Banks back paperless push
Finance Giants have met at the recent FST US summit to discuss ECM – practical solutions to a green problem. The banking world has been under pressure for the last 12 months, even if we put aside the global credit crunch. Banks have also been facing a well documented consumer dispute over bank charges and clerical expenses, so therefore the need to review an extended history of client’s accounts is now a necessity. Government and consumer pressure to go green also means that traditional business practices must be re-thought to meet sustainable demand.
“The ability to examine appropriate paperwork for an increasing number of client claims over extended periods of time is now a daily challenge. We must also consider the environmental impact of paper intensive banking.” Rein Hofstra – Bank of America
Discussions at the FST US summit (hosted by GDS International) quickly turned to the need for green solutions; top of the list was pushing the consumer to back paperless banking, how to create a system which allows easy options for the consumer to choose the green solution, and encouraging in house paper saving.
If we were to argue that big business is interested in the bottom line then switching to ECM is the sensible choice, printing and mailing costs can reach anywhere up to $3.50 per customer but the preparation and delivery of and electronic statement is a snip at $0.15 per customer.
“Data Document automation will aid in freeing up staff, reducing costs and maintaining 100% data accuracy. Changing compliance regulations, non-integrated technologies, and the complexity of the document life cycle are the main document management challenges integral to the financial services industry. Big business discussed how they would reduce costs and eliminate wasted resources ultimately saving money and streamlining processes.” Madhavan Rhagamacharvi – Morgan Stanley
We could become enamored with the promise of savings, an environmentally sustainable banking system and improved customer relations but ultimately the test will come when implementing the technology to reach the consumer majority and digital storage capabilities.
Jeanne Capachin – Research VP, Global Banking, IDC Financial Insights led the 50 strong conglomerate including Rein Hofstra – Bank of America, Leon Wilson – BB&T and Madhavan Rhagamacharvi – Morgan Stanley discussing Enterprise Content Management (ECM) to generate more value from data repositories, improve productivity levels & reduce compliance risk, Streamlining information sharing and information access across all business lines, speed the pace of operations for increased productivity and reduced operational costs, Eliminate paper waste and the costs associated with it and supporting green initiatives that promote environmentally responsible practices.
If we are to reach the ultimate goals of a green banking future and consumer control of digital banking solutions meetings such as the FST US summit must remain an open discussion platform for financial executives to discuss as an industry and not as a sole corporation.