bpm - db case study

8/10/2019 BPM - DB Case Study

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DB-DI Channel Onboarding Process Improvement for

Deustche Bank

BPM Consulting Engagement

Engagement Report from Ravindra Bhuyarkar

DurationMarch 07, 2008 To May 30, 2008


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Know Your PlanetDeutsche Bank Case Study

CONFIDENTIAL- 1 -

Outline

1

4 Deadlines & Deliverables

Background & Motivation

Approach & Methodology

5 Observations & Next Steps

3 Business Process Improvement

2


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CONFIDENTIAL- 2 -

Background

Consulting Guidance

Leverage Existing Business Process Assets, (80-20 Golden Rule to identify vital opportunities)

Reduce process overheads on existing Channel Onboarding Process

Introduce technologies to optimize Channel Administration

Top Three Pain Areas(Hypothesislater validated)

Business Org.

7/11/2008 The legal documentation and the related implementation process is not optimal

Customer data is administered in multiple systems and multiple times

The data administration systems are not reliable, are too costly to maintain and

lack features that minimize data entry but maximise quality of data entry


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CONFIDENTIAL- 3 -

Client implementation requires a

significant amount of time and effort

This leads to

Prepare for Due Diligence on As IS Channel Onboarding Process

Assess the existing IT Architecture Landscape (New Technology)

Motivation

Though part of the timeframe is on

the client, our internal processes

are also far from optimal

1-4 months to implement a local deal (e.g. online

access, with ERP integration, H2H)

6-12 months for a more complex regional deal

A global deal may take even more time e.g. 2 years

for Japan Tobacco Industries

One aspect is complexity of IT landscape

having two systems to administer the data,

which contributed to the process

complexity

Another is the disparate regional and

country-specific processes that greatly

increases the time and complexity for

regional and global deals


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CONFIDENTIAL- 4 -

Outline

1






2


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CONFIDENTIAL- 5 -

The Ball Starts Rolling...

Engagement Approach: Getting in Workshop Mode

Prepare for Workshops

The objective is to arrive at common understanding of problem statement, identify and freeze

deliverables, timelines, roles and responsibilities, risks and mitigation and important

milestones

What we wantTEAM BUSINESS

How to accomplishTEAM CAP IT

The Best Fit ApproachBPM Consulting View

Freezing the start point and end-point for the target process

Preparatory Workshop

Design Workshop

Building the Perspectives...

Envisage the high level target process, identify touch points

Suggestions and Value Additions

Agreement on tasks and activity level


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CONFIDENTIAL- 6 -

Preparatory WorkshopArticulating the Expectations

Identified need for Volumetric Analysis

We recommended volumetric analysis to the client to benchmark and measure the effectiveness

of process for the stated criterion.

Business perceives as an immediate need to target DB-DI Channel onboarding process and

introduce technology drivers like intelligent forms to strengthen existing business process

Reduce the Following...

7/11/2008 Time to implement new clients and maintain the credentials for existing clients

Number of errors in the different process steps

Cost of performing the process, redundancies in capturing data

Cost to update the administration systems for new access channel products,

product features, attributes and entitlements


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CONFIDENTIAL- 8 -

Outline

1






2


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CONFIDENTIAL- 9 -

Design Workshop

The picture below depicts the conceptual views for Product & Channel Definition in process

improvement initiative for channel onboarding for DB-DI

Customer

ProductsProductsProductsFactories

ProductsChannels

...

EBICS

DBDC

DBDI

...

Account

InfoCollections

Payments

Customer can use any of the channel tosend a desired product or he can sendit without any channels.E.g: 80% of the Cash productsaresent using channels.90% of the Trade productsare notusing any channels.

Backend systemswhich does the realtranscation

Different type of modules like

Payments (Domestic) Payments(International) Collections

Import Business Bills Discounted Direct Collections

Cash Information Notice to Receive

...

Accounts

Account that is used by the customerfor transactions

Getting every stakeholder at same level of understanding

Identifying roles and responsibilities from stakeholders

Data Collection, Validation


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CONFIDENTIAL- 11 -

The below picture highlights the current areas of technical & functional constraints.

