Getting beyond the constraint for true straight through processing (STP) is the challenge of every successful organization. Eventually, all organizations reach maximum capability—that is, the greatest amount of optimization or efficiency possible—with the existing tools and equipment. So, then what?
Getting Beyond the Constraint
As an example, in aircraft, engines and propellers were the limiting factor in the early days and then came jet engines. This moved the limiting factors to the airframe and aerodynamics. We would have never broken the sound barrier—regardless of engine capability—if we had not developed swept wings and aerodynamically conducive shapes optimized for supersonic flight.
How Does Aircraft Design Relate to Document Processing?
Historically, all capture and workflow technology has essentially been an augmentation to human-based processes. Unlike manufacturing automation where robotics essentially replaced human operations with machines—and people monitored the systems—we designed our document-based business processes around human capability. So, we built automation to feed stuff to humans faster with fewer errors to deal with. Since software could not beat human accuracy from a “perceive and interpret” standpoint, the focus was to optimize the human’s role in the process.
Today, we have gotten as far as we can in this regard. We have automated collection and delivery to the full extent possible. We have divided and subdivided work packages down to what a single person can do in a given time frame. This means if we have 100 items with one item per person, and we have 100 people, then we cannot expect to double the people and be able to cut the delivery time in half. We have essentially reached equilibrium with respect to human-based throughput.
Without STP, the human has become the constraint. Yet, we have the continual need to go faster with greater accuracy and efficiency.
Achieving Straight Through Processing
For the first time in our industry’s history straight through processing is achievable with Parascript’s FormXtra.AI advanced capture software. FormXtra.AI, with its unattended Smart Learning and dynamic adaptability, achieves greater accuracy and lower error rates than humans facilitating measurable and sustainable straight through processing.
Mortgage Classification Example
As an example, mortgage document classification represents one of the hardest types of tasks for document processing, specifically document classification automation.
Unlike other vendors, Parascript uses multiple types of classifiers, and the system decides which one is best. Parascript Smart Learning is machine learning for documents that enables true unattended automation for your complex mortgage data. Parascript software analyzes data and the location of data to generate models to locate and reliably extract it.
Parascript software constantly measures the results and adapts to those results. When the system encounters new document types or variances of documents in your production stream, Parascript software runs in the background. It takes that information and uses it to adjust and optimize the systems. The care and upkeep that are typically time consuming and expensive are now automated.
Ultimately, what matters is whether your system reliably classifies your documents and extracts the right data. Parascript software automates initial configuration for reliable straight through processing and ongoing adaptability of the system once you put it in into production. It is very common to see less than 10% of your overall volume consuming in an inordinate amount, sometimes up to 50% of your workflow resources, handling errors within that process. By reducing the overall processing time per loan, we hit the ledger as an asset much faster. This allows for a significant increase in the number of loans processed per year.
This is literally a game changer. It means we can now deploy intelligent or cognitive automated business processes where the human monitors the process for exceptions rather than interact in every transaction in one form or another. The process improvement implications are enormous, and the related value proposition is extreme.
It all begins with document or data acquisition or ingestion. Effective and efficient document and data capture provides an exponential down process benefit.
Want to learn about how Parascript’s FormXtra.AI with Smart Learning can help you achieve straight through processing? Request a demo and needs assessment.
If you found this blog article interesting, you may want to attend our upcoming webinar, Straight Through Processing for Mortgages: What You Need to Know and get all of your questions answered.