Getting the Moss

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Getting the Moss Out of Wealthview Banking
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Getting the Most Out of Wealthview Banking

• Strategies In Use at Island Savings Credit Union
• Case Study Presentation for Fincentricity 2006

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Introduction

• Darrell Jaggers VP Information Systems
• Island Savings Credit Union
• 1 Billion in Assets and Growing
• 37,000 Members
• 300 Employees
• Head Office Duncan, BC
• Implemented Prologic RBS in 1989.
• Migrated to Wealthview Banking in 2002.

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Island Savings Story

• Corporate Culture Evolution
• Service Culture
• Service at all cost
• Sales Culture
• Increase depth of financial relationships
• Relationship Culture
• Member centered
• The Banking System must support this ongoing
  evolution!

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In Financial Services - The Only Constant is
Change
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Island Savings Core Banking System Requirements
- Why WB?

• Ability to control own destiny in terms of new or
  modified banking system functionality, support,
  cost structures, and system uptime.
• Banking system fully supported by the vendor.
• Banking system ability to be quick to market with
  new products and services.
• Assurance of future extensibility in relation to
  new functionality and ability to grow with us.

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Relative Cost Comparisons Feb-06(Source CUCBC
Comparative Analysis Report)

• Data Processing cost per member
• Data Processing cost compared to avg assets

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Why WB? In-House Operations

• ISCU has run banking systems operations in-house
  since 1991.
• Exceptional systems uptime.
• Exceptional operational risk audits.
• Not just an operations department - still able to
  complete a substantial amount of business
  critical software development and integration
  over and above.

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In-House Operations - Staffing

• 3 Programmer/Analysts
• 2 Business Analysts
• Manager, Business Systems Process
• Technical Architect
• Network Administrator
• 2.5 Part Time Computer Operators
• Misconception its too costly for medium sized
  CUs to run banking systems in-house.

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Keys to Maintaining EffectiveIn-House Operations

• Process! Process! Process! Well defined,
  clearly understood processes around operations,
  software maintenance, and software development.
• High quality WB Service Packs provided by
  Fincentric.
• Streamlined processes for Service Pack
  implementation projects at ISCU.
• Keep WB local layer as small as possible.

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Why WB? Strategic Alignment

• WB has a key role to play in enabling ISCU
  Strategic Business Plan.
• Alignment to ISCUs Technology Plan is also
  essential.
• Microsoft technologies used by WB are already the
  foundation for ISCUs enterprise data processing
  and information infrastructure.

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Bank in a Box - PLUS!

• Core banking system functionality has become a
  common denominator (suppliers are stressing this
  fact).
• WB offers much more latent functionality than is
  given credit for (or is understood).
  Opportunities!
• Integrated solution banking versus a jumble of
  3rd party best of breed applications.
• Cost structures for integrated solution suitable
  for ISCU sized organization.
• Low(er) cost solution but most bases covered
  for key areas of functionality needed (or thought
  to be) by CUs.

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ISCU Key Corporate Projects Using Existing WB
Functionality

• Corporate Information Strategy (enhanced
  reporting, dashboarding of key corporate metrics,
  balanced scorecard)
• Shadow Filing
• Householding
• Member Segmentation
• Profitability (contribution to margin phase1)
• All tied directly to ISCUs strategic business
  plan!

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More Key Corporate Projects Using Existing WB
Functionality

• CRM Light
• Online signatures.
• Touchpoints.
• Event driven notices (secure messaging to
  members, etc.).
• Capturing of member contact preferences.
• Pitch.
• Referrals.
• Dormant Inactive processing
• Non Performing Loans functionality
• Business Process Automation

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Success Story - WB Loan Application Form

• Improved L.O. had been a longstanding gap in WB
  functionality.
• Understanding of what a LOS is supposed to do is
  poor (paper forms generation workflow auto
  decisioning)
• Many vendors selling sexy solutions but nothing
  fully integrated or proven.
• LAF project is a great example of Fincentric
  stepping up to the plate to build key
  functionality as a joint development project with
  CUs.

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Banking System - Emerging Needs

• ISCU is looking to Fincentric to play a key role
  in assisting in solutions development in the
  following areas
• Application Integration
• Workflow Automation
• Business Banking
• Credit Auto Decisioning
• Chip Card Readiness

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GAP Application Integration

• Integration between applications is a key area
  where we see large opportunities for efficiency
  gains.
• WB must interface easily to the outside world
  (front back ends).
• Interfaces to 3rd party applications are a
  requirement (and must be able to be created
  quickly)
• MemberDirect, MemberDirect Business
• CUMIS / CRI
• CMHC Emili
• CRM (MS CRM preferably)

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Gap Workflow Automation

• Workflow Automation goes hand-in-hand with CUs
  desires to re-engineer business processes.
• Microsoft technologies play a key role
• Sharepoint portal server (Intranet)
• Exchange (messaging)
• InfoPath (e-documents)
• BizTalk (business process automation)
• .NET (services key programming technology)
• WB needs to effectively utilize these new
  technologies.
• WB Pathfinder is already a benefit!

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GAP Business Banking

• WB is a retail banking system and does not meet
  business banking needs very well.
• Commercial lending support and commercial member
  initiation within WB is poor.
• MemberDirect Business is a satisfactory Internet
  business banking solution there may be an
  opportunity here with CUCBC to make it better for
  WB users.

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GAP Credit Auto-Decisioning

• Rules-based credit auto decisioning is a logical
  next step in WB loans origination improvements.
• Gateway to external provider and/or institutional
  decisioning parameters is what were looking for.
• Fincentric has proven abilities in gateway
  development and the WB approval structures could
  facilitate an effective solution

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GAP Coming Soon - Chip Card

• Interac has mandated all financial institutions
  to move to chip card technology.
• WB ATM/POS gateway will need new capabilities and
  new supporting banking system functionality.

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Some Final Thoughts

• The effort to stabilize the WB application
  through Service Pack effort over last 2 years has
  been a success - and was a necessity!
• Fincentric needs to quickly move to new
  functionality development and delivery BUT must
  be aligned to market needs, not assumptions.
• The integration layer, where functionality
  meets business process, could be a significant
  opportunity to add further value to WB.
• We are very encouraged by Fincentrics efforts!

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• Were looking forward to getting
• More of the
• Most out of Wealthview Banking!