How Does Cash Collection Work for Microfinance Institutions (MFI)?

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How Does Cash Collection Work for Microfinance Institutions (MFI)?

Post-pandemic banks and non-bank lenders active in microfinance have begun implementing hybrid collection strategies from borrowers. To minimize process disturbances, they are attempting to combine physical and digital collection modalities. As a result, cash collections work differently for MFIs depending on the type of loan undertaken.

Due to the comfort level of the primary borrower base in making cash payments, repayments in the microfinance sector have historically been made in group meetings.

Microfinance has played a significant role in India’s financial status. By offering microcredit, MFIs (Microfinance Institutions) significantly contribute to promoting inclusive growth for low-and middle-income populations without access to formal finance.

Loan collection needs to be considered for any financial institution. They must work per the guidelines, ensuring the debtor faces no problems.

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What are microfinance and the types of institutions?

Financial firms, and microfinance institutions (MFIs), offer small loans to those without access to banking services. The term “small loans” has different meanings in different nations. All loans in India that are less than Rs. 1 lakh can be categorized as microloans. There are three different types of microfinance institutions offering microfinance:

What are the goals of microfinance institutions?

In recent years, microfinance institutions have grown in popularity and are increasingly viewed as useful tools for reducing poverty. Most MFIs have excellent track records and are profitable since they have effective loan repayment methods, while others are pretty self-sufficient. The following are the main objectives of microfinance institutions:

Let us check the different ways of improving cash collections in microfinance institutions:

Microcredit

One of the most effective methods for reducing poverty is microfinance, which offers tiny financial products. It also includes helping the impoverished in rural, semi-urban, and metropolitan areas to aid in their upliftment and improve their standard of living. Microcredit has been characterized as the provision of thrift, credit, and other financial services and goods in a minimal quantity. The RBI’s NBFC-MFI license is what allows MFIs to operate in India.

Collections

Individual and group loans with set repayment terms are frequently available from microfinance institutions. Depending on the plan and the institutions, the loan repayments could be weekly, monthly, or biweekly. A compelling collection strategy keeps MFIs’ goodwill with the borrowers while enabling them to convert receivables into liquid assets as rapidly as possible. In addition, microfinance institutions put down different cash collection options, helping debtors to repay easily

Digital Penetration

Market experts believe that the best way to help MFIs with collections is by teaching borrowers about making on-time payments and giving them the option to do it digitally. Thanks to the widespread use of smartphones and the reach of the mobile internet in India, every user can easily access digital apps. There are multiple apps available for loan repayment and receiving.

One could compare the repayment of the loan to paying any utility bill (such as an electricity bill or a mobile recharge bill), most of which have already gone digital thanks to India’s interoperable bill payment network. In addition, MFIs can help users know and learn which app is the best.

Loan Collection Using Apps

Using apps for loan collection is the best way. Some schemes are run by NPCI, following the guidelines set by the financial authorities. It connects all payment service providers to utility providers for easy payment options. Service Providers like MIMOIQ also provide the best platform that helps microfinance institutes with cash collection. For instance, MIMOIQ includes all the utility bill payment services available through online “agents” like Google Pay, BHIM UPI, and Amazon Pay.

Loan repayments by these microfinance institutions can be simplified using UPI payment apps such as PhonePe and Google Pay. The client pays the outstanding loan balance by displaying their customer identification number. The process acts as a self-serve model, and to complete the transaction, the borrower would need to be provided with contextual knowledge via SMS and WhatsApp.

Using Trusted Cash Collection Service

Along with UPI, companies can also use reliable cash collection services. As mentioned, MIMOIQ is the leading cash collection service. You may increase your cash flow by using MIMO Cash Collection Service to handle your cash management requirements and protect your cash deposits. MIMO provides a user-friendly solution that meets all your cash-related needs, from cash deposition to e-money transfer. In addition, the risk of improper cash handling and stealing is reduced because qualified specialists manage the whole collection and deposit procedure.

Financial Literacy on Repayments

Regarding cash collections or repayments, it is essential to have literacy on repayments. It is the responsibility of MFIs to inform borrowers of the risks of postponing payments through a variety of channels and to encourage them to make on-time payments whenever possible.

Along with this information, it is essential to provide simple DIY payment instructions for using UPI apps to make loan payments. Most households utilize the three most popular communication channels: SMS, WhatsApp, and IVR.

Different Groups by Microfinance Institutions for Loan Collections

The Joint Liability Group (JLG)

This informal club, typically of 4–10 people, looks for loans with mutual guarantees. Usually, the loans are used for farming or closely related activities. This group of borrowers includes tenants, farmers, and rural employees. In this JLG, everyone shares equal responsibility for prompt debt payback.

Self-Help Centers (SHG)

This self-help group consists of people from comparable socioeconomic backgrounds. These small business owners band together for a brief time and establish a shared fund for their operational requirements. These organizations fall under the category of non-profits. In addition, the group handles the collection of debt. In this type of cooperative loan, collateral is not necessary.

Bank Grameen Model

Prof. Muhammad Yunus, a Nobel Prize winner, developed the Grameen Model in Bangladesh during the 1970s. In India, Regional Rural Banks (RRBs) were founded. The complete growth of the rural economy is the main goal of this system.

