What would a paperless bank or credit union look like?
AIIM's World Paper Free Day #WPFD was Friday, November 4th, 2016.
Based on my experience and observations of 200+ banks and credit unions around the country, we are far from being paperless.
For even an hour, much less a full day.
Below is Agile Banking's vision of a paperless banking operation.
Scanning the checklist you'll quickly discover just turning off printers is not the solution nor the end goal.
Nor is simply having permanent archives in the Enterprise Content Management (ECM) system.
Becoming paperless is to challenge all of your processes, all of your technology, and all of your people.
Challenge each to change the way that work is done.
Feel free to check off those that your shop has completed.
Email me your score if you're proud of it or decide that you want help.
Don't be intimidated by the length of the list, there's a lot of work to do.
▢ Virtual Cash In/Cash Out/GL Debit-Credit tickets
▢ Emailed or SMS receipts and Reg CC Hold Notices
▢ Signature pad or PIN pad for cash back acknowledgment
▢ Electronic CTRs with prefilled data
▢ Electronic end-of-day balancing and over/short processes
▢ Electronic logs for laser printed on-demand official checks and other inventories
▢ The only paper a teller should handle are money, incoming deposited checks, and official items
▢ ID scanners that prefill KYC and CIP data requirements (authentication)
▢ Electronic saving of credit/debit/ChexSystems results (qualification)
▢ Signature capture for sig cards/resolutions with email to customer & direct save to ECM/imaging
▢ New customer/account onboarding is automagically managed
▢ Debit/credit disputes managed electronically without rekeying
▢ Dashboard for branch profitability/performance
▢ Electronic cash resupply ordering
▢ Electronic logs for branch compliance (e.g. bait money, alarm tests, vault access)
▢ Electronic lobby management
▢ Web applications with direct integration to loan origination systems
▢ Disclosures eSigned with tracked delivery
▢ Applicants receive and satisfy request for documents via online portal
▢ Applicants receive real-time alerts as application status changes
LOAN UNDERWRITING and APPROVAL
▢ Appraisals, environmentals, flood, title requests managed and reviewed electronically without rekeying
▢ Credit approval documents accessed electronically
▢ Loan committe packages accessed electronically
▢ Reg B adverse action/incomplete notices automagically managed and generated electronically w/ direct save to ECM
LOAN DOCUMENTATION and CLOSING
▢ Request for documents does not require a separate form
▢ Data from origination & approval does not require rekeying
▢ Closing documents eSigned w/ direct save to ECM
LOAN FUNDING and BOARDING
▢ Proceeds electronically deposited to borrower's account
▢ Wire transfer requests do not require rekeying
▢ Application, approval, and closing data uploaded to servicing system
▢ Data from signed closing documents electronically captured and compared to servicing system
▢ Lien perfection does not require rekeying
▢ Collateral tracking does not require rekeying
▢ Web job postings and applications
▢ Submitted resumes are searchable by keywords
▢ Periodic performance reviews are online and prefilled with known information
▢ Benefits enrollment is electronic
▢ New employee onboarding is managed electronically without rekeying (systems access, equipment setup, etc.)
▢ Terminated employees automatically removed from system access
▢ Salary adjustments approved with eSignatures and processed without rekeying
FINANCE and ACCOUNTING
▢ Invoices received electronically or captured in mailroom
▢ Invoice & expense reimbursement approvals managed electronically
▢ Invoices paid via ACH > 80%
▢ Account reconciliation does not require rekeying
▢ Reconciliation approvals managed with digital signatures
MARKETING and COMMUNITY RELATIONS
▢ Compliance review of advertisements/collateral is managed electronically
▢ Request for donations and sponsorships is managed electronically
▢ Print, radio, TV, and web content is managed electronically
FACILITIES and ADMINISTRATION
▢ Construction/equipment documentation and warranties managed in ECM
▢ Insurance managed electronically
▢ Change requests managed electronically
▢ New/terminated employees system access integrated with HRIS
▢ Emails deleted after 90 days
▢ Share drive files deleted after 90 days
▢ COLD reports and documents in ECM purged automatically according to retention policy
▢ New customer onboarding does not require rekeying
▢ Contracts managed electronically
▢ Vendor due diligence managed electronically
The list does not stop here.
Except for maybe the break room, every area in the bank or credit union can benefit from processes that have been reengineered to be paperless.
The management challenge is prioritizing and ensuring execution.