Smart automation: How Lilab transformed a financial client's credit risk evaluation

Introduction:

In the financial world, efficiency and precision are crucial for success. A financial sector client faced a critical challenge: their manual process for evaluating credit risk was slow, prone to errors, and consumed significant time and resources. Faced with increasing demands for agility and accuracy in decision-making, this client sought an innovative solution to automate and optimize the process.

This is where Lilab stepped in with a solution that not only met expectations but exceeded market standards.

The Challenge:

The client's credit risk evaluation process was thorough but cumbersome. It required an internal team to dedicate approximately four months to complete each evaluation, involving complex calculations, weighted assessments, and a detailed classification of each applicant’s financial situation.

This manual methodology was not only slow but also vulnerable to human errors, risking the accuracy of final decisions and, ultimately, the company's financial health. Additionally, information was managed in multiple templates, further slowing the process and complicating access to the financial benefits granted by the credits.

Lilab's Solution:

Lilab proposed a robust technological solution that revolutionized the client's credit risk evaluation process. Using a hybrid Scrum approach, the Lilab team designed and developed custom software featuring a user-friendly graphical interface, a powerful decision-making engine, and the ability to generate accurate risk indicators.

This system not only automated calculations and evaluations but also integrated APIs and new interfaces into the company's core system, allowing automatic data capture that had previously been manually entered.

The Implementation Process:

The project was developed in three key phases, all under a hybrid Scrum framework that enabled agile and effective implementation. The first phase focused on integrating static data into the new system. In the second phase, the Lilab team worked on incorporating dynamic data through APIs and third-party connections, allowing a smoother and more accurate flow of information.

Finally, in the third phase, a series of thorough tests were conducted to ensure that the system not only met expectations but also provided significant improvements in speed and accuracy.

Results and Benefits:

The implementation of Lilab’s solution delivered outstanding results. The time required to complete a credit risk evaluation was reduced from an average of four months to just twenty minutes per client, allowing the client to process a larger number of applications in less time.

The risk team was freed from manual, repetitive tasks, allowing them to focus on more strategic and higher-value activities for the company.

Additionally, automating the process significantly reduced human errors, improving the quality of credit decisions and increasing the accuracy of the generated reports. In summary, the solution not only optimized operational efficiency but also strengthened the client’s ability to make informed and timely decisions.

Conclusion:

This client-provider collaboration is a perfect example of how technology can transform critical processes in the financial sector. The automation of the credit risk evaluation process not only streamlined operations but also improved the quality of decisions, strengthening the company's competitive position in the market.

If you're looking for a technological solution to boost efficiency and accuracy in your company, Lilab is ready to help you achieve exceptional results.