Automation could help financial services businesses save a lot of money, according to new research from digital consultancy 4C.
Having surveyed 100 finance professionals, manager and above, the researchers found that financial services companies on average loss is over £10m a year through manual processes. Moreover, 31% annually lost £1m or more.
The researchers also found that these enterprises spent on average of 78 hours per month processing agreements and 13% spendt over 200 hours per month. Only 11% of financial services companies have a fully automated process for managing their agreements and 7% agreements have access restricted to the named owners.
And 93% have had issues as a result of non-automation and 47% have suffered financial losses as a result. Human error was common, with 56% citing issues with incorrect document disposal, 49% mentioning time delays to projects and 47% having suffered financial losses as a result of manual processes.
Jani Van Hecke, head of contract lifecycle management practice at 4C, said, “Businesses often neglect the non-customer-facing part of the business, so it’s no surprise that the manual processing of agreements is resulting in lost money and time for financial services companies. This research highlights the true scale of the problem that outdated processes create and serves as a wake-up call to the industry.”
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