Follow the Money: Intelligent Automation in Financial Services
Explore intelligence automation in financial services.
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Financial services firms worldwide realize they need to transform the way they do business. Fintech players like Stripe and Square and digital-first juggernauts like Apple and Amazon are increasingly infringing on their business models and changing customer expectations and require ever faster responses.
Increasingly, financial institutions are looking to intelligent automation for help. In separate 2017 surveys, PwC found that 30 percent of financial institutions were on their way to adopting Robotic Process Automation (RPA), and more than 50 percent were making substantial investments in artificial intelligence (AI). The combination of these — RPA bots and AI — enable intelligent automation.
At Automation Anywhere, we’re seeing these same dynamics every day with our customers in the industry. Let’s look at an example of what intelligent automation can mean to a financial institution.
One of our customers is a global financial institution that spans 120 global locations and employs over 10,000 people from 170 different countries. The institution needs to regularly track and manage hundreds of human resources onboarding forms coming from all over the world, in different languages and formats. In order to meet their administrative needs, five full-time employees had to manually sort and file thousands of forms with hundreds of variations. The manual tracking, management, and data entry process was slow and characterized by a high error rate.
These HR forms had what we classify as "Dark Data” — data that is semi-structured, undigitized, and difficult to extract for use in business processes. To address this problem, this institution used a combination of our RPA platform plus IQ Bot, our cognitive analysis solution, to automatically identify HR data so that it could be used in an end-to-end automated process.
The solution involved a scheduled, daily deployment of bots that downloaded HR case files and fed them to IQ Bot for data extraction. The extracted data was then cleaned using a post-validation ruleset. Each record was then entered into the organization’s HR systems automatically.
IQ Bot handled the heavy lifting of cognitive automation. It’s a challenging problem to recognize tables, lines, words, or characters in their unstructured form. IQ Bot uses proprietary optical character recognition (OCR) and machine learning to understand where document fields and values are, then maps them together.
The results were impressive. Within 5 weeks after the initial deployment, this global financial institution was able to automate 40 percent of their HR form volume, saving 70 percent of time compared with the old process with zero errors. This resulted in about $1 million in cost savings.
But automating the back office is just the start of what’s possible within financial services. Financial institutions have many legacy systems and disparate data sources on their customers but find it hard to pull these together to get an understanding of their customer. Intelligent automation can optimize the use of data to deliver great customer experiences.
Let’s take another example. One of our customers — a top 25 U.S. commercial bank — wanted to automate mortgage appraisals. This involved many teams across departments spanning the U.S., But through automation, they were able to streamline their end-to-end mortgage appraisal process: from gathering appraisal fees and ordering appraisals to driving notifications and updating systems. This resulted in faster mortgage closings – a 2.6-day reduction in cycle time – and happier homeowners.
Financial services employees freed up from manual, tedious tasks can focus on attracting and retaining new customers to drive more revenue. That’s why Capgemini Research Institute, based on their 2018 survey of 1,500 executives, expects that more than $500 billion can be added to the global revenues of financial services through intelligent automation.
The future for financial services is happening now. And intelligent automation can show financial institutions the way to "follow the money" in transforming their businesses — not just through process streamlining but also by helping to build lasting customer relationships.
You can try out our intelligent automation yourself to see how RPA plus artificial intelligence can be used to achieve these types of benefits. Download Automation Anywhere’s Community Edition, our free edition that gives you access to our full suite of products.
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