As financial institutions continue to drive down both risk and processing costs they are looking to innovate in the middle- and back-office, most notably through RPAs. But are they worth the hype?
Nick Ismail writes an interesting piece for Information Age. A short synopsis follows –
Financial institutions operations teams currently use multiple manual workarounds to ingest and manipulate data, to maintain controls and quality. These processes, such as managing data exceptions and data entry, vary by organisation and even by business unit, due to different levels of connectivity between the front-, middle- and back-office. RPAs are being looked at to automate these repetitive functions, reducing the risk of “fat finger” errors and increasing STP/efficiency.
On paper RPAs look like a perfect solution, but applying RPAs to the real world is less black and white.
“…many RPA tools cannot process 100 percent of data formats. Firms may be required to build adapters…. to transform such data into a readable form for the RPA tool.”
We agree. We work with some global financial institutions to capture data from multiple internal and external sources, which is then standardised into a format which enables the RPA to do its job.
This article summarises that RPA isn’t a silver bullet (yet). RPA can be extremely useful for increasing control and efficiency, but before implementiation firms should perform the right level of upfront analysis to ensure that all the required data can be automated and that significant benefits will be realised.
Nick Ismail writes for Information Age, with content sourced by Nick Fry and Lukasz Hassa (Sapient Global Markets)
The complete article is available at http://www.information-age.com/digital-transformation-mean-finance-teams-123466642/