Lean Six Sigma In Finance Industry
Lean Six Sigma can automatically be related to improvement. There exists no sector in the world that does not require improvement. This is what makes Lean Six Sigma one of a kind. Many big banks like Deutsche Bank, Bank Muscat, Riyadh Bank and insurance companies like AXA have implemented Lean Six Sigma, where Anexas consultants have been involved.
Why is Lean Six Sigma so important in this industry?
There are many benefits of Lean Six Sigma in the banking, finance and insurance sector. Some of them are listed below-
In Loans Department it has-
- Reduced the cycle time to Process a Loan Application for both Mortgage & Personal loans.
- It has also Improved the Credit Evaluation Process
In Account Opening process it has-
- Reduced errors
- Reduced rework in processing customer applications
In Retail Banking it has
- Reduced the errors in money transfer- (Imagine the time, money and effort saved after eliminating errors)
- Improved accuracy, timeliness and completeness of customer communication.
- Developed new products
- Improved Market Share of existing banking and insurance products.
Increase value added steps by Lean Six Sigma
- In accounting firms Lean Six Sigma emphasises on adding client value by eradicating non-value-added steps and inadequacies in client service processes, resulting in more time to be proactive.
- It is a team-based approach that detects waste and inefficiency. Skilled professionals can lead teams through the study of the “Current State” of the firm’s processes. Waste and inadequacies are acknowledged and “Future States” are created using Lean methods.
- To achieve this the staff of finance companies, banks, and accounting firms are trained to use Lean Six Sigma tools and techniques and apply DMAIC methodology i.e. Define , Measure, Analyse, Improve, Control.
- They convert improvement opportunities in the company to Lean Six Sigma projects and complete them to achieve their certifications as green belts and black belts.