Page 37 - Banking Finance August 2023

ARTICLE

he NBFC (Non-Banking Financial Company) sector
Some of the key challenges faced by
T the Indian economy, playing a crucial role in organizations in the sector are outlined
has emerged as a driver of inclusive growth in
providing credit to the underserved segment.
What sets them apart from the multitude of players within below:
1) Simplifying operational complexity
the financial sector is their ground-level understanding of
As NBFCs perform a wide range of functions like offering
customer profiles and their ability to customize the product
loans and advances, credit review, interest accrual and
as per their credit needs.
foreclosures, keeping a tab on these various financial
operations could be difficult. Lenders working without an
In the last decade, the BFSI segment witnessed large-scale
agile and well-defined process may face heightened
technology adoption in order to make the process agile,
operating risk.
eliminate customer pain points, and provide a seamless
lending experience. The findings of a recent survey published An efficient CRM system can potentially revolutionize and
by FICCI and PWC underscore the importance of technology reduce many difficulties associated with manual procedures.
in improving the customer journey. According to this survey, As per a PwC survey, the operations and finance functions
83% of Indian financial organizations say AI helps enhance have seen increased RPA adoption and demonstrated a
their customer service. remarkably high ROI.

A major NBFC recorded a 25-30% reduction in turnaround
time for their loan application process through digital
About the author channels after it leveraged Robotic Process Automation to
reduce administrative effort and the bulk of paperwork.
Chaitanya Chokkareddy
Co-Founder and
2) Cost optimization
Chief Product Officer
Ozonetel Covid-induced liquidity crunch has led to higher borrowing

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