• David Mirfield, Vice President of Product Management at Provenir


• 30.07.2024 11:15 am
#CaseManagement #RiskMitigation

In the fast-paced world of financial services, case management can be a key component in mitigating risk of loss, maximizing the value of customers, and ensuring frictionless onboarding experiences. Its importance is underscored by the fact the case management market is expected to grow to $9.44 billion by 2026 at a compound annual growth rate (CAGR) of 9.54%.

But what exactly is case management?

Case management in financial services refers to the process of handling manual review of client cases effectively and efficiently, from initiation through to resolution. The process is made infinitely more powerful when it’s integrated with an intelligent decisioning solution that can easily expedite cases when needed and review everything all in one place.

By seamlessly integrating case management into decisioning processes, financial institutions can easily see the information that matters most to them with insights available by status, decision metrics, lead sources, product lines and more.  Additionally, organizations can stay ahead of risk by tracking approval and decline numbers, viewing fraud alerts and monitoring exception queues. Integrating case management solutions into decisioning processes also allows for financial institutions to focus resources on the right data with configurable reports, dashboards and application screens.

Reducing Fraud and Delivering a Holistic View of the Customer

A financial institution’s decisioning solution is critical for making numerous decisions in the life of its customers – including lending, fraud, onboarding, customer/portfolio management, and collections; however, not every situation can be automated. Consider the following roles which necessitate manual intervention and case handling:

Application Agents: Application agents face the challenge of processing applications quickly while still maintaining accuracy. With case management seamlessly integrated with existing processes, application agents can create and amend applications, manually enter and update application information, re-trigger decisioning processes when needed, view everything in a summary dashboard, and ultimately streamline the onboarding process.

Fraud Investigators: Fraud threats continually evolve, and the stakes (and risk of losses) are high. According to TransUnion, from 2019-2022 there was an increase of 39% in cases of fraud attempts in financial services. Fraud investigators can more accurately investigate fraud rings and better prevent losses given they can perform a deep-dive into decisioning data, execute roles-based controls and fraud checks, and benefit from queue management to ensure the most efficient processes. 

Credit Risk Underwriters: Credit risk underwriters are responsible for fair and balanced risk assessment of each applicant. It’s important to ensure that underwriters can manually action referrals when necessary, review and understand risk policy rules, attach documentation and notes for visibility, and drive further downstream actions after review – enabling the ability to treat customers and their unique situations fairly and compassionately.

Integrating case management for situations that need human intervention enables the organization to easily expedite case handling and re-trigger automated decisioning when ready. 

By integrating case management into real-time decisioning, organizations can eliminate siloed views that are common in the financial services world, particularly when dealing with complex legacy technology. As a result, seamlessly integrating manual intervention into the automated decisioning flows enables one truly holistic, end-to-end decisioning solution and frictionless onboarding experiences.

Key Considerations for Implementing Case Management Solutions

Implementing case management in financial services involves careful planning and execution. It’s essential for financial institutions to choose the right system that aligns with their needs. The challenges, such as data integration and staff adaptation, can be mitigated through a phased implementation approach – or by ensuring that the selected solution integrates seamlessly with existing decisioning and data solutions, eliminating siloed environments and inefficient processes.

Technology that includes AI, machine learning, and advanced analytics will also help further streamline processes and enhance decision-making accuracy, enabling more efficiency and bias-free decisions across the entire organization and the complete customer lifecycle. 

Having a comprehensive case management solution enables improved efficiency, reduced risk, better compliance and fraud detection, and enhanced customer satisfaction. The ability to optimize actions and interventions at every step of the onboarding process allows the organization to more effectively balance risk with opportunity across the entire lifecycle of its customers. 

By integrating case management into the decisioning process, financial services organizations can prevent losses, maximize value, and remove friction in all aspects of onboarding processes – setting the stage for a positive customer experience and business growth.