9 promising use cases for RPA in finance and accounting

Improving digital competency in finance is essential to get the most out of the broad transformation that is taking place, yet most training is currently inadequate. Learn what your peers have to say about reducing cost, minimizing effort, and improving speed and accuracy with RPA. “Mind the gap.” Originally a warning by London subway station attendants, this famous phrase is now a mantra for automation implementation. Making sure that suppliers are adhering to the agreed upon terms is critical to compliance, and this area is another promising use case for RPA.

To understand how RPA is used in the real world, here’s a look at nine use cases for accounting and finance. “A good candidate [for RPA] is a task that is a bottleneck in a larger process that may take hours of manual work,” Gannon said. 4 min read – Using AI code generation software is straightforward, available for many programming languages and accessible to both developers and non-developers. Global retail corporations need to arrange SKU (Stock Keeping Unit) data from multiple markets to be able to look beyond numbers to insights like “What is our shaving cream market share in Eastern Europe? Temporarily lockdown accounts showing fraudulent activity or even cancel them permanently to safeguard your organization’s interests.

How does AutomationEdge RPA Help Banking and Financial Services?

RPA can monitor receipts, extract data, register invoices, send notifications, perform reconciliations, and more – all in a matter of minutes, not days. A large global company could have upwards of 75,000 suppliers – all with separate payment processes and credit rules. Vendor management helps ensure a debt is properly paid to a vendor in the correct timeline and according to the agreed upon terms.

For regular cases, RPA bots can speed up processing times, improve security and compliance, and reduce error rates for these customer-facing processes. Like multiple other tasks connected with document processing, mortgage lending is severely time-consuming. RPA in banks can substitute a range of manual jobs in this procedure, including loan initiation, data processing, quality control, and more. Ultimately, companies will accelerate task completion and drive customer satisfaction.

Five ways to use RPA in finance

Improve your days payable outstanding (DPO) by accelerating invoice processing and transforming the supplier experience with faster onboarding and more streamlined communication. Bank reconciliation is a time-consuming process that requires a manual search for a large piece of transactional data involving many banks and the balance of the final figures. RPA Bots can be developed to automate numerous manual tasks, such as validating each payment entry against bank data and other records.

Compare the time to deploy (the period from planning to implementation) vs. time to value (the period from planning to realizing the benefits) for both options. You may wonder how RPA is different from your accounting software, which also tends to reduce processing errors. In this blog, we explain what RPA is all about and when, where, and how you should use it to automate your finance and accounting processes. So, it is a good practice to carefully determine your starting point and partner with a reputed financial software development company like Appinventiv to embrace RPA trends in finance. Gartner studied leading shared services teams to identify common obstacles when installing finance robotics, capabilities required to keep pace with digitalization, and steps for managing finance robotics.

Quality Assurance (QA) Processing

Now, they’re taking RPA to the next level by combining it with machine learning (ML). In fact, recent Gartner research shows that around 80% of finance leaders have already implemented or are planning to implement RPA. A. Financial institutions can leverage the power of robot process examples of rpa in finance automation by deploying RPA bots into the system that mimic human interactions with various financial processes. These bots can automate mundane and repetitive tasks such as data entry, report generation,  invoice processing, reconciliation, etc., with great accuracy and speed.

By educating your staff and investing in training programs, you can prepare teams for ongoing shifts in priorities. Automation technology, like RPA, can also access information through legacy systems, integrating well with other applications through front-end integrations. This allows the automation platform to behave similarly to a human worker, performing routine tasks, such as logging in and copying and pasting from one system to another. While back-end connections to databases and enterprise web services also assist in automation, RPA’s real value is in its quick and simple front-end integrations.

Application Examples for RPA in Financial and Management Accounting

RPA Bots can easily traverse numerous systems, validate data, do several rules-based background checks, and decide whether to approve or reject an application. A staff team manually transcribes data and identifies bank guarantees due for closure/termination/discharge. The creation/distribution of notification letters, and the execution of reversals/closures, are all done by hand, which reduces overall productivity. The challenge of maximizing efficiency and keeping expenses as low as feasible while ensuring maximum security standards has also drastically increased.

Royal Bank of Canada, the largest financial institution in Canada is using smart chatbots for more than a year to improve customer service. RPA helps in bridging the gap between different applications present in the legacy system. Even though there are many system implementation software, such as SAP and Oracle but they fall short in processing and integrating micro-level tasks.

Improving Efficiency in Accounts Payable and Receivable with RPA

Adopting RPA allows bots to collect and store data and use historical data across departments for accurate financial forecasting and planning. Overseeing in-house bank accounts is an important function within the treasury department of your company (not to mention a great use case for RPA and AI). In-house banking involves centralizing cash management activities within your company by merging cashflows from different subsidiaries or business units. This helps improve visibility over your cash position and simplifies cash management practices. Empower treasury analysts to identify investment opportunities with greater speed, accuracy, and confidence, and decrease uninvested cash by improving cash-forecast reliability. Digitize reconciliation processes, eliminate errors from workflows, and automate data extraction, freeing up analyst time to focus on more strategic work.

• With automation, you can process and download the data into the desired format and validate the data for any exceptions.
• For example, RPA is likely to be widely adopted as a means of automating tasks in the order-to-cash and procure-to-pay processes, he said.
• Missing a deadline can result in negative and costly consequences to your business.
• In case of discrepancies, robots will transfer the respective records for additional verification.

Appinventiv is one of the fastest-growing global financial software development companies, widely known for its exceptional RPA solutions for the finance industry. Backed by a dedicated team of 1000+ tech experts, we provide best-in-class RPA solutions for finance that can automate your Fintech business processes seamlessly. Right from conceptualization to deployment, our team stands by you at every step, with unwavering dedication and passion, while ensuring to deliver cutting-edge solutions that exceed your expectations.

Lowering monthly payroll costs

Because of the complexity of the system, the average the executive spent was about 6 minutes, as the system was inefficient and slow and, in return, provided a poor customer experience. Targeted automation utilizing RPA can provide considerable value if applied for the proper use cases in financial operations. Let’s proceed to discover what RPA implies in the financial and banking sectors. The banking and financial industries have been growing exponentially over the past several years. Each task can involve a standalone system that doesn’t necessarily play well with the others, and automation can help.