科尔尼－中国银行CRM

1Question 1 System Structure 2Homogeneous rules and criteria result in greater quality of information adapted to each type of userViews by userViewsDatabaseWide-scope database for the development of portfolio tools and of models1)of PD,EAD and LGDMIS extracts and provides information from the legacy systems,using well-defined business rulesConsolidated credit baseBusiness rulesBusiness rules are used to guarantee a unified and consistent set of definitions between and among business unitsLegacy systemsThe consolidation of data dispersed in a legacy system significantly enhances the banks ability to develop analyses1n.Business rulesNote:1)Basle II suggests 5 to 7 year record for the construction of the modelsSource:Analysis by A.T.KearneyJorge:I am not sure whether this slide answer the question3Question 5 Post Loan Management 4Bank clientsSegment A.Segment BThe best practice segmentation strategies utilise the client value forecasts and the risk estimationThe segmentation strategy oblige a uniform client treatment for different products,for different functions and for different channelsPost-Loan Management StrategyFor each segments value-risk combination it is necessary to identify specific“treatment strategies”PHASE 1Different clients,treated with different strategies are allocated in different segments PHASE 2Clients are grouped together according to systematic treatment among the different business areas.For example on the basis of value and riskdefined by the bankPHASE 3For each client segmenta“treatment strategy”is developed in order to guarantee that each client is treated in the correct way according to the function,the product and the channel.This“treatment strategy”provides the indication necessary to treat the client every time he deals with the bank High valueLow valueHigh riskLow riskSEGMENT AHigh Value,High RiskRetailPRODUCTSPrestitiConti correntiMutuiCarte di credito altriFunction.Channel:TelephoneService Level:HighStrategy:soft treatment for small amount.If the amount is High,the Customer Service calls the client and sends a“medium”letterSegment Cexample.5The adoption of the client-value-risk approach has been consistently integrated inside the other banks processes(Governance,Distribution)Credit collections strategyClient TypeClient valueRiskRisk managementCredit PolicyCollections strategiesClient valueRiskMarketing e product developmentCredit collections strategyCollection ProcessStrategicInputCommercial strategiesManagement InputStrategic inputIt is necessary to guarantee the coherent approach with the risk profile selected by the bankIt is necessary to guarantee the coherent approach with the sales strategiesStrategic inputManagement Input6Post-loan Management Process DELINQUENCY MANAGEMENT(2/3 of the total bad loans portfolio)RECOVERY(1/3 of the total bad loans portfolio)Prevent the non performing loansMaintain the customer serviceReduce the costsReduce the losses Telephone calls LettersObjectiveActivitiesLegal processOutsourced activitiesThe results reached in similar projects have demonstrated that the introduction of a Delinquency Management phase,managed in a standardised way,brings to a reduction of bad loans between 25%and 40%7Post-Loan Management OrganizationNew organizational responsibilities need to be defined in order to grant effectiveness and efficiency of the collection process in each market segmentRetailSmall BusinessCorporateFunctional and Physical Centralization(process efficiency)Centralized or decentralized management(with central control)(according to managed volumes)Decentralization(with central control)(client relationship)Deliquency ManagementFunctional Centralization(independence and process effectiveness)Recovery8The collection organisation should be coherent with the strategic approach adoptedMonitoring and ControlGovernaceStaffOperationsSupport ServicesFUNCTIONSManagement of non performing loansSecuritisationForeign MarketsRetailDelinquency ManagementSmall BusinessDelinquency ManagementRecovery ManagementCorporateRecovery ManagementDelinquency ManagementRecovery ManagementDelinquency Management Bank BranchesExample9Post-Loan Management TechnologyThe new technological architecture may be build through a complex integration between best-in-class applications for the collections process and the banking legacy systemsInterfaces(Connection with legacy systems)Decision Support SystemCollections Workflow ManagerIndependentvendorIndependentvendor10The functionalities of the CWFM(Collections Workflow Manager)allow the users to focus the attention on the essential collection activities and strengthen the collection strategiesnThe flow of the collection activities is controlled by parameters managed by the operatornThe system:focuses on the client relationship maintenance maintenance of all updated information with reference to performing loans and non performing loansauthorise the scheduling and assignment of the position to the collectorautomatic scheduling of the follow-up to be addressed by the system or the operatorauthorise the manual activity reducing the inefficiency and paper workautomatic or manual send of information to the clientInter-facesDSSCWFM11The functionalities of the DSS(Decision Support System)allow the strategic governance of the collections activitiesnMultifunctional engine for batch and on-line decisioningnTreatment strategy execution:Decision at client levelSupport based on different models based on multiple variablesInteractive decision modelIntegration of multiple databases,through different internal and external functions nStrategic evolution:Real time treatment strategy simulationnSegmentation:User-defined Portfolio segmentationnDecision Effectiveness Reporting:Reporting to support the analysis of the effectiveness of the different treatment strategynDecision Management:Decision tables to support the sequence of treatment actionInter-facesDSSCWFM12The new collection system uses different“data sources”in order to create and manage different views on each client/accountDSSWMSBank SystemCredit Collection SystemWorkflow managementsystemFeedbackFeedbackDecisionFeedbackReporting informationWorkstation(definition of collection treatment strategy)Workstation(collectors)Inter-facesInside DSS the client is assigned to a segment,according to its value and risk.Automatically the DSS system defines the specific treatment strategy to be followed in the delinquency management phaseThe WMS manages all the front-end activities with the customer or with the account manager(telephone calls,automatic letters,payment promises.)Decision Support SystemCollection InterfacesReporting information