1 Optimize data management for smarter banking and financial markets
2 2 Flexibility, transparency, quick response times: Are you ready for the new financial environment? 1 2 and profitability Meeting customer demands for hightouch service and product variety is key to success Fierce competition makes rapid response to marketplace changes all the more important 3 4 and compliance Understanding and reducing risk can help you cut losses and improve portfolio quality Design an information agenda that puts you on the path to efficient, intelligent operations 5
3 1 3 As banks and financial service providers move toward recovery from the global financial crisis, the concept of business as usual is being turned on its head. Old business models no longer apply. Client trust must be rebuilt, and risk management is more important than ever. At the same time, new and proposed regulations are driving higher capital requirements. Even as financial organizations renew their focus on raising capital, improving asset quality and increasing profits, the weaknesses in banks loan portfolios and the overall decline in public wealth continue to limit access to capital markets. Banks clearly need a smart approach to conducting business in this new environment. Smarter banks can anticipate customer needs and deliver innovative products faster, more consistently and more nimbly than the competition. They have full visibility in real time of their risk position and customer needs. And they respond quickly to both challenges and opportunities.
4 1 4 Current and emerging technologies have tremendous potential to help financial services organizations achieve three key goals: Improve operational Support effective risk management This e-book will examine the challenges financial services organizations face today and how data management techniques can help them prepare for the battle ahead.
5 and profitability 2 5 Today, customers expect far more from their banks than a friendly face at the teller window and good interest rates. They want greater diversity in product offerings, and they are demanding new levels of convenience, personalized service and transparency. In addition, the average consumer is now using multiple channels to interact with their bank so meeting their heightened expectations while maintaining a consistent customer care and branding experience is more critical (and complex) than ever. To thrive in this emerging business climate, financial institutions must renew their focus on growth, rather than just cut costs. By offering customized products and individualized marketing programs, banks can expand their market share through improved customer care and reduced attrition. Analytics help financial institutions gain insight into their customers behavior and preferences to optimize product bundling and pricing, resulting in more products sold per customer and better profit margins. Stronger growth also helps drive new product innovation and development which helps attract even more new customers.
6 and profitability 2 6 Smarter banking in action A leading American provider of financial electronic commerce services and products carved out a competitive advantage by creating a bill payments data warehouse based on IBM DB2. This warehouse enables financial institution customers to utilize information from across the enterprise to improve its services and enhance customer satisfaction, while better managing risk and reducing fraud. Our database size has more than doubled since 2005, says a manager and database engineer for the company. By upgrading to DB2 9, we recovered 2.3 terabytes of storage and deferred more than US$1 million in storage expenditures during the fiscal year. Financial services organizations must leverage technology in new ways to achieve these goals. Creating improved processes and giving employees access to better tools for relevant, skillful and targeted crossselling and up-selling can help boost sales effectiveness. Performing sophisticated analytics on customer data enables you to match products and services with customer needs, providing more relevant and effective marketing. And with an enterprise-wide customer view across a range of channels, you can offer a more compelling customer experience across all touch points whether in a branch office, at selfservice kiosks, on the web or through a contact center. But don t stop there. Capitalize on cross-channel customer activity by linking detailed rules-based intelligence to process and data models. Use these customer insights to put more information into the hands of
7 and profitability 2 7 customer-service representatives to drive sales and service. With a better profile of each customer, you can offer more personalized service, resolve issues quickly and improve. The end result: better client care and satisfied customers, along with improved staff productivity. IBM data management solutions and technologies are designed to help financial services organizations drive growth. For example: DB2 supports enhanced productivity by automating many tasks, which can help free database administrators from having to perform the routine tasks that are required with other databases. The IBM Banking Industry Framework builds on the foundation provided by DB2 with bankingspecific software, solution accelerators and best practices to help financial institutions reduce costs and effectively manage risk while delivering an outstanding customer experience. IBM Banking Data Warehouse enables the consolidation of clean, meaningful financial data across multiple channels and products.
