Robotic Process Automation (RPA) tools are being used across many sectors to improve operational efficiencies by performing high-volume, repeatable tasks. The software, commonly known as a ‘robot’, effectively translates existing IT applications to allow transaction processing, data manipulation and communication across a number of IT systems and platforms. The real power comes from the use of multiple robots; they can fulfil many functions of humans but without the salary and productivity implications.   

RPA can rationalise operations across a business and cut costs. By automating rules-based business processes, which can be soul-destroying when repeatedly done by humans, these workers can be deployed to undertake more skilled tasks or dealing directly with customers. In other words, let robots do the tedious donkey work – without error – while staff members can concentrate on functions which require initiative and human skills. 

While the use of robots has traditionally been seen as the domain of manufacturing (such as in the car industry), deploying process automation through RPA is now rapidly changing the organisational process landscape due to its extremely flexible and swiftly scalable tech. RPA is fast becoming the go-to technology for process automation and a real alternative to the use of APIs. By 2030 a third of roles will be completed by software automation like RPA technology, according to PwC. 

Mortgage business casesRPA isn’t the first technology to promise cost and time savings, while at the same time increasing performance and user experience, and it certainly won’t be the last. But there are good reasons why it can and should be used in the mortgage sector. For example, most small building societies have some form of electronic Decision In Principle (DIP) or do via a third party but it doesn’t link with their legacy systems. This means a lot of rekeying is required, which is a real waste of resource in this day and age. However, to a team of properly deployed robots, this is bread and butter work. 

These smaller building societies are less than ideally positioned when it comes to IT requirements. Intense pressure over margins and higher mortgages rates means they need to keep a handle on costs; therefore, big capital expenditure just isn’t feasible. 

In addition, many are unable to use APIs to link their systems with originator systems like broker sourcing or Customer Relationship Management (CRM) software and so another solution is required. 

Meanwhile, product transfers, which all lenders are expected to offer nowadays, will almost certainly require a manual process within these smaller mutuals, which puts pressure on their underwriting resources when they are also needed for new business. 

Because RPA is scalable, so can the costs, which makes it much more appealing to smaller organisations who can see the business case for technology but can’t always make it add up. For example, a ‘percentage of cost saving’ model can be used which includes a zero upfront development cost, while covering licensing, development cost and on-going maintenance and support. It allows businesses to recycle their skilled human resource to more value-added activities and scale their volumes more efficiently. 

Repeatable and predictable interactions with IT applications and platforms are not the best use of staff; instead, robots should take the strain and allow humans to do what they do best. There are many use cases in the mortgage sector and enlightened organisations within it are already benefitting from RPA. Can your business afford to ignore it? 

Andy Wallace is chief executive at The Robot Exchange