# Automating Daily Reconciliation: 80% Reduction in Manual Processing for Asset Manager

> Leading UK Asset Manager · Financial Services · QuantSpark Labs

QuantSpark automated a daily reconciliation process for a leading asset manager, achieving an 80% reduction in manual processing and faster daily trading.

## At a glance

- **80%** Manual Processing Reduction

## What was the problem?

In the fast-paced world of asset management, the efficiency and accuracy of the daily reconciliation process are crucial. Historically, this process relied heavily on manual Excel-driven procedures, leading to significant challenges:

*   **Error-prone manual processes:** Manual data entry and manipulation in Excel were susceptible to human errors, introducing inaccuracies into the reconciliation process.
*   **Time-consuming operations:** Manual reconciliation processes were time-consuming, particularly as transaction volumes and portfolio complexity increased. This resulted in delays in completing reconciliations and subsequently delayed trading activities.
*   **Limited scalability and automation:** Excel and manual processes faced scalability issues as asset management operations grew. Managing large volumes of data and transactions became challenging, leading to operational inefficiencies.
*   **Version control and audit trail challenges:** Multiple versions of spreadsheets circulating among team members created version control issues, increasing the risk of using outdated or incorrect information. Excel also lacked a robust audit trail, making it difficult to track changes and demonstrate compliance.
*   **Dependency on individuals:** Heavy reliance on specific individuals for manual processes introduced a risk to continuity if key personnel were absent or departed, posing operational challenges and potential disruptions.
*   **Difficulty in identifying patterns or trends:** Analysing data for patterns or trends manually in Excel was challenging, limiting the ability to derive meaningful insights.

## What did QuantSpark do?

QuantSpark developed an innovative solution to automate the key manual steps of the client's end-to-end daily reconciliations process, seamlessly integrating with their existing data infrastructure. The initial phase focused on streamlining file collection, data consolidation, and verification before using Python scripts to perform automated checks on the data.

Key features of our solution included:

*   **Data consolidation:** The system automates the consolidation of data from multiple sources, including Northern Trust and Charles River, creating a single, centralised location.
*   **Pythonisation of checks:** Manual checks were replaced with efficient Python scripts, significantly reducing reliance on traditional Excel formulas and VBA code.
*   **Front-end application:** A user-friendly front-end application was implemented for the control team, allowing them to view, validate, and exempt checks with ease.
*   **Dashboards:** PowerBI dashboards provide a visual representation of data, facilitating quick and informed decision-making.
*   **Single source of truth:** By consolidating data into one centralised location, the solution establishes a single source of truth, ensuring consistency and accuracy across all operations.

## What changed?

QuantSpark's automation solution delivered significant and measurable improvements for the asset management client:

*   **Over 80% reduction in manual processing:** Automation significantly reduced manual intervention, minimising the likelihood of errors and enhancing operational efficiency.
*   **Average reduction of 30 minutes per day:** The time taken to complete the end-to-end reconciliation process saw a notable reduction of 30 minutes per day, enabling quicker opening for trading.
*   **Mitigation of key-person dependency risks:** Consistent, automated workflows reduced reliance on specific individuals, ensuring continuity and consistency in the reconciliation process.
*   **Increased trust in the process:** Users reported feeling more secure in the knowledge that the process was being carried out correctly, versus the previous Excel process where easy-to-make errors could cause significant problems downstream.
*   **Enhanced overall process resilience:** By minimising human errors, automation enhanced overall process resilience and accuracy in an ever-evolving financial landscape.

---

Canonical page: https://quantspark.ai/case-studies/automating-daily-reconciliation-80-reduction-manual-processing-asset-manager
More about QuantSpark: https://quantspark.ai/llms.txt