BancABC is a multinational Africa-based bank committed to providing high-quality financial services to retail and corporate customers in the Southern African Development Community (SADC) region. By integrating its CRM solution with its core banking systems—Oracle FlexCube and Tieto—the bank wanted to speed up its product applications and approval processes. It customised Microsoft Dynamics CRM to provide its employees with a rich single view of customer data, including personal details, service request history, and financial information. Customer relationship management, which has a direct impact on overall revenue opportunity, is a key focus for the bank. And, with its new system, it has made processes more efficient and enhanced customer service.Situation
Established in 1956, BancABC—previously known as the African Banking Corporation (ABC)—has built its business around a reputation for fast, responsive service, and the ability to meet the needs of its corporate customers in the Southern African Development Community (SADC) region.
The group’s slogan is “Fresh Thinking, Smart Banking,” and its vision is to offer world-class financial solutions. In the first half of 2009—during the height of the global recession—BancABC not only increased its balance sheet, but it also successfully managed to
|Microsoft Dynamics was user friendly and the only solution flexible enough to help us realise our BancABC CRM vision. We can easily customise it to manage new business processes.|
Group Head, Retail and SME Banking Division
rebrand itself from the African Banking Corporation to BancABC, while expanding operations into the retail banking market.
Andrea Prazakova, Group Head, Retail and SME Banking Division, BancABC, says: “We saw an opportunity to increase profitability for stakeholders, and were confident that we could capitalise on our experience and expertise to create a competitive retail banking model.”
IT is a crucial driver of the company’s growth strategy. As part of its expansion into retail banking, BancABC was required to revitalise and automate many of its manual processes, achieving faster turnaround times and lowering financial risks for stakeholders and customers.
Neal MacIntyre, Regional Specialist, Customer Relationship Management (CRM) at BancABC, says: “We were particularly interested in automating the time-consuming manual processes involved in evaluating a customer’s credit information and viewing the customer’s risk rating.” In fact, the business saw its expansion as an opportunity to enhance customer service, and create a fresh approach to service delivery and risk assessment. The management team was determined to build its operations around five differentiators it defines as critical in generating success. These are:
• Intuitive, user-friendly branch design
• Service quality management
• Electronic document and workflow management
In 2009, the infrastructure team worked closely with business teams to align BancABC business processes with customer needs, and evaluate the technology required to achieve differentiation goals. This entailed a review of the entire credit management process—from initial application to the authorisation and disbursement of funds for retail and corporate customers.
Prazakova says: “We considered every stage of our interaction with customers, from initial enquiries to obtaining the information needed to create relevant, successful products. Our goal was to implement a seamless solution—called Customer on Board—to manage product applications and the electronic document and workflow tasks that are required to sign up new customers.”Solution
Microsoft Dynamics CRM was chosen over strong competition, including Siebel, for its ease of integration with the company’s Oracle FlexCube transactional banking and Tieto systems. Rishi Pillay, Regional Manager, CRM, BancABC, says: “Although the solution is feature rich and unique to BancABC, we didn’t have to spend a lot of time coding—we simply added rules within Microsoft Dynamics CRM to support our requirements.” This integration delivers critical functionality that supports the Customer-on-Board credit scoring and application processes, including:
- Customer scorecard—this calculates a customer’s retail credit allowance and suitability, along with appropriate interest rates.
- New customer concept—this process is triggered with an initial application. It automatically sets up reminders about document completion and data accuracy, while linking the customer to cross-selling and up-selling campaign lists.
With the help of Microsoft Gold Certified Partner The i5 Group—a specialist systems integrator based in South Africa—BancABC assessed the flexibility and integration of several solutions. It then deployed a unique financial and CRM system based on Microsoft Dynamics CRM. Prazakova says: “Microsoft Dynamics was user friendly and the only solution flexible enough to help us realise our BancABC CRM vision. We can easily customise it to manage new business processes, contain risk, and provide excellent service to customers.”
Paul Mare, Sales Director at The i5 Group, and his team used their CRM expertise to add several business capability features, including:
- Upload and display facility for legal entity risk rating model
- Electronic customer product applications
- Individual risk scoring of credit applications
- Electronic storage and tracking of customer and credit documents
- Customer service request logging, allocation, tracking, and resolution workflows with service level agreement (SLA) task monitoring
|With Microsoft Dynamics CRM, we have realised our vision of differentiation through service excellence and innovation.|
|Andrea Prazakova, Group Head, Retail and SME Banking Division|
The financial CRM solution holds all of the bank’s customer data, and seamlessly integrates with its transactional systems. Benefits
The financial CRM solution deployed by the bank provides multiple benefits. Employees have the tools to provide fast, personalised financial services to their customers. The business now has the information it needs to create high-end products that meet the requirements of retail and corporate customers. Prazakova says: “With Microsoft Dynamics CRM, we have realised our vision of differentiation through service excellence and innovation. Since rolling out our retail branch outlets and implementing the financial CRM solution, we anticipate significantly increasing the number of new customers we attract—and, subsequently, our profits.”
