How advanced tech adoption is helping Shriram Finance in gaining competitive edge

Headquartered in Mumbai, Shriram Finance Limited was formed in 2022 through the merger of Shriram City Union Finance, Shriram Capital, and Shriram Transport Finance. Building on its five-decade-long legacy, the company is now working on an ambitious digital transformation journey, modernising operations, enhancing customer experience, and strengthening its position in India’s evolving NBFC sector, as detailed in its 2025 Annual Report.

 A key milestone in the company’s digital journey is the launch of the Shriram One super app, designed to consolidate the Group’s diverse offerings onto a single platform. From loan applications to product distribution and ticket booking, the app offers a paperless, convenient experience for customers. This integration has enabled faster loan approvals, improved cross-selling of products, and reduced friction in customer interactions, the company has noted.

Currently, 34% of its existing customers are onboarded digitally, with 66% of these being new-to-company customers. Among digitally onboarded clients, 68% are active on digital platforms, and 85% have conducted at least one transaction online. 

In an earlier interview with TechCircle, Vinod Kumar, the chief digital officer at Shriram Finance, “Take our recent tool, for example, it enables end-to-end digitisation of the customer journey. Once a customer reaches out to us (often through our B2C assets), our teams can instantly engage. There’s no longer any need to physically collect documents. Everything can be gathered digitally through integrations like eKYC. Validations, which earlier required physical checks, are now performed online.”

Advanced technologies driving operational efficiency

Shriram Finance has invested in AI and analytics to streamline its operations. AI-powered underwriting models accelerate loan approvals, while alternative credit assessments draw on cash flow, behaviour, and repayment trends to provide more nuanced credit evaluations. The company also integrates eKYC and CKYC for instant identity verification, strengthening fraud detection.

Big data analytics play a critical role in tailoring loan products to specific customer segments, while dynamic pricing models allow real-time adjustments to credit limits based on behaviour and risk profiles. These initiatives reflect a shift from traditional, manual loan processing to intelligent, automated decision-making—a hallmark of tech-driven financial institutions, Shriram Finance said in its report.

Security, compliance, and cyber resilience

Shriram Finance’s cybersecurity framework is built on three core pillars: asset protection, data security, and network resilience. For the customer-facing digital assets, including web and mobile platforms, the company has implemented advanced cyber attack surface monitoring tools that proactively scan for vulnerabilities. It is complemented by a live AI-driven engine designed to detect and block fraudulent users in real time, Kumar said.

Shriram Finance has established a 24x7 Security Operations Centre (SoC), conducts frequent vulnerability assessments, penetration testing, and disaster recovery simulations, and aligns its cybersecurity protocols with global standards. The NBFC has achieved ISO 27001 certification, implemented Email Threat Prevention systems, and adheres to DPDP Act, 2023, and RBI cybersecurity frameworks, ensuring data protection, regulatory compliance, and resilience against sophisticated cyber threats.