Challenges Solved by Software Robots (RPAs) in the Banking Sector
Currently, the financial sector is leading the way in using RPAs. Our partners have prepared a translation of an article on how banks use this technology in their processes.
According to Gartner consulting company, revenue from RPA software in 2018 grew by 63% to $ 846 million, making it the fastest growing enterprise software market. This year, the RPA market is projected to reach 1.3 billion. $.
Fabrizio Biscotti, vice president of research at Gartner.
The financial sector, especially insurance companies and banks, among all other large enterprises is the most successful in implementing RPA projects. In these sectors, outdated technological systems are still relevant, and RPA solutions can help ensure successful integration.
RPA software has saved costs, time and manual labor, for example, by automatically correcting data formatting errors or by extracting information from external auditors, or by automating the processing of loans and credit checks.
Alternative ways to use RPAs include fraud detection using RPA software that can process massive amounts of data in spreadsheets, retrieve specific datasets, and generate incident reports.
The following are some of the most common uses of RPA currently in the banking sector.
RPA platforms deal not only with numbers, but also with clear text. Currently there are optical character recognition (OCR) solutions on the market that can interpret information from handwritten forms. Editing and verification can be carried out automatically, and information is transmitted and copied in electronic forms.
This type of software is improved over the machine learning process, where inaccurate interpretations are corrected by customer service operators.
Cases of fraud and the need for cybersecurity require banks to create suspicious activity reports (SARs). Previously, people manually read investigation reports and entered the necessary information into the SAR.
This is a recurring task, and the information required is pretty much the same for every incident. The RPA can read long documents using the appropriate information to generate these reports.
In this case, the RPA removes the manual burden from the regulatory department, especially in connection with the increase in cases of fraud.
The process of registering new customers often requires a personal meeting or telephone identification when a bank employee collects information from a client and enters it into the internal system.
To make the data entry process more efficient and error-free, you can deploy an RPA.
In the same way, it can be used when closing accounts. The robot can verify that outstanding payments or loans were paid on time.
One large insurance company was able to save 18,000 man-hours worth about $ 182 thousand thanks to 13 software bots, which were launched within six months.
The UK office has introduced RPA software to help employees with tasks such as communicating with customers about insurance claims. The firm claims to see an increase in the productivity of its employees due to the saving of working time spent on the (given / aforementioned) routine process.
Surveys and research data show rapid growth and general interest in market development.
Regardless of your current individual or organizational relationship with robotic process automation (RPA) , various industry indicators point to a general trend: RPA adoption is gaining popularity in many areas.
According to Gartner, in 2018 RPA was considered the fastest growing category of enterprise software. Analysts point to the active introduction of RPA technology, as companies are looking for new ways to make digital conversion effective.
To give you an overview of the prospects for RPA technology, we have compiled some of the most compelling statistics.
53% : More than half of respondents in the third annual RPA survey conducted by Deloitte consulting company said they had already started using RPA technology. Deloitte predicts that in the next two years this figure will reach 72%.
5 years : at the current growth rate, the ubiquity of the use of RPA will increase - that is, according to Deloitte, almost every company will use robotic technology for automated processes by 2023.
$ 846 million : The total amount spent on RPA software in 2018, according to research company Gartner. Competition among RPA software vendors is also growing, which means that every year they find all the best implementation solutions for a smaller amount.
63%: RPA software spending in 2018 showed an enormous 63% increase over the previous year, making it the fastest growing category of enterprise software in the world.
1.3 mld. $ : Gartner predicts that in 2019 RPA spending will amount to 1.3 billion. $. Spheres such as banking, insurance companies, telecommunications and utilities are currently the leading users of RPA. These industries are united by the need to support and integrate large investments in IT, while carrying out digital transformation initiatives.
12 mld. $ : Forrester analytic agency predicts that by 2023 the market for RPA services will reach $ 12 billion. Forrester previously predicted that the RPA software market itself would grow to $ 2.9 billion by 2021.
78% : Most organizations will expand their initial RPA implementation over time. In a Deloitte survey, 78% of respondents who already use RPA expect a “significant” increase in their RPA investment over the next three years.
4226 : This is the number of job openings created by searching for “RPA” on LinkedIn's job site. The vacancy “RPA developer” (and its variants) is becoming more widespread, reflecting the need for IT specialists who can create bots that allow organizations to perform time-consuming repetitive tasks.
12 months : A Deloitte survey showed that return on investment in RPA takes less than 12 months, while bots provide an average of 20 percent of the total equivalent capacity in the process.
70% : RPA capabilities can be used in many business areas, but some departments are particularly interested in this technology. According to Gartner, more than 70% of financial institutions have already tested or are actively using RPA.
To summarize, we invite everyone to a free open webinar: “Development of a software robot (RPA) for business tasks” , where we will talk in detail about the new course “Software Robot Developer (RPA) based on UiPath and PIX” , which was developed jointly with our partner - NFP .
Sources:
According to Gartner consulting company, revenue from RPA software in 2018 grew by 63% to $ 846 million, making it the fastest growing enterprise software market. This year, the RPA market is projected to reach 1.3 billion. $.
