Bank Automation Summit 2022

Business challenges

• Lack of communication / unengaged applicant had led to 5.20% withdrawal of mortgage application
• 61% of negative verbatim of borrowers attributed to 5 large categories
• Highest contributor being hand-offs that increased the Cycle time

HCLTech Solution

The 3-Lever BPM process with a focus on Risk Management, Lean Process and Automation principles was implemented as below

• It covered 4 steps – identify, evaluate, design and deliver  
• Level 1 to level 4 process maps were created  
• 3-lever analysis across 7 stages was performed  
• Documented the process in question end-to-end  

Benefits

• 17 Opportunities identified on Lean re-engineering & Automation
• Cycle time reduction:
  • 20% on account of lean re-engineering
  • 25% on account of automation
• Estimated reduction of AHT by 25% 

Business Challenges

• Drop in number of tickets being handled per agent due to high ticket volume
• Increased AHT because of complex system landscape that the agent had to scan to respond to customer queries
• Longer processing times for electronic requests raised by customers

HCLTech Solution

• Introduced pilot “how to” Chatbot to support contact centre
• Enhancement of chatbot to interact / integrate with bank applications
• Publishing external text chatbot
• Embedded external speech chatbot into existing telephone IVR 

Benefits

• Chatbot Corpus as enabler for next Chatbot phase
• New customer communication channel enabling clients make contact from the comfort of their desktop / laptop / mobile
• Reduction in Resolution Time Variances resulting in a more reliable and consistent performance

Business Challenges

• High cost
• Non-availability of skills
• Non-alignment to enterprise blueprint's tech stack

HCLTech Solution

• Migration was completed in 4 months for 200 KLoC from COBOL to Java, on a custom framework implemented by the customer and deployed on webMethods
• HCLTech proprietary tool ATMA was used to convert the COBOL code to Java. There was no data modernization in scope.
• The existing functional test cases along with a custom tool created to verify the data produced were used to validate the functional equivalence
• 100% source code was modernized using ATMA
• The modernized application was deployed on existing webMethods server
• A custom tool was used to compare the outputs produced, after the data from legacy environment was copied over to the target testing environment

Benefits

• Lowered TCO
• 70% cost savings compared to a rewrite approach
• Applications moved to tech stack for which there is sufficient skill pool Solution aligned to enterprise's tech blueprint

Business Challenges

• Achieve regulatory compliance, reduce reputational risk and avoid penalties/sanctions by the regulator
• Build real time data aggregation platform using streamlined and automated processes
• Improve straight through processing through process re-engineering
• Enhance automation opportunities and standardize the Customer Due Diligence (CDD) and compliance process
• Augment digital capabilities to periodically assess customer risk profile

HCLTech Solution

HCLTech proposed and developed a verticalized solution using Pega aimed at digitalizing and streamlining the compliance management for AML/CFT.

• Delivered 360-degree view of the customer and their product holdings enabling aggregated view for quicker resolution
• Digitalized the end to end Customer Due Diligence (CDD) and transaction review process including task/case creation, assignment, approval routing etc.
• Provision automated dashboards for Suspicious Activity Reporting (SAR) and ad hoc reporting provision
• Enabled AML/CDD business rule driven automation powered by artificial intelligence

Benefits

• Value realized through cost optimization >$1 million per year
• Improved customer response resulting from 40% reduction in resolution time
• Enabled end to end automated workflow routing and approval
• Provided a 360-degree view of customer and product holdings
• Improved staff efficiencies up by 25%

Business Challenges

The client was facing following difficulties around KYC process while on-boarding customers especially due to updated GDPR guidelines

• Increased cost of KYC
• Fragmented and single use data sources were the main reason for high costs and longer processing time
• Issues with auditability and duplicity of data
• Establishing compliance with stringent GDPR and other data privacy laws

HCLTech Solution

Created a blockchain based digital identity platform which brings individuals, organisations, ID providers, credit bureaus, notaries etc on the same platform.