8 3 8 Competition in the banking industry is fierce, with virtually no room for error which is why the ability to bring new products and services to market quickly is a significant advantage. However, papercentric processes can slow key projects, prevent information from being shared easily and ultimately drive down margins. Financial services organizations can improve operational by eliminating those inefficient, paper-based and labor-intensive processes. By consolidating and optimizing front- and back-office processes, delivery systems and associated costs, banks can reduce cycle times and customer wait times. They can optimize customer-facing lending processes for speed and accuracy, and improve core systems information management, as well as manage information more effectively throughout its life cycle. Multidimensional analysis of performance metrics and advanced predictive analytics can help banks respond rapidly to customer demands and marketplace changes. Managing unstructured data and automating key processes helps to boost visibility into customer behavior, reduce costs and cut
9 3 9 Smarter banking in action SunTrust Bank migrated its IBM System p5 servers from DB2 8 to DB2 9 to improve infrastructure ROI, manage risk and increase DBA productivity. DB2 compression features played a main part in reaching those goals, as well as reducing costs. With DB2 9, we re seeing compression rates up to 83 percent on the data warehouse tables. The projected cost savings are more than US$2 million initially with ongoing savings of US$500,000 a year, says Michael Henson, DB2 UNIX team lead, Database Delivery Services at SunTrust Bank. time-to-market for new products. In addition, smart archiving strategies and tiered storage solutions can help control database growth allowing banks to reduce costs, improve performance, mitigate risks and address compliance issues associated with information access and archiving. With IBM data management solutions and technologies, financial services organizations can move swiftly and surely to improve operational. DB2 offers industry-leading performance across multiple workloads, which means that your company may need less powerful servers to run its databases. DB2 also provides support for native XML, helping organizations consolidate data repositories to minimize cost. These savings can contribute to reduced database software licensing, support and maintenance costs.
10 3 10 The IBM Banking Industry Framework builds on the capabilities of DB2 with a structured approach that combines best-in-class industry assets, repeatable software patterns and IBM Business Partner offerings to create a single view of customers, drive effective multi-channel delivery and enable outstanding sales, marketing and service. IBM Cognos software helps banks further leverage their existing data investment to identify, report on and analyze the costs of trade, staff performance, risk management, branch profitability, loan performance and customer profitability. IBM InfoSphere Optim solutions can help financial institutions manage data growth by archiving historical transaction records and storing them securely and cost-effectively. With less data to sift through, banks can complete mission-critical business processes rapidly and speed reporting. InfoSphere Optim solutions also help protect customer data through privatization in less-secure non-production environments.
11 and compliance 4 11 Smarter banking in action The global foreign exchange (FX) market trades several trillion U.S. dollars each day in multiple currencies, involving a worldwide, interconnected network of central banks. To manage settlement risk, the global financial system needed to enable simultaneous settlement of both legs of these FX transactions. CLS Group created a groundbreaking process for FX settlement, then partnered with IBM to design, develop and manage the global IT infrastructure required to support it. This unique system settles FX transactions concurrently across time zones, eliminating the failure of one side to pay its sold currency after receiving its purchased currency and/or the failure of intermediary institutions. The fact that we were able to handle the unheard-of surge in volume and volatility with no service disruptions and no loss of capital is enormously significant. This is why CLS was created, says Rob Close, CEO of CLS Group and president and CEO of CLS Bank. Support effective risk management Because liquidity issues can create problems even faster than P&L issues, managing liquidity and capital ratios has become a top priority for financial services institutions. At the same time, banks need to maintain transparent business processes so they can quickly understand and accurately report business results. Understanding and reducing risk can help you cut losses and improve focus on overall portfolio quality. However, a constantly changing landscape of regulations and guidelines can make this a difficult job. That s why banks need accurate, consistent and transparent risk information across business units: to help eliminate unexpected losses, reduce the need for higher capital requirements and prevent civil or criminal penalties.
12 and compliance 4 12 Effective risk management measures can help banks reduce all classes of risk financial and non-financial including credit, theft, fraud, identity, operational, IT. By managing enterprise information effectively, financial institutions can better protect customer privacy, meet security control guidelines and enable legal and regulatory compliance with records retention and management requirements. Plus, they can address demands for financial transparency and reporting (including liquidity monitoring and assessment). And by optimizing application development and delivery, banks can help internal and external auditors verify that compliance requirements have been implemented properly in key applications. IBM offers a range of data management solutions and technologies designed to help financial services organizations support those goals. For example, InfoSphere Optim solutions are designed to manage data from requirements to retirement helping financial institutions boost performance and improve governance across applications, databases and platforms. Société Générale, a leading French bank, uses InfoSphere Optim solutions software to maintain a consistent test data management methodology. The platform allows the organization to deliver reliable business applications and support its expanding retail, banking and insurance operations across international boundaries.
