Saturday, October 15, 2022

What Is Robotic Process Automation In Banking

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Processes Involving Data And Verification Checks

Robotic Process Automation for Banking and Finance

RPA can help with verification tasks like searching for external databases to check information, including licenses and registrations. Businesses can speed up administration processes and improve SLAs this way.

For instance, A top 30 US bank leveraged RPA to automate mortgage processes, such as document ordering, data entry, and data verification. This resulted in reduced errors and ~$1M annual cost savings.

The Evolution Of Rpa In Finance

Used in a variety of industries, robotic process automation refers to the use of low-code software bots to handle the repetitive, time-consuming tasks of human workers such as invoice processing, data entry, compliance reporting, etc. RPA is part of the greater trend of hyperautomation, enabling organizations to move from automation that mimics human actions toward automation that uses data to optimize end-to-end finance processes.

The robots used in RPA are ideal for handling a high volume of recurring tasks without human intervention. This frees up employees to focus on more meaningful work, from building strong relationships with customers, to analyzing data to gain a competitive advantage, to turning great ideas into new financial products.

Seven Case Studies Of Robotic Process Automation In Banking

According to P& S Market Research, the global robotic process automation market is projected to reach $8.6 billion by 2023. In the banking industry, robotics process automation is gaining traction, with adoption rates increasing pace since mid-2016. And while implementation of this technology is still relatively new in the financial-services sector, there are many processes, operations, transactions, and work tasks which can benefit from RPA.

To help you understandand gain inspiration fromthe way RPA is being implemented in the banking industry, consider the following seven case studies, all involving U.S. and European banks that are adopting the technology.

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Risk Of Rpa In Banking : Operational Risk

Any RPA initiative will be met with some degree of pushback from internal staff. They may be intimidated by the prospect of a robot coming for their job. The reality, however, is exactly the opposite: Robots are tools to help staffers reduce the work they struggle with daily: simply moving data between systems and applications.

Surprisingly, you may encounter the most pushback not from front-line staff , but rather from your own IT department. There may be various stated reasons for this, but one of the biggest may well go unsaid: RPA in banking, unlike traditional IT projects, can be undertaken without the help of the IT department. As wed mentioned earlier, its like installing a macro in Excel. So this lack of control, and visibility, of the total robots deployed can prove unsettlingeven threateningto IT staffs who are accustomed to taking the lead on these types of projects. Weve actually seen instances wherein IT departments have ripped out and disabled banking RPA robots that were installed without their knowledge or blessingdespite the very real productivity gains they had been providing to front-line staffers.

The Future Of Banking : Robotic Process Automation

How Do Banks Benefit From Robotic Process Automation (RPA ...

The financial industry has always been immune to innovations. However, the accelerated pace of digital transformation and the rise of tech-savviness among consumers require banking to evolve exponentially. As financial companies grow, their services become more complex. Here is where RPA can become an effective problem solver with its software automation techniques that allow streamlining time-heavy operations, reducing organizational costs, reducing or even eliminating human error. RPA combines robotic automation and artificial intelligence to automate human activities in banking, which may include data entry and simple customer service communications.

RPA has already re-shaped the back-end of many banking processes, and financial companies continue exploring how they can deploy this technology at large. It has given back time to employees for more complex tasks, while AI handles all back-end operations. Consistency, speed, cost-effectiveness, and scalability are among the primary benefits of robotic process automation.

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What Lies In The Future

RPA is constantly improving the banking sector. With so many advantages, banks are now considering using it in all the functional areas and stay ahead in the competition. This is just the beginning the banking industry is preparing itself for the fast-approaching paradigm shift. Effective implementation of RPA tools has the ability to remove wasteful processing. In the future, RPA platforms will move to UI centric automation and the end customer will provide the input at the processor level, unlike the current situation where the operations are dependent on the developer and not the actual user. The numerous benefits of RPA make it inevitable to the financial and banking services. Banks consider it the leading force that can dramatically improve the industry. As per the reports, by 2025, the RPA industry is expected to grow to $6.7 trillion in the global economy. It certainly is a force to be reckoned with.

