Tag: Logistics

Robotic Process Automation Reflecting The Banking, Insurance & Logistics Industries

Robotic Process Automation is the fastest-growing segment of the global software market. Using this technology, companies can fast-track their digital transformation initiatives. Although RPA is useful in all industries, the biggest adopters of this technology are banks, insurance companies, and logistics. These companies traditionally have numerous legacy systems and choose RPA solutions to enhance or replace manual IT processes. This article discusses how Robotic Process Automation is revolutionizing the banking, insurance, and logistics industries. First, let’s consider what is Robotic Process Automation.

What is Robotic Process Automation?

Robots have fascinated humans for a very long time. From the futuristic robot Maria from the movie Metropolis in 1927 to this day of AI sci-fi, the possibility with robots is a topic of endless discussion. Interestingly, though, this word “robot” in Robotic Process Automation (RPA) does not involve a physical or mechanical robot. Instead, it is a software running on a virtual or physical machine. Aaron Bultman, director of Product at Nintex simplified the expression saying, “RPA is a form of business process automation that allows anyone to define a set of instructions for a robot or ‘bot’ to perform.” 

How to accelerate your business growth with Robotic Process Automation

According to Gartner, RPA grew by 63% in 2018 and continues to be one of the fast-growing technologies in many industries! RPA lets companies automate current tasks as if a real person was doing them across systems and applications. It interacts with each system just as a human user would interact. This does not require complex system integration. These functional RPAs are virtual workers and execute rule-based information processes, enhancing efficiency and accuracy. Additionally, it is easy to model and deploy. Let us consider the three specific industries where RPA is most beneficial.

RPA in Banking

The banking industry is completely process-oriented. Every activity is done meticulously to avoid errors in processing. The repetitive nature of the job and the high probability of human error could cause mistakes that might prove very costly. Therefore, in the recent past, leading banking institutions have started using RPA to minimize errors. According to a report by KPMG, RPA will perform almost 75% of the existing offshore jobs, which could save operational cost. 

Scalable Benefits of RPA in the Banking Industry

• Mortgage Lending. RPA can enable the banking industry to meet loan quality and cost concerns head-on. Automation of repetitive and time-consuming manual tasks will free up your team to focus on the more important details of loan applications. It speeds up the work, increases revenue. enhances customer experience, reduces operational costs, decreases risk and improves compliance. 

• Compliance and Risk Management. It enables the banking industry to automatically integrate and aggregate compliance information into business processes, streamlining the required work while reducing expenses. RPA eliminates the need for manual regulatory monitoring and data collection. It can empower risk management and compliance teams. It enables banking industries to avoid costly fines and damages to reputation. It provides accurate and complete information.

• Customer Service and Support. RPA ensures the longevity and loyalty of your customer relationship and the future of your bank. It helps you engage customers in real-time. It automates customer service activities so the customer is not waiting endlessly. It increases the productivity and efficiency of the team.  

Related Reading: Check out these 5 simple hacks on using banking mobile apps safely. 

RPA in Insurance

An insurance company receives hundreds of claim requests. Validating each request and handling them is not only a herculean task but also a painstakingly slow manual process. The entire process of the claim takes several days. Because this is a costly and time-consuming process, the company risks losing customers. To prevent further damages, insurance companies are now relying on RPA to help them improve operational excellence and reduce costs.

Scalable Benefits of RPA in the Insurance Industry

• Improves customer service because RPA effectively reduces the turnaround time in resolving customer issues.
• Processes and workflows could be tracked and recorded at each phase. This reduces staff workloads and improves process efficiency.
• Reduces the processing time by 40-80%.  This frees up the team to focus on more important activities such as acquiring new clients.
• Reduces errors made during data entry significantly.
• Speeds up and organizes the processing of claims through a systematic underwriting process.
• Based on the demand, intelligent bots can scale up or down, which delivers consistency in service and operational efficiencies.
• Improves audibility and operational risk management due to the accuracy level of RPA.
• The time for the cancellation process could be reduced by one-third.

Related Reading: Here’s how machine learning is accelerating paperless offices for legal firms. 

RPA in Logistics

The logistics industry depends on several processes to facilitate the proper distribution of products, materials, and services from B2B or B2C. The need for an intelligent logistics system increases as the industry along with competition advances every day. Here’s how the RPA can contribute to the logistics industry:

Scalable Benefits of RPA in Logistics.