13 5 13 Become an information- financial services organization IBM has developed an approach to enterprise information management called an information agenda and data management forms the foundation for the technologies that underpin the IBM Agenda approach. The Agenda program offers a methodology that helps financial institutions respond quickly to today s unprecedented demands for more accurate, complete and actionable information whether on a global level or in the next cube over. The Agenda approach merges four key starting points from which financial organizations can start addressing their information challenges and get to smarter business outcomes faster: Strategy: Establish an information- strategy and objectives to enable business priorities Road maps: Accelerate information intensive projects aligned with the strategy to speed both short- and long-term return on investment infrastructure: Deploy open and agile technology and leverage existing information assets for speed and flexibility Define and govern: Discover and design trusted information with unified tools and expertise to sustain competitive advantage over time
14 5 14 Banking for a smarter planet As financial institutions transform their business models in response to the new economy, three key imperatives will have an impact on their success. By driving growth, improving operational and supporting effective risk management, banks can build the competitive advantage they need to compete for the attention of today s savvy customers. A smarter approach to banking, supported by data management solutions and strategies, helps financial organizations anticipate customer needs and deliver innovative products faster, more consistently and more nimbly. It can provide real-time visibility into the company s risk position and offer insight into what customers want empowering banks to respond quickly to both challenges and opportunities.
15 6 15 To learn more, please contact your IBM representative or visit: IBM DB2 IBM InfoSphere Optim Integrated Data Management solutions IBM banking industry solutions
16 Copyright IBM Corporation 2010 IBM Software Group Route 100 Somers, NY Produced in the United States of America November 2010 All Rights Reserved IBM, the IBM logo, ibm.com, DB2, InfoSphere and Optim are trademarks or registered trademarks of International Business Machines Corporation in the United States, other countries or both. If these and other IBM trademarked terms are marked on their first occurrence in this information with a trademark symbol ( or ), these symbols indicate U.S. registered or common law trademarks owned by IBM at the time this information was published. Such trademarks may also be registered or common law trademarks in other countries. A current list of IBM trademarks is available on the web at Copyright and trademark information at ibm.com/legal/copytrade.shtml Other product, company or service names may be trademarks or service marks of others. IMM14070-USEN-00
IBM Sales and Distribution Solution Brief Banking IBM Business Analytics: Finance and Integrated Risk Management (FIRM) solution Risk transparency across the enterprise 2 IBM Business Analytics: Finance
IBM Analytical Decision Management Deliver better outcomes in real time, every time Highlights Organizations of all types can maximize outcomes with IBM Analytical Decision Management, which enables you
IBM Software Cloud service delivery and management Rethink IT. Reinvent business. 2 Cloud service delivery and management Virtually unparalleled change and complexity On this increasingly instrumented,
Maximize customer value and reduce costs and risk companies around the world face the same challenges: How can they lower costs while increasing profitability? Improve efficiency? Identify, attract and
IBM Software Enabling business agility through real-time process visibility IBM Business Monitor 2 Enabling business agility through real-time process visibility Highlights Understand the big picture of
Five predictive imperatives for maximizing customer value Applying predictive analytics to enhance customer relationship management Contents: 1 Introduction 4 The five predictive imperatives 13 Products
IBM Software Group White Paper IBM Business Analytics Business analytics for banking Three ways to win 2 Business analytics for banking Banks need smarter systems to manage the flow of money around our
IBM Software Thought Leadership White Paper December 2012 Optimize workloads to achieve success with cloud and big data Intelligent, integrated, cloud-enabled workload automation can improve agility and
IBM Software Thought Leadership White Paper July 2011 The case for Centralized Customer Decisioning A white paper written by James Taylor, Decision Management Solutions. This paper was produced in part
IBM Software White paper December 2010 Reduce your data storage footprint and tame the information explosion 2 Reduce your data storage footprint and tame the information explosion Contents 2 Executive
IBM Software Solution Brief IBM InfoSphere: Solutions for retail Build a single view of customer information and a trusted source for product information with data integration and master data management
IBM Sales and Distribution Chemicals and Petroleum White Paper Tapping the benefits of business analytics and optimization A rich source of intelligence for the chemicals and petroleum industries 2 Tapping
IBM BPM powered by Smart SOA White paper Dynamic business processes for government: Enabling perpetual collaboration with IBM BPM. March 2009 2 Contents 2 Executive summary 2 The governmental challenge:
