ROBOTICS PROCESS AUTOMATION Next Generation Operations Productivity

Transcription

1 ROBOTICS PROCESS AUTOMATION Next Generation Operations Productivity Neetu Chitkara Principal, BCG 1st March 2017 PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 0

2 " There are an endless number of things to discover about robotics. A lot of it is just too fantastic for people to believe. " - Daniel H Wilson, NY times PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 1

3 Setting the context What does Robotic Process Automation (RPA) mean to you? How is it different from other components of automation? PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 2

4 Components of automation Maturity High Low Process automation RPA NLP ML / AI Smart Humanoids ! Overview Client based solution Agent / Employee Assistance in automating part of their tasks Server based automation Can be used in logical processes requiring limited intelligence Used to take smart decisions on text inputs Can be used to read and act on customer s Cognitive learning on multiple input (written, spoken) Deployable in back and front end roles Combines elements of previous technologies Can potentially run a branch by itself Strengths Speeds up parts of processes Capable of handling rules, data, etc Zero-touch process that runs 24/7, is faster than humans and eliminates errors Faster assimilation of large unstructured data sets Self-learning systems that handle complex problems by its own Standardized customer experience with zero human intervention E.g. Account opening, etc Payroll, ATM Recon Call-center, processing Robo-advisory Humanoid tellers PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 3

5 Panel question What has been your experience with usage of RPA in your organization? What are the typical use cases where RPA has been deployed? What % of back office functions are automated using RPA? PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 4

6 Illustrative use cases for RPA Service Request Processing A/c opening & onboarding Tx Processing & Recon Account closure Form 15G/Form 15H processing Account transfer and scheme code changes ATM Dispute settlement POS dispute settlement -- Agri loan Collateral registration and processing Small business loan processing, limit set up New customer de-dupe check validation Corporate digital portal access set up -- Monthly corporate salary request processing ATM transaction Reconciliation Inward Cheque processing/ rejection management Retail asset disbursement processing Easy pay reconciliation ECS Mandate processing PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 5

7 Panel question What are the benefits that you expect to realize from Robotics Process Automation? Cost reduction Lower Turnaround Time (TAT) Elimination of errors Process simplification...others PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 6

8 Benefits of deploying Robotic Automation are multifold 1 Cost savings Ability to run 24/7 Through the year no weekends no holidays Lower cost compared to an FTE Benefits of RPA deployment 2 3 Improved process management Operational risk mitigation Increased processing speed Lower Turn around Time (TAT) Flexible reaction to changes in required capacity Elimination of human errors Stable and predictable performance Detailed reporting and process control PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 7

9 Panel question What are the key challenges in accelerating the deployment of RPA? Scale of operations Access to the right technology/ skills Limited labor cost differential Strong governance requirements...others PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 8

10 Challenges in accelerating RPA deployment Scale of operations Need to have minimum critical mass for RPA deployment Labour cost differential Indian labour cost significantly cheaper relative to western markets Availability of talent Newer technology; so limited availability of right talent Robot management Need support for disaster recovery and network load balancing Process knowledge gap Need strong mechanism to ensure adequate documentation Evolving platform/ technology While relatively mature compared to AI; RPA still is an evolving capability PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 9

11 Future outlook What percentage of back office could be moved to RPA in next 5 years? Options: 20-30% 30-50% 50-70% >70% What implications does it have for banks today? PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 10

12 Thank you bcg.com bcgperspectives.com PICUP_Robotics_Nextgen ops productivity_vfinal.pptx 11