Respondents Expect 30%+ Increases in the Use of RPA Across Numerous Compliance Functions
Irvine, CA, June 6, 2018 – Kofax®, a leading supplier of software to automate and digitally transform information intensive processes, today announced the results of a global survey of 100 leading financial institutions conducted in conjunction with Digital Banking Trends, the banking industry's innovative resource providing news, analysis and opinion on the business of digital banking, fintech and financial services.
The 2018 Financial Services Industry Survey Report confirms numerous compliance functions, from initial inquires through customer off-boarding, as key challenges for financial institutions, with 91% citing the “time/cost required from concept to reality” and 86% pointing to “budget constraints” as primary impediments. To combat these challenges, respondents expect substantial increases in the use of Robotic Process Automation (RPA) software across numerous compliance functions, from 41% in document gathering to 32% in customer off-boarding.
Today’s regulations require comprehensive Customer Due Diligence (CDD), Know Your Customer (KYC), Anti-Money Laundering (AML) and other compliance requirements from the moment a customer applies for a new account, throughout the lifetime of that account and beyond. This has led many financial institutions to experience considerable delays in bringing customers on board—in sharp contrast to consumers demanding a frictionless, anytime / anywhere experience via mobile devices and other self-service options.
Additional compliance challenges were also identified in the survey. Institutions said they were challenged by maintaining and updating their existing IT infrastructure in order to deploy and administer new compliance requirements. They also reported they had difficulty gaining access to the information required to comply with CDD, KYC and AML mandates.
Respondents identified RPA as one of the most promising new technologies for automating compliance processes, saving staff time, reducing errors and improving the customer experience.
Additional survey highlights include:
- 32% of respondents said they expect a 20–29% increase in AML compliance costs in 2018, while only 5% expect a decrease
- 68% obtain the information required to comply with CDD, KYC and AML mandates from up to five third party sources
- 36% anticipate up to a 10% increase in spending for CDD, KYC and AML technology over the next 12-18 months
The 2018 Financial Services Industry Survey report, including the Top 10 Tips for Building an RPA Center of Excellence, real-world use cases and other useful resources, is now available for download on Kofax.com.
According to Jim Marous, financial industry strategist “Your onboarding process needs to be as fast, seamless and painless as possible. Customers who feel your initial onboarding and activation is too difficult or time-consuming are likely to walk away.”
“New and constantly changing rules and regulations in the financial services industry pose complex burdens to institutions lacking the right strategy and technology,” said Reynolds C. Bish, Chief Executive Officer of Kofax. “By offering a comprehensive digital transformation platform that includes market leading RPA capabilities, Kofax enables these organizations to quickly adapt and significantly improve the customer experience in the process. That’s why the 10 largest global banks use Kofax software and solutions.”
Kofax is a leading supplier of software and solutions to automate and digitally transform human and information intensive processes across front and back office operations. These can dramatically improve customer engagement, greatly reduce operating costs, mitigate compliance risk and increase competitiveness, growth and profitability. Its broad range of software and solutions can be deployed in the cloud or on premise, and include robotic process automation, business process management, multichannel capture and other critically important capabilities. These provide a rapid return on investment to over 20,000 Kofax customers in financial services, insurance, government, healthcare, supply chain, business process outsourcing and other markets. Kofax delivers its software and solutions through its direct sales and services organization and more than 650 indirect channel partners in more than 60 countries throughout the Americas, EMEA and Asia Pacific. For more information, visit kofax.com.