The modern banking and finance business is constantly growing and changing exponentially. Instant gratification and customer service is the order of the day. Financial institutions are faced with the challenge to stay competitive and create better and efficient ways to deliver superior customer experience (CX).
Why were these financial institutions lagging behind in providing competitive customer experience? Financial institutions have siloed systems and intensive paper processes that can be daunting. They are faced with the challenge of maintaining the highest security while increasing efficiency at lower cost. There was a dire need to reduce repetitive and labor-intense processes, for their knowledge workers to be able to focus on other high-value tasks.
All of these and many other challenges if addressed with value-added capabilities could definitely lead to potential benefits and enhance customer experience, leading to an entirely new way of banking.
As an answer to all of the above, financial institutions have turned to Robotic Process Automation (RPA), making it a powerful tool to maximize operational efficiency, increase profitability, and improve customer experience. Capgemini says that RPA is capable of generating 25%-50% cost savings through automation of data-intensive repetitive tasks, thereby leading to improved processes.
So, what is the significance of RPA and how can it simplify various processesin the banking and financial services institutions? RPA can efficiently automate numerous processes, scaling up to meet the demands of future requirements of the banking and financial services sector.
In which areas RPA works best?
- RPA bots have the capability to seamlessly integrate with multiple legacy systems through UI automation. This helps bring the entire system in sync for better performance.
- These software bots can generate reports within a short span of time by fetching data across multiple systems. This helps in improving the services; with faster reporting assisting in informed decision making.
- With the help of OCR (Optical Character Recognition) technology, RPA bots can convert paper information into digital formats and validate the same across multiple systems. For example, it can help enter any new account info into multiple systems, making the onboarding of a new customer faster and substantially reducing the waiting period.
- It helps improve service desk functions by automating laborious and complex tasks. Say for instance, loan processing that was conventionally considered to be a slow and time-consuming process, is accelerated by automation mechanisms using AI. Also, credit card processing is streamlined efficiently by many banks these days, as RPA helps gather information and run background checks based on eligibility criteria and validates the identity immediately to know if the person is qualified for a credit card.
- Call center responses can be automated through RPA. Its smooth integration can shorten call durations, enhance communication, and generate automated responses delivering faster resolution and quick support. All of this can take customer experience to much higher levels.
RPA is here to revolutionize the banking and financial institutions as its acceptance in the sector increases by leaps and bounds with each passing day. However, to realize the maximum impact of RPA, banking and financial institutions should follow a balanced approach. First, they need to analyze the various processes to check for suitability of integrating RPA. Second, they should map their current resources and simultaneously predict the need of future resources towards building a better and cost-effective virtual workforce.
There lies a lot of scope for RPA, if leveraged sensibly and efficiently by the banking and financial services sector to enhance their processes and to get a competitive edge in the long run.
Related: AI in finance: Long way to go
To know the possibilities of how RPA can transform the banking and financial services business, write to us at firstname.lastname@example.org