As we reflect on disruptions we’ve seen in equipment finance, several key questions are being asked by business leaders. The answer to all these questions is digital agility. As Equipment Leasing and Finance Association points out, COVID-19 has merely underlined the urgency to embrace a digital agility mindset. The crisis has proven to the world that immediate adaptation and agility are a must in today’s current environment. Today, we will outline three ways on how equipment finance can adopt a framework that elevates digital agility.
Streamline Payment Modifications
COVID-19 has shown equipment finance companies that current ecosystems are failing. We need to shift our framework that elevates our thinking to digital agility. How can lenders pivot fast yet still be robust and resilient in the next disruption? The answer is by responding to technology as an enabler. We recently discussed the rise of lease modifications due to economic uncertainty from the coronavirus pandemic. With the rise of lease modifications, companies need a system with robust functionality that can streamline payment modifications. For instance, with ASPIRE in the LTiCloud, companies can take advantage of an automated approach to streamline workflows while quickly and easily embracing the latest digital advancements in equipment finance. LTi’s ASPIRE platform provides a systematic way for companies to quickly and easily account for bulk payment deferrals, process payment holidays/extensions, billing adjustments (credit memo/invoice reversal), and more.
Enable Self Service Portals
The COVID-19 pandemic has fundamentally changed how consumers across the world view products, brands, and customer service. In the post-coronavirus era, we will most likely see more self-service help, equipment, and resources for consumers. Although COVID-19 stimulated the role of self-service, we anticipated that self-service technology would be a growing point for the future. In March, we released our new online HUB. The HUB helps build a community around our products and services while allowing our users to collaborate with each other. The HUB offers customers new features and how-to videos to better adapt to the challenges they are facing during the coronavirus. This online forum also opens a channel of communication between our subject matter experts (SMEs) and our customers. With self-service portals, businesses can keep a real-time pulse on changing customer preferences and realigning the customer journey.
Replace Antiquated Systems
In the IT world, it is imperative to upgrade or replace aging systems that are responsible for keeping your business thriving and competitive. COVID-19 has underlined serious technology flaws in legacy systems at a time when speed and adaptability are more important than ever in the complex world we live in. Although many equipment finance companies have begun to embrace digital agility, some still rely on manual, error-prone business processes. For example, with ASPIRE, companies are able to leverage a cloud-based solution with built-in functionality to automate core business processes and improve decision-making through near real-time insights and reporting. Furthermore, the ASPIRE platform eliminates costly and time-consuming applications, enabling companies to adapt to changing business needs. Especially now, companies’ need a highly configurable and flexible solution that can empower them to remain agile in today’s rapidly changing environment.
Bottom Line
The current crisis will subside, but the need to respond quickly to changes and uncertainty will not. Companies should take this as an opportunity to advance their digital transformation and embrace a digital agility mindset. Modernizing operations can act as a catalyst for your digital transformation – enabling you to automate processes and innovate faster, and at a lower cost.