Rural Cooperatives

In India, rural cooperatives were created after the country gained freedom. Poor people’s resources were combined, and this fund was used to provide financial services. Although this system had intricate monitoring protocols, it exclusively benefited creditworthy customers in rural India.

Being Digitized with Professional Service

A lot of MFIs still maintain records on paper. Digitizing all data is the best way to overcome the problem of cash collections. MFIs should prioritize investing in data management systems so they can begin collecting data in the future rather than getting bogged down with digitizing outdated data. One should prioritize figuring out how to organize data to be valuable, effectively, and reliably collected online. The old data being digitized is a plus. MIMOIQ is the ideal platform MFIs can use for loan repayment.

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Post-pandemic banks and non-bank lenders active in microfinance have begun implementing hybrid collection strategies from borrowers. To minimize process disturbances, they are attempting to combine physical and digital collection modalities. As a result, cash collections work differently for MFIs depending on the type of loan undertaken.

How Software Solutions Ensure Corporate Social Responsibility for Businesses

Solution ensures corporate social responsibility

How Software Solutions Ensure Corporate Social Responsibility for Businesses

A corporation’s social responsibility directly affects its public image, which can make or break its chances of success in the long run. That’s why corporations should make sure they incorporate software solutions that ensure corporate social responsibility into their business models from the beginning.

These software solutions can help manage your CSR activities and stay in line with the most up-to-date regulations on socially responsible businesses. Also, good CSR will help save your business money, as per the study by ERA Environmental Management Solutions.

As long as you use these software solutions, you can rest assured that any impact your company has on its local community or the world at large will be positive and beneficial to your customers and employees. Here are some ways software solutions can help you ensure your CSR for your business.

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Build Awareness About an Issue

One of the best ways to ensure corporate social responsibility is through education. Many people may not be aware of how your company is helping a particular cause or addressing an important issue.

If you want to drive corporate social responsibility, be sure to build awareness about what you’re doing and how your efforts benefit others. Using communication software can help. Each one provides tools designed to foster open communication and keep employees up-to-date on internal and external activities.

Moreover, communication software can improve collaboration among team members and allow businesses to communicate more effectively with customers. So, to build awareness through software solutions, make sure to check this list of best communication software today.

Recruit Volunteers and Donors

One of the best strategies of corporate social responsibility is to build a network of volunteers and donors who support your business activities. This allows you to set up actions that benefit your community without costing any money, as you have individuals on hand who are happy to support your charitable efforts.

With tools to communicate CSR activities in place, you can make sure to have a streamlined volunteer process in place, with an easy sign-up and a system for recognizing volunteers’ contributions. You may also set up specific forms of recognition, such as rewards or gifts, that you can distribute at special events and during holidays.

Basically, online tools will help you manage the relationships between your company and its supporters—even if they aren’t in-house employees.

Participate in Fundraising Events

You’ve probably heard about cause marketing, in which companies partner with charities to help support a cause. This is one of the many types of corporate social responsibility that’s definitely valuable. However, if you want to ensure your company is living up to its commitments to environmental sustainability or animal rights (for example), software solutions can help with participating in fundraising events.

Digital tools also keep track of donations and are great at promoting your company’s philanthropic efforts with customers and prospects. Remember, creating value for customers is one of the top reasons impacting a company’s purpose, as per a business review by Harvard.

Connect with Customers

Can you imagine your office without an internal communication software or a business owner who doesn’t have an effective way to promote their products? The same is true with corporate social responsibility. It’s difficult to implement a strategy that helps companies connect with their customers and stakeholders if they don’t have tools like Facebook, Twitter, and LinkedIn. Let alone software solutions that help monitor how customers are engaging with a company online and offline.

In fact, many of these tools allow companies to streamline their CSR efforts by creating corporate social responsibility training programs and communicating them more effectively. Additionally, some platforms enable employees to learn about ethical issues within their company to ensure sustainable growth for years to come.

Host Online Fundraisers

Hosting online fundraisers is one of the best ways to ensure corporate social responsibility. This is where you give your customers and clients a chance to support your cause in exchange for rewards or recognition. Online fundraisers are also great tools that allow businesses to engage their audience, raise awareness, and support important causes.

The good news is that there are plenty of fundraising tools available today. One example is TugboatFundraiser—it has everything you need to run an effective fundraiser. The software lets you build a campaign website and accept donations via major payment options, such as Visa, MasterCard, and PayPal.

Promote Giving Opportunities

Big corporations that are able to take advantage of tools and software solutions designed specifically to help with promoting giving opportunities can really change how they connect with their communities. For starters, the software makes it simple to keep track of giving opportunities. It also gives you an easy way to communicate your CSR efforts internally and externally, ensuring that your employees stay in touch with what they’re doing socially on behalf of your company.

Additionally, as a business owner, you want to make sure that all your hard work doesn’t go unnoticed by clients or potential customers. When used correctly, software solutions designed to support CSR can help big businesses promote their activities.

If people know what your corporation is doing for others, there’s a better chance they’ll continue using your services or buying from you again in the future. As revealed in the report by Aflac, 77% of customers are motivated to purchase from a brand committed to improving the environment and society.

