How RPA Can Improve Finance and Banking Institutions
It comes as no surprise that CFOs across industries are looking for ways to boost efficiency, lower costs, and improve reporting. They’ve faced these challenges for some time—and to great success. CFOs have automated accounting and finance processes since the advent of ERP systems in the 90’s. And the result? Today, around 80% of the more common processes like AR/AP are automated; 50% for lesser processes.
Next, CFOs aggressively outsourced remaining un-automated processes. And its impact? Finance & Accounting ranks in the top five business process outsourcing services by revenue. After, all that remained was Lean and Six Sigma for a final 10-15% cost savings. Until RPA.
While the Lean and Six Sigma options remain, RPA can deliver much greater value for two primary reasons. The first is that since many companies have their own close, consolidate and report requirements, RPA bots – or “digital workers” – can own these repetitive monthly, quarterly, and year-end tasks.
Second, and most significantly, RPA can automate many of the in-house tasks that simply don’t have the volume to justify the resources, costs, and potential risks of an ERP integration project. For instance, thousands of monthly vendor invoices that don’t pass SAP validation, or the hundreds of billing invoices sent to dozens of customer portals.
Robotic Process Automation is easily amenable to a number of industries; it’s already proven useful in healthcare, banking, and finance – so it’s no surprise an increasing number of financial and banking institutions are looking to Robotic Process Automation (RPA) as a way to measurably cut costs, improve compliance, and streamline customer interactions. In order to shed light on automation in the finance and banking industry, let’s first consider RPA, assess some potential applications of the software for finance organizations, as well as the value proposition RPA brings.