In the face of growing competition, banking is witnessing the ever-growing expectations of customers. There is a need for quick mechanisms, workflows, and processes to provide speedy services and solutions. The modern banking sector is not restricted to account openings and cash deposits. It has grown exponentially to launch varied departments where manual work can cause errors. This is precisely where Robotic Process Automation companies are helping banks.
And the results are remarkable and conspicuous in more aspects than one. And that is what I am going to talk about today; about how exactly RPA is helping the banking sector.
How are RPA Companies Helping the Banking Sector?
Cost Reduction
In order to maintain quality and performance banks needs experienced and efficient staff, which is expensive. Even if banks choose to outsource processes, it will not be as cost-effective as deploying RPA. By carrying out process analysis exercises, unnecessary steps can be removed, and expenses incurred on these steps can be saved.
As per Thomson Reuters, banks spend approximately $384 million per annum on KYC process compliance. It needs 500 to 1000+ full-time employees for KYC. RPA implementation partners can help banks check and verify customer data. It will replace the work of FTEs, and the process will take minimal time and expenses.
Increased Efficiency
RPA vendors can enable banks to use their full-time talent pool for complex tasks that demand critical decision making, discretion, and intellect. These human resources can serve customers with a customized solution as per their needs. Simultaneously, RPA takes care of tedious, time-consuming processes. This enhances the efficiency of the banks.
RPA provides a multi-dimensional solution that requires employee training, comprehensive setup and governance. But once it is all set, RPA consulting companies claim that it has the potential to save 40%-60% within the first year of implementation.
Improved Accuracy
RPA implementation partners understand that the stakes are super high when it comes to accuracy in the banking industry. RPA systems execute specially configured commands whose output is always precise with no errors. This saves time and reduces cost. RPA has helped significant banks in India (HDFC, ICICI) reduce their process execution time by 60%.
Accuracy is extremely important when it comes to compliance. As per a survey conducted by Accenture, 73% of respondents believed that RPA could be a critical factor in compliance.
More Flexibility
RPA vendors have brought agility and robustness to the banking business. Robots can operate third party software and can work on varied business applications. Be it internal applications (core banking, CRM) or external applications (background check, cloud-based applications); robots are flexible enough to carry out a wide spectrum of tasks.
The banking industry leverages all these and more advantages as offered by RPA companies. It not only gives an edge, but also reduces costs and saves time. RPA is the new black in the banking industry.
If you are a bank or a financial institution that’s mulling over automation, we can help you redefine your services. Should you want to talk about it, we are just a call away.
Author
Venkat is highly passionate about solving Business challenges using Technology. He has been instrumental in bootstrapping the company and is currently responsible for leading strategies and innovations to help customers enhance operations and improve efficiency. Among several key projects he was involved over the years, developing an award winning IoT solution which monitors Food Safety, both while in transit and in storage for Emerson Electric has been very close to his heart. Currently over 500+ businesses across the globe are using this solution to track real-time location, temperature and safety of perishable and high value shipments.