Incorporate Giving into Employee Benefits

A number of companies have begun offering CSR tools as part of their employee benefits packages. These tools are designed to help employees communicate their CSR initiatives and align with those of their employers. As a result, more businesses are being positively influenced by internal and external forces in terms of corporate social responsibility.

Do Something Local

The internet has made it easy to support and interact with organizations, but there’s something about doing something local. Now, thanks to a slew of apps, software solutions can help you get involved in your community—whether that’s through volunteering or donating funds.

Because of technology and the growing digital transformation, businesses can easily integrate corporate social responsibility into their day-to-day operations without taking up too much time. This means they’re able to do more for their communities without taking away from other areas of importance within their organization.

Use Corporate Sponsorship to Work with a Nonprofit

One of the best things about corporate sponsorship is that it’s a way to work with a nonprofit on something you both want. If you’re looking to use corporate sponsorship to work with a nonprofit, software solutions can help with managing their database and ensuring that information is transparent to all parties involved. Just be careful not to get wrapped up in any political issues and make sure you find an organization whose mission aligns with your company’s vision.

Use Software Solutions for Your CSR Now

If you’re looking to ensure corporate social responsibility in your business, software solutions are a must. But with so many tools available today, it can be hard to know which solution is right for your specific needs and can give you the best business benefits of CSR.

The type of software solution that perfectly meets your needs depends on your company’s situation. Hence, knowing which factors to consider when determining which CSR software is right for you can be helpful as you narrow down your options.

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Key Challenges in the Digitization of the Supply Chain

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Key Challenges in the Digitization of the Supply Chain

Digitization may be the most popular buzzword in today’s global supply logistics. However, the trend toward an end-to-end (E2E) digitally-driven supply chain is more than just a fad; it signifies a fundamental transformation in how planners and managers manage and deploy their planning and production processes. 

 

If we define supply chain digitization as the movement toward a fully integrated sequence of planning and production solutions that work together to create a more visible and agile supply stream across, it’s easy to see why this is a top priority for companies looking to stay competitive and grow in the twenty-first century. Not only can digitization help businesses run more efficiently and effectively, but it also gives them the flexibility and reactivity they need to handle and prevent any breakdowns in demand planning, production, transportation, and yard or container management. 

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However, as digitization becomes more of a necessity across the supply network, planners and managers must examine the obstacles and dangers of reworking their supply pipelines to conform to a more digital platform. As a result, businesses must consider a number of critical concerns, including What are the risks of embracing digitization and reengineering a company’s supply chain? What should firms keep in mind when implementing an all-digital platform into their supply chain management strategy? And how can these hazards be avoided so that genuine end-to-end (E2E) visibility can be achieved?

Companies seeking a better knowledge of their entire supply condition and the efficacy of their planning and production procedures may find the answers to these questions to be very helpful. With that in mind, let’s look at some of the significant issues in digitizing the supply chain, as well as why firms should consider them while reengineering their supply networks.

Integration of systems and solutions

The full integration of supply chain solutions as a primary driver of this digitization is perhaps one of the most typical problems in establishing a digitized supply stream. Because the complexities of today’s automotive supply chain are so diverse, organizations frequently use a variety of planning, production, and reporting/data management solutions at the same time. Developing a digital supply chain strategy necessitates a top-to-bottom approach that unifies all applications. The successful development and implementation of such a strategy will aid in the elimination of functional silos as well as increased communication and collaboration around planning and production benchmarks and targets.

Connecting disparate data points and sources

In recent years, the Internet of Things (IOT) has emerged as a force in supply chain management, allowing for more accurate, responsive, and accessible data management and analytics as well as integrating systems and solutions. Digitizing the supply chain uses the Internet of Things to connect multiple means of gathering, organizing, and assessing data, allowing planners and managers to produce more accurate demand projections and more effective planning strategies. Furthermore, the spread of Industry 4.0 has hastened this convergence. 

 

The linking of data sources aids planners and managers in developing enhanced what-if scenarios and simulations, both of which are crucial for driving production program planning schemes. If these connections aren’t managed and administered, vital data points and actionable data won’t be used to determine how effective and responsive a company’s planning and production strategies can be. 

Communication and teamwork must be encouraged

Digitizing the supply chain is a crucial step in breaking down communication barriers within a company. This means that main stakeholders in the supply chain will be better able to share data, collaborate on crucial initiatives, and work together to guarantee that processes are seamless and free of bottlenecks, disruptions, and failures. 

 

Because a digitized supply chain is built in part on a central data storage hub with many access points, the days of waiting days or weeks to evaluate data sets and transmit the conclusions of said data are long gone. A key driver of end-to-end (E2E) visibility is the ability of those in the supply chain to access data and express its importance in real-time. 

Some planners and managers feel that because a manufacturer implements integrated planning solutions and properly controls data sources, the collaboration will just happen. This could not be further from the truth. Collaboration and coordination throughout various stages of the supply chain are crucial functions that must be formed, nourished, and grown over time, rather than byproducts of digitization. 

How can MIMO help?

