Is Robotic Process Automation The Latest Automation in Banking?
In today’s scenario, our banking industry is
under tremendous pressure. The reason is to improve productivity and efficiency
with reliable and secure financial services to its customers. To accomplish
this goal, automation has arrived into the picture. And, it is not a new
concept in the banking sector. We have already seen it while operating ATM
machines. Banking operations are carried out either using RPA or WLA. Out of
two, Robotic Process Automation (RPA) is
the latest automation in the banking sector.
RPA software works well for the front-end banking processes.
It is typically installed on desktops to automate common interactions with an
end-user. RPA technology driven by
machine learning and artificial intelligence is getting better every day.
Robotic Process
Automation - Dynamic Blessing for Banking Sector
What is RPA
meaning in banking?
RPA is a
software technology that builds and deploys software robots to imitate
humans actions interplaying with digital systems. It is used by various banks
to automate manual business processes so that banks may remain stabilized in
this competitive era.
If you want to dig deeper into the concept,
experts suggest RPA definition in
banking as the use of a bunch of robots and AI systems to replace and elevate
human operations involved in banking. As per Forrester estimation, the RPA market is expected to cross $2.9
billion by 2022.
The development in digital banking solutions has
convinced major banks to implement this technology to satisfy their customers
and retain numerous advantages. RPA
robot performs repetitive and mundane tasks like logging into banking
applications, extracting customer data, filling forms, and completing routine
analyses on behalf of humans. Advanced robots can even make complex decisions using
advanced machine learning models.
Use Cases of Robotic
Process Automation
RPA has abundant applications in the BFSI segment
to release the manpower to enable them to focus more on important tasks. Some
of RPA use cases include:
●
Customer Service
●
Accounts Payable
●
Fraud Detection
●
Compliance
●
KYC
●
Credit Card
Processing
●
Mortgage
Processing
●
Report Automation
●
General Ledger
●
Account Closure
Process
●
Account
Origination & Receivable
●
Underwriter
Support
●
Deposits &
many more.
How does RPA software implement in the banking
process?
The major objective of Robotic Process Automation in the banking industry is to erase the
repetitive work that results in poor productivity. RPA tools are used more in big banks. Its implementation involves:
●
An accurate
automation procedure is identified.
●
An overlapping of
banking applications and business processes is evaluated.
●
Software robots
are employed to perform automation to the banking process.
●
Robots are
governed and monitored to achieve excellence.
If implemented properly, Robotic Process Automation services
can be genuinely helpful for the banking sector by automating manual and
time-consuming tasks.
Let’s move ahead to know how banks can rip the
financial benefits with less human resources using RPA automation.
Benefits of RPA Automation
The largest banks in Japan have been implementing
RPA to eliminate additional labour costs for higher operational efficiency.
Bank employees need to handle voluminous customers’ data. Doing it manually increase
the probability of errors. Banks all around the globe are considering RPA solutions to get rid of the manual
processing of this huge data.
Successful Fraud Detection
To surveil every transaction has become very
challenging for bank management. With the arrival of RPA technology, fraud
detection has shown significant progress. Now, the RPA process comes with an automatic
robot that is capable of detecting each and every fraud using the ‘if-then’
algorithm.
Improve banking process
Data digitization has enabled banks to minimize
paperwork. Robotic Process Automation
is powerful to scan relevant information and extract analytical data. Different
RPA service providers offer tools
embedded with the drag-and-drop technology to automate processes with minor to
zero development. In this way, robotic bots take care of payroll, data entry,
and other manual tasks 24/7 to allow banking
professionals to focus on more strategic work.
Enhance operational efficiency
Once banks correctly set up RPA software, they
can make their processes much efficient in terms of both operations and time.
Cost-effectiveness
Yes, it’s true that cost-saving is critical to
the banking industry like other industries. Banks can look at the methods to
save around 25-50% of processing time as well as cost.
Better Customer Experience
RPA service
solutions are useful to
banks to improve their customer experiences. Nowadays, customers are no longer
needed to reach out to bank staff for solving their common problems. RPA robots
quickly analyze the issues of customers and instantly provide answers to their
queries. In this manner, the banking staff feels comfortable focusing on other
complicated customer problems.
Availability
RPA robots are always available no matter whether
you are looking to minimize manual errors or achieve high accuracy at a low
cost.
No need for new IT Infrastructure
Earlier new infrastructure was often required
before beginning traditional IT projects. But the development of RPA in banking
eliminates the need for new infrastructure. Instead, they can leverage existing
infrastructure to reap the benefits.
Minimally Invasive solution
This software offers one unique feature that
enables banks to use the native user interfaces of already existing legacy
systems for automation. It implies that RPA
automation is a “minimally invasive” solution that creates ideally upon existing
IT infrastructure.
RPA Future Roadmap
Robotic Process
Automation is creating a
strong environment to help the banks to withstand tough competition in this
era. Now it’s quite easy to deliver high-quality banking services using RPA
without compromising security. So, it’s high time to work upon a robotic future
for smart banking operations in the near future.
Comments
Post a Comment