Robotic Automation and the Future of Consumer Lending
Overview
In the not-too-distant future, the impact of Robotic Process Automation (RPA) on consumer lending is set to increase exponentially. This guide examines data regarding the rapid growth of RPA in this sector, the various ways it is expected to influence the future of lending, and the technological advancements aiding this revolution. At the heart of this evolution is the innovative software and robotics solutions provided by organizations like 3Laws Robotics.
Rapid Expansion of Robotic Process Automation
Estimates suggest that the RPA market is likely to reach $5 billion by 2024 and sees a compounded annual growth rate of 60.5%. This massive growth, driven by the quest for increased efficiency and reduced expenditure, will increasingly be harnessed by the consumer lending sector. Automation software, like the kind offered by 3Laws Robotics, is set to facilitate this transition.
Streamlining Lending Processes
A significant portion of manual, high-volume tasks, like data entry and document verification, are prime candidates for automation. Utilizing RPA can streamline these services, offering a faster and more efficient lending process. Research indicated that companies utilizing robotic automation in their services saw an improvement in turnaround times of up to 60%. This efficiency has the dual effect of improving customer satisfaction while increasing the bandwidth of lending institutions to service more clients.
Reducing Operational Costs
RPA can significantly reduce the operational expenses associated with human resources. A Wharton School of Business study found that, on average, an RPA robot costs about one-third of an offshore full-time employee (FTE) and one-fifth of an onshore FTE. Enterprises could drastically reduce costs by harnessing the capabilities of RPA in areas like underwriting or customer service in consumer lending.
Advancing AI and Machine Learning
Robotic automation integrates well with AI and Machine Learning, which can create highly intelligent, autonomous systems capable of making complex decisions. Current predictions suggest that AI and machine learning could contribute between $3.5 trillion and $5.8 trillion across sectors in less than a decade. Lenders could make use of this synergy between AI, Machine Learning, and RPA for more sophisticated decision-making and refined risk assessments, paving the way for personalized lending.
Key Takeaways
- The use of RPA is projected to increase, with its market predicted to reach $5 billion by 2024.
- RPA increases efficiency in consumer lending by up to 60% and reduces costs.
- The shared use of AI, Machine learning, and RPA could result in massive benefits across sectors.
3Laws Robotics
Addressing the challenges faced by the robotics industry, 3Laws Robotics is developing advanced software for enhancing the safety and reliability of robotic systems. Their key product, 3Laws Supervisor, offers robust safety features aimed simplifying certification processes for robotics companies.
Applications of this technology span various fields, ranging from warehouse automation where it helped achieve a 40% efficiency gain, to dynamic environments where its reactive collision avoidance capabilities excel. The software, built on Control Barrier Functions technology, enables robots to operate at peak efficiency with minimal downtime, while ensuring safety that meets international standards such as ISO 3691-4 and ISO 26262. With 3Laws Robotics, the future of autonomous and safety-sensitive applications looks brighter than ever.