SAIB - Branch Automation
SAIB improves origination by creating the Branch of the Future
The financial services industry has been going through a massive digital disruption. The transformation of the bank branch operations lies at the heart of financial institutions’ digital transformation as many customers still appreciate face-to-face contact for their banking transactions and branches are an essential part of their banking routine.
The Saudi Investment Bank, SAIB, offers traditional wholesale, retail and commercial banking products with a vision to offer the simplest and most accessible products and services to each of its customers. The Bank’s mission is to make banking simple and accessible for each of its customers. As manual processing is costly, the Bank wanted to improve its productivity and launched a strategic project to automate the business processes to drive long-term migration to digital self-services by creating ‘the branch of the future’.
Single integrated branch automation platform as an end-to-end solution
SAIB wanted to achieve rapid, large-scale process automation in line with its mission to make banking simple and accessible for each of its customers. The Bank engaged with VeriPark for this critical digital transformation project and implement its VeriBranch Branch Automation Solution which provides a single integrated branch automation platform as an end-to-end solution and simplifies operations in one central simple interface.
We focused on the most common transactions in the customer service area and automated the processes covering account opening, loans and others, said Ramzi Al-Nassar, General Manager Personal Banking, SAIB. We worked on the critical touchpoints that had a significant impact on our business and our long-term goal was to have our customers use digital self-service channels, such as mobile, internet banking and kiosks.
Loan application in 30 minutes, account opening in 20 minutes
The Bank selected the loan and account opening processes as their initial focus domains. What made these areas an excellent target for automation and improvement was the duration of the operations. The loan process used to take about 3 to 4 days for loans. Following the Customer Relationship Management (CRM) implementation and the addition of peripherals to facilitate the entry of data and signature verification, the loan process is now being completed within just 30 minutes.
The customers visiting the branch for teller transactions had to wait in the line and manually sign multiple documents for legal purposes. Now the customer arrives at the counter and receives a one-time password by SMS for the transactions performed by teller. The verification process takes less than 2 minutes and the signature is required only for legal purposes.
The account opening process too has been substantially streamlined. The customer no longer needs to wait at least 2 days; as the account is opened during the setting-up process right then and there; in addition they receive a made debit card immediately at the branch. By focusing on their Omni-channel strategy, customers can also open a new account online, a process which is automated and only takes 20 minutes to perform. The dramatic improvement on the speed of loan and account opening operations allowed staff to be deployed for activities that are more important to the serving of the customers.
Daily account opening capability increased by 400%
Teller error rate of 0.2% - previously 30%
Loan process is being completed within just 30 minutes - previously 4 days
Opening a new account takes 20 minutes - previously 2 days
Teller error rate of 0.2%
The branch automation process also resulted in great benefits for employees. “The employees at our branches at the end of banking hours processed transactions by scanning and attaching documents,” explained Al-Nassar. The Bank also used to operate a Central Verification Unit that had to check all documents to validate the accuracy of data. This process is now no longer required.
VeriBranch, which embeds the Microsoft Dynamics 365 system, provides the tellers with a single application, resulting in a simple and easy-to-follow workflow. The system requires employees to obtain approvals, seek signatures and to fill out the required fields. Automated controls and validations ensure that employees’ input of information is correct.
The automation resulted in an improvement and massive reduction of the human touch-points and judgement for daily activities across the banking value chain, mitigating error rates from 30% to 0.2%. This improvement in error rates continues to decrease as a result of improved workflows and controls as part of their digital transformation.
The VeriBranch CRM functionalities at SAIB also utilize Artificial Intelligence (AI) to make the branch the core of the true Omni-channel experience. All past transactions are automatically pushed to all channels, so the teller and customer service officer has a 360-degree view of the customer’s transactions. This approach helps the Bank to provide enhanced customer service as the Bank representative has access to the customer’s full history and can provide this information to senior managers tracking the customer’s service request.
Daily account opening capability increased by 400%
The Branch Automation Platform has many benefits:
- A reduction in the printing of paper now has a positive influence on the Bank’s impact on the environment.
- Operational expenses were reduced
- Customer service was enhanced
Thanks to VeriBranch, the Bank branch now serves customers in a more efficient and timely manner. The CRM platform processes over 500 new accounts per day. The new decentralized signature capturing allows SAIB to capture customer signatures during the account opening stage and enables the customer to make transactions with the account immediately.
What is more, the financial volume of loans reached up to five times (up to 26.6 M USD compared to the original peak of 5.3 M USD before the implementation).
Future plans: being ahead of the digital age
SAIB has completed the first two phases of its digital transformation by providing the new channels and adapting the technological infrastructure. The Bank now aims to continue adopting further customer enhancing technologies to maintain its strategic position in the digital environment to meet its commitment to its customers.