• Better data management and customer service.  Negative experiences and a multitude of errors with logistics providers are causing customers to lose their trust in online shopping. With the benefits of automation and digitalization brought about by RPA, logistics providers no-longer need to rely on huge amounts of paperwork, which was the underlying cause for errors and poor customer service. Logistics companies are enabled to manage real-time monitoring of flow and resources, availability, costs, staffing, transportation, suppliers and so on more efficiently. 
• Improved work safety for employees. Through the use of automated machines in unsafe environments and the reduction of repetitive stress in manual tasks, work injury has been dropping steadily with the aid of RPA. This results in savings in terms of injury compensation and loss in reputation. It can also increase productivity, improve employee satisfaction and loyalty, and increase their efficiency.
• Improved efficiency and precision. RPA can help logistics companies easily manage the supply chain processes more efficiently. The anticipatory logistics system helps companies gauge the demand from their customers and adjust their production volume accordingly. It can help in managing and analyzing huge amounts of data within seconds, resulting in fewer human errors, faster deliveries, and fewer errors in delivery.
• Cost reduction. Fewer errors from human decision-making result in cost savings for logistics companies. Also, RPA reduces the need for human workers, which results in fewer paychecks and more profits. Where workers are still needed, it can raise their productivity, margins to a whole new level. It improves customer satisfaction and creates a safer work environment for the workers.

Related Reading: Know more about how AI is reshaping the supply chain and logistics industry.

Empower Your Business With RPA 

According to Global Market Insights Inc., the RPA market is expected to reach $5 billion by 2024. It is increasing capabilities and improving performance while reducing costs in several industries. Fingent Technologies has been one of the top software companies empowering industries globally with robotic process automation capabilities. Give us a call and let us discuss how we can transform your business with RPA.

Digital technologies have permeated and disrupted almost all sectors, and logistics companies are no exception.

Optimization and efficiency, combined with speed and seizing the moment are the keys to success in today’s highly competitive advantage. Technology is the key enabler allowing companies to realize these aspects.
 

Leveraging Technology for Strategic Planning

A report by transport and logistics analysts Oliver Wyman reveals transportation and logistics companies increasing revenue, yet having reduced profits, over a 10-year period, and come with the recommendation to “standardize and streamline structures and processes, developing industry oriented and innovative solutions, thinking and acting in terms of networks.” Technology is the key enabler in this regard.

On average, transportation companies invest about 5% of their annual revenues in digital operations, with the main focus on digitizing their customer interface. The thrust these days is especially on mobile apps and solutions, to offer a personalized experience for their customers, and track the movement of vehicles accurately.  However, side-by-side companies are also increasingly using digital technology to unlock new business models, focused on the creation of value-added services and innovative solutions.
 

The Use of Big Data to Improve Operations

The need to cut cost and take real-time action, in a competitive environment where margins are wafer thin, require logistics companies to take greater control over their supply chain and ensure the processes take place seamlessly, at great speed. Towards such ends, logistics companies are increasingly applying Big Data technology, to capture and analyze data, to streamline their operations and optimize the supply chain.

Computers apply algorithms to crunch Big Data, unlocking insights and opportunities not possible before. Such insights enable streamlining operations and optimization of the supply chain.

• Data based automation, especially automated load building and optimizing the inbound and outbound movement of cargo, enable optimal usage of available resources, reduction of waste, and facilitate lean operations.
• Effective real-time fleet management solution facilitates “uberization” of trucks and other delivery vehicles, where empty containers may be utilized immediately by matching it to the nearest load. Mobile solutions enable greater transparency into the operations.
• A comprehensive data based inventory and supply chain management system unlocks silos, and facilitates end-to-end visibility to inventory, orders and shipments across the supply chain. Such transparency allows improved tracking of inventory movement, facilitates the reduction of network-wide inventory levels, and enable managers to respond dynamically and in real-time to any events or issues that disrupt or hinder the supply chain.
• Analytical data makes explicit greenhouse emissions and carbon footprints of truck and machinery operations, allowing companies to take steps to become carbon-neutral, thereby contributing to the cause of “Green logistics.”
• The combination of machine learning with supply chain management enables turning reams of passive data into actionable business intelligence. Logistics companies apply the wealth of data related to the movement of their goods and trucks to identify patterns related to customer trends, identify what works well, unearth market insights, and gain competitive advantage.

Digital Improves Security

Supply chain disruption is the number one global business risk for logistics companies. Technology enables fortifying the supply chain in many ways.

• Digital locks make the inventory more secure, offer a robust layer of security, in addition to physical security.
• Optimal route planning, combined with real-time tracking of cargo movement through mobile apps enable routing of cargo by avoiding congestion points and trouble spots, to minimize risks and interruption.

Internet of Things (IoT) Enhances Operations

The earliest applications of RFID and nascent IoT technology have been in asset tracking and warehouse management. For instance, rather than simply tracking inventory of pallets and crates, enterprises use sensors, beacons, RFID and other technology to gather information on the state of the connected item, such as when the “thing” requires maintenance, the expected life of the “thing,” and more.

