In a recent report, Fortune Business Insights has estimated that the global process automation market size is projected to grow up to 7.64 billion USD in the near upcoming years, with the market size of RPA technology expected to increase exponentially. One of the emerging trends in process automation is hyperautomation, which combines robotic process automation (RPA) with artificial intelligence (AI), machine learning (ML), and other advanced technologies to automate and optimize complex business processes. Hyperautomation is gaining traction in various industries, including banking, as organizations seek ways to reduce costs, improve efficiency, and enhance the customer experience.
The banking industry, in particular, offers a multitude of services comprising various front and backend processes that can benefit from hyperautomation. Let us explore how workflow management software can be leveraged to automate and optimize several processes in the banking industry.
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Loan Processing and Validation
Hyperautomation can greatly simplify and expedite the loan processing and validation process in banks. By using machine learning and automation, workflow management software can extract relevant information from submitted documents, verify its authenticity, and integrate it with other documents to generate a due diligence report. Bots with business logic can prompt customers to fix any errors or discrepancies, ensuring safer and more accurate loan decisions. Hyperautomation reduces processing time and eliminates manual errors, resulting in a more efficient and streamlined loan processing workflow.
Know Your Customer (KYC)
The KYC process is a critical and mandatory procedure for banks to verify the identity of their customers. However, KYC compliance can be time-consuming and costly for banks. Hyperautomation offers a solution by enabling the collection, screening, processing, and validation of customer information using workflow management software. By automating these tasks, banks can significantly reduce the need for manual intervention, minimize costs, and improve compliance with security and regulatory requirements.
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Credit Card Processing
Credit card application processing traditionally takes a considerable amount of time, leading to customer dissatisfaction. With hyperautomation, banks can expedite the credit card processing workflow. Workflow management software can collate and verify information, run background checks, and assess the customer’s eligibility in just a few hours. By automating these tasks, banks can deliver faster credit card processing, enhancing customer satisfaction and retention.
Fraud detection is a constant challenge for banks, as fraudulent activities evolve with technology advancements. Hyperautomation can help banks detect and prevent fraud more effectively. Workflow management software can deploy if-then processes to analyze transaction data and flag potentially fraudulent transactions for further investigation. By automating fraud detection, banks can reduce the workload on staff, improve detection accuracy, and mitigate financial losses.
The process of closing bank accounts can be time-consuming and burdensome for both customers and bank staff. Hyperautomation simplifies and expedites the account closure process by leveraging workflow management software. Customers can now close their bank accounts by filling out electronic forms, which are then processed by the automation software without manual intervention. This automation reduces the administrative burden on bank staff and improves the overall customer experience.
Mortgage processing is a complex and time-consuming process that involves various verifications and checks. Hyperautomation can accelerate and streamline mortgage processing in banks. By utilizing algorithm-based systems and automation, banks can expedite employment verifications, inspections, credit checks, and other necessary steps in the mortgage application process. This reduces processing time, minimizes errors, and enhances the overall efficiency of mortgage processing workflows.
Maintaining accurate and up-to-date general ledgers is crucial for banks to track their financial information. Hyperautomation can improve the accuracy and efficiency of general ledger management. Workflow management software, equipped with predefined rules, can automate the process of updating liabilities, assets, expenses, and revenue in the general ledger. By reducing manual data entry and automating calculations, hyperautomation helps banks maintain error-free general ledgers with a quick turnaround time.
Delivering prompt and efficient customer service is essential for banks. Hyperautomation enables banks to enhance their customer service capabilities by leveraging chatbots and conversational AI. By integrating chatbots into workflow management software, banks can automate customer requests, provide instant responses, and escalate complex inquiries to the appropriate departments. Automated customer service not only improves response times but also reduces the workload on banking staff, allowing them to focus on more complex customer issues.
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Accounts Payable (AP) processes involve managing invoices, validating data, and ensuring timely payments to vendors. Hyperautomation can streamline and optimize AP processes in banks. Workflow management software, coupled with Optical Character Recognition (OCR) technology, can digitize and extract data from invoices, validate it, and automatically credit vendors’ accounts. This automation reduces manual effort, minimizes errors, and improves the efficiency of accounts payable workflows.
Risk and Compliance Management
Compliance with regulations is a critical aspect of banking operations. Hyperautomation can assist banks in streamlining risk and compliance management processes. Workflow automation software can define and outline compliance conditions, automatically update them to reflect regulatory changes, and assign tasks to relevant stakeholders. By providing transparency and regular progress reports, hyperautomation helps financial institutions reduce compliance costs, improve adherence to regulatory requirements, and enhance overall risk management practices.
Hyperautomation offers significant benefits to the banking industry by automating and optimizing various processes. Workflow management software plays a vital role in enabling hyperautomation, reducing costs, improving efficiency, and enhancing the customer experience. By leveraging the power of hyperautomation, banks can stay competitive in an evolving market landscape while meeting customer expectations and regulatory obligations.
Contact us to learn more about how our workflow automation software can help your bank achieve greater operational efficiency and customer satisfaction. Schedule a demo with us today.