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TRANSCRIPT
Maximizing the Treasury Management Opportunity Through Automation
1
Wednesday, 4/2711am PT / 2pm ET
Presenters
PATRICIA TRIPAR, WEST MONROE PARTNERSSenior Manager, Banking & Credit Unions
LISA SALAZAR, TCF BANKSVP, Commercial Banking & National Director Treasury Management Sales
JEB BURKE, TCF BANKVP, Senior Manager, Treasury Management Product Development and Operations
Moderator:JONATHAN ROWE, Ph.D., nCinoDirector of Marketing and Research
Fee Income Is a Valuable Asset to Financial Institutions
11%
42%
23%
12%
40%
19%
26% 27%
revenue opportunity pre-tax margin
Value of treasury management
business banking large corporate mid corp mid market
The Value of Treasury Management
Bank Customers View Treasury Management as an Enabler
According to the 2014 AFP Strategic Role of Treasury survey:
TM IS STRATEGIC TM IS GROWING TM IS AN OPPORTUNITY
84% of financial professionals report treasury is playing a
more strategic role in their organization.
83% of respondents anticipate growth in
Treasury over the next five years.
45% of respondents believe their
organizations should take greater advantage of
treasury to optimize financial performance.
Poll
What is the biggest challenge area in your current treasury
operating model?
a) Organizational modelb) Processc) Technology d) Scalability/ Sustainabilitye) Other
Lisa Salazar and Jeb BurkeTCF Bank
Treasury Management Onboarding: Opportunities and Challenges for Banks and Their Customers
Enabling change from Bank centric to customer centric
TCF Aligned Strategic Objectives to Strategy and Leading Practices
• Enter customer data only once by automating the entry
• Enhance sales prep, proposals, pricing proformas by using customer profile
• Visibility into fulfillment status by seeing implementation stages
Process
• Employees can acquire new skills and competencies
• Provide better career pathing by optimizing skillsets
• Due to better automation, Sales Advisors are able to spend more time out of the market
Organization
• Client and pricing data flow through system
• Automated approval hierarchy
• E-presentation of documents; e-signature
• Leverage new features to improve customer relationship view
Technology
• Better user & customer onboarding experience
• Reduce risks and inefficiencies
• Increase productivity• Enhance compliance• Strengthen reporting &
measurements
Strategy
Technology enabled process and organizational change
• Customer focused processes• Scalable operating model• Data driven insights aligned with strategy
Leading Practices
People – Customers Inconsistent, manual touch points Lack of visibility into process, timing and status Limited understanding of the entire onboarding process requirements
Technology Lack of automation and workflow efficiencies Manual entry of data, multiple times for the same deliverable Limited collaboration among business channels
Process – including implementation, Sales & Onboarding Implementation
• Limited view of product profitability and reporting• Limited tracking measures and metrics on performance relative to service level
agreements• Inadequate sales support and cross sell coverage• Paper intensive and time consuming• Limited ability to track progress• Disparate onboarding processes
Treasury Challenges
Automated Treasury Management Benefits vs. Challenges
Highly manual, paper driven process – email/fax/print
Multiple points of data entry Lack of visibility into client
implementations status Paper based pricing management,
including exception pricing approvals
Time in double/triple checking and error handling
Sustainable Service Level Agreement (SLA) for future growth
Report management - sales tracking & product profitability, Workflow distribution and capacity management
Paperless environment One-time customer data entry Heightened customer experience Integration to analysis/pricing
system Automated exception pricing
approval process Elimination of re-keying Reduction in errors Automated reporting Data-driven status tracking and
SLA metrics Workload balance
Pre-Automation Challenges Post-Automation Benefits
Q&A
Lisa Salazar & Jeb BurkeTCF Bank
Patricia TriparWest Monroe Partners
Automating Onboarding Process Presents Opportunities
Treasury Onboarding Trends
Customer ability to view the status of their implementations through a channel/portal
Document management solutions using single-sign on and portal
Communication and collaboration
Enterprise-friendly Saas/cloud technology is more widely accepted
Workflow automation with straight-through processing capabilities
Increased automation in the middle and back-office (Onboarding and Implementation)
Core Tenets of Leading Practice Treasury Management Automation Focus on Scalability and Customer Focused Processes and Specialization
• Resolve capacity constraints of manual processes• Automated communication & notifications• Electronic presentation of forms and documents• Scalable/ efficient infrastructure
• Automatic assignment of deals• Standard, uniform product processes and reporting• Implementation/Service completes adds/deletes instead of Operations• Comprehensive metrics and KPI• Defined, customer focused SLA’s
• Build core competencies with skill-based roles• Accountability for revenue & client-facing production activity in Sales• Accountability for product/ services fulfillment in the Implementation
organization• Single point of coordination• Market focused operating model - 2-4 Sales Officers per Analyst
TechnologyCapabilities
ProcessCapabilities
Organizational Capabilities
Accountability to Customer
Experience
Scalable Operating Model
Automation & Data Driven
Insights
Treasury Onboarding Automation Should Produce the Following Best Practices
Project Management Methodology
Transparency and consistent communications
Single point of communication and coordination
Electronic presentation of forms, documents, and signatures
Capacity & Organizational Development
Delineate between Sales and Implementation
Develop geographic and industry expertise
Operational focus by product, customer, complexity
Data-Driven Insights
Segmentation by customer, complexity, product
Identify opportunities to reduce time to revenue
Defined, customer centric SLA’s
Target Operating Model is Transformed
•Sales creates ‘Proforma’ pricing scenarios
• Internal Approvals•Client says ‘yes’• Deposit Accounts Opened / initiated
Sales Advisor
Sales Analyst
Relationship Manager
Client ManagerRo
les
SALES & PRICING ONBOARDING &IMPLEMENTATION
SERVICING
Proc
ess
Operations Manager
Operations Analyst
FULFILLMENT
•Gather detail on service set up (e.g. user details, transaction types, etc.)
•Execute Service Agreements
• Implementation project planning
•Build / configure client services in bank applications
•Outsourced / third party services established
•Testing, Training and ‘Go Live’
• Transition High Value clients to Relationship Manager
• Handoff to service/contact center support
• Begin billing for services
Customer Sale / Request
Customer Information /
KYC
Forms and Agreements
Requests and Project
ManagementFulfillment Testing/
Training Client QA Customer Inquiry Support Monitor
Client Servicing Manager
Client Support Analyst
Client Contact Center Manager
Contact Center Analyst
OnboardingManager
Onboarding Coordinator
Implemnt. Manager
Implement. Specialist
Improve incremental revenue - Increase cross-selling and up-selling rates
Speed up time to revenue by 20 to 40 percent
Reduce ongoing operating costs by 10 to 30 percent
Handle additional implementation volume with fewer staff resources
Improve customer experience and increase retention rates
Why Re-Invent Treasury Onboarding and Implementation Processes?
Ultimately, you will drive better financial results.
Q&A
Patricia TriparWest Monroe Partners
Poll
a) Yesb) Partially, we have some
automationc) No, we have a fully automated
onboarding process
Does your bank rely on paper contracts, wet signatures, and
manual processes and data entry to implement treasury products?
Final Q&A
White Paper: Optimizing Treasury Management: How Technology Transforms TreasuryManagement for the Institution and Its Customers
Coming Soon
Contact us: Patricia Tripar, West Monroe [email protected]
Lisa Salazar, TCF [email protected]
Jeb Burke, TCF [email protected]
Jonathan Rowe, nCino [email protected]