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Automation to Bring Disruption in the Banking Sector
The rapid change in automation and technology has put established business models under a constant threat, due to which the world economy is being disrupted continuously. According to several researches conducted, banks are diverting resources away from industries vital to the future of this country. Though banks have taken a long time to incorporate automation into critical processes such as client onboarding, they are now using robots as it can do jobs that humans can't do. The PPI mis-selling scandal might have been considerably less damaging if banks would have already started using robotics already.
Though humans can beat robots in imagination, creativity, building relationship and trust, and understand the point of view, they are prone to errors and without the ability to be unerringly controlled. Moreover, the use of robots helps in avoiding errors—minimizing the use of time and money. Since robots are 100 percent controllable, a proper automated process set up can help execute every task correctly.
Automation and robotics not only improves the customer experience but can mitigate risk too, which is essential as the Open Banking is pushing banks further into the technological revolution. But with automation, the chance to bond with customers also increases, and the implementation of PSD2 will do the same. Automation will free up customer service agents to focus more on building trust, sales, and relationships to deliver the best the best customer experience. If banks are to claw back customer relationships from third parties in the wake of PSD2, this is more important than ever.