One of the biggest challenges financial institutions face is executing teller transactions most effectively.. This may involve anything from utilizing universal staffing, to adding automation technology to an existing teller line, or implementing a solution geared to better handling of commercial deposits. Time and time again the challenge of the “people” part of banking rises to the top of the priority list.
Non-interest expense is one of the largest expense categories bankers have to deal with, and staffing usually makes up the largest percentage of that by far. So as pure teller transactions within the branch continue to decline at 8-12% year over year, how are you combatting that challenge? How are you handling retirements, sick leave, medical leave, or employee turnover? Do you always look to rehire or are you thinking outside the box?
One of the biggest ROIs that our clients have experienced is the result of utilizing a teller cash recycler. They found that having a $10,000 per year operating expense, including maintenance on a TCR, is easily justifiable by removing 1 part-time person or better yet allowing a branch to function properly without replacing an employee that has left. The TCR dramatically reduces trips to the vault, essentially giving you a transaction running staff member back, especially on busy days. Our clients have seen locations with 10, 15, 20 trips to the vault a day reduced to 1 or 2 by implementing a TCR.
While most people focus on the speed and accuracy benefits of implementing TCRs, many overlook smaller locations that often struggle with more severe staffing challenges. Simply transferring the vault responsibility from 1 person to another can be a half day process in a small branch that is verifying all the funds in the branch to transfer ownership. This process is almost immediately eliminated by using a TCR. Locations with 3 people can function in harmony between manager, platform and teller to get transactions accomplished, share the burden, and spend more quality time with customers providing higher value advice.
As you start to head into budget season and wonder what investments would pay off in bottom line results, I would recommend researching your staffing levels and see where you could have the greatest impact. As our clients focus on deepening relationships and generating more in branch sales, you have to automate mundane and painful transactions that still happen every day. There are many things to invest in, but as an owner myself, I love guaranteed ROI that is nearly immediate. Do you need help figuring out if a TCR would solve any of your challenges? Give us a call, we’re here to help.