Digital transformation in financial services

Retail banking customers are increasingly using digital technologies in their banking lives, concludes a recent whitepaper, Using Workflow and Document Management to Improve Cost Management and Compliance, from CEB. They’re dissatisfied with the remaining paper-based account opening and servicing processes.

The desire to complete account activities anytime, anywhere, from checking a balance and paying bills to opening new business and transferring money between accounts, is only growing. And while banks, in general, are doing a good job of converting paper documents to digital information, they often neglect enabling a workflow solution in their account opening, servicing and collections departments. These critical business processes result in decreased customer satisfaction and loyalty, which robs banks of share of wallet.

Those that do discover cost-reduction benefits, as well as an increase in customer satisfaction. Here are three stories of banks that enabled workflow and haven’t looked back.

First Bancorp: How implementing workflow boosted business process efficiency and won over bank employees

There was a time when loan officers at First Bancorp, Southern Pines, N.C., would send approved loan packages to the bank’s back office for data entry – and then brace themselves for whatever might come next. Long wait times. Lost or misplaced paper documents. Blind views into the process. Loan officers called this “the black hole.”

First Bancorp implemented OnBase in 2012, going live with storage and retrieval solutions, as well as a number of electronic workflows, including retail loans, deposits, signature cards, resolutions, IRA, CD and documents. Business process workflows, and the ease with which a user can create them, would become a turning point for First Bancorp.

“The right workflow keeps everyone on target. It organizes, allows the task to move to different queues so the work is shared and available to all for processing. OnBase saves us hours and hours of work and has reduced errors tremendously,” said Sandi Carr, Deposit Operations manager.

>>Read more about First Bancorp’s workflow solution here<<

The First, N.A.: Through core conversion and merger, bank sticks with solution that evolves with it

With fast growth and a merger leading to 16 branch locations and combined assets over $1.5 billion, The First, N.A. changed core banking platforms and needed to find a better way to access documents. It also had to conquer new document delivery issues, with some branches now 200 miles away. With couriers losing documents, tracking loan applications became difficult.

When you’re talking about important customer information, losing just one document means customer service – and compliance – suffers. The bank also needed instant access to real-time information, and that wasn’t going to happen with couriers. The bank solved this problem by moving from paper to electronic documents and workflows that automatically route those documents through entire processes, notifying the right people along the way.

>>Read more about The First, N.A.’s road to digital transformation here<<

Hancock Holding Company: Hurricane Katrina reinforces need to stop depending on paper

With tens of millions of paper documents located in a large storage vault – as well as across hundreds of locations – for Hancock Holding Company, costs were high and service levels were low. And as it acquired other banks, Hancock needed to convert the imaging systems those banks utilized in a way that would allow access to the entire organization. And everyone agreed that preparing for audits and exams with large paper credit files was a “nightmare.”

As if that weren’t enough, a hurricane came ashore.

“Because we didn’t have a system up and running, we lost between two and three months of processing time – time that could have been spent serving customers,” said Scott Watson, vice president and manager of Document Imaging.

For Hancock, OnBase alleviates the overwhelming amounts of paper files that were slowing Hancock’s processes and exposing it to natural disasters. And with documents immediately scanned upon receipt, departments can verify that documentation is complete and accurate before employees begin important work. In addition, multiple people can review files concurrently to make well-informed decisions quickly, reducing loan-processing times.

>>Read more about Hancock Holding Company’s move to workflow<<

And then … >>Download Using Workflow and Document Management to Improve Cost Management and Compliance from CEB and begin your digital transformation<<

 * This blog post was originally published on CBInsight.com.

Michelle Harbinak Shapiro

Michelle Harbinak Shapiro

Michelle Shapiro brings more than 15 years of experience in the banking industry to her role as Financial Services marketing portfolio manager at Hyland. Her mission is to share best practices and evangelize the power of ECM as a tool for banks, credit unions and lenders to help automate paper-based processes and proactively manage regulations.

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