IBM and ACI Worldwide Providing comprehensive, end-to-end electronic payment solutions for retail banking IBM and ACI offer unparalleled expertise in designing and optimizing payment systems As leading
IBM Software Healthcare Thought Leadership White Paper For healthcare, change is in the air and in the cloud Scalable and secure private cloud solutions can meet the challenges of healthcare transformation
Delivering information you can trust IBM InfoSphere Master Data Management Server 9.0 Producing better business outcomes with trusted data Every day, organizations generate and collect a veritable landscape
The top 10 secrets to using data mining to succeed at CRM Discover proven strategies and best practices Highlights: Plan and execute successful data mining projects using IBM SPSS Modeler. Understand the
IBM Global Business Services Microsoft Dynamics CRM solutions from IBM Power your productivity 2 Microsoft Dynamics CRM solutions from IBM Highlights Win more deals by spending more time on selling and
IBM Unstructured Data Identification and Management Discover, recognize, and act on unstructured data in-place Highlights Identify data in place that is relevant for legal collections or regulatory retention.
IBM Software IBM Business Process Management Suite Increase business agility with the IBM Business Process Management Suite 2 Increase business agility with the IBM Business Process Management Suite We
IBM SPSS Modeler Three proven methods to achieve a higher ROI from data mining Take your business results to the next level Highlights: Incorporate additional types of data in your predictive models By
IBM InfoSphere Master Data Management Server Overview Master data management (MDM) allows organizations to generate business value from their most important information. Managing master data, or key business
CGI Payments360 Moving money with greater agility and confidence Experience the commitment Addressing today s payments realities Customers want the ability to buy anything, pay anyone and bank anywhere
Cloud Computing on a Smarter Planet Smarter Computing 2 Cloud Computing on a Smarter Planet As our planet gets smarter more instrumented, interconnected and intelligent the underlying infrastructure needs
IBM Telecommunications IBM and Comverse BSS/OSS Solution Based on Comverse ONE Billing and Active Customer Management Today s consumers live an always on lifestyle, driving the need for operators to reach
IBM Global Technology Services White Paper IBM Business Continuity and Resiliency Services Using the cloud to improve business resilience Choose the right managed services provider to limit reputational
The Smart Archive strategy from IBM IBM s comprehensive, unified, integrated and information-aware archiving strategy Highlights: A smarter approach to archiving Today, almost all processes and information
IBM Software IBM SPSS Modeler Solve your toughest challenges with data mining Use predictive intelligence to make good decisions faster Solve your toughest challenges with data mining Imagine if you could
Making critical connections: predictive analytics in government Improve strategic and tactical decision-making Highlights: Support data-driven decisions using IBM SPSS Modeler Reduce fraud, waste and abuse
Reliance Life Insurance Corporation Gaining market leadership with breakthrough self-service Smart is... Gaining the agility and insight to sense and respond to customer needs better, faster and more profitably
IBM Software Business analytics Business Analytics software Better Business Outcomes with Business Analytics Why analytics-driven organizations increasingly outperform their peers 2 Better Business Outcomes
Bunzl Distribution Solving problems for sales and purchasing teams by revealing new insights with analytics Overview The need Bunzl wanted to leverage its data for improved business decisions but gathering
Transforming your content into a trusted, strategic asset Agile enterprise content management and the IBM Information Agenda. Delivering a common information framework for uncommon business agility Highlights
IBM Coremetrics Web Analytics Analytics to power digital marketing optimization and execution Highlights Real-time Key Performance Indicators (KPIs) suitable for marketers from finance, retail, content
IBM Software Thought Leadership White Paper September 2010 Effective storage management and data protection for cloud computing Protecting data in private, public and hybrid environments 2 Effective storage
IBM Global Business Services CRM Customer Relationship Management Solutions from IBM Global Business Services Do you really know your customers? How do they like to interact with you? How do they use your
IBM Software Integrated Service Management: Visibility. Control. Automation. Enabling service innovation 2 Integrated Service Management: Visibility. Control. Automation. Every day, the world is becoming
IBM Software Group White Paper Insurance Insurance customer retention and growth Leveraging business analytics to retain existing customers and cross-sell and up-sell insurance policies 2 Insurance customer
IBM Software Thought Leadership White Paper IBM ExperienceOne 5 tips to engage your customers with event-based marketing Take advantage of moments that matter with in-depth insight into customer behavior
IBM Executive Point of View: Transform your business with IBM Cloud Applications Businesses around the world are reinventing themselves to remain competitive in a time when disruption is the new normal.
