Driving Innovation In Banking Through Digital Channel Optimization
- The existing banking infrastructure used by our client for these services was:
- Outdated and no longer fit for purpose,
- Had one of the highest CPU consumption rates and transaction costs in the bank, making it inefficient and costly to run,
- Difficult to find software developers who were skilled in the technology used, making it hard to keep the system up-to-date and secure
- Inadequate to meet the security needs of today.
- Resulting in unsustainably high maintenance and support costs,
- Not capable of supporting next generation technologies or integrating with other systems, and
- Having some of the codes older than the software developers themselves, making it difficult to implement new features and requiring significant development effort.
- The decision was made to adopt the same technology used by the global headquarters.
- In the banking industry, certain tasks must be completed within strict timeframes, such as legal obligations, financial transactions, and end-of-day work. Any delay or disruption to these tasks could have serious consequences. Because the existing system was consuming large amounts of CPU to deliver the right offer at the right time through the right channel, it was difficult to prioritize the new offer process, resulting in missed revenue and profitability targets.
- A new generation, open-source, and microservices-based architecture tailored to the bank’s specific needs.
- Selection of a new database management system, migration of data from the old one to the new, and a variety of configurations to optimize performance.
- To make the cultural change effective, regular trainings on the technology and the way of working is provided throughout the project duration. To enhance knowledge transfer, we supported the process with on-the-job trainings
- Thoroughly reviewed the existing code base while migrating to the new solution, removing unnecessary code, improving performance, and implementing code quality enhancements.
- Built a solution consisting of 5 domains and 23 microservices, along with a well-designed integration architecture to facilitate communication with the ecosystem. This activity was performed in coordination with all other affected domains.
- Contributed critical information, troubleshooting methods, and solutions to a knowledge base.
- The team successfully replaced the huge and complex mainframe code, which had been written and modified by numerous developers over the years, with modern technology. Thus, a massive code base of 200.000 lines is streamlined into a more manageable structure. This made the codes in the production environment more modular, reducing the migration effort by 27%.
- The entire software is reevaluated and redesigned from the ground up, taking into account both technical and business needs. All bank units adopted the newly developed core components, promoting consistency.
- The team optimized the architecture to handle high-volume transactions, which can reach up to 50 million per month. This improvement significantly reduced CPU consumption, resulting in an annual savings of $1.3 million.
- The restrictions imposed due to high CPU consumption is eliminated, enabling timely delivery offers to customers. This resulted in approximately $2.1 million in additional revenue.
Two hundred fifty digital sales opportunities in 3 key areas resulted in a 26% increase in active digital customers.Discover
According to research by Forrester, inefficient processes cost organizations up to 30% of their annual revenue, and digitalization can save up to 90% on operational expenses. Therefore, almost all companies are heading toward digital transformation. Banks are no exception.Discover
In the current telecommunications industry, high customer penetration and increased competition force product managers to introduce new personalized offerings regularly.Discover