Banks spend 13% of their revenues on printing and document management

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Finance

A fully digital office is still a distant future,” said Lexmark representatives. Today, nearly 40% of processes in banks are still based on paper versions of documents. Document and print management is a significant cost for financial institutions. Global trends indicate that they spend 1-3% of their revenues on it. Improvements in this process may therefore bring significant savings. They are also necessary due to the increasing mobility of customers and employees.
– 18 years ago, on the first day of my work, I heard the slogan “digital office”, i.e. an office without paper. 18 years later, little has changed. Paper is still the basis for all the processes that take place in the banks. Following research institutes such as IDC, at the moment 37 percent of the processes that are carried out in banks are still based on paper documents, President of Lexmark USA. – On the other hand, KPMG reports that about 50% of costs in the bank are human costs, and these resources are needed for manual processing of documents in projects.
Compared to 18 years ago, banking has become more mobile. Already 30 million people have access to their online accounts and 5 million people have banking applications installed on their smartphones. Also the organization within the bank is largely based on mobile devices. Nevertheless, when selling loans, credits or opening accounts, printed documents are used to a large extent.
– Without proper regulations, paper will remain the main medium of information in banks for the next few years, perhaps even several years,” stresses.
As he emphasizes, operations related to printing and document management constitute a fixed cost for banks. What is important, financial institutions pay attention not only to the costs of purchasing given devices, but also to the costs of their operation and maintenance.
– They evaluate the choice of a specific platform in terms of how much it will cost to service a given solution during the 4 or 5 years of the contract. The total cost of ownership includes both the purchase price of the equipment and the price of maintenance, consumables, upgrades and availability of devices.
Efficient after-sales service is not only a matter of reducing the total cost of equipment operation, but also their continuous operation. Banks often choose offers that relieve their employees from the obligation to control whether the equipment is working, whether it is working properly or not. Thanks to sensors installed in modern machines, the company operating them may anticipate a failure in advance and remove it even before the bank employees notice it.
– As far as the area of printing and document management is concerned, we can still observe great potential for savings on the part of banks. A lot of work has already been done, because it is not so that banks miss these possibilities. However, there is still a great opportunity to optimize costs in this area.
Cost optimization is only one possible effect. Another one is the improvement of the so-called customer experience, i.e. the experience of the bank’s customer. All the more so as the change of financial services provider is becoming easier and easier, thus the customers’ loyalty to the bank is becoming less and less visible.
– It seems that at the moment a serious challenge for banks is also to reduce risk and ensure compliance with the requirements imposed by the market regulator. These are risks related to unauthorized access to information and devices in the network. It is also about reducing the risk related to the device itself, i.e. securing access through authorization and information processed by the machine, printed, scanned or copied.

Banks spend 13% of their revenues on printing and document management
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