The influence of digital transformation is obvious in today’s fast-paced, tech-focused world. Established firms are being disrupted by ever-changing and growing technologies. As a result, to move forward, business owners must invest in transformation. 

 

However, for firms that did not begin digitally, automating, and redesigning processes to improve operations is sometimes insufficient. They must also create effective consumer and employee experiences. This often necessitates firms transforming existing structures and procedures into digital processes via a robust plan devised with the assistance of digital transformation consultants. 

Is your business digitizing its information? Is your company being challenged by digital transformation considering that everything is now online? Are you interested in digital transformation? MIMO keeps up with these changes and has extensive experience in its successful implementation. We can assist you in digitizing, digitalizing, and ultimately digitally transform your company.

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How COVID-19 has accelerated Digitization in Banking

digitization

How COVID-19 has accelerated Digitization in Banking

Amidst the current pandemic, customers’ expectations of banking have risen dramatically as banks push toward digitization. The need for fresh tactics centered on innovation and digital banking was evident in the banking industry even before the epidemic. Customers’ expectations of banking have risen as technology has advanced, thanks in part to the rapid and personalized services provided by major technology corporations. 

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So, what effect has COVID-19 had on this agenda?

The most visible change has been the shift to essentially online-only models. It has been an extraordinary transition as banks have migrated practically all of their client interactions to digital. 

 

If lockdowns continue, we may see further embedding of behaviors, but banks are currently in a conundrum. They are preparing for a digital future, and the epidemic has provided an opportunity to show what is possible. Customers, however, have not embarked on a more permanent change and require additional convincing to make digital adoption the norm. 

How quickly can banks adapt?

The rate of change is critical. Monitoring what your clients are saying or watching them become dissatisfied with a certain process is pointless if you can’t modify it immediately. Bank teams should ensure real-time engagement with their risk and compliance teams, as well as the implementation of measures to reduce conduct and compliance risk. 

 

The ability to detect and swiftly smooth over any bumps will be critical to improving the consumer experience and avoiding reputational damage. Banks can further improve their web channels by customizing them with self-selection navigation, customized online banking communication, and rich FAQ material and features. All of this benefits the customers and should reduce the need for more call center personnel. 

 

Open banking APIs (Application Programming Interfaces) powered by advanced analytics and advanced AI can provide richer real time personalization than customers receive today, and many FinTechs can provide powerful accelerators. 

Data: At the heart of digitization

It should come as no surprise that banks with stronger digital capabilities will gain more than counterparts who may struggle to deal with banking during the lockdown. Customers are being compelled to use digital channels and may view banks negatively if their systems are slow, difficult, or overly complicated. 

 

Banks must ensure that consumers who use remote channels have a favorable experience during and after the crisis. 

Banks, regardless of their digital competence, should be using the last several months to absorb the data coming in from their digital channels. We are aware that several banks have been challenged by an increase in client inquiries, which has resulted in customers being unable to reach their bank. 

 

Customer intelligence, such as call center demand statistics, should be fed into bank plans to help them improve response times and serve customers better. To increase contact center capacity, for example, use chatbots or re-deploy branch workers. 

 

Regardless of the increased use of technology, with branches generally inaccessible, keeping consumers connected is critical – and we have seen banks do just that, utilizing apps, emails, and website messages to talk directly to individuals. 

 

Even for the digitally savvy customer, many are discovering that digital services are incapable of meeting their very precise, complex, and time-sensitive requirements. Banks should use the crisis to find areas where the present customer journey may be altered in order to improve the experience both during and after the crisis. 

Four key areas for digital success:

Redefining the customer experience

entails putting the client and their needs first in order to provide long-lasting solutions. Banks should consider co-creating with clients frequently during the lifecycle of a proposition. 

Taking a mobile-first approach

Customers expect product and service accessibility via portable devices at any time, from contactless banking to account access. 

Creating a personalized data strategy

Building solutions requires understanding what data you have, what data you need, what questions to ask of that data, and how to evaluate the responses. It is critical to centralize existing datasets. 

Choosing the correct technological platforms

Choosing which platforms to use and how to use them is critical when incorporating new services into organizations that have substantial legacy procedures and assets and are subject to high levels of regulatory scrutiny, such as banking. 

COVID-19 has accelerated banking digitization as customer expectations shift during the epidemic. This prospective digital transition, as proposed by COVID-19, will also assist banks in dealing with the harder operating climate brought about by the epidemic. In the long run, it will be a critical step toward increasing profitability and returns in the sector. 

How can MIMO help?

The influence of digital transformation is obvious in today’s fast-paced, tech-focused world. Established organizations are being disrupted by ever-changing and growing technologies. As a result, to move forward, business owners must invest in transformation. 

 

However, for institutions that did not begin digitally, automating, and redesigning processes to improve operations is sometimes insufficient. They must also create effective consumer and employee experiences. This often necessitates firms transforming existing structures and procedures into digital processes via a robust plan devised with the assistance of digital transformation consultants. 

 

Is your business digitizing its information? Is your company being challenged by digital transformation considering that everything is now online? Are you interested in digital transformation? MIMO keeps up with these changes and has extensive experience in its successful implementation. We can assist you in digitizing, digitalizing, and ultimately digitally transform your company.

