on financial hiccups. Say a firm leases thousands of laptops to a client who only sends a partial payment. Staff must pore over records to understand where the shortfall is coming from.
Future AI would note who’s short and likely reasons why, saving months of hard work. Likewise for fraud – AI would spot dubious patterns, stopping harm before it starts.
4. Priority Planning
Lenders have to juggle heavy workloads and prioritise urgent tasks with only intuition to guide them. They could use AI to optimise workflow priorities
Collections officers could use AI to replace guesswork with data-driven urgency ratings. It could tell collections staff whom to call first for maximum returns, saving time and money.
What About the Humans?
You may have noticed a theme in these future use cases. Human professionals are still in charge. They won’t be losing their jobs, just the data-crunching elements – areas humans tend to find frustrating rather than fulfilling. AI will free them up to do what humans do best, using their imaginative and soft skills.
Well – it will if it’s properly implemented. Around 70% of all project deliveries fail, most often because of technical issues, lack of experience, and impatient timelines. Getting it right at the outset is crucial for a successful implementation, which is why you need to be sure you’ve got the right software and the right expert team to deliver it.
This is where we come in. Fintuition can help you pinpoint the software that’s best for your business and source experts with specific experience of that software, so you’ll know you’re getting the best people to cover all angles, match all your requirements, and implement the project from start to finish with no hidden agendas.
We are not just system integrators – you can always ask us for free advice on your digital transformation. We want to build long-term partnerships with organisations that need guidance on their transformational journey, knowing that the right implementation team is paramount from day one.
If you want to get the edge over the competition in the AI race, you can’t afford to be one of the 70% who fumble their software implementation. Give us a call today to discover how we can help you.
