CMRO Invoicing Automation - CMRO BOTs

“Our client is one of the biggest Airline engineering services company operated in GCC and spread around the world. They are the service providers for all the leading aircrafts like Lufthansa, Etihad, Indigo and LATAM airlines. Here we have automated the process of Invoice Data pre-verification & Reconciliation process using Intelligent Automation and RPA which ensured the organization to realize the payments ensuring on time delivery of invoices with 100 % data accuracy

As is process is like, they generate too many PO’s to sub vendors and receives same amount of invoices in return against each Po’s. These invoices are read and has to be updated manually in CMRO under each Master Visit Number. At the time of Invoice generation, the finance team has to pre-verify against each PO & Invoice to check the values and they have to validate the same using excel calculations as per the Service License Agreement on in an Invoice Data sheet. This actually difeers from client to client . If the values in CMRO & Invoice data sheet matches they will generate invoice else they have to do a recheck. This is a time consuming process and almost takes about 6 hours to complete one invoice . Also they have to ascertain tthe values of replaced parts, scrap outage parts and their values to validate the same before invoice generation.

Here we automated the entire process using Intelligent Automation – IQ BoT and RPA. Since they receive multiple number of invoices of Digital formats, they store the same in a separate folder. Here what we see is the IQ bOt will identify that specific folder and is extracting the data from these invoices. We can see here the once the data is been extracted the entire data is being copied to an excel sheet. Then the RPA BoT will log in to their internal application named CMRO and downloads the data using the workorder number and master visit number. These data is also copied into that excel sheet and then the BoT will copy labour cost, scrap value cost and other expenses incurred for maintenance and update the same into that excel sheet. Here we can see that once the data is updated in excel sheet the BoT is learned to do some calculations as per the Service License Agreement signed between the clients. These SLA’s varies according to clients and has to do many calculations to arrive at final values. Here the RPA Bot is checking the final values downloaded from CMRO ,invoices and Labour cost are same and as per the SLA . Here we can see the value matches as per the agreement and the BoT sending the same for finance for payment realization. Once if there is any mismatch the BoT will alert the finance to reconsider the case and BoT will rerun again to do the process.”

Our Locations

USA

Alzone Software LLC
651 N Broad St, Ste 205 #6403Middletown, Delaware 19709, United States

UAE

Alzone Software Solutions LLC
HH Shaikh Saud Bin Saqar Al Qassimi Building,
Al Muteena, Plot Number 39-4,
Land DM No 123-702,
Makani No 31044 95966,
Dubai, UAE

INDIA

Alzone Software Pvt Ltd,
ACE 04, 3rd Floor, C-DAC Building, Technopark Campus,
India 695581

Social Links

Get in Touch

(+1) 201-203-9374 (USA)
(91)4713501635 (INDIA)
(+971) 523925029 (UAE)
[email protected](INDIA)
Mon – Fri 9:00am – 6:00 pm

Web designed and developed by Cpool Digital Learning

An integrated banking group based out of Saudi Arabia, also having branches across different regions has been looking for digital transformation. As part of their digital transformation journey, they collaborated with Alzone for automating some of their time consuming and repetitive financial tasks. Alzone had automated the ATM Setup Process, by implementing RPA technologies for processing setup request of 700 to 800 ATM outlets for the client. The setup of an ATM involves several steps to ensure its proper installation, configuration, and integration into the banking or financial system.

Integrating an ATM (Automated Teller Machine) with a banking system can present various challenges due to the complexity of the financial ecosystem, security considerations, and the need for seamless communication.

Here are some common challenges associated with ATM integration:

Ensuring daily that the ATM system (900 to 1000 numbers) can effectively communicate and interoperate with different banking systems, including core banking systems, payment gateways, and transaction processing platforms
Adhering to regulatory requirements and compliance standards specific to the financial industry, which may vary across regions and jurisdictions.
Integrating with existing legacy systems within the banking infrastructure, which have different technologies, architectures, and data formats.
Managing transaction processing and settlement processes to ensure accurate and timely recording of financial transactions.
Designing the integration in a way that allows for scalability as the number of ATMs and transaction volumes grow Manually processing 100 to 200 requests daily within a specified time

Automating the integration of 1000 ATMs with the banking system can offer numerous benefits, improving efficiency, security, and overall operational effectiveness. Here are some key advantages:

