Role of RPA in Streamlining Banking, Finance & Accounting Operations in Nigeria
How RPA is being used in finance and banking?
The primary aim of RPA in the banking industry is to assist in processing the banking work that is repetitive in nature. Robotic process automation (RPA) helps banks & financial institutions increase their productivity by engaging customers in real-time and leveraging the immense benefits of robots.
What is RPA in finance and accounting?
Robotic process automation, or RPA, is one of the most exciting technologies in the business world today. While industrial manufacturing already uses RPA in giant armatures and robotic fabricators to assemble everything from cars to small plastic components, automation has now begun infiltrating the back office, too.
Emerging technologies have accelerated the whole adoption of AI and robotic process automation (RPA) in the fintech sector. These technologies offer unparalleled opportunities across multiple banking, finance, and accounting operations.
Entrepreneurs who implement RPA and AI software into their business practices benefit from automated opportunities from financial forecasting, accurate analytics, budgeting, and efficient fraud protection.
Let’s find out in detail the role of RPA in streamlining banking, finance, and accounting operations.
Preparation of Financial Statements
Most businesses keep tracking their finances regularly to observe their revenue and expenses and make adjustments accordingly.
With RPA software, the process of preparing financial statements can be accomplished quickly and without hassle. Therefore, companies that aim to check their performance in real-time can leverage benefits by implementing the RPA process.
Invoice processing is a manual task that is time-consuming and sometimes redundant. In this process, the accounting department receives an invoice to cross-check its items with the services received.
This process includes sending the invoices to several other staff members or analyzing a series of other spreadsheets. This is where RPA comes into play. By implementing RPA, businesses can automate the entire process.
With RPA, the entire process is automated. Simply put, everything can be done faster with a software bot, from cross-checking the invoices items to sending them to the relevant staff members.
When performed manually, client onboarding in banks is a long hour process. It incorporates manual verification of countless documents, the client’s background checks, and financial history.
RPA finance bot can make the process easier by capturing the data from all relevant documents using the optical character recognition technique (OCR) in a fraction of time and generating an automatic report for your compliance manager.
Later, the data automatically enters into the client’s management portal. RPA automation in client onboarding helps avoid manual errors and saves the employees time and effort required in manual processes.
When it comes to calculating a business’s taxes payable, one needs to gather the required documents and financial details for evaluation. Such a critical and tedious task may lead to errors and mistakes.
To mitigate such challenges, banking and accounting firms use the RPA process to make it easier to gather your tax data and prepare an accurate tax report based on your documentation.
Processing of Expenses
Carrying out the manual process of expenses evaluation and reimbursements are common challenges in accounting operations. It involves verifying the figures and other details to ensure accuracy before feeding the information into your system, which eventually delays reimbursements.
Integrating automation software in the expenses processes streamlines this entire operation instantly. In addition, an RPA bot can fetch the data from each expense mentioned in the form in real-time without compromising accuracy and reliability.
Credit Card Processing
Credit card application approval is one of the time-consuming processes at banks. It commonly takes an extended period to validate the customer details before approving the credit card.
With the RPA bot, banks can quickly approve/disapprove the application by implementing a rule-based approach.
Loan processing is a tediously slow process. Although the banks have implemented automation opportunities in their existing operation to a certain extent, RPA further accelerates it and makes it a process of 10-15 minutes.
Financial Planning & Analysis
Forecasting short- and long-term financial strategies for the next financial year can be a daunting task. It involves in-depth research and previous year’s data across all departments to develop projected goals based on these metrics.
An RPA bot can make forecasting easier, accurate, and reliable and enable organizations to make significant business decisions for the company hassle-free by creating budget models automatically.
Further, it allows organizations to visualize an unlimited range of scenarios without the risk of human error.
Anti-Money Laundering (AML) and Know Your Customer (KYC)
Both AML and KYC are significantly data-intensive processes, making them most suited for RPA. From automating the manual processes to detecting suspicious banking transactions, RPA bots are accurate and reliable when it comes to saving time and cost compared to traditional banking solutions.
Mortgage lending is one of the critical services in the banking and financial sector that is highly process-driven and time-consuming.
RPA offers automation opportunities that make the mortgage lending process hassle-free. It includes loan initiation, document processing, verification, financial comparisons, and quality check. As a result, the loan approval process becomes easier and quick, leading to enhanced customer satisfaction.
Frequently Asked Questions (FAQs)
What can RPA do in accounting?
Organizations can enhance productivity, reduce costs, and streamline compliance with robotic process automation. In addition, it allows more time for your team to act proactively and focus on the strategic planning that adds value to your business growth.
Why is RPA important in banking?
The primary goal of implementing RPA in finance and banking operations is to reduce repetitive processes. Simply put, RPA enables banks and financial institutions to boost their productivity by engaging customers in real-time and achieving operational efficiency with the help of software robots.
What are the benefits of using RPA?
Here are the RPA Benefits
- Boost Productivity Across the departments.
- Improve Efficiency to Generate Savings.
- Ensure accuracy, reliability, and consistency in the operations.
- Enhance business data security.
- Seize Opportunities for Scale.
- Produce Data for Important Analytics.
- Deliver a better customer service experience.
Why should I consider RPA for my business?
RPA is one of the fastest-growing technologies that businesses across the industry are implementing in their operations to boost overall productivity, quality, and efficiency.
In addition, integrating RPA software in your business can accelerate your business operations and optimize speed to market by reducing the overall cost that you invest in expanding your resources and workforce. Hence, RPA is worth consideration to meet your business needs cost-efficiently.
Empower Your Banking and Accounting Operations With RPA
Today, banking and financial institutions have already started leveraging automation opportunities by implementing RPA into their operations.
RPA can accelerate banking and accounting operations accurately and quickly if appropriately implemented. Moreover, it enables organizations to enhance productivity, mitigate the risks of human errors, and ensure an impressive turnaround time.