FUTURE-PROOF BANKING STRATEGIES Technology Transformation STARTS NOW Banks now better understand the strategic nature of their core systems and are ready to embark on critical technology projects to support
Customer Segmentation and Profitability Building Loyal, Profitable Customers S O L U T I O N P A P E R : FINANCIAL SERVICES SOLUTION PAPER: FINANCIAL SERVICES Customer Segmentation and Profitability Building
Investing in Success Pega Solutions for Financial Service Institutions Join many of the industry s largest and most influential financial services institutions including HSBC, JP Morgan Chase, Lloyds Banking
IBM Software Business Analytics IBM SPSS Modeler Solve your toughest challenges with data mining Use predictive intelligence to make good decisions faster 2 Solve your toughest challenges with data mining
2014 Survey The digital customer experience Learn what consumers think and what companies still need to improve. Table of Contents Introduction....3 The digital customer experience overall....4 What the
Balance and maximise your Oracle EBS investment with IBM Optim A Priceline and Travel Industry Case Study Philip McBride IBM Senior Consultant, Data Governance Worldwide Centre of Excellence IBM Balance
IBM Software Master data management vision and value: Part 1 Develop an 1 2 3 4 5 Introduction Where does MDM fit into business strategy? Four value drivers From big picture to Resources Introduction Who
IBM Cognos Performance Management Solutions for Oracle Gain more value from your Oracle technology investments Highlights Deliver the power of predictive analytics across the organization Address diverse
IBM Coremetrics Web Analytics Analytics to power digital marketing optimization and execution Highlights Real-time Key Performance Indicators (KPIs) suitable for marketers from finance, retail, content
IBM Netcool network management solutions for enterprise The big picture view that focuses on optimizing complex enterprise environments Highlights Enhance network functions in support of business goals
Enterprise Content Management Optimizing government and insurance claims management with IBM Case Manager Apply advanced case management capabilities from IBM to help ensure successful outcomes Highlights
John Sheehy Systems Architect 18 Feb 2009 Building a smarter planet with a dynamic infrastructure DYNAMIC INFRASTRUCTURE Helping build a smarter planet 1 2009 IBM Corporation The world is smaller and flatter.
