A Proposed Architecture for Intelligent Decision Support in Digital Payments Market Based on Multiagent Simulation

Payments market is undergoing critical changes, deriving from technology and legislative regulations. Banks face increasing competition from new players in the market and need to adapt their decisions according to the new framework. Retail payments, a major service that banks provide to their customers, and contribute to their revenues, are more subject to digital evolution. Both strategic and tactical decisions referring to payment systems require appropriate tools that integrate knowledge from complementary scientific disciplines, and provide intelligent assistance to decision makers. Multi-agent modeling and simulation is becoming popular in various fields and especially in social and economic studies, as it provides a bottom-up approach to domains with high complexity. This paper introduces architecture towards a decision support system based on multi-agent based simulation (MABS-DSS). The proposed architecture is oriented towards the retail digital payments domain, but may be extended to relevant domains with similar characteristics. The paper demonstrates the initial architecture of the proposed MABS-DSS, which utilizes multi-agent based simulation, as a valid approach for decision support in domains with network effects