Architecture Constraints

Constraints areas in DA and CAAA are technical in nature and not illustrated in this deck

These constraints are beyond scope of BPM Consultants purview

ITLandscape which supports DB-DI Channel Onobarding


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CONFIDENTIAL- 12 -

Scope of Engagement

From BPM Consulting Perspective -

Process Implementation Roadmap, Detailed Estimate from IT Organisation, KPI, Governance Structure,

Simulation, Standardization to be taken up later, separately and hence not in scope for this engagement

Problem Definition - Business Organisation propose to improve the channel onboarding

process for DB-DI

TouchPoints

7/11/2008Process Owner - CM&IS Business Organisation

Process Scope -

Starts with Legal Documentation Process

New Process to leverage existing accounts is to be designed Ends with Channel Administration

Process Linkage

Account Opening Process at GTB Business Organisation Level

Improvement Drivers

Qualitative and dependent on existing client onboarding process


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CONFIDENTIAL- 13 -

Objective (1): Design Company Account & Enablement Process

Account Opening

EB Legal Doc Process

Channel Administration

Installation / Training

Working AssumptionCompany & Account Enablement Process

The improvement scope for proposed channel onboarding process for DB-DI includes improving

EB Legal Documentation Process, Leveraging Existing Account Opening Process

Whenever an account is opened, this account will need to be administered in the

Global Account Documentation System (GADS). Once an account is duly

documented the Company and Account Details are replicated to the Channel

Administration Platform (CAP) with this process.


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CONFIDENTIAL- 14 -

Objective (2): Improve Legal Documentation Process

Deal Framework Completion

Legal Addresses

Fees

Accession Agreements

Legal Contract

Execution

Verify Signatures

Review & SignClient process

Bank

Implementation

process

Channel Contract

Standard Form

D

A

Account Opening




Proposed WorkflowEB Legal Documentation Process (Reduced process Overheads)


EB Legal Documentation Process, Leveraging Existing Account Opening Process


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CONFIDENTIAL- 15 -

Channel

Administration &

Support process

Administration

Forms populate CAAA

database

Installation

Provide User IDs, Passwords

Install Drivers

Generate Certificates

Training

Client process Channel Data

Execution

Verify

Signatures

on Forms

Legally Binding (signed)

Standard Forms

CBBD

CCD

CCD

Objective (3): To Improve Channel Administration Process

Account Opening





Channel Administration Process by leveraging intelligent forms technology

Proposed WorkflowChannel Administration (Introduced technology lever)


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CONFIDENTIAL- 16 -

Outline

1






2


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CONFIDENTIAL- 17 -

Execution Timelines

Following Tasks were identified as part of project plan for BPM Consulting Engagement

Task Name Duration Start Finish Comments / DeliverablesHigh-level future business process for DBDI 50 days 17-Mar-08 27-May-08Task Accomplished

Analyze & specify target client onboarding

business process and workflows for dbdI 4 days 17-Mar-08 20-Mar-08Task Accomplished

Exploring Client on boarding "As - Is" Scenarios in

ADONIS 3 days 17-Mar-08 19-Mar-08Task Accomplished

Discussion with Business Group as envisaged in Oct

2007 Proposal - Backdrop at a glance, Stakeholders

Vision / Mission, Competative Landscape,2 days 19-Mar-08 20-Mar-08

Task Accomplished

Discussion with Business Group - Analysis andDecomposition from level 0 onwards, reference Oct

2007 Proposal 40 days 27-Mar-08 21-May-08Task Accomplished

Plan for Preparatory Workshop 9 days 27-Mar-08 8-Apr-08Task AccomplishedConduct Preparatory Workshop - Phase 1 2 days 9-Apr-08 10-Apr-08Task AccomplishedConduct Preparatory Workshop - Phase 2 1 day 16-Apr-08 16-Apr-08Task AccomplishedAnalysis of Preparatory Workshop 6 days 10-Apr-08 17-Apr-08Task Accomplished

Articulate high level building blocks for target process5 days 18-Apr-08 24-Apr-08

Task Accomplished

Plan for Design Workshop 5 days 23-Apr-08 29-Apr-08Task AccomplishedConduct Design Workshop 2 days 6-May-08 7-May-08Task AccomplishedPrepare Business Process Master List 6 days 8-May-08 15-May-08Task AccomplishedPublish Business Process Master List and Invite

Review Comments 4 days 16-May-08 21-May-08Task Accomplished

Translate Processes in Adonis

5 days 21-May-08 27-May-08

Release Target Processes 5 days 21-May-08 27-May-08

Task Accomplished

Task Accomplished

Mil t & D li bl


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CONFIDENTIAL- 18 -

Kick-Off with Business Organisation

Deliverable -> Minutes of Meeting clarifying Client Onboarding vis--vis Channel Onboarding for DB-

DI

Preparatory workshop (Phase 1 and phase 2)

Deliverable -> Minutes of Meeting and Workshop Deck (presentation) that identified stakeholders

participation, start point and end points of engagement

Design Workshop

Deliverable -> Minutes of Meeting and workshop deck (presentation) that identified execution

methodology, approach, team roles and responsibilities, agreement on deliverables and deadlinesfrom BPM Consulting Engagement and compilation of Business process master list

Review and Release of Business Process Master List

Deliverable -> Business Process Master List which has a linkage from high level business process to

sub-processes, activities and tasks. Also identified process attributes, outliers and scenarios like add,

delete account etc.