Benefits Of Rpa In Banking And Finance

  • Allows you to scale operations seamlessly when needed. Robots can work longer hours and dont need to take breaks. They can manage increasing request volumes during peak hours.
  • Saves time. When a robotic application is set up, it can reduce the time needed to perform specific tasks up to 90%.
  • Cuts down expenses. Deloitte estimates a 30% cost reduction as a result of RPA deployment. Accenture gives a more optimistic forecast and suggests an 80% cost decrease with robotics in finance for certain tasks.
  • Minimizes IT department interference. Employees can be trained to manage their own robotic assistants.
  • Ensures there are no extra infrastructure costs. Implementing RPA in finance and banking doesnt require significant changes to the infrastructure. It is a layer that sits on top of the existing banking applications.
  • Increases human employee efficiency. Studies show that robots can work up to five times faster than humans on specific tasks. As a result, people do not need to waste time and energy on routine duties and can concentrate on something more fulfilling, increasing the overall employee well-being and job satisfaction.
  • Reduces human error. Financial RPA has a systematic way of handling its allocated tasks. It will increase output quality by eliminating errors that regular employees may make due to human nature, such as not paying close attention to the task at hand.

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Capgeminis Approach For Rpa Solutions

Capgemini has successfully delivered more than 30 successful RPA implementations, automating more than 800 processes. With this experience, weve established a structured approach to building RPA solutions. Our nine pillar approach helps financial institutions define an RPA roadmap, select appropriate tools, create a pilot, set an operating model, perform governance, set up the right team and test the solution before launch. Using this approach, weve helped our clients:

  • Implement an RPA solution within 6-8 weeks
  • Lower costs by up to 65%
  • Achieve regulatory compliance with minimal IT development
  • Create an RPA Center of Excellence with guidelines for assessment, design, development, and deployment of robots

Read more about our approach to RPA by .

Rpa Software + Rpa Vendors

Robotic Process Automation: What is RPA?

One of the reasons RPA has become commonplace in banks is due to the rapid pace of innovation brought to the market by various RPA software vendors. RPA software provides pre-built automation solutions that can be added to your workflows with minimal effort involved.The three leading RPA vendors are UiPath, Automation Anywhere, and Workfusion. Their software provides the basic functionality needed to start RPA projects. To fully leverage their technology, many banks choose to work with these vendors system integration partners. Partners are certified to help with RPA and can make implementation projects a smoother process.

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No New It Infrastructure

With traditional IT projects, new infrastructure is often needed before the project can begin. However, implementing RPA in banking requires almost no new infrastructure. Banks can leverage existing IT infrastructure to begin reaping the benefits. One unique feature of RPA is that it can take advantage of the native user interfaces of existing legacy systems to perform its automated tasks, which makes it a minimally invasive solution that builds nicely upon existing infrastructure.

What Is An Rpa Use Case In Banking

A banking robotic process automation use case is defined as the process of documenting a list of banking operations actions or steps that take place on front-line employee level computers, or other electronic devices, that is used to automate information movement across banking applications. Banking RPA use cases are used as process blueprints by IT consultants to implement automated scripts that run across multiple data-processing IT systems simultaneously.

How, then, do you develop RPA banking use cases? Simply follow the three-step process is detailed in the infographic below.

RPA in Banking Use Case Implementation Step 1: Identify sub-processes on process maps where banking robots can be implemented.

RPA in Banking Use Case Implementation Step 2: Prioritize and evaluate all of the banking sub-processes, targeting those candidates which will yield the most benefits.

RPA in Banking Use Case Implementation Step 3: Develop and document the use-case requirements, rules, and keystrokes that the banking robot must perform.

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Benefits Of Rpa Automation

The largest banks in Japan have been implementing RPA to eliminate additional labor costs for higher operational efficiency. Bank employees need to handle voluminous customers data. Doing it manually increases 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.


Yes, its 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.

Know Your Customer And Anti

Benefits of Robotic Process Automation in Banking Industry ...

The fact that both KYC and AML are extremely data-intensive processes makes them most suitable for RPA. Whether it is automating the manual processes or catching suspicious banking transactions, RPA implementation proved instrumental in terms of saving both time and cost as compared to traditional banking solutions.

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Connecting An App Server To The Database

We were provided with one app server for the testing process, although in reality there were 14 in the system. This was not a problem. Since the SQL request is transferred via protocol TDS, we recorded and replicated it. One JMeter vuser represented one app server by emulating the necessary traffic.

V Successful Fraud Detection With Rpa

With the arrival of new technology, there is a significant increase in fraud detection. When it happens, it becomes a challenging task to keep a check on every transaction or fraud cases for the bank management. Now, RPA comes with bots that are capable of identifying new frauds through effective utilization of the if-then algorithm.

Doing such work manually is not fruitful in solving flaws, instead, RPA software can be beneficial as it completes the overall review within a few minutes and identify even a minute fraud in the system.