• Validated KYC data available on shared blockchain ledger in hashed form, masking it from misuse.
• Self sovereign identity for customer where he/she can generate proof without sharing the actual age using custom Zero Knowledge Proof (ZKP) functionality
• Created single source of truth for customer data eliminating fragmented databases

Benefits

• Saving cost and time involved in the KYC process
• Custom ZKP based blockchain solution helped in compliance with GDPR and other data privacy laws
• Improved customer experience by removing the need to submit the same documents multiple times
• Open opportunities for new business models/products built around digital identity

Business Challenges

• Achieve efficiency through automation in a highly complex process. Automation was difficult due to fragmented functions
• Manage unsustainable peak in accounts payable and record to report area during the month-end resulting in backlogs
• Faster bot development

HCLTech Solution

• Automation of 20+ processes (50+ bots) in finance & accounting operations in 8 months
• Implementation started with 5 processes and the remaining use cases were added in product backlog in subsequent sprints
• Strong governance and reporting capability around bots

Benefits

• Clear visibility on the operations of bots in BAU
• Strong program management and visibility on each milestone deliverables during implementation
• Minimum bot downtime during business hours
• All bots developed within 8 months
• 33% committed productivity achieved

Business Challenges

The customer was receiving more than two billion alerts daily that were technical in nature, making it difficult to derive business insights and generate value. The loosely monitored day-to-day operations posed operational risks and the regulatory body demands remained unmet.Other challenges included:

• Improving the outage Mean Time To Repair(MTTR) and the visibility on the end-to-end(E2E) payments process flow.
• Tracking business metrics against each step of the business workflow to make the process more efficient.
• Lack of system stability leading to a lower overall customer perception.

HCLTech Solution

• Created an E2E payments monitoring dashboard and breach alerting system, along with the development of a bespoke toolkit to monitor VIP client files
• Enhanced risk management by maintaining a dashboard and alerting payments engine, access channels, and supporting applications

Benefits

• Efficiency and customer perception: Clear visibility of E2E process, exceptions, impact of changes. Historical performance reporting - efficiency compared across time periods
• Stability: Alerting of relevant parties in real time of any potential breaches - providing visibility and prompting action on potential issues before occurrence
• Regulatory:Full visibility and tracking of the payments process lifecycle including clearing cut-off times as to proactively mitigate regulatory impact risks

Business Challenges

• Enhance the quality of delivery
• Reduce the cycle time between releases
• Gain efficiencies for cost optimization
• Introduce collaborative working methods and processes
• Transform work culture into using agile methodology

HCLTech Solution

• Developed Release Automation Framework (RAF) through enterprise DevOps tools like JIRA, Bitbucket, Jenkins, SonarQube, Ansible and CA Release Automation.
• Migrated source code from different version control tools to centralized source code management system – Bitbucket

Benefits

• Provided one-click automation by using JIRA (within JIRA you can monitor your build and deployment status).
• Time for building the package and deploying to the SIT and UAT environment had been decreased without any manual intervention.
• Standard framework for deployment, by using which applications can be on-boarded and automated within a few minutes

Business Challenges

• Leading Australian mortgage and home loan lending bank was processing 200+ Mn pages annually that were received from broker or customers via email and fax
• Bank received almost ~30% documents as duplicates leading to high mortgage application processing time
• Manual errors due to large volume of duplicate documents

HCLTech Solution

• HCLTech performed POV on bank’s samples to showcase de-duplication and ensured it met all requirements w.r.t security, DevOps and AWS compatibility
• HCLTech’s AI based Exacto was implemented to remove up to 99% duplicates (60 Mn Docs)
• Hosted as a web service on AWS via DevOps CICD which had auto-kill switch enabled to switch to existing flow as and when required
• Auto-Scale enabled to add more infra in case of increase in volume
• Integrated with some of the cloud native services such SQS , AWS RDS, Key Management Service, Secret Manager, Artefactory and security modules
• Integration with bank’s Document-as-a-Service for document comparison

Benefits

• 33% duplicate documents identified & deleted
• 99.2% accuracy with 0% false positives
• 33% reduction in OPEX
• Almost 60 Mn duplicate documents were removed automatically

Business Challenges

• Huge manual effort to download packages, configuration and installation from Actimize share drive customer environments
• High risk of configuration integrity as it can be altered by anyone having access to target servers
• No streamlined system to manage vendor packages

HCLTech Solution

• Automation of downloads, configuration & installation of Actimize packages leveraging GIT and UCD
• Creation of Unified Configuration Generator for installers across all Actimize solutions
• Implemented Version Control System to eliminate redundant version of packages

Benefits

• 91% automation achieved
• 55% reduction in the cost
• Cycle time reduced from 60 minutes to 5 minutes
• Automated notification on the status success/failure of installation and upgrades