Is Automation the Right Approach?
Written by: Laurie Duncanson, Lending Operations, Project Management and Training Consultant
As ever-increasing operating costs plague financial institutions, automation offers an exciting solution to reduce expenses, enhance productivity, eliminate tedious routine tasks while maintaining or improving the experience. Analyzing all requirements and impacts of automation including costs in comparison to the results will be critical in decision making and successful implementation. Ensuring quality remains consistent or even improves with automation is essential to avoid regulatory violations, poor customer experience, or a substandard closed loan.
A 3 Phased Approach to Adopting Automation
1. Understand the existing task
Time and Frequency: How long does it take to complete? How often is it performed? High volume, high-time tasks are prime candidates.
Impacts: How does this task affect other functions (compliance, servicing) and the overall customer and employee experience?
Current Controls: What existing checks and balances are in place?
2. Recognize the requirements to automate task
Technical Build: What programming or system configurations will be required?
Workflow Impacts: How will current procedures and operational workflows change?
Testing & Training: Who will perform these critical tasks and perform ongoing monitoring and maintenance?
3. Analyze the ROI
Quantify the Costs: What are the initial and ongoing costs?
Determine the Benefits: What will you gain from this? Consider factors such as cost savings, reduction of time spent, improved compliance, or a better experience for your customer or employee.
Mindset Shift for Management and Team Members: A Crucial Element
Automation starts with recognizing that change is not comfortable nor welcomed by many. Inclusion and transparency to impacted team members will assist in focusing on the opportunities to be gained. Testing the new functionality is not just about finding bugs but confirming that the automation works as intended in “real world” with revised procedures and workflow. Managers need to focus on allowing sufficient time to experiment, learn and embrace feedback. When team members and management shift to collaboration and inclusion, innovation speeds up and the entire organization becomes more adaptable to change.
On-Going Quality Monitoring
Sustaining quality is not a one-time event; it requires a proactive approach. Regular reviews, feedback loops, and performance metrics help catch issues early before they grow into bigger problems. This proactive approach allows for modifications, while ensuring team members are adhering to new procedures, builds confidence in the automation and promotes further innovation.
Conclusion
Automation can be instrumental in improving operating costs, providing positive experience for employees and customers, while maintaining exceptional quality results. To learn more about how SCA can help you analyze and implement automation solutions, contact our Director, Bill Dolan, at wdolan@scapartnering.com or by phone at (617) 694-2617.