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How Does Cash Collection Work for Microfinance Institutions (MFI)?

Post-pandemic banks and non-bank lenders active in microfinance have begun implementing hybrid collection strategies from borrowers. To minimize process disturbances, they are attempting to combine physical and digital collection modalities. As a result, cash collections work differently for MFIs depending on the type of loan undertaken.

How the National Automated Clearing House (NACH) mandate is simplifying financial transactions for one and all

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How the National Automated Clearing House (NACH) mandate is simplifying financial transactions for one and all

Online financial transfers have surpassed traditional payment methods in recent years. Large sums of money can now be easily transferred across borders using an internet banking service. With the advancement of internet banking and payment systems, the use of plastic money such as debit and credit cards has skyrocketed. E.g. People can apply for a personal loan online rather than visiting a physical branch, making it more accessible to the general population. 

 

Similarly, NACH was established to reinforce the many ECS systems that operate around the country. The National Automated Clearing House (NACH) is a clearing house system that was implemented by the National Payments Corporation of India (NPCI). NACH was created to automate and manage payments across numerous banks, as well as to manage repetitive or regular payments such as power bills, SIPs, insurance premiums, loans, and any other repeating payment. 

 

The National Automated Clearing House (NACH) is a centralized organization that was established to integrate numerous ECS systems across the country, to provide a foundation for standardization and norms, and to reduce local barriers/inhibitors.  

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Advantages of NACH

The NACH system is intended to have a national footprint and will cover all core banking-enabled bank branches across the country, regardless of location. NACH is a fast and efficient clearing platform that was designed to make payments easier and more cost-effective. 

How NACH works

Step 1

The corporate
(or money-collecting agency) collects the NACH mandate form from customers.

Step 2

The corporate verify the details provided by the customer in the mandate form.

Step 3

After verification of details, the corporate forwards the NACH mandate to its bank.

Step 4

The corporate’s
bank then shares the NACH mandate with the NPCI.

Step 5

Once the information is validated, the NPCI forwards the mandate to the customer’s bank for approval.

Step 6

Once approved by the customer’s bank, the corporate is authorized to collect funds from the customer’s account.

NACH is being adopted to assist anyone who makes substantial monthly payments. The NACH system benefited customers, banks, and organizations all equally. 

For Consumers

For Organizations

For Banks

As we can see, NACH Mandate offers several benefits for both customers and businesses. It also simplifies the organization and monitoring of every transaction by banks. NACH Mandate has become a significant component of the personal loan procedure because it enables timely payment of EMIs and other recurring payments. 

 

It protects parties who deal with huge numbers of transactions on a daily basis. Every small or large firm can benefit from NACH’s unified settlement system for the secure payment and collection of payments at regular intervals. The RBI governs the NACH system, making it a centralized institution for monitoring and managing all transactions in the country. 

How can MIMO help in this process?

The collection and verification of proper documentation are critical to the success of any company. MIMO can verify, compile, and deliver required documents to you, as well as ensure that they are obtained, managed, and supplied on time. 

 

MIMO has extensive experience in the finance industry, which includes institutions such as banks, microfinance institutions, and non-bank financial companies (NBFCs). 

Our services in this domain include:  

  • NACH Pickup 
  • Loan Application & Documentation 
  • Agreements 
  • Cheque Pickup 
  • Credit Card Application & Documentation 
  • Business Documents 
  • KYC Documents

For more info on NACH and other document collection services

Click Here

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Why Digital Transformation is needed to level up Business Growth

Why Digital Transformation is needed to level up Business Growth

A strong digital transformation plan addresses a company’s goals and how to go on a transformational mission logically. Businesses must also align their transformation plan with the appropriate programs to properly build the knowledge and capabilities required to adequately sustain digital leadership.

Employees must also become more adaptable and embrace a culture of continuous improvement to thrive and grow in the face of all the new challenges that come with this shift.

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What exactly Is Digital Transformation?

Digital transformation entails a fundamental shift in how businesses provide value to their customers. It can be viewed as a means of utilizing digital technologies to develop new processes, cultures, and consumer experiences in response to changing business objectives and market needs.

One of the first steps in digital transformation is determining the optimal technology to modernize a company’s infrastructure. This can include transitioning from manual data storage methods (such as handwritten logs) to using cloud software to collect, store, and manage vast amounts of data.

Once the infrastructure has been digitized, the next step in becoming a digital business is to identify processes that can be streamlined and automated.

Automation benefits both simple procedures and large ones with numerous integrations. A corporation can streamline its processes by prioritizing operational requirements and developing a digital strategy to meet those needs.

Why do you need a Digital Transformation Strategy?

A digital transformation strategy can assist firms in understanding where they are now, where they want to go, and how to get there.

Businesses that do not understand their current procedures and operations are unable to establish priorities and goals. Businesses, too, require trustworthy information to capitalize on opportunities and avoid risks.

Without incorporating these talents into a company’s operations and culture, its transformation will stall. A solid plan can assist businesses in efficiently developing and deploying these capabilities.

How to Level up a Company with a Digital Transformation Strategy?

