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The AI and ChatGPT Boom: What You Need to Know

Chances are, you’re hearing a lot of hype around AI. However, there’s a fine line between hype and distraction. 

To keep up in the rapidly evolving digital landscape, it’s critical that consultants understand how AI can enhance and facilitate their work. In fact, we predict that professionals who learn and leverage AI and ChatGPT will eventually put pressure on those who don’t.

So, what do you really need to know about AI and specifically ChatGPT, the language chatbot that has taken the world by storm? 

We’re breaking down the essential information about ChatGPT and its impact on the consulting industry, with a focus on its consequences for FinTech.

Let’s start with the basics: What is AI? What is ChatGPT?

AI (Artificial Intelligence) is a field of computer science that is focused on creating machines to perform tasks that would normally require human intelligence. Many experts have likened AI to electricity, describing the field as “the new electricity” capable of a similarly dramatic impact on nearly every industry. ChatGPT represents a huge leap in the development of AI, constituting a “quantum change” from previous AI models. But what does that really mean? 

Compared to the AI models we are used to, such as smart speakers and chatbots/ virtual assistants, ChatGPT represents a transformation of AI. The acronym stands for Chat Generative Pre-Trained Transformer, which means that this model uses a deep-learning system called the transformer network (as described by Google in a landmark paper) to understand context and emphasis in language and generate text responses. This kind of language model has been developed by several companies, most famously OpenAI, who launched ChatGPT in 2022. It has become known for its ability to process and respond to language in a human-like manner, interacting with users as though they are participating in a conversation. It is able to do this due to extensive training based on human conversations, but ChatGPT also uses a huge database of written work from the internet. In simple terms, you can think of ChatGPT as a sort of calculator for words, answering questions and responding to prompts with text. 

Users find that ChatGPT can produce impressive responses to a variety of instructions and inputs. But despite its impressive capabilities, ChatGPT occasionally produces nonsensical or incorrect information, or misinterprets a question; there are still occasions when the programme is unable to mimic human intelligence and creativity. This reinforces the continuing need for a skilled consultant to refine, drive and check AI outputs, as the technology is unable to perform perfectly on its own.

How Could ChatGPT Change the Consulting Landscape?

ChatGPT is just one element of a constantly evolving industry. AI-based tools are becoming more prevalent and it’s crucial that consultants understand how to best leverage them for success. At a basic level, consulting requires human intelligence — after all, your clients are paying for your knowledge and expertise. However, AI could help consultants work more efficiently. 

Properly understanding AI’s capabilities and limitations is the key to making it work for you, but its misuse could end up hurting outcomes. You should also be wary of becoming over-reliant on programs like ChatGPT. 

Here are some scenarios where we envisage ChatGPT leading to better results and increasing efficiency in consulting. 

  • Internal communication support - Unclear problem statements are common, and a symptom of a lack of internal communication. This can make a consulting project especially challenging. As an independent consultant, it can be difficult to focus on using your expertise to add value to a project in these circumstances. As a language model, ChatGPT can aid in internal communication by helping translate ideas between departments that sometimes operate in different languages (for example the business and development departments). 
  • Brainstorming and research - Most consulting projects involve some level of research, particularly at the beginning. ChatGPT can be a great place to start, and can propose well-written initial summaries that form the basis of further consulting work. It is great for initial brainstorming exercises — either for client workshops or for brainstorming in a dialogue with the AI — and obtaining foundational insights that will inform your strategy throughout a project. 
  • Networking assistance - ChatGPT is great for creating automated communications,  including highly personalized emails. You can also use the tool to refine and better articulate your unique perspectives and communications. Communicating and networking with others is key for independent consultants, so any time-savers in this area will be beneficial. 
  • Improving thought leadership readability - Content is crucial and creating blogs or other thought leadership items that highlight your expertise will help you to stand out in your sector. However, many people are not completely comfortable with the writing process. You can use ChatGPT to make a first suggestion or edit versions of drafts that you’ve completed. Simply paste your draft into ChatGPT with the prompt “Rewrite my first draft below at a ninth grade level” and use the results as a starting point for improvements. 

While AI can help consultants in many industries with a range of tasks, considering its transformation of specific fields is equally important. FinTech, for example, is a rapidly growing tech-based industry in which AI is making a significant impact.

AI Use Case: Powering the FinTech Revolution

AI continues to transform the financial services industry, with potential applications in investment banking, insurance, wealth management, and more. ChatGPT is one of the more promising technologies, assisting with customer service and support, complex financial strategies and planning, investment decisions, and improving real-time responses to inquiries. However, AI can have both positive and negative consequences in finance. It can facilitate many processes for FinTech organizations and advance the industry — but it could also pave the way for hackers. 

Hacking is one of the most innovative areas of almost every sector and there are many ways in which hackers can abuse AI. For example, ChatGPT means that hackers have to do less preparation in order to target high net worth individuals. Automated spear phishing and hacking on a more industrial scale are a concern. 

Adding extra services to a bank is at the core of the FinTech revolution, and is leading to a change similar to the transition from the original Nokia to a smartphone. New services (“apps”) can be added on top of a bank and these new services can be developed with the help of models like ChatGPT. 

ChatGPT is able to generate code, perform basic research, and easily produce quality written work for customers. It can process large amounts of data, which means that technical departments are likely to become increasingly dependent on the tool. Additionally, chatbots and virtual assistants will play an increasingly significant role in offering improved and more personalized customer support and can allow the automation of repetitive tasks. By using machine learning to gather and analyze data and feedback, ChatGPT is making it easier to understand client needs and provide more tailored solutions. 

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ChatGPT (along with other advancements in AI) are transforming many industries, including consulting and financial services. Organizations who leverage AI properly are likely to establish more personalized and efficient customer service, streamline operations, and reduce costs. Meanwhile, consultants will be able to complete projects more efficiently and improve the quality of vital networking communications. 

When used correctly, AI could transform the consulting industry from all angles.

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