Key Advantages of Implementing Automation in the Banking Industry

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Key Advantages of Implementing Automation in the Banking Industry

CFO Tech Outlook | Saturday, September 03, 2022

Automated technologies can readily manage large quantities and respond to emergencies in rapid time.

Fremont, CA: The benefits of robotic process automation are numerous across industries. Companies that previously utilized automation have seen total cost savings of 15-25 percent. According to statistics, the average ROI for RPA is predicted to be greater than 250 percent.

Even financial organizations are not far behind in terms of full-scale banking automation. According to experts, 80 percent of financial industry leaders already utilize automation in key business sectors.

Santander, for example, saw an opportunity and automated five customer-facing activities, including vehicle loan applications, bank account administration, and bank loan management. The bank installed 150 RPA bots across many departments. Santander saved approximately 30,000 hours of manual processing work each year as a consequence. Let's see a few advantages of automation in banking.

• Increase Process Scalability

Managing several procedures during busy business hours is impossible. Automated technologies can readily manage large quantities and respond to emergencies in rapid time. This gives staff adequate time to focus on R&D and other high-value jobs.

• Reduce operational expenses

RPA in banking lets banks lessen their reliance on human labor, making procedures more productive. Banks' operating expenses and processing time are reduced by 25-50 percent when they rely less on human hands.

• Risk and Compliance Reporting

Automated systems keep better records for all firms than handwritten records and paperwork. As a result, creating detailed audit trails for each procedure becomes simple. This lowers corporate risk by ensuring high process compliance.

• Availability

Robots labor around the clock. This is critical for providing seamless customer care and improving the consumer experience with banking. Customer complaints are easily heard and swiftly addressed. Unlike human customer service representatives, robots can handle many client questions at the same time. As a result, it is extremely improbable that a few consumer concerns get unresolved.

• Reduce Errors

Error is human. Too many people working on several projects at the same time might lead to mistakes. This can be detrimental to a bank's overall reputation. Automation in banking can prevent such errors and improve the overall efficiency of financial services.

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