What if you’ve missed the meaning of a “digital transformation”?
By definition, any digital transformation initiative should be transformative for your organization. Its end goal should accelerate efficiency, improve customer and employee experience, and enable your organization to respond nimbly to whatever the future may hold. Despite many organizations having those goals in mind, McKinsey found that only 16% of digital transformation initiatives are successful.
So what went wrong for the other 84%?
Well for some, it may be time to grapple with the question: did you facilitate a digital transformation, or have you just put on a digital facade?
Prior to working with Hyperscience, I worked within fintech. While in that industry, I witnessed large and long-established financial institutions forced to compete with small, scrappy digital startups.
In that competition, the name of the game was always “digitization of data processing.” Customers wanted loan pre-approvals faster, credit card approvals quicker, and most importantly, they wanted a customer experience that was seamless.
There was only one way to achieve all of that: process data more easily. Neo-banks and digital-only financial service providers realized this, and the rest of the industry followed suit.
This is why it was so surprising to me when entering the automation space to see many large organizations still missing the mark on how to digitally transform their operations.
It’s not just about making the way you gather customer data digital, it’s about how that data flows through your organization for your team to act on. If an online portal is making intake faster, but you still have employees entering that information manually, keeping up with volume is going to be difficult.
If the technology you’re implementing isn’t depressurizing that data flow, maybe it’s time to consider a new strategy?
What Should Be The First Focus Of Digital Transformation?
The simple answer: data.
Data processing is the critical “step zero” of any business process. Your efficiency and accuracy in processing customer data directly impacts the quality of customer experience you’re able to provide. From processing medical insurance claims to handling drivers license renewals at your state Department of Motor Vehicles, if an organization can efficiently ingest, process, and take action on the diverse data formats flowing through their doors, they can help their customers faster.
That’s easier said than done, as every organization has a different subset of steps and systems that comprise their business processes, including whether or not forms are handwritten or machine-printed, types of supplementary information required, and how many different systems comprise your business process.
Digitizing the way you intake and process customer information is deeply specific to your organization. But one theme remains the same: if you make processing customer data easier, your employees and customers will thank you.
As a means to compete with some digital-first entrants, some organizations have developed online portals where customers can submit their information directly into the firm’s own system of record or easily upload accompanying images or PDFs. In reality, however, given the complexities of data processing, simply moving document submission to an online portal won’t solve the wider efficiency issue. It’s like opening the dam without worrying about water levels—eventually that increase in intake is going to overwhelm the way you process customer data.
That’s why any organizations that have moved away from handwritten or physical forms are still finding themselves frustrated with this “digital facade” — their front office seems digital, but their back office operations are unable to deal with the influx of data that same digital transitions enabled.
How To Unlock Your Customer Data
If your employees are still manually entering information into your systems (even if it’s from a digitized document), you’re wasting valuable time. It’s time to start looking at digital transformation, first and foremost, through the lens of how to improve the way data is moving through your organization.
That’s where an intelligent automation solution that uses AI and ML can help, automating complex document processes from diverse data input to actionable data output.
The Hyperscience Platform, for example, is able to classify, extract, and send data downstream (with the highest levels of accuracy and automation available today) regardless of how documents enter the digital doors of your organization. This is how Europe’s first 100% digital full-service insurance provider, wefox insurance, boosted the efficiency of their application process. During “switching season”, they offer customers the ability to save 5% from their existing policy with another provider; all an individual has to do is simply enter their current policy information into wefox’s online portal alongside a copy of their policy certificate or invoice.
Before utilizing the Hyperscience Platform, this resulted in a large manual lift for the wefox team, as various PDFs and images needed to be manually reviewed and verified to approve the application. The fact that this data was digitally submitted was negated, as it was still trapped in PDF format and separated from the information submitted via their portal.
With Hyperscience, those submitted documents are automatically classified and data extracted, significantly speeding up the process of verifying customer information. Discrepancies are more easily detected and corrected, streamlining new customer applications and the overall onboarding process. This scaled their operations, saving their employees valuable time and enabling them to provide a high quality customer experience.
In 2 years, this augmentation to wefox insurance’s digital-only business process could amount to 469 total days saved in work.
wefox’s decision to deploy intelligent automation as part of their business process (regardless of the fact that they were already digital-only) constituted a digital transformation of the way they process data. This transformation enabled an improved customer experience, freeing their enterprise to focus on innovation and fueling business growth.
The move to digital has become a mandate, but if you’ve already embarked on your digital transformation and you’re not seeing ROI from the investments you’ve made, it’s time to transform your best intentions into best-in-class efficiency. Intelligent automation can fill the gaps and unlock your customer data, freeing your employees from the frustration of the digital facade to focus on more meaningful work.
Interested in learning more about how wefox insurance boosted their application processing speeds with Hyperscience? Read their story.