Process Efficiency Enhances Productivity and Reduces Errors Customer-facing employees now have more time for important client interactions. Most of the tasks previously managed manually—such as securing approvals and researching credit information—are either fully or partially automated. With data quality rules built into the financial CRM application, input errors are reduced, and customer details are less likely to be overlooked. Deadlines and SLAs are monitored, while specific customer requests are flagged electronically, alerting employees in time to follow up and complete related tasks promptly. Employees are more efficient, which creates time for one-to-one customer interaction. In addition, the use of paper is decreasing and the solution is helping employees improve the processes for managing:
- Accurate data quality
- Customer portfolios and collections
- Sales campaigns
- Customer communications and feedback
- Intranet content Key performance
- Indicators and performance dashboards\u0026nbsp;
|Figure 1: Data quality across the bank’s|
customer base made visible with a dynamic
Microsoft Office Excel spreadsheet dashboard.
Single View of Customer Enhances Service\u0026nbsp;
Pillay says: “When it comes to making decisions about the right products to offer customers, or the best way to communicate
sensitive financial information, it is imperative to understand the person to whom you’re talking.” Employees can now view all the customer banking information they need—including past transactions and credit history—to provide personalised service delivery and manage sensitive conversations around finance and credit. “Having this information to hand means that BancABC can offer
customers a very attractive service,” says Pillay.\u0026nbsp;
Consistent Customer-on-Board Approach Provides Competitive Edge
According to a recent report by the research firm Forrester, many companies disappoint their potential clients by not managing new applications consistently or efficiently. Customers often abandon the application process after becoming frustrated when their details are lost, communication is inconsistent, or employees’ knowledge of their financial situation is poor. Mare explains that the BancABC solution addresses all of these issues by automating the customer’s application life cycle and providing employees with the tools to monitor customers, and follow up with them when necessary. He says: “Features such as the customer appraisal credit template promote timely and effective facility approvals, which inspires confidence and loyalty.”
Data Quality Validation Reduces Loss and Improves Operations
It’s crucial that the data captured by BancABC is accurate. With poor quality data, such as incorrectly entered phone numbers, the business can lose thousands of dollars. Prazakova says: “For example, the difference between 40 per cent and 60 per cent data quality in a single marketing campaign can make a lot of difference financially—hundreds of thousands of dollars are at stake. The solution guides employees to enter customer details correctly, and prompts them to capture vital information needed for future customer interactions. In addition, we added data quality as a measure by which employees are assessed—this has given employees an incentive to focus on the accuracy of the data they enter into the system.”
Sales and Marketing Campaigns Are more Successful
The consolidation of CRM and financial data is a valuable combination, providing sales and marketing teams with both transactional and demographic information. Prazakova says: “The bank can not only predict its performance more accurately, but it can also create financial packages and products based on the way its customers spend, save, and manage their money.” With Microsoft Dynamics CRM tools, such as the sales activity and campaign planning feature, employees can create highly targeted campaigns. Microsoft Dynamics
Microsoft Dynamics is a line of integrated, adaptable business management solutions that enables you and your people to make business decisions with greater confidence. Microsoft Dynamics works like familiar Microsoft software such as Microsoft Office, which means less of a learning curve for your people, so they can get up and running quickly and focus on what’s most important. And because it is from Microsoft, it easily works with the systems\u0026nbsp;that your company already has implemented. By automating and streamlining financial, customer relationship, and supply chain processes, Microsoft Dynamics brings together people, processes, and technologies, increasing the productivity and effectiveness of your business, and helping you drive business success.\u0026nbsp;
For more information about Microsoft Dynamics, go to: www.microsoft.com/dynamics For More Information
For more information about Microsoft products and services, call the Microsoft Sales Information Center at (800) 426-9400. In Canada, call the Microsoft Canada Information Centre at (877) 568-2495. Customers who are deaf or hard-of-hearing can reach Microsoft text telephone (TTY/TDD) services at (800) 892-5234 in the United States or (905) 568-9641 in Canada. Outside the 50 United States and Canada, please contact your local Microsoft subsidiary. To access information using the World Wide Web, go to: www.microsoft.com
For more information about The i5 Group products and services visit the Web site at: www.i5.co.za \u0026nbsp;
For more information about BancABC products and services visit the Web site at: www.bancabc.com \u0026nbsp;This case study is for informational purposes only. MICROSOFT MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY.