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How can document workflow management improve banking processes

October 18, 2022 - Team EdgeVerve

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Every organization needs a streamlined process with proper guidelines to manage workflows. Managing enterprise documents’ life cycle is a critical area that needs immediate attention because documents are a treasure trove of valuable data. But enterprise data usually stay hidden among piles of paper files, intricate spreadsheets, contracts, images, and long email trails. Extracting information from such sources is not easy, as well as digitizing documents and extracting granular insights. This is where document workflow management software powered by modern technologies can contribute significantly.

Current enterprise document challenges

Emails are one of the choicest communication mediums that allow senders to maintain a record of what is passed on between them and the receiver. Business emails are forecasted to grow by over 347 billion by year-end 2023. That’s not all. 70% of enterprises handle the bulk of paper documents in the form of images, PDF files, and printouts every day. And each document carries critical business data; 80% – 90% of which are unstructured and locked in these documents.

This is challenging for enterprises, especially when they need to extract specific information from document sources for decision-making. Shuffling through file after file or reading through long emails and extracting data from image attachments can be a time-consuming, brain-breaking task. And the required information is not often available when needed. Document workflow management is time, labor, and cost-intensive, negatively affecting the morale of the employees involved with the mundane process. Also, not to mention the trail of errors left behind while manually processing documents and entering data on spreadsheets. Further, physical documents are vulnerable to loss or damage. These challenges work as significant roadblocks in day-to-day business operations.

What is the need for document workflow management?

Let’s start with an example – saving an invoice received via email or from other sources like fax or courier and extracting data for future usage is a typical document workflow. Unfortunately, the chances of misrepresented data in the central repository and loss or damage of the physical document are always high. But document workflow management software harnesses the power of automation and other tech capabilities to prevent mishaps. Such platforms make it easier for employees to acquire documentation and create a central repository for all organizational information, easily accessible as and when needed. That way, an enterprise can save a lot of time spent manually searching for required data or the document as physical evidence.

Document workflow management bridges the data gap and reduces any chances of organizational chaos. In-house teams can complete their tasks faster and more accurately when they can access the required information at their fingertips.

What is a document workflow management system?

A document workflow management system allows enterprise documents to be organized, archived, and maintained with the power of automation, regardless of format. This software solution accommodates easy accessibility of required documents when needed without excessive time and resource investment.

Benefits of document workflow management system

Accountability: Document management software defines users and tasks in a workflow. This enables visibility into each task, ensuring employee accountability for fulfilling their duties. In addition, automated notifications allow for easy tracking of each process and help maintain workflow deadlines.

Error reduction: Auto-document indexing reduces costly human errors and the time spent tracking down and addressing mistakes.

Communication: Document routing automation prevents slowing down processes by manual document sharing. Once documents are added to the system, they are indexed and shared with the intended user. This allows easy accessibility of documents by authorized users, as and when needed.

Productivity: Manual tracking of documents is eliminated, freeing employees from recurring workflows. They are released from mundane request follow-ups or status reports and can refocus on revenue-producing actions.

Oversight: The workflow dashboard provides a comprehensive overview of all active workflows. Users can easily track statuses and add updates automatically. And software administrators can quickly identify slowdowns before they become an issue.

Document management workflow – five enterprise-wide use cases

Document workflow management system helps paper/document-intensive enterprises to convert into digital, paperless organizations. And its features have far-reaching applications in processes that are document-heavy. A few such everyday use cases would be:

Document management workflow – industry use cases

Every organization has to deal with heavy documents and other important files, including supplier-partner contracts, invoices, HR-related documents, employee contracts, legal papers, etc. But some industries are inherently document-heavy, while many among them are still dwelling in the paper era. These industries can benefit immensely from a user-friendly document management workflow software solution.

For example, banking, finance, and healthcare are two specific industry segments where enterprise documents hinder the following processes. Document management in the absence of tech-enabled solutions is a cumbersome task. And employee morale stays at its lowest level, and so does their productivity. In banking, the major challenge arises with KYC documentation and new customer onboarding. Also, processing loans and mortgages are usually document heavy. Handling customer documents and manually extracting information is a long-haul, recurring, and mundane process. Such processes affect team productivity significantly.

Hence, a document management workflow system powered by automation is the ideal software solution for such industries. For example, with software solutions like XtractEdge, a US-based bank improved in-house productivity by 10X or more.

Importance of automation in the banking industry

Banks and financial institutions were the early adopters of automation and digital solutions. However, this sector comprises operations that were executed manually, taking up a lot of time and effort from their staff.  Moreover, the routine activities were repetitive, which impacted the productivity of the in-house team and prevented banking institutions’ chances of moving up the value chain.

Automation was a blessing that reduced redundancies in operations and sped up processes, allowing staff to focus more on productive workflows. Further, the documentation hassle is addressed with automated document workflow management software. It prevents errors or misplaced customer documents. And allows customers to complete their KYC even from a distance. With such software available at your fingertips, storing historical data and customer details for extended periods becomes feasible, with no risk of loss or damage to physical documents. In addition, the auto-processing of different customers’ records happens simultaneously in lesser time, and any possible chances of fraudulent activities by customers are quickly arrested. So, banks can help onboard more customers than before and scale their revenue growth effectively.

Document workflow management is a catalyst for banking success

An automated software solution offers the following benefits:

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