Given its inherent reliance on numerical data and statistical trends, it is no surprise that the financial industry has firmly embraced the power of automation. Those involved in the financial world often have to process large swathes of information in a short space of time, subsequently drawing dispassionate conclusions from that data. Automation both streamlines and optimizes many of these procedures, allowing humans to use their knowledge of the industry on more specialist tasks.
We can see the influence of automation in the completion of finance processes, in the facilitation of trades, and in the operation of bank branches. Whether identifying the ideal strategy to take or allowing elaborate processes to be completed more efficiently, automation has already made a significant impact on the financial world.
Finance process automation
Finance process automation is revolutionizing the way that finance departments operate. Tasks such as processing reimbursement claims, assessing clients, and preparing financial statements can all be improved by the integration of automation. There has been a long-standing fear that automation may end up replacing human workers, but in finance it frees up staff to channel their expertise into more nuanced areas of the business. Anything that increases efficiency and productivity can only be a good thing for a company's profit margins.
In terms of reimbursements, an automated system can respond instantly to a claim and set the wheels in motion. This means that claimants are not restricted to business hours, as the robot can either approve or deny a claim immediately. Automation can similarly make judgments on whether a client is eligible for a particular service, such as a loan. A bot evaluates a client and establishes if they fulfil certain parameters, removing all emotion from what can be a delicate process.
Automation also compiles key data in a standardized way, which is useful when it comes to the production of documents such as financial statements. By using automation, a company can be confident that each statement will be created in the same manner, while there is no chance of human error in copying data into the document.
The human element of trading will never disappear. While software can evaluate long-term patterns and use historical data to make forecasts, it takes a human interpretation of markets and their context to identify the right trade to make. However, the biggest obstacle for traders is emotion. A human trader can undermine their overall strategy by rashly responding to market movements, deciding to buy or sell before the opportune moment.
Automation removes the influence of emotions, as forex robots complete trades once certain conditions are satisfied. The human inputs the criteria for their desired trade, then the robot completes the trade as soon as the markets reach the pre-determined threshold. Automation not only removes the trader's vulnerability to emotion, but forex robots can also complete trades at times when an individual may have been unable to manually make the move.
This is why forex robots have proven instrumental in helping casual traders gain a foothold in the industry, as they allow investors to better balance a part-time trading career alongside their everyday profession. While forex robots still require some monitoring and will only work satisfactorily if set up with the correct parameters, they are proof of how automation can make both beginner and veteran traders less susceptible to knee-jerk decisions.
The most visible use of automation in the financial world can be found in banking branches. Automated services take the pressure of a bank's employees, allowing them to deal with customers that have more complex queries or demands. While some visitors to the bank will always prefer the human touch, most have grown comfortable with the use of Personal Teller Machines.
These machines allow users to quickly complete the most common tasks that require a visit to a branch of a bank, such as the deposit or withdrawal of funds. The deposit of funds can often take time, so it is better that this process uses an automated worker rather than a human staff member. These automated systems can also allow users to access their account data, while some machines may also permit members of the bank to check their viability for loans.
The ease of completing these tasks may make individuals feel more comfortable about visiting their bank with greater frequency, as using a machine allows processes to be completed efficiently and effectively. This is why some banks have set up branches that are almost entirely automated, with just one or two staff members present to answer queries about the operation of the Personal Teller Machines.
These three areas of the financial world use automation for many of the same reasons. Automation allows human workers to focus on their specialist skills, it helps processes to be completed much quicker, and it can reduce the chances of accidental or emotional mistakes. This is why automation will continue to play a huge role in innovations in the financial industry in the coming years.