Why financial services firms should take a three-pronged approach to innovation
Explore how modernization, automation and AI can put financial institutions on a path to success.
Many legacy systems can no longer support the demands of the financial services industry. This can result in critical data being inaccessible and scattered across siloed systems.
Asked to rank their top four data challenges, respondents to Deloitte’s Banking & Capital Markets Survey said:
- Accuracy and reliability: 94%
- Accessibility and ease of use: 86%
- Availability of advanced analytical tooling: 56%
- Near real-time availability: 53%
A Hyland-commissioned research study by Deep Analysis showed that a vast majority of decision-makers were willing or very willing to replace their enterprise content management (82%), process management (81%) and ERP (74%) systems. The figures were “far larger than anticipated,” Deep Analysis said in its report.
Financial services decision-makers, who accounted for about 25% of the respondents, were among the most likely to say they planned to replace any of the above systems in the next three years.
Investing in a modern platform can help financial firms accelerate growth, elevate customer or member experiences, and reduce costs over time.
Here are three critical areas innovative firms should focus on:
Modernization
Key challenges
- Customers expect fast and efficient digital channels to conduct financial transactions.
- An increase in savvy fintech providers has created competition for traditional firms, which must modernize to remain viable.
- Firms that are operating with legacy and disparate systems are bogged down by information bottlenecks, inefficient processes and costly maintenance.
“We know that we can trust the Hyland Cloud. I don’t know that we had that same trust level before.”
— Jenn Stanton, Credit Union Analyst, State Farm Federal Credit Union
Solution: Accelerate innovation with a scalable, cloud-native solution
Investing in a modern, cloud-based platform that streamlines processes and fosters continuous innovation can reduce total costs over time and position financial institutions for long-term agility and success.
Migrating to the cloud can reduce the burden of in-house data maintenance, simplify disaster recovery, improve data security compliance, and improve customer and member experiences.
"Remember when ‘cloud’ would send the compliance folks running for the exits?” Datos Insights Strategic Advisor Stewart Watterson wrote in a Hyland report. “Those days are long gone. Once taboo in financial services, cloud computing is now on almost every FI’s roadmap.”
More than half of the respondents (52%) to Deloitte’s Banking & Capital Markets Survey said they have migrated more than half of their data to the cloud. “Relative to other industries, however, a large part of the journey still lies ahead,” the Deloitte report said.
> Learn more | Cloud transition brings added trust for State Farm FCU
How Hyland can help
Our custom-designed cloud architecture supports a range of Hyland solutions, empowering organizations to modernize with confidence and drive innovation. By incorporating the Content Innovation Cloud™, financial institutions can connect the Hyland Cloud to AI-powered solutions that enhance automation and decision-making.
> Modernization in action | Dutch bank takes new approach to information management
Automation
Key challenges
- Many financial firms are still relying on manual processes and struggle with missing data.
- Institutions are facing pressure to automate document- and data-driven processes.
- Tedious processes leave less time for employees to focus on more engaging and strategic work.
"Hyland enables me to be able to almost always say yes, and that's extremely important when we we're trying to automate, streamline and improve processes."
— Chris Appleton, Technology Integration Manager, Redstone Federal Credit Union
Solution: Automate manual tasks, high-volume processes and complex workflows
Intelligent automation tools can transform business processes by eliminating high-volume, repetitive tasks and accelerating workflows. Doing so can reduce errors, drive more informed decisions and allow team members to focus on high-value tasks.
> Learn more | How automation can position mortgage lenders for smart growth
How Hyland can help
With AI-driven process automation from Hyland, financial institutions can revolutionize crucial areas such as lending, new account setups, fraud investigations, compliance and customer service.
Financial firms, for example, can streamline the loan origination process by leveraging smart automation tools. This can reduce loan processing times, empower growth and increase customer satisfaction.
Five key features:
- Content routing and sharing: Firms can automatically direct relevant content to the right workflows or people for reviews, signatures, approvals and other tasks.
- Workflow automation: An intuitive drag-and-drop workflow designer can help organizations automate and optimize manual tasks and data flows.
- Robotic process automation (RPA): Financial institutions can leverage bots to automate manual, rules-based, high-volume and repetitive tasks.
- Reporting and insights: Self-service dashboards provide process insights and a more complete view of process performance and user activity.
- Integration capabilities: Firms can seamlessly integrate processes with core systems such as Black Knight, Encompass, Finastra, FIS, Jack Henry and nCino.
> Automation in action | Redstone FCU transforms debit card dispute process
Automation in financial services: Real-world success stories
A credit union saved more than 5,100 hours in a year. A bank created new applications and workflows that solved compliance and regulatory audit challenges. A different financial institution automated 150-plus workflows. Explore the key results — and find out how these organizations tackled significant challenges with Hyland solutions.
Intelligence
Key challenges
- Financial institutions deal with large volumes of documents and data in unstructured formats.
- This creates information roadblocks that can negatively impact efficiency, actionable insights and customer satisfaction.
- Financial firms are highly regulated and are hesitant to tap into the power of AI.
Solution: Accelerate solution building with AI
By harnessing advanced AI capabilities, financial firms can turn enterprise content and unstructured data into optimized inputs for automated processes and AI-driven applications.
How Hyland can help
Our AI-powered content, process and application intelligence can deliver new levels of value at every touchpoint — via applications you use every day.
Four key features:
Knowledge discovery: Firms can leverage generative AI to extract valuable information from large amounts of unstructured data. In turn, users will be able to find relevant and accurate information faster.
Autonomous AI agents: Organizations can create and manage AI agents that perform specialized tasks and lead complex workflows.
AI-enabled content: With unstructured data being turned into AI-ready content, financial institutions can generate transformative and impactful AI applications.
Responsible AI: Hyland’s AI products, services and capabilities promote transparency, empowerment, privacy, security, data ownership, honesty, bias management and governance.
> Watch the webinar | How AI-enabled IDP is modernizing bank operations
Take the next step
Deep Analysis' Market Momentum index showed " strong indications of significant momentum for organizations that are developing and deploying intelligent automation" and AI. But, the report, noted "data continues to be a challenge: 83% of respondents said they had to exclude one or more data sources from their intelligent automation projects due to poor quality data."
Where is your financial institutions on its modernization journey? Let's schedule a conversation to assess your next steps
