AI: the secret ingredient for better customer communications and compliance

By Nick Smith, VP Sales & General Manager APAC, Smart Communications

Source: Smart
Communications.
Smith.
We’ve all had customer service where the human element made or broke the experience. Maybe it was for better – that person who went the extra mile to get you a good result – or worse – that service so breath-takingly rude it has become a regular anecdote at parties. As we embrace AI in sensitive customer communications, bringing the best parts of humanity along for ride will be key for successful outcomes.

Many of organisations are already headed down the AI path. AI excels in creating personalised customer communications, especially in highly regulated industries. Customers expect seamless interactions with a business, but this can’t be delivered at the expense of compliance. Providing personalised, accurate and easy to understand communications is essential.

Reports show that 71% of consumers value straightforward and easy-to-understand communications. While 23% say personalisation is the key factor in their customer journey. AI can be used to compile customer information and tailor communications for individual preferences.

For Singaporean businesses to remain competitive in the market they must act now. The first step is for business leaders to assess the company’s needs and develop an AI framework that considers governance, compliance and trust. 

A responsible AI governance framework

When implementing AI, compliance is crucial in fostering customer trust. To do this, leadership must implement a robust AI governance policy that guarantees the safe and ethical use in operations.

This is not a nice to have, but something that is being mandated by governments globally. Recently, at the AI Summit in Paris, Singapore introduced AI governance initiatives to boost consumer safety and help organisations build greater customer trust. Revising your current and future rollouts for ethical AI practices and responsible data management is an important first step.

AI governance

AI governance ensures that boards and business leaders have examined how AI will run at all levels of their operations. This covers people, processes, policies, monitoring and reporting.

It’s crucial that AI works alongside human interaction. Human oversight will help identify and prevent biases or inefficient or incorrect content reaching customers. Helping to refine AI outputs and make them more relevant and aligned to the customers’ needs and wants.

Compliance

Working in highly regulated industries such as insurance, banking, and healthcare means stringent rules about what you can and can’t say. A centralised software platform simplifies processes and allows organisations to adapt to changes in one place, rather than manually updating multiple systems. It also makes it easy to see who approved the information so the company can respond to errors and/or provide clear, detailed analysis to regulatory requests by showing the root cause and associated remedies.

Trust

Effective customer communications are built on maintaining trust, particularly for sensitive data. Around 86% of Singaporeans say data security is key for trusting a business. And if they do not feel protected, their customers are highly likely to change service providers.

Businesses must be transparent about their use of AI, informing customers when and how it is involved in their interactions. This is both ethical and necessary for building long-term relationships with customers.

Research shows that 86% of Singaporeans believe there should always be a human checking content suggested by generative AI, and 73% agree that businesses should explicitly disclose when AI is being used. Overall, three quarters of consumers are concerned about the ethical AI use in customer communications, underscoring the importance of ethical considerations.

By prioritising trust, compliance, and governance, organisations can implement AI that fosters confidence, ensures regulatory alignment, and provides consumers with the security need and they expect.

*Statistics are from The State of Customer Conversations report at https://www.smartcommunications.com/resources/benchmark-report/

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