Tag: RPA
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.
Also known as Intelligent Automation, Robotic Process Automation leads to business success with the robots being able to perform complex tasks. Recent researches have shown that robotic process automation can help in successfully carrying out 87.5 percent of the tasks on time on its own!
According to Forrester Research, 2018, “CIOs should use robotic process automation to digitize and optimize operations, to create and act upon advanced insights, and to drive business technology innovation.”
Institute for Robotic Process Automation and Artificial Intelligence, define RPA as an application of technology that aims to automate repetitive business processes. RPA tools help a company to configure software—a “robot,” so to speak—in order to capture and interpret applications for processing transactions, manipulating data, triggering responses, and communicating with other digital systems.
Everything you need to know about using Robotic Process Automation For Your Business Growth: Tips and Tricks!
Over the next three decades, statistics show that over 76 million baby boomers, rather freshers will retire and only 46 million new workers will be available to replace them! During this time, the demand for labor will rise, making robotic automation a real and viable solution! But this does not indicate that Robotic Process Automation means career extinction!!
Robotic Process Automation – Important Insights and Forecasts!
North America bagged the highest in 2017 for using RPA and the trend is expected to continue over the forecast period. The reason is the increased penetration of automation and process management solutions across the region. The fastest-growing region is expected to be the Asia Pacific. It was valued at USD 45.9 Million in 2017. Automation, which includes machine learning, robots, and AI are the strong sectors for market growth in the Asia Pacific region.
Let’s walk through the major ways in which Robotic Process Automation drives business growth:
Cost Savings By Making Work Robo-Automated!
Implementing Robotic Automation in your business enables 24/7/365 operational functionality at the cost fraction of an individual! Through work process automation, administrative costs are reduced immediately and no additional back-office resources are required. Implementing RPA requires an initial financial investment, but it increases the overall efficiency and productivity. It ensures the reduction of errors as well.
Advanced Analytics Prove Business Process Optimization
Data is King! Recent studies have shown that the use of automation ensures 100% compliance of data-driven regulatory standards (HIPPA, PCI, etc.). Integrating technology within any enterprise infrastructure function enhances the ability to predict future results and optimize business processes.
Through the use of Robotic Process Automation, operational processes can be assessed based on the performance data of your business. By creating a constant data-driven feedback loop, higher levels of efficiency can be measured. This cannot be achieved with human operation.
Improved Performance, Efficiency, Quality and Reliability
Robotic tasks and workflows are efficient and ensure 100% accuracy and availability. Automation eliminates repetitive functions.
RPA helps employees to apply their skills and experience toward core business objectives. This is made possible with automation as repetitive mundane tasks can that drive innovation and growth.
Protection from Injurious Tasks
Also termed Musculoskeletal Disorders (MSDs), Repetitive Strain Injury occurs from performing the repetitive tasks at high speeds. This results in swelling and cramping. When performed continuously at high intensity for a longer duration, it results in a chronic disorder!
According to the statistics, in 2012, the manufacturing industry had the fourth highest number of MSDs, with 37.4 incidents per 10,000 workers. In such cases, robots are the best suited for completing repetitive tasks, thus saving employees from dangerous work disorders!
Automation Workflow Independence With RPA Integration: Correct Those Brittle Workflows
What can be more charming than the freedom to integrate with any available technology? A prime advantage of RPA integration is it does not require Information Technology (IT) resources.
When funding for large IT projects is a bottleneck for corporations because of its need for programmatic integration with enterprise-wide systems and applications, it forms a major IT development barrier.
For instance, consider the success of Software as a Service (SAAS) solutions such as Salesforce, Zendesk, GoToMeeting, Slack, Workday and so on. These have witnessed tremendous success by their ability to be deployed with very limited technology backbone. Similarly, Robotic Process Automation bypasses the IT sector through its “View Layer” integration approach. The centralized engine it has is trained to communicate and operate with existing applications at the desktop level and not the back office. Thus robotic process automation rules and workflows can be defined by anyone!!
Surface Automation and Document Processing With RPA: Need to Handle Brittle Workflows
RPA is useful when you need to automate the process of adding data to or manipulating data within one of those systems. This is called Surface Automation. RPA provides an effective solution for accessing and working with data housed in those systems.
Additionally, RPA tools are used by businesses for Document Processing. These RPA tools can open a file, parse its contents, and move files.
The concern is since RPA engages with systems on a surface level, the workflows built with RPA are brittle. For instance, If a document’s format changes, the RPA process must change accordingly. So now there is a need to streamline these brittle workflows.
The Future Is Now With Robotic Process Automation!!
The Robotic Process Automation (RPA) market size was valued at USD 357.5 Million in 2017 globally. This value is expected to reach a CAGR of 31.1% over the forecast period.
The ever-mounting demand for Business Process Automation (BPA) through the use of Artificial Intelligence (AI) and software robots are featured to be the key growth-driving factor for the market.
Integrating RPA in the core business enables a business to streamline IT and business operations.
Also, its ability to mimic the numerous skills of humans, without human intervention while consistently carrying out prescribed functions and scaling up or down to meet the demand is expected to augment the market demand!!
Robotic Process Automation will play a significant role in the automation of Customer Experience and be a key factor in your business in the near future! Consult our experts at Fingent to know how Robotic Process Automation can bring incredible changes to your business.
Related Reading: CTOs Guide – How Robotics and AI Can Improve Customer Experience