Financial services is perhaps the industry with the highest potential for RPA (robotic process automation).
Collecting and processing data and executing transactions is fundamental to financial services. Yet, many financial services firms still rely on paper-based forms and manual processes that take much longer to execute than their automated counterparts. The need for change is apparent, and the industry dynamics of increasing cost and regulatory pressures means there is no time to lose.
Robotic process automation is a new category of programming where software “bots” control other software programs. The bots are faster, more efficient, reliable, and more accurate than humans. And the benefits are impressive; Firms that deploy RPA initiatives report time savings up to 50 percent in select back office processes.
For instance, let’s look at the banking industry for places where robotic process automation could transform the way business is done. As seen in this study, conducted by Bain and Company, banking customers submit only 14 percent of loan applications through digital channels. And, on average, banks only handle 7 percent of products digitally end-to-end. Consumers today are still asked to fill out large amounts of paperwork when applying for loans of all sorts.
Automated bots on new accounts and customer care
Opening a bank account is a simple example of a business process that can benefit from automation. By digitizing data collection and automating the required manual processes, an account can be opened quickly, which allows the customer representative to focus more on the customer. In addition, when that customer calls in later with a question about their account, the customer care agent would already have access to the caller’s information, because the information systems are all updated by bots working hard behind the scenes. In fact, rather you’re your customer care agents navigating multiple systems in order to locate information, the bots can do it for them. Every customer touch point becomes more efficient resulting in higher customer satisfaction as the quality, speed and accuracy improve.
Automate compliance and legal tasks
Robotic process automation can also assist in the area of legal and compliance. For example, when processing subpoenas, the bank is required to scrub every line of business systems for data and documents that respond to the subpoena requirements. Tasks like account lookup and query result prints can be readily automated.
Comparison between original documents – such as bank statements, credit card bills, correspondence – and system data can also easily be automated. The bots can also compile the required documents electronically and validate against a list of required documents.
These are just some obvious tasks that are mundane and repetitive, exactly the kind of job that the RPA bots perform much more efficiently than humans.
End-to-end automation for mortgages
I cannot think of a more document intensive process than one involving the purchase of a home. Mortgage origination, and servicing, are prime examples of a set of time-consuming processes that can benefit from RPA.
Multiple forms are gathered, from which data is extracted, compared, and verified. This slow, outdated process is repetitive, manual work that can take months to complete. It is an ideal scenario where robotic process automation can make a great impact. An automated solution, like Xerox® Automation Suite, will streamline the workflow from start to finish. Getting rid of the paper and digitizing the process by utilizing Optical Character Recognition (OCR) and Automated Document Recognition (ADR), along with robotic process automation, can reduce the cycle time to complete mortgage loan processing drastically.
Xerox Automation Services allow us to deliver improved productivity, quality and reduced costs to your operations while allowing your staff to focus on higher value business processes.
Bank executives can concentrate on client experience instead of worrying about compliance failures. Loan officers can focus on decisions instead of process, and home-buyers can look forward moving-in rather than waiting and wondering about their loan application. And, imagine how quickly the post-closing process could be with the help of the RPA bots. The final steps of validation, completed in half of the time.
Robotic process automation saves time and money. It improves accuracy and quality. It raises customer satisfaction with its ability to work around the clock. The Financial Services industry is rich with the type of processes that would value a transformation with RPA. You can bank on it!
About the Author
Chief Innovation OfficerMore Content by RG Conlee