Fabrizio Biscotti, vice president of research at Gartner.
The competition is very high. Nine out of ten leading RPA providers changed market share last year.Using this technology makes it attractive for investment in any industry. This significantly relieves staff from the routine work associated with spreadsheets, while at the same time making certain business processes more efficient and free from human errors. Further advances in the field of stand-alone RPA using artificial intelligence and machine learning are of even greater interest, as the software is becoming more and more “intelligent”.
RPA and banking
The financial sector, especially insurance companies and banks, among all other large enterprises is the most successful in implementing RPA projects. In these sectors, outdated technological systems are still relevant, and RPA solutions can help ensure successful integration.
RPA software has saved costs, time and manual labor, for example, by automatically correcting data formatting errors or by extracting information from external auditors, or by automating the processing of loans and credit checks.
Alternative ways to use RPAs include fraud detection using RPA software that can process massive amounts of data in spreadsheets, retrieve specific datasets, and generate incident reports.
The following are some of the most common uses of RPA currently in the banking sector.
Optical character recognition
RPA platforms deal not only with numbers, but also with clear text. Currently there are optical character recognition (OCR) solutions on the market that can interpret information from handwritten forms. Editing and verification can be carried out automatically, and information is transmitted and copied in electronic forms.
This type of software is improved over the machine learning process, where inaccurate interpretations are corrected by customer service operators.
Report Generation
Cases of fraud and the need for cybersecurity require banks to create suspicious activity reports (SARs). Previously, people manually read investigation reports and entered the necessary information into the SAR.
This is a recurring task, and the information required is pretty much the same for every incident. The RPA can read long documents using the appropriate information to generate these reports.
In this case, the RPA removes the manual burden from the regulatory department, especially in connection with the increase in cases of fraud.
Customer registration
The process of registering new customers often requires a personal meeting or telephone identification when a bank employee collects information from a client and enters it into the internal system.
To make the data entry process more efficient and error-free, you can deploy an RPA.
In the same way, it can be used when closing accounts. The robot can verify that outstanding payments or loans were paid on time.
Operation Optimization Example
One large insurance company was able to save 18,000 man-hours worth about $ 182 thousand thanks to 13 software bots, which were launched within six months.
The UK office has introduced RPA software to help employees with tasks such as communicating with customers about insurance claims. The firm claims to see an increase in the productivity of its employees due to the saving of working time spent on the (given / aforementioned) routine process.
Prospects for the development of the RPA market
Surveys and research data show rapid growth and general interest in market development.
Regardless of your current individual or organizational relationship with robotic process automation (RPA) , various industry indicators point to a general trend: RPA adoption is gaining popularity in many areas.
According to Gartner, in 2018 RPA was considered the fastest growing category of enterprise software. Analysts point to the active introduction of RPA technology, as companies are looking for new ways to make digital conversion effective.
To give you an overview of the prospects for RPA technology, we have compiled some of the most compelling statistics.
53% : More than half of respondents in the third annual RPA survey conducted by Deloitte consulting company said they had already started using RPA technology. Deloitte predicts that in the next two years this figure will reach 72%.
5 years : at the current growth rate, the ubiquity of the use of RPA will increase - that is, according to Deloitte, almost every company will use robotic technology for automated processes by 2023.
$ 846 million : The total amount spent on RPA software in 2018, according to research company Gartner. Competition among RPA software vendors is also growing, which means that every year they find all the best implementation solutions for a smaller amount.
63%: RPA software spending in 2018 showed an enormous 63% increase over the previous year, making it the fastest growing category of enterprise software in the world.
1.3 mld. $ : Gartner predicts that in 2019 RPA spending will amount to 1.3 billion. $. Spheres such as banking, insurance companies, telecommunications and utilities are currently the leading users of RPA. These industries are united by the need to support and integrate large investments in IT, while carrying out digital transformation initiatives.
12 mld. $ : Forrester analytic agency predicts that by 2023 the market for RPA services will reach $ 12 billion. Forrester previously predicted that the RPA software market itself would grow to $ 2.9 billion by 2021.
78% : Most organizations will expand their initial RPA implementation over time. In a Deloitte survey, 78% of respondents who already use RPA expect a “significant” increase in their RPA investment over the next three years.
4226 : This is the number of job openings created by searching for “RPA” on LinkedIn's job site. The vacancy “RPA developer” (and its variants) is becoming more widespread, reflecting the need for IT specialists who can create bots that allow organizations to perform time-consuming repetitive tasks.
12 months : A Deloitte survey showed that return on investment in RPA takes less than 12 months, while bots provide an average of 20 percent of the total equivalent capacity in the process.
70% : RPA capabilities can be used in many business areas, but some departments are particularly interested in this technology. According to Gartner, more than 70% of financial institutions have already tested or are actively using RPA.
To summarize, we invite everyone to a free open webinar: “Development of a software robot (RPA) for business tasks” , where we will talk in detail about the new course “Software Robot Developer (RPA) based on UiPath and PIX” , which was developed jointly with our partner - NFP .
Sources:
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