How cash recycling is boosting branch efficiency

By : Colin Gordon

November 23, 2018 01:00 PM

Maximizing the efficiency of the branch network is extremely important for financial institutions. Maintaining and managing physical branches can be costly and time-consuming, so your business should be doing everything it can to get these sites to perform as effectively as possible.


There are many strategies you can use to improve branch performance, investing in a modernized cash management solution that will potentially expose inefficiencies in existing cash planning, ordering, and execution.  By doing so you will be provided with much higher visibility to each individual cost impacting your cash processing activities without impacting the consumer experience at the ATM.


Another option is to introduce new processes that will contribute to optimizing cash transactions as well as improve branch efficiency overall. One such example would be the introduction of a cash recycling device that offers clear advantages for banks.


'Hugely successful' in boosting efficiency
Retail Banking Research (RBR) highlighted some of the key benefits banks can gain from cash recycling in its recent report, “Teller Automation and Branch Transformation 2017”. It noted that teller assist units (TAUs) have the potential to reduce the time required to accurately process cash transactions, while freeing up branch staff to focus on other tasks such as cross-selling and building relationships with customers.


Looking specifically at cash recycling, the research showed that, in almost all markets, financial institutions are showing a preference for TAUs with cash recycling capability. In the US, more than half of all units are used for dispensing only, as a result of historical deployment.


Recyclers have accounted for an increasing share of TAUs in recent years and this trend is set to continue. By 2021, recyclers are expected to account for 84 percent of all TAUs.


Daniel Dawson, who led the RBR study, said: "Banks continue to value the importance of teller assist units when formulating their branch transformation strategies, as such machines, particularly recyclers, prove to be hugely successful in improving overall efficiency when dealing with cash handling in branches."


Flexibility and versatility
Combining cash recycling with other functions is an example of the versatility of ATMs today. Intelligent deposit machines can help businesses to gain more revenue from transactions and reduce operational costs, while providing additional services such as bill payment, funds transfer, mobile phone top-up or mini-statements for customers.


NCR offers extended recycling capabilities through adoption of in-branch multifunction solutions, NCR SelfServ 81 and SelfServ 82, featuring either a slot based recycling model (Global Bunch Recycling Unit or “GBRU2”) or NCR’s dedicated single function pocket recyclers available on NCR SelfServ 83 and SelfServ 87.  All these recycling solutions offer greater flexibility, reliability, control and more efficient cash management processes within the branch. The solutions offer not only standard ATM services like cash dispense or deposit but also forward-thinking features like contactless card reader, multi-touch and biometric capability.


This provides an insight into the innovation taking place across the self-service banking channel as a whole, which is a hugely significant trend for a number of reasons:

  • For the customer, modernization in the self-service channel enables them to complete a number of tasks and transactions with maximum speed, convenience and security.
  • For the financial institution, the availability of reliable, functional, innovative self-service devices driving branch efficiencies as well as being an alternative to the branch as we know it today.


Whatever the future will bring for the branch and the self-service channel alike, we can certainly expect on-going innovation within this sector in an effort to not only meet, but exceed the increasing expectations from consumers.  Banks that want to succeed in an increasingly competitive industry will need to pay close attention to both fronts or may risk being left behind.

Colin Gordon

Financial Services SelfServ, Marketing Manager

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Colin Gordon is a Global ATM Marketing Manager based at NCR’s R&D Center in Dundee, Scotland. Colin is responsible for the marketing of NCR’s financial hardware portfolio with a specific focus on activities such as demand generation, sales enablement, market analysis and customer engagements for the ATM business.