With technology changing by the minute, financial institutions often have a hard time keeping up with it. As a result, they have to deal with difficult learning curves, errors, and inefficient processes. There’s a lot at stake here since these companies hold a lot of data, and most importantly, are dealing with a lot of money.
Fortunately, we now have business process management software, commonly known as BPMs, which consists of tools and techniques that help organizations be more effective despite constant changes. The aim of BPMs is to help financial organizations like banks to align their operations with their goals.
There are numerous financial transactions that can greatly benefit from BPMs. This includes account opening, sending and receiving payments, loan request processes, making mass payment systems for multiple industries, anti-money laundering (AML) and more. It can even help with internal bank departments such as lending, risk and compliance management, human resources and more. BPMs is an attractive tool that can enhance an organization’s workflow, while it keeps up with the pace of innovation.
More than anything, BPMs can help you remain strong in a competitive market as the effective use of a BPMs platform can help make attracting new customers easier. In an age where everything is expected to be instant, banks can take advantage of BPMs by giving the customer a more convenient experience.
Beginning with opening an account, BPMs can make the application process easier as it can be integrated with the credit-rating system which checks to see whether they are viable candidates.
There have been many cases where a customer will leave in the middle of applying for a new account because response times were too slow or the process was too inconsistent. There was no one right answer that they follow because of the conflicting information they got at the branch, the internet, or the call center. The process would take days, if not weeks.
By that time, the customer has already lost patience and has sought out other options. With BPMs, you can make the prospect of opening a new account more alluring because it streamlines the whole process, taking only a few minutes.
And when you start to develop a reputation for having easy to use services, customers are more likely to come to you. BPMs automates the process, makes collaboration easier, and allows you to market new products faster.
So how exactly does it look on paper? With BPMs, the customer only has to go to one tool where everything is centralized from fulfillment to customer service. The customer has to enter the initial information such as their name, address, birth date, contact info, and supporting documents)
Everything is then sent to the bank automatically for real-time checking, and once the documents are reviewed, the customer gets a notification of whether they’re approved, rejected, or need to provide more information. Once finally approved, the system automatically sends them onboarding information so they know what steps to take next. This streamlined method makes the whole process take only several minutes instead of weeks.
Take note that this same process can be applied to other products such as insurance, utilities, telecom services, and more. So it’s not just financial institutions that benefit but also other industries.
Customers become satisfied which makes them more likely to recommend the service to their friends and family. And because they are happy with that one experience, they’ll also likely repeat it with your other products. It won’t be hard to upsell them your other services knowing that it only takes a few minutes to do with your system
The great thing about this all is that it drastically cuts down operational costs. Because everything is simplified, financial institutions only need to spend their resources on the most essential systems and get rid of the excess.
We hope this gave you some insight into how BPMs can be helpful for your business. What are your thoughts on this process? Share your thoughts in the comments below.