Simply developing a transformation strategy is insufficient to propel a company to the next level of success. There must be an effective strategy implementation process in place. This could include:

Identifying objectives and intended outcomes

A transformation is about achieving long-term objectives. With a firm grasp of where a company is now, it can begin to plan. Businesses must assess their digital transformation requirements and goals, as well as what they intend to achieve.

Align transformation with company objectives

The most critical element in a successful digital transformation is alignment, and it must be supported from the top down. As a result, organizations must define the desired outcomes and ensure that they are fully connected with the company’s overall route, goals, mission, and future.

Having an effective communication strategy

 Developing an effective plan necessitates understanding how to convey any changes and the value they provide. The approach will fail if they are unable to persuade customers and internal teams. As a result, everyone must be kept informed throughout the process, and effective training must be provided as needed.

Developing an Innovative Culture

A culture of creativity should be part of any transformation approach. Customers and internal teams must be inspired to go forward, accept change, and think creatively.

Risk Management

It is all about moving quickly, building operational mindsets, and scaling new technology when it comes to digital transformation. However, because of these qualities, risk management and controls around the transformation endeavor must be carefully designed.

Testing and implementing effective technologies

There are solutions intended for every purpose and objective, whether a company wants to improve its customer experience, increase employee performance, analyze data, or accomplish innovation. Among the technologies that can be tested and implemented are:

Businesses that want to ensure a successful strategy from start to finish may consider hiring digital transformation experts. These experts have the knowledge and capabilities to provide IT strategy advice that determines goals, resources, deadlines, and budgets.

How can MIMO help?

The influence of digital transformation is obvious in today’s fast-paced, tech-focused world. Established firms are being disrupted by ever-changing and growing technologies. As a result, to move forward, business owners must invest in transformation.

However, for firms that did not begin digitally, automating, and redesigning processes to improve operations is sometimes insufficient. They must also create effective consumer and employee experiences. This often necessitates firms transforming existing structures and procedures into digital processes via a robust plan devised with the assistance of digital transformation consultants.

Is your business digitizing its information? Is your company being challenged by digital transformation considering that everything is now online? Are you interested in digital transformation? MIMO keeps up with these changes and has extensive experience in its successful implementation. We can assist you in digitizing, digitalizing, and ultimately digitally transform your company. 

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Go Green: Why Sustainability and Digitization go Hand-in-Hand

Go Green: Why Sustainability and Digitization go Hand-in-Hand

Yes, decarbonizing the global economy entails shifting away from the use of fossil fuels and increasing electrification and sustainable energy alternatives. However, it is also about becoming smarter and more efficient with our resources and energy use. That is where digital transformation and technology have a major role to play.

The current climate catastrophe is the result of actions by businesses, organizations, governments, and individuals. We must decide to consume less energy and use it more efficiently to limit carbon emissions. It appears to be straightforward. But, as we all know, this often entails uncomfortable decisions: Making it happen is difficult.

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Digital transformation in the service of long-term viability

The good news is that today’s digital technology may assist us in making wiser, faster, and more precise decisions – all of which are ultimately better for the world.

There are three critical enablers:

Transparency of consumption


The Internet of Things (IoT) enables us to collect and analyze data on energy and resources, offering insights across systems, buildings, and plants up to the enterprise level. With this transparency, power and other resources cease to be “commodities” that are merely delivered and consumed as needed.
We can regulate what we monitor by aligning consumption to real demand, grid performance, projections, and targets. This is where the process of decarbonization begins.

Analytics and Artificial Intelligence (AI)

We may make informed decisions based on data-driven insights based on measurements and learnings that are based on facts rather than intuition. With the correct data quality and structure, AI has the potential to automate or assist us in making real-time decisions, transforming traditional business processes.

Digital Ecosystem collaboration

Nobody can tackle climate change on their own, and no one can innovate on their own. Finding the proper technology partner is frequently the quickest, simplest, and most profitable method to meet lofty sustainability goals. This is where digital ecosystems like MIMO technologies can make a big difference. They enable end-users, technology suppliers, and integrators to collaborate and share data to gain new insights, develop new solutions, and address efficiency and sustainability issues.

These three essential accelerators all have one thing in common: they can revolutionize the way businesses and individuals work — in every function, at any level.

This is the pivotal point of the digital revolution

The same is true for sustainability: To speed the delivery of actual outcomes across the organization, an effective corporate sustainability strategy must be established and implemented from start to finish.

Furthermore, the two strategies – sustainability and digitization – must be intertwined. If they are, the following benefits will accrue: Companies that incorporate digital and sustainable transformations into their operations and value chains are 2.5 times more likely to be among tomorrow’s best-performing firms than those that do not.

MIMO sees sustainability and digitization as inextricably linked and important components of the fight against climate change. Our commitment to ambitious sustainability goals, and regularly measured environmental impact have been recognized in leading rankings. This could not have happened without a solid foundation of digital maturity and innovation.

To address this pressing situation, we must design and implement bold, achievable roadmaps and solutions that allow us to reduce energy-related emissions while meeting the world’s energy demand.

