3 Challenges for Banks When Applying RPA Solutions

Implementation of Robotics Process Automation (RPA) for digital transformation is the key trend for traditional banks to compete with online banking services. RPA serves as a powerful tool for banks to overcome challenges, however, are banks ready for RPA challenges?

Source: Automation Edge

The fact that banks are frequently under the pressure of optimising cost along with boosting productivity has been a concern for almost all of bank managers. Quickly evolving, the primary aim of RPA application in the banking industry is the assistance in processing repetitive work. RPA helps banks increase their productivity by engaging customers in real-time and leveraging the immense benefits of robots. This adoption is beneficial, yet challenging. 

1. Resistance to change

Although the positive impact of RPA has been widely recognised, many bank leaders hesitate in actually taking RPA into operation. The ACCA report has shown that half the number of respondents have not deployed RPA. Even though the rest of the group did find the help from this virtual assistant, the majority of these interviewees implemented RPA in some processes or even stopped at the pilot stage. 

Implementing a successful RPA can be tough to even get functioning because it requires approval starting at the top. In traditional bank systems, it is difficult to totally shift the mindset and adapt the new method of management when applying advanced technology into the business process. The delay in embracing this technology probably lies in the basic knowledge of how it works.

Source: Tech Bullion

It is critical that finance teams have a strong understanding of technology and its functionality so they can play a leading role in its implementation. Therefore, bank leaders should take courage and find a professional partner to sketch out the appropriate path for their RPA adoption.

2. Process standardization and organizational misalignment

Implementing the RPA solution in banking generally begins with the identification of accurate and feasible processes. It is pivotal for banks to bear in mind the right processes followed by assessing them based on overall impact. Adopting this advanced technology means that the distribution of roles and responsibilities is required for the alignment throughout the organisation from the initial stage. 

The mismanagement in responsibilities is inevitable while dealing with RPA. It is crucial to know exactly who is in charge of what and what part in the process RPA can handle. Besides, to avoid this mistake, managers need to identify the role of their employees and allocate resources suitably after implementing this digital solution. 

Source: Business Line

3. Compatibility with legacy infrastructure

When implementing an RPA, one of the biggest issues and challenges that banks have to face will deal directly with infrastructure. Known as the most data processing environment, banks are far behind the digitalisation trends. Most traditional banking systems have been used for such a long time. Therefore, the cost of replacement is expensive and massive. This is also the reason why almost all bank leaders hesitate in revamping the whole banking operation. 

The challenge of compatibility of the new advanced automation technology with the available infrastructure is a hard question for banks to solve. Indeed, pursuing a digital transformation strategy should be a beneficial process. While applying RPA, banks need to make sure to have a centralized infrastructure team that is helping to expedite the implementation process. If not, not only will it be difficult for staff to get acquainted, it will also be complicated if your company doesn’t have an interconnected system that keeps cloud or infrastructure updated in real time.

Since the “new normal”, the banking industry has adopted new advanced technologies that enable organizations to provide secure, faster and self-service solutions to customers. RPA quickly comes to hold the top trend for financial services due to its ability in handling the tough task in banking systems. Overall, challenges in RPA application can be solved when leaders have a clear vision on implementation plan with a suitable provider. 


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