Artificial Intelligence (AI) and Blockchain can transform document processing in Commercial Banking and Trade Finance. In the current manual process, customers submit many documents, which can take anywhere from 4 to 45 working days to process manually. However, AI can intelligently process documents in a matter of minutes, which enhances business outcomes, increases user revenue, and provides an exceptional customer experience. AI can automatically pick up documents from the repository, achieve the desired output in pixel quality and orientation, extract the raw text from the image using Optical Character Recognition (OCR) with contextual understanding, classify each document into specific types using Natural Language Processing (NLP), and use robust, secure transaction technologies such as Distributor Ledger-based Blockchain to ensure the highest level of security and privacy in the document processing. Combining AI, Machine Learning (ML), NLP, and Blockchain can significantly enhance business outcomes while providing an exceptional customer experience.
AI for Streamlined Document Processing in Commercial Banking
The documentation process in Commercial Banking and Trade Finance involves a significant amount of manual documentation. While the ease of customer experience has been revolutionized in Retail Banking with paperless and contactless transactions, Commercial Banking still involves a lot of paperwork. This includes submitting various documents such as loan applications, account creation documents, Bank Guarantees, or Letters of Credit, which can run into 50-60 sheets of paper. Manually filling out the details from these documents in printed forms or templates is a time-consuming process that leaves the process prone to errors and non-compliance risks.
In the current manual process, the banking staff uploads the final set of scanned details which are then verified and routed to the following process as per the Standard Operating Procedures (SOP). However, the quality of the scanned documents is inconsistent, leading to delays and additional effort to verify information.
The entire process can take anywhere from 4 to 45 working days, depending on the complexity of the use case, and can be further delayed due to missing information. The long processing time, along with the high risk of non-compliance and operational inefficiencies, negatively impacts business outcomes and customer experience.
Although the issue is prevalent across sectors such as PSUs, Real Estate, Insurance, Healthcare, Construction, Manufacturing, customers are not always aware of it.
However, with the help of Artificial Intelligence (AI), the document processing in Commercial Banking and Trade Finance can be transformed. AI can intelligently process documents in a matter of minutes, which used to take days manually. This results in enhanced business outcomes, increased user revenue, and an excellent customer experience.
The AI process starts by automatically picking up the documents from the repository and achieving the desired output in pixel quality and orientation. This process is completed in image format.
The next step is to extract the raw text from the image, which is done using Optical Character Recognition (OCR) with contextual understanding. The OCR technique converts the raw text into an identifiable text, which can then be classified using Natural Language Processing (NLP). This step involves classifying each document into specific types, such as a Letter of Credit, Loan Application, or Bank Guarantee.
Using robust, secure transaction technologies such as Distributor Ledger-based Blockchain, the solution can be further enhanced to ensure the highest level of security and privacy in the document processing. The implementation of AI in document processing will not only streamline the process but also reduce the risk of errors and non-compliance.
In conclusion, AI has the potential to revolutionize the document processing in Commercial Banking and Trade Finance. With its ability to process documents quickly and accurately, AI can enhance business outcomes, increase user revenue, and provide a seamless customer experience.
Enhancing Business Outcomes with AI and Blockchain in Document Processing
Artificial Intelligence (AI) can be trained with algorithms based on the industry sector and business context to improve accuracy. The extracted text can be run against set templates for each classification to understand the document in its business context, using Natural Language Processing (NLP). Each word can be separated into individual tokens, and relevant keywords and tags can be identified using the synonyms repository, opportunity repository, and sentiment repository.
Advance rule engines must be set up based on exceptions for automated processes. Exceptions must be set up according to the classification type, such as missing keywords, date mismatches, and amount mismatches. A new ticket can automatically start the entire procedure, and depending on the exceptions, some tickets may be automatically refused. The system can point out the exception and put additional tickets in the proper buckets.
Combining AI, Machine Learning (ML), NLP, and Blockchain can significantly enhance business outcomes while providing an exceptional customer experience. The implementation of AI in document processing not only streamlines the process but also reduces the risk of errors and non-compliance, boosting employee morale as they are freed from repetitive manual work.
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