The potential of today’s digital technology, data, and artificial intelligence (AI) can help us accelerate this sustainability revolution. Companies like ours play a vital role in the economy as big economic players. The sooner we act and the more comprehensively we act, the better.

The Digital Age is only now beginning to alter the way businesses work. There will be even more advances and new words to learn and appreciate as time goes by. 

The twenty-first century brought in a new age of technology, which has been reshaping daily life, facilitating obsolete systems, and spawning entirely new business sectors.

How can MIMO help?

Is your business digitizing its information? Is your company being challenged by digital transformation considering that everything is now online? Are you interested in digital transformation? MIMO keeps up with these changes and has extensive experience in its successful implementation. We can assist you in digitizing, digitalizing, and ultimately digitally transform your company. 

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How the Pandemic has forced companies to innovate Document Collection practices.

How the Pandemic has forced companies to innovate Document Collection practices.

With the onset of the global COVID-19 pandemic and efforts to contain it through public health measures, social distancing, lockdown, and quarantine measures, the data and assessment landscape is facing long-term impact, which could provide the long-awaited push for all stakeholders providing international assistance to re-invent not only how to collect important business documents in the coming months, but also to translate the accumulated rich experience into current practices.

The difficulties that the pandemic creates in accessing communities and collecting important documents will affect not only the humanitarian community but all stakeholders who rely on up-to-date data for response and planning. Document Collection during a pandemic involves several important challenges. Even while lockdown restrictions appear to be reducing, the techniques utilized in the “old normal” may not be fit for purpose at the current stage of the crisis. Continued restrictions on local and international travel, as well as employee incapacity (or unwillingness) to visit offices and storage facilities, may jeopardize a company’s ability to collect all required documents and data.

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Here are a few suggestions for implementing an efficient document collection and review program during the current pandemic:

Data Mapping is critical

This has always been a crucial tenet for any internal inquiry – but given the complexities of accessing documents, a detailed custodian and data map showing the location and recoverability of physical and electronic documents and data must be developed.

Collating Physical Documents

With the lockdown easing, it is becoming somewhat simpler, if not practicable, to collate hard copy documents. If they can be safely compiled, think about where the physical documents can be delivered. Consider if it is essential or cost-effective to digitize the data using scanning software.
Is there a secure hub nearby that reviewers can access in a COVID-safe manner? If it is not possible to retrieve physical documents safely, businesses should carefully consider how to preserve and secure them so that they can be recovered at a later period.

Electronic documents and data

This is one instance where technology can be advantageous. There are numerous methods in which IT forensic teams may assist businesses in gathering data remotely. This can range from typical in-person attendance at offices to “image” data (although on a socially distanced basis) to full forensic copying of the essential data.

The pandemic’s challenges to successful document collecting can be overcome with a little innovation and innovative thinking, as well as patience and planning. Collecting and verifying proper documents is vital for the success of any organization. MIMO can verify, compile, and deliver required documents to you, and ensure that they are properly obtained, managed, and delivered without delay.

MIMO has proven experience in the Finance industry which includes institutions such as Banks, MFI’s, and NBFCs. Our services in this domain include:

MIMO can compile, gather, and manage vast quantities of documents without risking privacy.

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How does data digitization help you achieve your business goals?

digitization 2

How does data digitization help you achieve your business goals?

Everyone is vulnerable to disruption, regardless of their industry. New or existing entrants may use digital technology to revolutionize how customers view a product or service, rendering what other companies do in that sector obsolete. Do you want to be disrupted or disrupt others? The choice is yours to make.

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What is the concept of digitization?

It is time to describe what I mean by digitization at this stage. Data digitizations are the projects and processes needed to gradually handle information in digital form, whether that information was created digitally (e.g., emails, Word documents, Excel spreadsheets, and eForms) or was converted from hardcopy (e.g., scanned documents).

Digitization’s tactical advantages

The main tactical benefit of digitization is to increase the productivity of core business processes, which can be achieved by taking advantage of digitization’s tactical advantages. Many tactical advantages can be gained by capturing documents and data at the point of origin or receipt into an organization, including but not limited to:

The source of these advantages includes the following digitization initiatives, processes, and activities:

Digitization’s tactical benefits

The benefits of digitization can be leveraged to produce direct, unmistakable financial gains. A few examples are given below:

Although the tactical advantages of digitization are significant, the sense in which digitization should be discussed in the C-suite should be strategic.
Digitization has many strategic advantages, one or more of which can speed up the execution of a corporate strategy or increase the depth of returns that come with it.

Big Data

“Big data” is described as “information assets with a high volume, high velocity, and/or high variety that require new types of processing to allow better decision making, insight discovery, and process optimization.” Big data continues to steal the show when it comes to the strategic advantages of digitization, and it does so for many organizations. Not all businesses have the amount of relevant data needed to reap the benefits of big data. The competitive advantages of digitization, on the other hand, are much more available to businesses than big data.

Risk mitigation and governance

For all operations within an organization, digitization allows for more open governance arrangements. This is possible thanks to digitization, which enables businesses to:
  • A single source of truth.
  • Workflow with audit trails.
  • Documents, folders, individual, location, or workgroup-level security protocols.
  • Automated measures of the success (or otherwise) of processes.
Organization leaders get a clear line of sight over the execution of strategy, the calculation of its level of achievement, and the degree of policy enforcement owing to digitization.

