Business Process Management (BPM) technology is finding ever increasing deployment in Banking and financial services organisations both large and small.
There are five key reasons why:
- Standardizing processes
- Ensuring compliance
- Minimizing loss
- Improving efficiency
- Raising capacity
Standardizing the process and getting everyone to do things in the same structured way is a crucial objective. A set of clear instructions regarding processes takes the guesswork out of the process ensuring a high level of service quality. A process automation solution effectively removes to a large extent the need for cumbersome documentation: because the processes are automated, taking the users through each step of the process, there is less room for error and less need to document each step exactly.
Creating a systems based approach through process management enables organisations to create a culture of accountability to internal and external compliance requirements. Deviations from the set processes result in non-compliance, both with existing laws and with internal policies either of which can lead legal exposure or financial loss. Process automation provides for a structured analysis and root cause identification process as well as preventative and corrective action planning.
Where reports are generated from various systems, getting back to the source data when validation or justification is required is nearly impossible. Process automation allows you to trust your data as the data is only captured once hence there is less room for error. As single source with a single version of the truth reduces the chance of deviations from the standard process. In addition, this ensures that immediate corrective actions are put in place on occurrence of deviation. Since efforts are directed towards quality outputs, rework due to deviation is minimized.
Automated process management enable queries to be identified and attended to before they become issues. Management of exceptions mean manager can identify and focus only on those areas that fall outside acceptable levels and address them efficiently.
Replacement of manual or spreadsheet systems with automated system reduces the time spent generating, consolidating and validating reports freeing up users to focus on their core activity thereby improving efficiency. Process automation facilitates decision making and information gathering based on data enabling managers to make data driven decisions.
Efficiency obviously exerts a direct influence on an organization’s workload capacity. The more efficiently tasks are carried out, the more manpower is left over for handling new tasks. This reported rise in efficiency has, therefore, led to an increase in organisations ability to process more with less resources.
Financial services organisations have the need for many types of process automation, deployment of a BPM solution will dramatically improve efficiency while simultaneously boosting capacity, improving compliance and reducing risk.