The Smart Banker and his Teammate Automation Robot

In my earlier blog, Hey Bank! Who’s on YOUR Team?, I discussed how data and AI can team up to become a 24/7 banker that does incredible things for customer experience, customer service, risk management, and revenue protection. In this blog, I’m adding another member to the team, automation robot!
If AI is the brains or the ‘thinker’ of the team, then automation robot is the ‘doer.’ The AI can find events and opportunities, but it still needs help to execute a process and finish what are normally manual tasks. This is where the automation robot comes in – to get the dirty work done. I like to think of the automation robot as the Mike Rowe of the digital era!

So how does this automation robot help?

The robot offers the most value by injecting required information into the process chain so resolution can take place. Typically, the painful, repetitive, and low-value task of retrieving data is a great time for a robot to step in.

A good example, which I mentioned in my Smart Automation post last year, is banking’s Know Your Customer (KYC) process. The traditional Customer Due Diligence (CDD) and KYC remediation process is slow, manual, and error prone. As a result, it is costly and inefficient. Applying a robot to help this process by just sanction screening for entity and interested party searches through a website can lead to 30% improvement alone. On top of that, the customer experience is drastically improved by the elimination of repetitive inquiries and unnecessarily blocking transactions.

Now imagine putting the AI banker to task along with a workflow engine in the middle to execute. You have a recipe to apply straight through processing (STP) for KYC. You can use AI’s predictive analytics and decisioning skills to conduct transaction or pattern matching and analysis that automatically seeks the information necessary to satisfy CDD requirements. Imagine it all together one more time – remediation event, data gathering, review, and completion – all automated.

Another great example is in the payments processing and investigation space where the Smart Banker is once again helping a customer. In this case the Smart Banker will identify payment problems before they happen – preventing a customer inquiry and service case.

As expected, the vast majority of payment issues revolve around the same few case types. So even when you have a high number of cases (hundreds or thousands per a day), the path to resolution generally requires accomplishing the same, repetitive tasks (e.g. get customer information, cancel payment, rebook payment, apply fee, etc.). Anytime you can identify a process that follows a pattern or contains repetitive tasks, there is ample opportunity for AI and robots to work together to intelligently automate.

Let’s say the Smart Banker (AI) detects a pattern of incorrect payments in a customer’s account. Perhaps a decimal point is off, or the amount transferred is too large or too small in regards to the minimum payment required on the account. The Smart Banker will automatically reach out to the customer via chatbot to get some questions answered. The customer provides confirmation of the issue and provides new instructions. Now the automation robot kicks in, gathering information from disparate systems to execute the customer’s transaction details correctly without human intervention. The Smart Banker has now made a customer happy because the correction was done quickly and without incident. The bank is happy too because not only the customer experience was better but it did this at a lower cost.

Once again, the Smart Banker is looking after the customer and using his robot teammate to get the job done.

Robert Wichtendahl

Vice President, BPM Practice - Banking Financial Services, Virtusa Corporation Robert has 25 years of technology and business experience, mostly in the Financial Services industry. For the past 14 years, Robert has led numerous BPM initiatives both from a product development and deployment perspective. In addition, he has designed and deployed BPM centers of excellence. Earlier in his career Rob focused on Data Warehousing, Reporting, Business Intelligence, Database Marketing, Operations Re-engineering, and Primary/Secondary Market Research providing him a diversified background. Robert holds a Bachelor of Business Administration in Management concentration in Finance from Adelphi University

More Posts