Limited review and release of DB-DI channel onboarding business process

Deliverable -> DBDI Business process is modeled in Adonis with limited review from team CAP IT

BPM consulting reports & recommendations

Deliverable -> Interim report while working onsite from Eschborn and Final Engagement Report to

outline the observations and recommendations going forward

Milestones & Deliverables


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CONFIDENTIAL- 19 -

Outline

1






2


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CONFIDENTIAL- 21 -

Observations At Interim StageDesign Workshop

The following business processes master list is compiled during design workshop and reviewed

with subsequent discussions with stake holders

LEVEL 1 PROCESSES

Company and Account Enablement EB Legal Documentation Channel Administration

LEVEL 2 SUB-PROCESSES

Company and Account Enablement EB Legal Documentation Channel Administration

CAE1Administer Company or Account

Details

LD1 Create / Change Legal Agreement CA1 Initiate

CAE2 Execute In country tasks LD2Terminate Legal Agreement (CustomerDeactivation)

CA 2 Administer the Entitlement Data

CAE3Approve Pending Company &Account Details / Replicate toChannels(applicable if done manual)

CA 3 Data & Signature Validation

CA 4Execute Data Enrichment and / orRelease Approval

CA5 Deploy Changes

CA6 Customer User Activation Process

CA7 CSA User Activation Process

CA8 Deactivate Customer


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CONFIDENTIAL- 22 -

Show Stopper Scenarios- Disagreement from Functional Expert meeting the expectations

- Inability of Solution Architect to support the expectations within short time lines

- Identify other risks..,

For Out of Scope Parameters & Potential Measures

- Evaluate the essence of these parameters to CSD Phase 3 engagement

- If required, these can be taken up as separate workstreamsunder CSD Phase 3

Risks & Mitigation

Detailed Risks and Mitigation from IT perspective to be worked out separately

Team IT agreed to evaluate in details (from functional aspects and architecture landscape

perspective) if there exists any show-stoppers and potential remedies separately while deriving

functional specifications

These risks are adequately discussed in the design workshop and are mitigated as under


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Know Your PlanetDeutsche Bank Case StudyCONFIDENTIAL

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Recommendations (2)Team CAP IT

DB-DI channel Onboarding Process

o Leverage the Adonis training session and tool knowledge in fine tuning the currently

modeled processes V0.3

o With expertise of Domain Specialist, evaluate an opportunity to standardize the level one

and level 2 processes for other channel onboarding process

o Evaluate the fitment of DB-DI channel onboarding process IT architecture with the

organizational guidelines of IT strategy

IT Landscape and Technology Support

o Technologies evaluated to support the DB-DI channel onboarding process should be aligned

to organisational IT strategy guidelines

o As DB-DI channel on-boarding is termed as child process of Client on-boarding process, thecriterion for technology evaluation and selection should be robust and scalable to meet,

support / align to client on-boarding technology requirements


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Recommendations (3)Business Organisation

DB-DI channel Onboarding Process

o Business organisation should clearly define the roles and assign responsibilities to facilitate

effectiveness of newly improved DB-DI channel onboarding process

o The business process is currently not earmarked for the inter and intra department service

level agreements, timelines and clarity on metrics and measurement as the process

graduates to next level

o The business organisation should evaluate an opportunity for benchmarking the processoperations and cycle time at important toll-gates / sub-processes

Design Process Implementation Roadmap and Reviews Mechanism to have

o Governance structure for implementation of DB-DI channel onboarding process

o Continuous process improvement initiative to incorporate Industry Best Practices and

dashboard to monitor and measure the performance of Key Process Indicators


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- 26 -

Thank You

For More information / clarifications, the BPM Consultant can be reached at

Ravindra Bhuyarkar

1, Mangaldas Road

PuneINDIA

PIN411 [email protected]

Phone - +91 20 6608 7902
mailto:[email protected]:[email protected]

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