In the fast-paced business landscape, organizations need faster innovation and implementation cycles to meet customer needs and enhance the customer experience, enabling better retention. When it comes to financial institutions, data security and seamless implementation are critical to the digitization processes.

Driving innovation by implementing the right automation solutions, finance organizations can boost employee productivity, improve decision-making, reduce operational errors and costs, and improve customer experience. According to an online survey, intelligent automation of mundane and repetitive tasks will make transaction processing faster by 30% and enhance fraud detection by 20%, improving customer experience. It also reduces costs by 22% and transaction processing time by up to 60%.

However, innovating while meeting all the factors of customer satisfaction in mind is not easy. Even for major financial institutions, setting up efficient systems and allocating resources to fuel digital transformation is an uphill task. To overcome these challenges, many financial enterprises are exploring no-node and low-code solutions to power up their innovation journeys. Low-code technology makes implementing new capabilities easier without disrupting any existing operations.

What is Low-Code?

Low-code technology is an alternative to traditional development approaches that accelerates digital transformation and allows teams to innovate faster. It is a visual development method that requires little to no coding skills. Allowing business users and IT teams to work together in transforming business processes, low-code is cost-effective, allows faster time-to-market, improves productivity, and rapid prototyping.

Originally, purchasing a solution was a budget-friendly option than developing one in-house. However, solutions available in the market are difficult to adapt to and don’t fit the need of the finance industry. Low-code solutions are easy to use, easy to implement, secure, and fully customizable to business requirements, thus making them a better alternative to traditional development.

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Benefits of using low-code technology in the finance industry

Owing to the ease of deployment of custom, scalable solutions that low-code enables, the finance industry is witnessing an increased adoption of low-code solutions to meet the rapid-evolving demands of the current business landscape. It has delivered proven benefits, ranging from increased efficiency, and faster response times to lower operational costs.

Here are some of the ways low-code solutions are helping financial organizations:

1. Less clutter, improved operations

Low-code solutions are easier to implement. While end-to-end digitization of any process becomes simpler with low-code technology, it is also less chaotic due to the minimal coding requirements. A good solution powered by low-code capabilities allows easy integration with existing systems. Also, businesses have to spend less on training and upskilling. Any upgrades and new features are easier to develop and adopt. Besides, business users can easily collaborate and deploy new features that are required.

2. Meet the ever-changing customer expectations

In the digital era, customers are more informed than ever and demand faster service and better engagement. According to an online study, 66% of customers expect companies to understand their expectations and needs. A financial enterprise that does not meet customer needs decreases retention and loyalty.

The low-code solution helps businesses manage rising customer expectations by automating repetitive tasks and allowing faster response, ensuring their needs are met on time. With low-code automation, enterprises can deliver a 30% faster turnaround time to resolve customer requests. It also improves accuracy by up to 90% or more. This results in more happy and satisfied customers.

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3. Improved data security

When it comes to financial organizations, protecting sensitive customer data and assets is a crucial function. Manual data collection, management, storage, and analysis are challenging and risk-prone. An online research study shows that 95% of security issues happen due to human errors.

With low-code solutions, businesses can automate their manual and inefficient business processes, improving accuracy and reducing errors significantly. Nowadays, low-code solutions come with a slew of data security and access control features ensuring that customer information is secure.

4. Regulatory compliance

Financial enterprises are always under the scrutiny of governing bodies as they work with customers’ money and their sensitive data. They must adhere to stringent and evolving regulatory compliance imposed by various regulatory bodies for seamless operation. As per online research data, financial organizations can lose up to $4 million in revenue for non-compliance.

Compliance with these strict regulations is challenging for organizations and must be tackled with precision. Low-code solutions help automate various time-consuming compliance tasks ensuring accurate and timely compliance while freeing teams to focus on other business processes. Financial enterprises can get 360° on compliance and variance of information security.

5. Stay ahead of the competition

The finance industry is a highly competitive landscape and is facing increasing competition with new industry players entering the market. Growing technological advancement adds to competitiveness as an increasing number of finance firms have started leveraging the latest technological advancements to deliver impeccable customer experience. Thus, digital adoption at a rapid pace is critical to stay abreast of the competition. Low-code solutions enable rapid digitization enabling the finance industry to overcome the challenges of a constantly evolving market with powerful, configurable, and tailored features.

On a conclusive note, solutions built with low-code capabilities can achieve end-to-end automation that helps in improving productivity by up to 15-30%, saving cost, increasing efficiency, and enhancing customer experience. The finance industry especially has far-reaching benefits that can be achieved with the right use of low-code technology. Automated workflows and customized solutions built with low-code can lead to enhanced team collaboration, security, compliance, and data management. The time is now, for financial organizations to look towards low-code to quickly adapt, scale and evolve with the ever-changing industry dynamics.

(By Amit Gharai, Solutions Marketer at Vuram)