Reduced Manual Effort: Automation eliminates the need for manual intervention in the integration process, reducing the risk of human errors and streamlining the overall deployment. This is particularly crucial when dealing with a large number of ATMs.
Time Savings: Automation significantly accelerates the integration timeline. Tasks that might take a considerable amount of time if done manually can be completed quickly and simultaneously for multiple ATMs through automation.
Consistency and Standardization: Automation ensures a consistent and standardized approach to the integration process across all ATMs.
Cost Efficiency: By reducing the need for manual labor and expediting the integration process, automation contributes to cost efficiency. It minimizes the expenses associated with prolonged deployment timelines, potential errors, and the need for extensive human resources.
Scalability: Automated systems are inherently scalable. They can handle the integration of a large number of ATMs without a proportional increase in the effort required. Real-time Monitoring and
Reporting: Automation allows for real-time monitoring of the integration process. Any issues or anomalies can be quickly identified and addressed, enhancing the ability to proactively manage the entire ATM network.
Faster Response to Changes: When updates or changes are necessary, an automated system allows for quick and efficient implementation across all ATMs.
Minimized Downtime: Automation can contribute to minimizing downtime during the integration process. With automated testing and deployment, disruptions to ATM services can be reduced, leading to improved availability for users.
Enhanced Data Accuracy: Automated processes are less prone to data entry errors, ensuring accurate and reliable data integration between ATMs and the banking system. Centralized Control and
Management: Automation allows for centralized control and management of the entire ATM network. This centralized approach simplifies monitoring, updates, and maintenance activities.

Some of the substantial impact in automating the ATM setup processes are

Number of skilled resources reduced to 2 from 10 resulting in annual savings of $480K
Time taken reduced from 3 hours to 20 minutes

Financial position validation is a crucial aspect in banking for several reasons:

Risk management
credit decision making
regulatory compliance
fraud prevention
customer relationship management
portfolio management
capital adequacy
asset quality

Some of the challenges are

Access to accurate and up-to-date financial information is crucial for making informed credit decisions. However, the quality and availability of data can be inconsistent, leading to challenges in risk assessment.
Ensuring the accuracy of financial data provided by customers can be challenging, as errors or intentional misrepresentations may occur
Adapting to evolving regulatory requirements and compliance standards poses a challenge, as non-compliance can result in legal consequences and reputational damage.
Effectively communicating credit terms, risks, and consequences to customers is challenging, as it requires transparency while maintaining a positive customer relationship
Allocating sufficient resources, both in terms of skilled personnel and advanced technologies, to conduct thorough financial position validation can be a challenge

Automating the financial validation process in banking and financial institutions can offer numerous benefits, including:

Efficiency Improvement:
- Automation speeds up the validation process, reducing the time and effort required for manual data entry and analysis.
- Faster processing allows for quicker decision-making in areas such as loan approvals and credit assessments.
Accuracy Enhancement:
- Automation reduces the risk of human errors associated with manual data entry and calculations, leading to more accurate financial validation.
- Consistency in data processing ensures that validation is conducted uniformly across various cases.
Cost Reduction:
- Automated processes help in cutting down operational costs associated with manual labor, paper-based workflows, and potential errors that may lead to financial losses.
Risk Management:
- Automation enhances risk management by providing real-time data analysis and identification of inconsistencies, enabling quicker responses to potential risks.
- Automated systems can continuously monitor transactions and financial data for anomalies, contributing to fraud detection and prevention.
Regulatory Compliance:
- Automated processes can help ensure compliance with regulatory requirements by embedding rules and checks within the system, reducing the risk of non-compliance.
Data Security:
- Automation allows for the implementation of robust security measures to protect sensitive financial information, reducing the risk of data breaches and unauthorized access.
Scalability:
- Automated systems are scalable and can handle larger volumes of data and transactions efficiently, accommodating the growth of the business without a proportional increase in resources.
Audit Trail and Documentation:
- Automated systems provide a comprehensive audit trail, documenting every step of the financial validation process. This is valuable for regulatory audits and internal compliance reviews.
Customer Experience Improvement:
- Faster processing times and reduced paperwork contribute to an improved customer experience.
Strategic Decision-Making:
- Automation frees up valuable human resources from routine tasks, allowing financial professionals to focus on strategic decision-making, data analysis, and other high-value activities.
Adaptability to Change:
- Automated systems are more adaptable to changes in regulations, market conditions, and business processes, ensuring that the financial validation process remains effective and up-to-date