RETAIL BANKING Customer Management Human. PRODUCT SHEET Managing all your customer interactions Ambit CustomerConnect SunGard s Ambit CustomerConnect provides banks with an integrated, centralized solution
IBM Software Group White Paper Business Analytics Business analytics for insurance Four ways insurers are winning with analytics 2 Business analytics for insurance Abstract Insurance companies need smarter
Fiserv Saving USD8 million in five years and helping banks improve business outcomes using IBM technology Overview The need Small and midsize banks and credit unions seek to attract, retain and grow profitable
IBM InfoSphere Optim Test Data Management Highlights Create referentially intact, right-sized test databases or data warehouses Automate test result comparisons to identify hidden errors and correct defects
CELERITI CUSTOMER AGILE BANKING TECHNOLOGY KEEP PACE WITH YOUR CUSTOMERS GROWING NEEDS KEEP PACE WITH YOUR CUSTOMERS GROWING NEEDS GROW YOUR CUSTOMER RELATIONSHIPS Building strong customer relationships
IBM Software Thought Leadership White Paper January 2013 The business value of improved backup and recovery The IBM Butterfly Analysis Engine uses empirical data to support better business results 2 The
IBM DB2 Near-Line Storage Solution for SAP NetWeaver BW A high-performance solution based on IBM DB2 with BLU Acceleration Highlights Help reduce costs by moving infrequently used to cost-effective systems
IBM Software A Journey to Adaptive MDM What is Master Data? Why is it Important? A Journey to Adaptive MDM Contents 2 MDM Business Drivers and Business Value 4 MDM is a Journey 7 IBM MDM Portfolio An Adaptive
Predictive analytics with System z Faster, broader, more cost effective access to critical insights Highlights Optimizes high-velocity decisions that can consistently generate real business results Integrates
IBM Software Big Data Retail Capitalizing on the power of big data for retail Adopt new approaches to keep customers engaged, maintain a competitive edge and maximize profitability 2 Capitalizing on the
IBM Software Business Analytics Customer Analytics Achieving customer loyalty with customer analytics 2 Achieving customer loyalty with customer analytics Contents 2 Overview 3 Using satisfaction to drive
IBM Software IBM Business Process Manager Powerfully Simple A single BPM platform that provides total visibility and management of your business processes 2 IBM Business Process Manager Powerfully Simple
Introduction Business Analytics combine business intelligence, financial performance and strategy management, analytical applications and predictive analytics. These four areas leaders, managers and strategists
IBM Software Business Analytics Insurance Three Ways to Improve Claims Management with Business Analytics Three Ways to Improve Claims Management Overview Filing a claim is perhaps the single most important
An Oracle White Paper October 2010 Siebel Financial Services Customer Relationship Management for Banking Executive Overview Banks are in constant interaction with customers. A winning and proven strategy
IBM Software White Paper Financial Services Smarter digital banking with big data Transform customer relationships and improve profitability 2 Smarter digital banking with big data Contents 2 Introduction
Improve business agility with Message Broker Enhance flexibility and connectivity while controlling costs and increasing customer satisfaction Highlights Leverage business insight by dynamically enriching
Leveraging Information For Smarter Business Outcomes With IBM Information Management Software Tony Mignardi WW Information Management Sales IBM Software Group April 1 2009 Agenda Our Smarter Planet and
Cloud storage is strategically inevitable IBM can help in preparing for a successful cloud storage deployment Highlights Use cloud technology to enable speed and innovation by empowering users and communities
IBM Software Business Analytics IBM SPSS Predictive Analytics Predictive Analytics for Donor Management Predictive Analytics for Donor Management Contents 2 Overview 3 The challenges of donor management
IBM Sterling Order Management Manage orders and grow revenue across your extended enterprise Overview In this Solution Overview, you will learn: How to obtain cross-channel excellence by efficiently orchestrating
IBM ediscovery Identification and Collection Turning unstructured data into relevant data for intelligent ediscovery Highlights Analyze data in-place with detailed data explorers to gain insight into data
Test Data Management in the New Era of Computing Vinod Khader IBM InfoSphere Optim Development Agenda Changing Business Environment and Data Management Challenges What is Test Data Management Best Practices
Fernando Pedraza Vice President System & Technology Group Latin America Lets Build a Smarter Planet : Dynamic Infrastructure for Financial Services 2009 IBM Corporation The world is smaller and flatter.
Recognize the many faces of fraud Detect and prevent fraud by finding subtle patterns and associations in your data Contents: 1 Introduction 2 The many faces of fraud 3 Detect healthcare fraud easily and
IP contact center Executive brief July 2007 Innovation with Internet Protocol contact centers: how IP communications empower business. Page 2 Contents 2 Introduction 3 Traditional call center blues 4 Imagine
IBM Global Technology Services Cross-industry Defining a blueprint for a smarter data center for flexibility and cost-effectiveness Analytics-based services provide insight for action 2 Defining a blueprint
IBM Customer Experience Suite and Predictive Analytics Introduction to the IBM Customer Experience Suite In order to help customers meet their exceptional web experience goals in the most efficient and
August 2013 Business-driven governance: Managing policies for data retention Establish and support enterprise data retention policies for ENTER» Table of contents 3 4 5 Step 1: Identify the complete business
IBM Global Technology Services Thought Leadership White Paper November 2010 Strategies for assessing cloud security 2 Securing the cloud: from strategy development to ongoing assessment Executive summary