Yes, COVID-19 is pushing the businesses towards digitization. The business lockdown is promoting only digital businesses as for them, processing operations is quite easy. The COVID-19 breakdown has cut off the business operation badly impacting the organizations and revenue. To control the spread of the coronavirus, governments around the world have declared lockdown which is leaving a negative impact on the global economy. Under such circumstances, the online businesses have started thinking of the alternatives that could help them continue the business operations as it is to not disturb the customer base and help them as much they can to handle their customer operations.
To deal with such circumstances, online businesses are taking advantage of technology. However, there are some challenges with respect to the high stock availability and security of online platforms. These can be dealt with before-hand planning and a high-security approach towards online platforms. A need for a strong authentication mechanism is highly demanded by online businesses.
Activation of ‘Work from home’ Policy
The coronavirus lockdown has pushed companies to implement the work-from-home policy. For organizations, it is not easy to go remote within days. The time for everything to be properly planned/managed before activating remote work is much less. One of the major concerns of businesses is data security, employee attendance, and performance. However, the need for time is to activate the work from home to implement ‘reduce social distancing’ strategy amid coronavirus.
The banks and financial institutions, amid coronavirus crisis, have started taking advantage of technological innovations. Due to pandemic coronavirus, many businesses have got affected among which banks are on the top. To stop the spread of coronavirus, it is advised by the World Health Organization (WHO) to maintain social distancing and avoid going to public crowded places such as banks, stores, or any institute. To control the spread, the banks and financial institutions have already started taking alternative measures employing technology at first hand.
Banks are organizing KYC alternatives
The COVID-19 outbreak has shifted the banks towards the adoption of alternatives to their banking operations. The banks have to face a significant loss as they could not allow their traditional banking processes to be done the way they do. Their reliance on huge staff with a bunch of activities now need a stop. Just like other institutions, banks have also started work from home. But how would they be able to conduct the operations? How will they be able to onboard customers? How the queries of customers be handled? How identification and KYC processes be conducted? To answer all these questions, technology has covered the banking industry.
Utilization of Digital Banking Under COVID-19
Under the current circumstances, the banking industry is enforced to active digital banking services for their customers in which they would be able to make online transactions, transfer money, deposit bills and ask queries. The banks around the world have started the adoption of digital identity verification as an alternative to traditional KYC. The digital identity verification services are able to identify the customers in seconds using a highly secure and innovative approach that helps digital banks ensure the security of user accounts, as well as the financial system, be verifying each individual through documents, facial recognition and Video to deter the risks of bad actors. The following are three identity verification services that are adopted by countries worldwide:
- Digital document verification (KYC alternative)
- Facial recognition (KYC alternative)
- Video-KYC (expert undergoes KYC process in an online video)
- AML screening
These KYC alternatives are not in full swing in the banking industry that is operating online. Now banks can provide highly secure and efficient services to customers that the customer can operate online to fulfill their transactions. The smooth onboarding to secure transactions can be ensured and banks along with the government can stop the spread of coronavirus by handling all operations gracefully.