We are excited about the potential of narrow AI models: DBS Bank India CTO

DBS Bank, a Singaporean multinational banking and financial services corporation, that started operations in India nearly three decades ago, has grown rapidly in recent years. The bank embarked on its digital transformation journey a decade ago, emphasising customer-centricity in all banking aspects. With around 7,000 employees, it aims to cultivate a tech talent pipeline in emerging technology areas to stay competitive. In an exclusive interview with TechCircle, Ramesh Mallya, Chief Technology Officer (CTO) of DBS Bank India, highlighted the bank's use of artificial intelligence/machine learning (AI/ML), cloud technology, narrow AI models and its in-house GenAI tool, and more to enhance customer experience and operational efficiency. Edited excerpts:

Please tell us about your move from legacy tech to modern and digital technologies in recent years.

DBS Bank envisions making banking invisible and seamless for customers, leveraging digital technology to redefine banking and strengthen tech resilience across consumer banking, wealth management, and institutional banking. This customer-centric approach ensures a deep understanding of customer needs at every banking stage. We have invested in new technologies, including agile methodologies, microservices, cloud hosting, and DevOps practices, which allow us to develop and deploy new features and applications more quickly and respond to changing their needs more effectively.

A crucial aspect of this transformation is cloud hosting, which offers greater flexibility. The bank has created its cloud solution, EvolvePavedCloud, blending public cloud scalability with on-premises security. Additionally, the ADA (Advancing DBS with AI) self-service data platform provides employees easy access to data, facilitating better decision-making and innovation. Since its launch in 2019, ADA has generated over 200 data use cases.

We have also launched the DBS Digital Exchange, a digital asset exchange, and Parlor, a blockchain-based loyalty program. We will continue to leverage emerging technologies and seek meaningful ways to improve customer experience. 

Are you planning to expand your technology team in the next 12-18 months by hiring new talent or upskilling existing employees?

We will expand our tech team over the next 12-18 months through a calibrated approach to support our ongoing initiatives. We will continue to build our talent pipeline and upskill our employees in cloud computing, artificial intelligence and machine learning, cybersecurity, data science, and agile development. By investing in their growth, we are ensuring that we have the skills and expertise required to deliver solutions that meet the evolving needs of our customers.

Which segments in tech are going to be a focus area this year?

Instead of focusing on specific tech segments, DBS aligns technology initiatives with overall business goals. Priorities for this year include launching new products, enhancing existing offerings, creating ecosystem partnerships, and supporting corporate banking initiatives. The bank is also investing in risk management and cybersecurity. The DataFirst team is working on innovative machine learning and hyper-automation use cases, as well as using AI to provide personalised insights for digital banking users. A standout feature is an AI-powered financial planning tool that delivers tailored recommendations and timely investment insights based on real-time market data, enhancing customer experience.

Which are the technologies you are most excited about, especially in the banking sector?

We are enthusiastic about the potential of narrow AI models in the banking sector. These models that are limited to a specific tasks can boost developer productivity, improve fraud analytics, and refine natural language customer interfaces. By automating repetitive tasks like code generation and testing, developers can focus on innovative work.

Furthermore, narrow AI aids in fraud detection by identifying unusual patterns and fraudulent identities, enhancing security. We've also developed DBS-GPT, a secure internal GenAI tool that automates routine tasks, enabling employees to focus on strategic customer interactions. This improves customer experience with personalised solutions and stronger relationships.

How is DBS Bank India leveraging its API suite?

We are leveraging our API suite to facilitate seamless integration of banking services into our partners' offerings. Our APIs cover a wide array of services, including customer onboarding, deposits, loans, channel preferences, bill payments, and funds transfers. To support innovation, we provide a secure API sandbox where developers can experiment with and test new features without impacting live data. This sandbox environment encourages experimentation and accelerates the development of new services. We will keep exploring innovative ways to utilise APIs and ensure smooth integration with our partners. Our priority is to develop APIs that provide significant value and improve customer experience.

What are your views on the changing roles of CIOs/CTOs and where do you want to see the management in the next 2-3 years?

CIOs and CTOs are evolving into business champions, significantly contributing to business strategy. They are now integral members of the executive team, driving innovation and growth. CTOs today act as change agents, fostering a culture of innovation and collaboration, encouraging employee development, and implementing new technologies for greater efficiency. Responsible AI and automation deployment, along with cybersecurity considerations, will be critical in the future, positioning CTOs as vital players in addressing emerging cyber threats in the coming years.