Some of the significant impacts of automating the financial validation are,

Number of skilled human resources reduced from 10 to 2 resulting in annual savings of $480k
Time taken reduced from 3 hours to 10 minutes

Bank statement Mirroring & Reconciliation Process

An internationally acknowledged biotechnology company, which is India’s largest stem cell bank with accreditations from WHO, FDA NABL and many more. There are 6 sub-brands owned by them for the preservation of stem cells, Placental Tissues, DNA etc., They have a pan-India presence with 200+ centers with footprints in GCC nations.

Business Challenge
The primary challenge faced by the financial department of the company was updating their internal finance system MS Dynamics with bank transactions and the controlled accounts details hence to perform the reconciliation on time. The large number of transactions having various rules made the system more complicated and error prone. There are 14 banks and 9 controlled accounts involved in the day-to-day financial transactions.
The reconciliation process are mainly divided into such as Bank Statement Mirroring and Bank Statement Reconciliation.
In Bank Statement Mirroring, the statement received from 14 Banks are mirrored after applying a set of validation rules. Thus created Mirror Statement is uploaded to the ERP system.
In Bank Statement Reconciliation, the collection and realization reports received from the 9 bank control accounts are reconciled against the Mirror Statement created for the main bank accounts in the ERP system. To complete this reconciliation, the following activities are being performed;
(a) Deposit slip creation & upload
(b) Banking statement creation & upload
(c) Validation & Posting to ERP
(d) Unique ID & transaction ID identification from Mirror Statement
(e) Realization statement creation & upload
(f) Validation & Posting to ERP
(g) Reconciliation using ERP

Solution
Using Robotic Process Automation (RPA) , Alzone has derived an end to end Bank statement Mirroring & Reconciliation, with zero human intervention. Individual RPA BOTs were deployed to perform the statement mirroring and reconciliation activities on a daily basis as per the schedule.
In Mirroring process the BOT performs the following activities;
(1) Identification of the valid emails and downloading the bank statements attached
(2) Mirror statement creation using a pre-defined ERP accepted template
(3) Validating the mirror statement created for data correctness
(4) Uploading to the ERP

Activities performed by the BOT in Bank statement Reconciliation process are;
1. The collection/Realization reports are downloaded from email/TPA websites
2. Deposit slip creation & upload
3. Banking statement creation & upload
4. Validation against Mirror Statement
5. Realization statement creation & upload
6. Validation & Posting to ERP

Automated Invoice Processing

An aviation and aerospace component manufacturing company, which is a new industry champion focuses on the long-term growth in the global aerospace and industrial sectors. They are a leading provider of aircraft engine Maintenance, Repair and Overhaul (MRO) solutions and have been leading the way in engineering excellence and innovation for more than three decades. Invoice processing for an aircraft maintenance company involves the handling and management of invoices related to the services, parts, and maintenance activities performed on aircraft. This process is crucial for the financial and operational efficiency of the company. The key aspects of invoice processing are receipt of invoices, verification and approval, matching with purchase orders and contracts, coding and data entry, discrepancy resolution, payment processing, record keeping and compliance and reporting.

Challenge:

Increased operational expense: Each supplier will be having their own invoice format. To extract details from those invoices, a separate team was maintained who manually reads and enters the details from the invoices. When business volume surges, the number of invoices increases which was creating stress on this team. So, team size has to be increased. Unintentional data entry errors starting coming up and the invoice has to be processed again. This whole process was becoming a big expense for the firm who was looking for a way to reduce it.

Solution: Using Robotic Process Automation (RPA), Alzone has derived an end-to-end solution for invoice processing of flight engine repairs and maintenance. In the first phase, the set of invoices for training was selected based on the volume of transactions and a consolidated invoice data sheet with the track of all the financial workings is shared with the business for their review and feedback. In the second phase, the bot picks up the confirmed invoice data sheet and converts it into the invoices. These invoices are shared with the respective customer via email/designated websites in the last phase of the bot process. This way, only the invoices which was not trained was handled by the team. This helped the firm reduce the team size and save the cost.

Impact: The impact of automating invoice processing is,

Human resources reduced to 1 from 5
Time taken reduced to 10 mins from 2 hours per invoice