IoT contributes to highly integrated warehouse management solutions, enabling precision movement and accurate tracking of movement of goods.  The applications of IoT instruments in logistics are virtually endless, ranging from tracking transportation goods in a temperature controlled way to ensuring the correct package reaches the correct location at the specified time and more.

The trends in the immediate future include connected and ‘autonomous’ trucks, warehouse robotics, and smart warehouse solutions, all of which will improve efficiency manifold, speed up operations, and improve accuracy.
 

Technological Innovations Unlock New Possibilities

Logistics companies use technology not just to improve efficiency of operations, but also transform the way operations take place in itself. The use of robots in large warehouses, and to handle hazardous goods is already widespread, as is the driverless, remote-controlled vehicles.

The next big thing is the use of drones, especially for last mile delivery. The U.S. Government is already piloting a drone-based traffic monitoring system. Countries such as Spain, France, and The Czech Republic and others have several research projects looking into the use of drones for traffic management. The widespread use of drones would speed up things considerably, reduce the hassles, strain and inefficiency associated with maintaining an army of delivery boys, and also reduce costs considerably.

A start has already been made, with Amazon Prime Air already making legit deliveries using drones, in less than 30 minutes from the time customers place an order. When the technology becomes widespread, logistics will change like never before.
 

Improved Customer Satisfaction

Proactive transportation and logistics companies go beyond improving their operational efficiency and retaining greater control over their operations, to enhance customer satisfaction.

Technology propels a shift to a customer obsessed operating model, enabling the delivery of personalized and customer-focused logistics, with faster cycle times.

Hyper-connectivity facilitates not just big data, but also speed data. Speed and timeliness, manifesting in seizing the moment enable companies to match customer expectations and deliver competitive differentiation over its competitors.

It requires considerable expertise in both business operations and the latest cutting edge technology to roll out successful technological solutions acceptable by the rank and file. By partnering with us, you can piggy-bank on our vast and extensive experience in delivering highly intuitive apps and other solutions for transportation and logistics firms. Our rich talent pool, combined with extensive experience allow us to add value to your strategy, and roll out seamless apps that make your processes highly efficient, allowing you to cut costs, unlock new possibilities, and take customer satisfaction to new levels.

The logistics industry has been undergoing a series of transformations for the past few years. Things that seemed like science fiction in the past, like augmented reality and 3D printing, are actually becoming part of the industry. Technology is being used widely today in order to provide faster and more reliable delivery services. In the future, we can see a lot more technology and innovation shaping the entire concept of logistics.

While we are on the subject of innovations and trends in the logistics industry, let us discuss 3 such smart technology trends in 2015, which are greatly influencing logistics and supply chain management:

1. Carrier technology – The latest advancement in the area of carrier technology is that smaller trucking companies are being given access to the technology support and operations that bigger companies use to manage. Earlier, small motor carrier companies, especially ones in the truckload segment, were always ignored when it came to the technology provision aspect. It was always the bigger companies, who could spend more on user fees and upgrades, that became the targets of technology providers. Hence, the smaller companies stuck to little or no technology at all and suffered from a lack of efficiency in their operations. It was not until recently, that this trend began to see a change. Companies like 10-4 systems have started developing technology solutions for carrier companies so that they can compete better in the industry. Carrier technology is set to be a turning point in the whole industry as it helps companies manage their demand planning and at the same time reduce wastage in their value chains. It also helps smaller companies grow by enabling them to generate better cash flow.
2. Web services – One of the biggest factors that was holding back the supply chain industry is its undue reliability on unreliable data, and the lack of efficiency and effectiveness in data transmission. Sharing of important information was always through technologies like EDI, fax and email. This year, we are going to see widespread use of web services and also a set standard for the language used for transmission of data. Several companies like Project44 have already taken the lead in this regard. This is going to have a significant impact on the whole supply chain industry, as it will change the way companies perform complex demand analysis, reduce wastage and shall transform the way that companies charge for their services. Clearly, a much-needed change.
3. Integrated supply chains – Integration between supply chains world over, not only enables instant online freight booking, but also enables the traders to serve their customers while simultaneously allowing traders to manage their connections with their transportation vendors. Such an integration will reduce the overall cost of logistics because it eliminates the need for intermediaries at various levels of the supply chain in the course of shipping products. This again, will make use of technologies like cloud services and pave the way for a more effective management of operations.

Technologies like these are soon becoming mainstream and are revolutionizing the logistics and supply chain industry. They clearly help overcome the challenges that the industry has been facing till recently. As a matter of fact, in the course of time these are most likely to bring the highest level of sophistication and much-needed efficiency in the industry. They will surely help in building stronger, more effective supply chains as well.