Digitization Model for Reducing Costs and Operating Times in Peruvian Banks

Abstract

Paper consumption in Peru has increased in recent years due to constant demand from companies. For example, approximately 90% of all the financial institutions still maintain a traditional paper-based work system, including the printing, storage, and inquiries of physical account opening documentation. Therefore, to reduce the number of physical documents handled, this study proposes a four-stage digitalization model. First, the necessary requirements are elicited. Then, the second stage identifies the main problem and defines improvement objectives. Next, the following tools are executed: change management, business and technology management, and a new digitalization process. Finally, the results obtained are verified against the expected results. The proposed model will be validated through a case study, wherein 35% reduction in unnecessary operating costs, 90% decrease in document inquiries, and 100% cut in documentation-related expenses were reported.