TAWPI - The Association for Work Process Improvement

This coming week many people form the check processing industry will be at the TAWPI (The Association for Work Process Improvement) trade show in Orlando. In preparation for this event I have been looking back at this year and wondering about the next 12 months. It seems the industry of processing paper checks and paper in general is going through huge technological changes.

In the past year we have seen the industry explode into Back Office Conversion. In addition Remote Deposit Capture continues to grow. While on the sidelines my company Diversified Check Solutions has been working with on line mail delivery, data mining of consumer information from their checks, BOC verification, check recovery technology, electronic checks and more.

It is certainly an exciting time in for Electronic Check Processing and it is being driven by the work process improvements (spelled – Efficiencies) it affords businesses. In other words by creating a more efficient work place we have something businesses are willing to pay for – provided the costs do not exceed the value of the improved efficiencies we have created.

In fact, as we automate and “electronify” the issuance of checks and acceptance of checks the question I have is: “Will checks start to compete with Credit Cards??” I don’t know the answer but can offer some interesting thoughts.

The efficiency offered by plastic payments drives the credit card industry in large part. As a consumer I am more efficient and realize better use of my time because I don’t have to save up for a purchase. I can go out and buy what I need. Businesses realize efficiencies because the purchase runs smoother and faster with plastic compared to cash or checks plus they are guaranteed payment if they follow the rules.

Today checks are following the same path as credit cards. Companies are guaranteeing payment if the merchant follows the rules; checks are being settled electronically and business are enjoying the efficiencies mentioned above. Plus checks are less expensive for both the customer and the merchant. What is missing? The issuance of checks electronically is the missing ingredient and the networks to make electronic issuance of checks feasible. When that problem is solved there will be no difference between electronic checks and plastic – except one thing. Checks will be less expensive.

As we attend the Work Process Improvement Conference in Orlando Florida to promote our check processing engine we are excited at the possibilities that exist within this industry. Automated Work Flow Improvement is a huge field with more impact than we know. Many of the processes that are being developed for automation of work flow take us closer to the full electronification of checks.