Besides, it also takes necessary steps to assess the risks for customers and warn them via notification to prevent further fraud attacks on their banking services. It happens as RPA comes with high-end platforms that offer more robust features as compared to any IT security infrastructure.

Also, RPA service providerstake care that their software opts for a predictive approach to find out a flaw even when they sense any doubtful suspect in the system. So, customers can assure them that their data and money are safe with their banks.

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Revitalize The Customer Experience

Todays consumers have more options than ever for financial services, and they have high expectations for personalized services, fast processing times and responsive support. RPA tools can improve all aspects of the customer experience, from initial onboarding to account updates. New customers can open new accounts and apply for additional products in minutes with automated Know Your Customer validation.

RPA also helps notify stakeholders about specific events, such as customer complaints about a new mobile banking feature. With ML, data about similar past complaints can be filtered to predict the most impactful improvement opportunities.

Benefits Of Implementing Rpa In Banking And Finance

ATM Network Reconciliations Automated with Robotic Process Automation – For All Banking Cores!

In an increasingly saturated banking & financial sector it has become imperative for banks & other financial institutions to continually evolve, remain competitive, and provide exceptional customer experience to users.

Banks & financial institutions today are under tremendous pressure to optimize costs and boost productivity. The other challenges that the banking sector is grappling with include a scarcity of skilled resources, need to increase efficiency in processes, and a sharp increase in personnel costs, which altogether has given way to the adoption of Robotic Process Automation .

In this blog, we are going to discuss various aspects of RPA in the banking and financial services sector along with its benefits, opportunities, implementation strategy, and use cases.

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Iv Rpa Readily Solves Account Payable Issue For Banking Sector

Account payable is a simple, yet crucial procedure in banking and other financial systems. It includes collecting information from the vendor, verifies it, and then process for further payment. Why is it a perfect case of implementing with RPA? The answer is that it lacks intelligence and thus can be performed efficiently.

Likewise, the RPA tool collaborates with Optical Character Recognition to solve the above-given issue precisely. How OCR works? It goes through vendor information, read it from its digital copy and then provide necessary information to the RPA system. Afterward, RPA checks the given information with the info present in its database, and if found right then it can proceed with payment. Moreover, if any error is found, then RPA generates a notification for its quick resolution.

Getting Started With Intelligent Automation In Banking

Another Accenture report found that financial services companies stand to generate up to $140bn in productivity gains and savings by modernizing workforce technologies. But, how can your institution achieve these gains if you dont know where to start?

OReilly has found that many banking institutions struggle with where they can initiate their intelligent automation strategy even when they understand the benefits. In this case, it is critical to start small and focus on the value that can be delivered before deploying intelligent automation across the board. It is important to first find manual processes that could stand to improve through the efficiencies brought on with intelligent process automation.

Consider looking at re-thinking your workflows or even making much-needed organizational changes. Start small with repeatable, digital, rules-based, and structured tasks. Once the value of intelligent automation is noticeable, move on to working with process automation around unstructured and semi-structured data such as identity documentation, emails, insurance forms, and applications.

Final thought

There are many examples of how intelligent automation is currently helping banks and how it can help banks stay competitive both today and in the future rife with evolving regulatory compliance. In the end, it boils down to how well intelligent automation is executed within the end-to-end customer and employee journey.

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Katherine Manning October 12 2021 Automation Banking

In 2020, most consumers and banking institutions are generally familiar with artificial intelligence driving intelligent automation in banking. The concept has been discussed on board rooms for years. Today, many organizations are taking the conversations to the next level and deploying AI-based technologies company wide.

Although, banks ready to utilize intelligent automation which includes AI and robotic process automation should seek areas that would stand to gain the most benefits in terms of enhancing their digital transformation and workflow efficiencies. Not to mention, many banks struggle to determine which technologies should be prioritized to get the most out of their investments and which ones can align best with their business objectives.

According to Capgemini, the financial services industry is expected to add around $512bn in global revenues by implementing intelligent automation, and there is no question about the ROI when the deployment is executed thoughtfully. The best way to look at intelligent automation in the future is as a solution that can deliver improvements across the entire customer journey.

These are the types of tasks that can cause a lot of friction. With automation, employees can spend more time focusing on the banks clients rather than on every box they must check.

Real Results Real Fast

Robotic Process Automation (RPA) in the Banking Industry

The Lab can get your first banking bot up and running in just weeks. Its an irresistible offer, made all the more enticing by the fact that you dont have to force this change on your workforce. Once they see it in action, theyll be clamoring for more.

Call The Lab at 526-1200 or email today for your free, no-obligation 30-minute screen-sharing demo. Youll love it!

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