By following 5 Golden Rules, financial institutions can unlock the full value of their ATM network and increase their efficiency ratio. Part of a series exploring each rule, this blog focuses on rule #3, managing a high-performing channel.
Leveraging state-of-the-art management tools
FIs who opt for in-house ATM operations know that effective fleet management requires access to state-of-the-art technology. With an abundance of areas to cover and tool offerings available in the market, selecting the right solutions to meet both current and future needs poses a considerable challenge. FIs may be tempted to license software from multiple vendors as they may choose different solutions to manage security, availability and cash across their network, opting for what they believe is the best of breed for each category. However, the need and effort required to integrate the different solutions should not be underestimated. Some tools may not have been designed with the ATMs in mind and may not perfectly suit the specific challenges and risks applicable to a banking self-service environment. Finally, if they go for a software on premises operating model, FIs are responsible for the hosting in compliant data centers, which adds further complexity.
Building and maintaining the dream team
Another huddle consists of maintaining internal expertise to effectively manage ATM operations. It can be demanding to assemble and sustain teams with specialized knowledge in this niche domain. The need for continuous recruitment and upskilling compounds the issue, as mastery in ATM operations is becoming increasingly scarce and expensive to acquire.
Mastering ATM operations
The multiple challenges related to in-house ATM management, which we just went through, explain why many FIs prefer outsourcing their ATM operations, whether through a managed service or an ATM-as-a-Service operating model. Through such a partnership, FIs leverage the benefits of accessing expertise, infrastructures, and processes. But how do you choose the best partner for that? First, it is key to ensure that the service offered includes the hosting and operation of all tools required to deliver it. This will relieve the FI's IT team of the administration and maintenance of all the various highly specialized niche software required for ATM operations. Opting for a partner with expertise in device manufacturing and software development beyond operations will bring a significant advantage. Their approach will be holistic and their knowledge base far wider and deeper. Let them also explain the resources they will allocate to your channel, their average tenure, and their approach to hiring, onboarding and upskilling for their teams. Finally, control their transparency: you should be given access to real-time data about the status and performance of your fleet, together with detailed reports to make informed decisions.
Maximizing availability of ATM services
Always-on uptime and cash availability are the foundation for the delivery of a compelling self-service experience. However, too many consumers still report that the inability to transact at an ATM is one of their key frustrations with their financial provider.
You will need to ensure data intelligence is at the heart of your partner’s operation model. Mastering the latest developments of IoT, cloud computing, machine-learning and Artificial Intelligence (AI) is a minimum requirement for a service provider you entrust with the cash management and technical maintenance of your ATM fleet. Whenever an incident occurs and a service request is open, root cause identification should be completed automatically, and a repair plan should be issued by a data intelligence platform within seconds, without having to send a technician for inspection. This ensures incidents are resolved the first time and faster, keeping downtime to the strict minimum. Finally, FIs should not depend on end-users to report an out-of-service event or their staff to raise a service request. Not to mention that ATMs are increasingly located in fully automated branches and off-site where no staff is present. Remote monitoring and automated resolution capabilities should be in place, so any device issue is detected and reported in real-time and is resolved earlier.
Ensuring compliance and iron-clad protection from logical security attacks
Criminals are devising ever more sophisticated ways to access ATM data while the regulatory environment is becoming more stringent to protect consumers. As a result, ATM deployers are forced to implement increasingly complex and costly capabilities to ensure the security and compliance of their fleet. To maximize the protection of the ATM channel, it is important to rely on insights from surveillance activities monitoring the security landscape worldwide. Additionally, having a very accurate view of global attack trends and discovering new security threats faster will allow for the implementation of related protections earlier on. Security also requires a multi-layered approach, including software security update deployment, intrusion protection, access protection, hard disk encryption and password management.
Opting for the right partner
ATM operations are part of Diebold Nixdorf’s DNA. Our deep understanding of the ATM channel, from a technical, operational and business perspective, enables us to develop and continuously enhance software solutions that FIs' in-house operations teams can use to maximize the efficiency of their fleet. For FIs who prefer outsourcing ATM operations, Diebold Nixdorf offers a comprehensive range of services. We release more than 1,000 banks and credit unions worldwide from managing their ATM channel while providing them with maximum transparency and all the insights they need to optimize their strategy and its execution.
Would you like to know more about how Diebold Nixdorf software and services can augment your ATM operations and increase the efficiency of your self-service channel?
Let’s start the conversation.
BANKEN
