Making Staff Loans Simple, Fast, and Hassle-Free for Employees
By Malshani Amarakoon
he staff loan project aimed to deliver a digitalize solution for applying and managing approvals of staff loans of an organization that employee can easily apply for a loan without worrying about the lengthy approval process
My Role
I led the design of the staff loan project from its beginning, and coordinated with cross functional teams, including business analysts, project managers, and developers, to identify pain points in the exciting loan application process, and I was able to transform that lengthy process into a fast , user-friendly digital solution.
Customer Insights & Ideation
I conducted the user research, discussed with the stakeholders, and gathered insights what are the challenges faced by employees while applying for the loans, finding guarantors, and the approval process. I was able to deliver a solution that meet their needs by understanding their motivations and needs, while aligning with the organization goals
Experience Strategy & Vision
I have designed the wireframe and prototype, and demonstrated the prototype to the stakeholders. It helped to communicate the overall direction of the project and ensured alignment throughout the design process.
Planning & Scope Definition
I have defined the scope of the project collaborating with the UX lead and the project manager. We prioritized the key features and balanced the goals of the organization with the needs of the employees , and negotiated timelines for successfully delivering the product.
Oversight & Coordination
I ensured the consistency and usability across the mobile and desktop environment by working with my supervisor and the development team. It was the key to delivering seamless experience for all the users.
Design Execution & Validation
I worked on the design, created user flows, wireframes, and prototypes. Also, I have conducted the usability testing to validate the design confirming that it has addressed the needs that identified earlier.
Leadership
I demonstrated the design presentations to stakeholders and internal teams throughout the project, ensuring that the final product aligned with both user needs and business objectives.
The Problem
Navigating a Complex Loan Approval Process
Although the intention of the staff loan application was clear, the reality of managing multiple levels of approvals, frequent communication breakdowns, created challenges for employees, HR and other approval points. The approval process involved too many stages, leading to delays and dissatisfaction. Also, there was a confusion about loan status updates, and overwhelming tasks for guarantors and HR admins. Employees found it frustrating to follow up on their applications, and HR staff struggled to manage a large volume of requests efficiently.
Understanding the Root Issues
We began with in-depth discussions and workshops with HR personnel and employees to uncover the real challenges they faced. This phase revealed the primary causes of frustration:
- Employees struggled with a lack of communication on loan status.
- Guarantors were overwhelmed with manual approval requests
- HR teams spent excessive time tracking applications instead of focusing on high-value tasks.
By aligning these insights with business objectives, we defined a clear design direction: the system should be simple, transparent, and efficient.
Common Pain Points Uncovered in Research
Through user interviews and surveys, we identified critical gaps:
- ⚫ Unclear Status Updates : Employees had no way of knowing where their loan application stood.
- ⚫ Manual Workload for HR: HR teams spent too much time managing approvals and following up manually.
- ⚫ Inefficiency for Guarantors: Guarantors were often unaware of pending requests, delaying the process further.
One of the biggest revelations was that inefficiencies weren’t just about the number of approval stages. It was the lack of real-time communication. Employees were left in the dark, unsure of when their loans would be approved. Meanwhile, HR and guarantors struggled with tracking multiple applications.
By integrating automated status updates, we ensured that every stakeholder remained informed without the need for manual follow-ups.These insights guided us toward designing a centralized, automated loan approval system.
Reframing the Problem
Mapping the Ideal Loan Experience
We created user personas and journey maps to visualize the ideal loan application process from different perspectives. Our findings pointed to the need for:
- simple application process for employees
- Automated notifications to update users on approval progress
- A dashboard for HR to manage applications efficiently.
- A simplified workflow for guarantors to review and approve requests without delays.
Instead of just making incremental improvements, we redefined the approach:
- Employees needed a clear and guided application process with instant status tracking.
- Guarantors required a simple interface to approve or reject requests without excessive workload
- HR teams needed a centralized system to manage all requests efficiently.
Our focus was no longer just on digitizing the process but on making it an intuitive and empowering experience for all users.With these goals in mind, we moved forward with designing a structured yet flexible solution.
How We Got There
Designing with Clarity and Efficiency
Our structured approach ensured that every design decision was based on real user insights, leading to a well-organized and efficient loan approval process.
- UX Research & Workshop : We began with user research, conducting interviews and surveys with employees, guarantors, and HR personnel to understand their challenges. This was followed by a UX workshop with key stakeholders, where we mapped out existing workflows, identified bottlenecks, and collaboratively explored potential solutions.