Internal integration

Without geographical barriers, digitization makes it easier to form centers of expertise. Internal integration can be achieved by digitization in a variety of industries, including but not limited to:
  • Education
  • Health-care services
  • Treatment for the elderly
  • Services provided by the government
As integration levels rise, organizations find that they can embark on continuous improvement programs which not only have a positive influence internally but also externally with clients and with vendors.

External Integration

Integration with vendors is almost required to establish effective relationships with engineering and construction service providers. The days of depending on the right copies of paper plans kept in an onsite drawing office and a drawing office at the organization’s and vendor’s head offices are numbered. Digital technologies are being adopted by companies in those industries as a means of storing a common source of truth in a single database and accessing it through an internet-connected mobile device.

Digitization's Future

Organizations must consider digitization when weighing their options for developing their organizational strategy. Business heads must consider how disruptive technologies can affect their value chain and devise plans to respond to them, as well as decide whether they should lead the industry in implementing them.


They must also consider whether digitization is creating pockets of new value in the market, or even in other sectors, that they might transplant into their own.


Finally, they must examine what capabilities and resources they currently have and may need to address the external challenges and opportunities that digitization presents. MIMO has extensive experience in digitization processes and if your company is looking to digitally transform, help is not far away.

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Is Digitization the same as Digital Transformation?

digitization'

Is Digitization the same as Digital Transformation?

How do you distinguish between digitization and digital transformation? Many people confuse the two but learning and understanding the difference is not difficult. Let us break it down into basic terms and examples.

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What is Digitization?

The process of transferring information from a physical to a digital format is known as digitization. It entails translating non-digital data into a digital format that can be used by computer systems to automate processes or workflows. Digitization allows the creation of business value, which necessitates the use of data. It assists in laying the groundwork for data-driven business use cases.

Consider the following examples:

What is Digital Transformation?

The transformation of business practices, processes, goods, and models to fully exploit the opportunities of emerging technology is known as digital transformation. The key aim is to increase productivity, mitigate risk, and find new revenue streams. Doing things in a modern (digital) way is what digital transformation is all about.

Consider the following examples:

  • Reading data from an online PDF or transferring data from a Google Sheet into a data-analysis app or system. The aim is to give us information that will help us develop new products or enhance customer service. Since this mechanism is automated, it does not necessitate a lot of human interaction. As a result, productivity is improved, costs are reduced, and sales can increase.
  • Internet movie streaming. Collecting and analyzing data from customers, as well as preparing personalized recommendations, deals, and commercials.

What is the difference between digitization and digital transformation?

The term “digitization” refers to the integration of technology into an existing enterprise. Doing things in a fresh, modern way is what digital transformation entails. Digitization is a subset of digital transformation. Although business leaders often use digitalization as an umbrella term for digital transformation, the terms are very different. Digital transformation necessitates a much wider acceptance of digital technologies as well as a culture shift. People are more important than technology when it comes to digital transformation. It necessitates customer-centric organizational improvements that are backed by leadership, guided by radical corporate culture challenges, and the use of technology that motivates and allows employees.

 

It includes all aspects of businesses like customer awareness and touchpoints, growth strategy, enterprise mobile apps, process digitization, worker enablement, results, new business models, and more. It opens up a whole new market, as well as new consumer and company opportunities.

Why Differentiating the Terms Matters?

When addressing trends where the language changes as quickly as the technology, nomenclature matters. For example, ‘digital transformation’ was once referred to as ‘digitization,’ and ‘digitalization’ was once referred to as ‘computerization.’

 

Business leaders who believe they can digitize a business or digitalize enough processes to digitally transform it are misinterpreting the terms and losing out on opportunities to change, gain a competitive edge, adapt to customer and employee needs and demands, and become more agile.

 

However, the fact is that only a small percentage of companies have successfully implemented digital transformations. Just 25% of companies had turned into digital enterprises, 41% were on transformational journeys, and 34% spent more time talking about the trend than acting on it, according to a global survey. It is worth noting that 85 percent of executives believe that digital sophistication is key to their company’s success. The gap between understanding digital as a strategic necessity and effectively executing a transformative plan shows that many executives are unsure how to capitalize on the possibilities that digital presents for individuals, processes, and technology.

The Wrap Up!

The process of transforming information from an analog to a digital format is known as digitization. Digitalization refers to a company’s use of this process to boost business, generate revenue, or simplify certain operations. Digital transformation refers to the end-product of this operation. On the path to becoming a digital enterprise, digital transformation necessitates digitization and digitalization.

 

The Digital Age is only now beginning to alter the way businesses work. There will be even more advances and new words to learn and appreciate as time goes by.  The twenty-first century brought in a new age of technology, which has been reshaping daily life, facilitating obsolete systems, and spawning entirely new business sectors.

 

Is your business digitizing its information? Is your company being challenged by digital transformation considering that everything is now online? Are you interested in digital transformation? MIMO keeps up with these changes and has extensive experience in its successful implementation. We can assist you in digitizing, digitalizing, and ultimately digitally transform your company.

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