Author : Reza G. Hamzaee, Maryam Salimi
Date of Publication :15th April 2024
Abstract: Financial industries have already been transformed into some limited artificial intelligence groundwork, like many other industries. Yet, it would be interesting - and perhaps necessary - to explore how AI can be best applied in an articulated task of determining the extent to which AI should optimally cover the fundamentals of, e.g., banking operations alongside an effective public relations strategy. We may decompose the deterministic functional formulas through a linear programming methodology to derive the production possibilities curve (PPC) for asset portfolio building, on the one hand, and a clearly defined set of utility indifference functions, representing a bank’s customers’ preferences and/or what a massive data-based AI- implied functions would recommend. In that structural approach, the potential for all available practitioners-researchers’ advice stressing on avoidance of too much reliance on AI and a critical loss of control by the chartered decision makers, would be considered. Both or either AI and/or managers would have the applicable control, as seen “most preferrable” to the management. More recommendations will dynamically arise for optimal decision-making, on – among the most fundamental variables - trust-capital accumulation through an optimal PR.
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