Harnessing digital transformation to solve operational bottlenecks in banking
1 Zenith General Insurance Company Limited, Nigeria.
2 Department of Agriculture Economics, Anambra State Polytechnic, Mgbakwu, Nigeria.
3 Independent Researcher, United Kingdom.
4 Zenith Pensions Custodian Ltd, Nigeria.
Review
World Journal of Advanced Science and Technology, 2024, 06(01), 046–056.
Article DOI: 10.53346/wjast.2024.6.1.0046
Publication history:
Received on 01 July 2024; revised on 10 August 2024; accepted on 13 August 2024
Abstract:
The banking industry is undergoing a digital transformation, driven by the need to address operational bottlenecks and improve efficiency. This transformation involves the integration of digital technologies into all areas of banking operations, from customer service to back-office processes. By harnessing digital transformation, banks can streamline operations, reduce costs, and enhance customer experiences. One of the key areas where digital transformation is making an impact is in customer service. Banks are leveraging digital technologies such as chatbots and mobile apps to provide customers with convenient and personalized banking experiences. These technologies enable customers to access banking services anytime, anywhere, leading to higher satisfaction levels and increased loyalty. Another area where digital transformation is driving change is in back-office operations. Banks are automating manual processes and implementing advanced analytics to improve efficiency and reduce errors. For example, banks are using robotic process automation (RPA) to automate repetitive tasks such as data entry and document processing, freeing up employees to focus on more value-added activities. Furthermore, digital transformation is enabling banks to enhance risk management and compliance processes. Banks are using advanced analytics and machine learning algorithms to analyze data and detect potential risks in real-time. This proactive approach to risk management helps banks mitigate risks and ensure compliance with regulatory requirements. Overall, digital transformation is revolutionizing the banking industry by enabling banks to address operational bottlenecks and improve efficiency. By harnessing digital technologies, banks can streamline operations, reduce costs, and enhance customer experiences. However, banks must overcome challenges such as legacy systems, data security concerns, and regulatory compliance to fully realize the benefits of digital transformation. Nevertheless, the potential benefits of digital transformation in banking are substantial, and banks that embrace this transformation are likely to gain a competitive edge in the industry.
Keywords:
Harnessing; Digital; Banking; Transformation; Operational Bottlenecks
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Copyright © 2024 Author(s) retain the copyright of this article. This article is published under the terms of the Creative Commons Attribution Liscense 4.0