Robotics in the Banking and Financial Sectors

Robotics is changing how many banks and financial companies do business through so-called robotic process automation (RPA). It is a software-based virtual workforce that lets employees focus on less tedious tasks they handle well. 

Some describe RPA as "the equivalent of giant robots with yellow arms used on factory floors." By automating labor-intensive processes, the calculation for outsourcing/insourcing decisions changes. RPA offers a wide range of capabilities, from customer service and processing to fraud detection, auditing, and regulatory compliance. 

Robots are quickly taking over the financial industry in various ways, saving millions of dollars and automating labor-intensive tasks. Robotic process automation helps financial institutions with everything from financial modeling to invoice processing. 

Here are 11 ways and companies in which robotics is bringing the financial sector to life. 

Financial Trading (BLUE PRISM)

With its software, Blue Prism provides banks with a digital workforce that performs matching and verification, then passes the finished results to the institution's document management systems. 

Trade Settlement (BNY MELLON)

The company uses RPA to automatically settle trades and confirm the corresponding allocations. In the past, this labor-intensive task was performed manually. 

Automated Bank Account Opening (WORKFUSION)

The company simplifies the customer onboarding process while increasing accuracy and productivity. WorkFusion eliminates the labor-intensive identity verification process by digitizing licenses and using built-in optical character recognition. After cognitive bots extract and verify information, an RPA bot passes the verified data to the WorkFusion system. 

Report Automation (ENABLESOFT)

EnableSoft's user-friendly Foxtrot software lets banks automate many tasks, including labor-intensive reporting. Employees who can perform this task manually can train Foxtrot using drag-and-drop tools. 

Credit Card Reconciliation (EVENTION)

One of many functions performed by Evention's RPA technology is credit card reconciliation. It consolidates data from various systems to verify the accuracy of revenue from points of sale through the general ledger and into credit card reconciliation. 

Fraud Detection and Prevention (PAYPAL)

Online auction giant PayPal uses RPA, along with other technologies (notably artificial intelligence and machine learning), to detect suspicious activity and distinguish real signals from false ones. 

Regulatory Compliance (UIPATH)

RPA is used to eliminate repetitive compliance tasks and free up human staff for work involving reasoning and judgment, qualities robots lack to varying degrees. 

UiPath maintains a central log that stores and monitors robot activity, so information is easy to access for audits and can be updated to reflect changes in regulations. 

Customer Service (USAA)

To improve customer service, USAA uses visual agents (together with artificial intelligence) to make interactions with human customers more realistic. The company calls this ability to understand human behavior and preferences "digital empathy." 

Billing (BILLTRUST)

KeyBank uses the KeyTotal AR cloud platform and Billtrust's Quantum Payment Cycle Management software to automatically deliver invoices and other payment collection services, effectively eliminating repetitive and labor-intensive tasks and fully optimizing customer processes. 

Wealth Management (PEGASYSTEMS)

In asset management, Pega uses AI-driven robotic technologies to automate and personalize communications. In doing so, the company aims to build a more intelligent, productive, and proactive business model. 

Mortgage Processing (COMPUTING SYSTEM INNOVATIONS)

With CSI Intellidact AI Process Automation software, real estate professionals can benefit from quick document access, automatic data entry, and round-the-clock processing, all of which boost office efficiency, reduce staffing costs, and much more for reliable data integrity. 

Many banks and financial institutions have already started using RPA in their operations because, compared with large-scale transformations, these are targeted solutions that can be implemented quickly and easily. 

When implemented properly, robotic process automation can truly transform the banking sector by automating manual, repetitive, and labor-intensive tasks. Automating such routine work will bring higher productivity, a sharp reduction in errors, and impressive turnaround times.