- User Persona & Mind Mapping: Using insights from research and workshops, we structured the app’s core features and approval workflow. This helped us define priorities and ensure the process addressed the most significant pain points. Our primary user persona was an administrative employee seeking a loan for urgent financial needs, often frustrated by the lack of transparency and lengthy approval process. Additionally, HR personnel needed a more efficient way to manage and track loan requests without manual follow-ups.
- User Flow Mapping: We created detailed user flows to visualize each step of the loan application and approval journey. This allowed us to streamline interactions, remove unnecessary steps, and establish a logical sequence for each role in the process.
- Information Architecture: Based on the user flows, we developed an information architecture that ensured easy navigation and clear categorization of features, making it simple for users to locate necessary actions and track progress.
- Wireframes & Prototypes: We designed low-fidelity wireframes to test basic layouts and functionality, refining them into high-fidelity prototypes that represented the final product experience.
- Iterative Usability Testing: Through multiple usability tests, we gathered feedback from employees, guarantors, and HR teams. This process helped refine interactions, simplify complex steps, and ensure the final design met the needs of all users effectively.
The Solution: A Well-Structured Staff Loan App
To address the challenges faced by employees, guarantors, and HR personnel, we designed a staff loan app that enhances usability and improves communication. The key features include
- ⚫ User-Friendly Loan Application - The loan application process is designed to be simple and efficient. In the first step, employees don’t need to manually enter their personal details, as the system automatically fills them in. They only need to enter the loan amount and repayment duration, after which the system calculates and displays the total payment.
In the second step, employees must select two guarantors. When choosing a guarantor, they can see whether the person is available, as the organization allows each guarantor to support only two active loans at a time.
In the third step, employees can review all loan details before submitting the application. They also have the option to save it as a draft and complete the submission later. - ⚫ Structured Approval Workflow – Guarantors receive notifications for pending requests and can access a dedicated section to review guarantor requests. They can view the full loan details before making a decision. If they choose to approve the request, it moves forward to the HR department for further processing. If they decide to reject the request, they must provide a reason for the rejection. This ensures transparency in the approval process while making it easier for guarantors to manage their responsibilities.
- ⚫ HR Management Dashboard – HR personnel have access to a centralized dashboard where they can monitor all loan applications and track their status in real time. The dashboard provides an overview of monthly loan requests, helping HR efficiently manage the approval process.
HR can review each loan request and either approve or reject it. If a request is rejected, they must provide a reason, and they also have the option to allow the requester to edit and resubmit the application based on the feedback. If a loan is approved, it moves to the next stage in the approval process, ensuring a smooth and structured workflow. - ⚫ Real-Time Notifications – Employees receive timely updates at every stage of the loan approval process, ensuring transparency and accountability. Once logged into the system, employees can easily check the status of their loan request. By clicking on the status, they can view detailed information about the approval process, including which stages have been completed and which approvals are still pending. This visibility helps employees stay informed and reduces uncertainty throughout the process.
- ⚫ Flexible Loan Settlement – Employees have the flexibility to settle their loans ahead of schedule, giving them greater financial control. Loan installments are automatically deducted from their salary, but if they choose to repay the remaining amount early, they can do so through the system. They simply need to make the payment, upload the payment slip, and submit it for approval. Once HR reviews and approves the settlement, the loan is officially closed, providing employees with a hassle-free way to manage their finances.
This comprehensive solution enhances the staff loan experience, leading to quicker approvals and a more satisfied workforce.
Reflections
What I Have Learned
Working on this project taught me several key lessons in empathy and problem-solving. I learned that even small design adjustments,like introducing real-time updates,can have a significant impact on user satisfaction.
Another key takeaway was the importance of simplicity. The loan process seemed complex at first, but by breaking it down into manageable steps, I was able to create a more user-friendly experience. This taught me that the most effective designs are often the simplest ones, carefully crafted to meet users' needs without overwhelming them.
This project reinforced the importance of designing with empathy. By understanding the pain points of employees, guarantors, and HR personnel, we were able to create a solution that made everyone’s job easier. I learned that listening to users and adapting designs based on their needs is essential for creating products that have real value. Even a small change—like an intuitive loan calculator or an early settlement feature—could significantly impact how users engaged with the app.
Impact
The newly designed staff loan app dramatically improved the loan request and approval process:
- Loan approvals were processed 40% faster.
- HR administrative workload reduced by 50%.
- Employee satisfaction scores increased, with 85% of users reporting a smoother loan experience.
By transforming a previously chaotic process into an Efficient system, we not only improved operational efficiency but also empowered employees with a stress-free financial experience.
The success of this project reaffirmed that great UX is about more than just design. It’s about understanding users, solving real problems, and creating solutions that make a meaningful impact.