FINACLE CORPORATE BANKING

Transcription

1 FINACLE CORPORATE BANKING

2 Be a strategic partner to your corporate clients Corporate banking business continues to face headwinds globally. Intensifying competition, surging regulatory costs, rising capital requirements and high non-performing assets are posing multiple challenges for banks. Sluggish macro-economic conditions coupled with geo-political uncertainties have further compounded the situation. Pricing pressures and increasing compliance costs have eroded the profitability significantly. There is an unprecedented flux as multiple disruptive trends collide with traditional business models. At the same time, with increased globalization and operations spanning multiple geographies, corporate customers demand sophisticated solutions and superior digital services from their banks. In response, banks are introducing tailormade solutions to meet the diverse needs of their customer segments. However, they are constrained by the complexity of the existing business technology landscape, riddled with multiple product-centric silos and legacy applications. To succeed, progressive banks are seeking an agile and robust banking platform which empowers them to achieve differentiation and to respond quickly to dynamic business challenges, while also reducing their operating costs. Finacle corporate banking solution Finacle offers a comprehensive corporate banking solution on the industry s most advanced architecture. The solution addresses the trade finance, lending, syndication, payments, origination, limits, collaterals, treasury, deposits, liquidity management, online banking and mobile banking requirements of corporate banks worldwide. The solution empowers banks to deliver tailor-made offerings to their small, medium and large enterprise clients. Finacle also lets banks reimagine their business with modern technologies and explore new revenue models. The solution offers capabilities to achieve unprecedented efficiencies by leveraging emerging technologies such as blockchain, biometrics and advanced analytics. The solution offers: Comprehensive coverage to empower banks to enter into new business segments, rapidly Omnichannel capabilities to enable corporate customers to have real-time access of their financial positions and banking services across devices Enterprise-class components such as payments, origination and liquidity management help banks create unified processing hubs across business units to enhance operational efficiencies Multi-entity, multi-ccy, multi-time zone capabilities to standardize and centralize operations across international or domestic subsidiaries Product factory infrastructure for business users to accelerate new product creation and flexible credit structuring Unified view of corporate relationships and exposure across global operations Layered SOA (Services Oriented Architecture), best processes repository, process orchestration and STP capabilities to enhance operational efficiencies Scalable and proven technology which is consistently rated as best-in-class by leading industry analysts Reduced time to compliance with realtime view across business data Readymade integration adaptors and compliance to industry standards to reduce integration costs and enable enhanced STP (Straight through processing) across the enterprise Open APIs to enable collaboration with eco-system partners for new product introductions and digital service innovations Innovative blockchain based solutions to power trade finance and international payments Progressive cloud journeys with our partners such as AWS, Oracle, and Verizon for improved agility and lower TCO Robotic process automation capabilities to drive operational excellence Finacle AppCenter a marketplace for accelerating digital banking innovations Leveraging the componentized structure of the solution, banks can choose to deploy or upgrade Finacle solutions all at once or one at a time, depending on business priorities. This flexibility empowers banks to simplify their transformation journey while enabling them to reap modernization benefits faster. 2 I External Document 2018 EdgeVerve Systems Limited

3 Functional architecture Channels, Distribution & Integration Branch Online Mobile API and ERP Integration SOA Integration Framework SME Enable Call Center Omni-channel Hub CIF Origination Liquidity Management Payments Hub Finanz Tools Enterprise Components Analytics Limits Collaterals Trade Connect Payments Connect Corporate Deposits Corporate Loans Trade Finance Syndication Functional Components Leasing Treasury Islamic Banking Securitization Common Services Master Data User Definition Multi-Entity Multi-Calendar General Ledger Multi-Currency Standard Infrastructure Components Infrastructure Services Workflow(BPML) Reporting and MIS Security Finacle Studio Communication External Document 2018 EdgeVerve Systems Limited I 3

4 Componentized solutions. Simplified transformation. Global customer management Leverage Finacle customer management module to: Gain a unified 360 degree view into a customer s relationship with the bank across product lines and geographies. Leveraging the relationship hierarchy feature, banks and customers can get an online real-time view of their relationships across the group companies Comply with various regulatory requirements including KYC, KYB, OFAC, and AML checks Corporate online banking Finacle corporate online banking delivers a comprehensive, flexible and secure online banking solution that empowers banks to quickly roll out channel innovations to enable their enterprise customers to manage global finances judiciously, accurately and in real-time. The solution delivers a dashboard view of corporate banking relationships across asset and liability products, limits, trade finance and cash management This omnichannel solution empowers corporate customers to see graphical views of liquidity positions on-the-go, across devices to accelerate decisionmaking. It also enables them to forecast cash flows and select the liquidity management structures best suited to their needs from the channel of their choice Built on open industry standard platforms like J2EE and.net, in portalized and non-portalized flavors, Finacle leverages industry standard protocols and development methodologies to seamlessly interface with multiple back office systems Mobile banking The Finacle mobile banking solution offers an intuitive and secure, banking and payment experience to retail, corporate and SME customers. The solution is based on the Google Material design concept wherein the user interfaces are consistent in their experiences across native and hybrid platforms as well as all operating systems in the mobile ecosystem. The solution enables banks to delight customers with a broad range of differentiated service capabilities such as speech based payments, touch ID based biometric authentication, and mobile remote deposit capture The solution leverages the Finacle omnichannel hub to enable seamless banking experiences across all touchpoints It enables robust security mechanisms with multi-factor authentication Deposits Meet the challenges of a changing market and increasing customer expectations with a comprehensive range of capabilities and flexibility offered by the Finacle deposits module: Comprehensive range of products for corporate clients including checking accounts, certificates of deposit, notice checking accounts, callable CDs Capabilities such as product factories, extensive parameterization, reusable business rules, global product templates and product bundling deliver superior agility to advance innovation and offer personalized solution to client needs Leverage Finacle s comprehensive solution offerings, built on the industry s most advanced architecture, to become a strategic partner to your clients. Empower your bank with an agile platform to design tailor-made solutions to meet the diverse demands of various customer and business segments. 4 I External Document 2018 EdgeVerve Systems Limited

5 Enhancing customer propositions in liquidity management space Emirates NBD wanted to respond to its treasury managers call for a real-time liquidity management solution that could provide an aggregated view of global accounts. With the Finacle Liquidity Management solution, Emirates NBD clients can now integrate with their cash management policies to manage receivables, payables, account services and investments, efficiently. The initiative helped improve stickiness with corporate clients significantly, while also delivering an unprecedented 700 percent return on technology investments. External Document 2018 EdgeVerve Systems Limited I 5

6 Liquidity management A front-to-back office liquidity management solution to offer a comprehensive range of services to corporate customers to identify, manage and optimize liquidity. The solution s parameterization-driven, product-based approach enables banks to offer tailor-made liquidity management services to corporate and small and medium enterprise clients Cross-border, cross-currency, crossbank liquidity management capabilities optimize liquidity by leveraging techniques, such as notional pooling, sweeps, reverse sweeps and target balancing The solution offers a wide range of flexible models for interest definition and distribution on pooled accounts. Limits Finacle Limits is an advanced enterprisewide limits management and tracking system. The solution enables real-time tracking and monitoring of customer exposures. Key highlights of the solution include: Multi-currency and multi-layered limits supporting utilization by multiple transaction systems Global limits tracking across multiple legal entities and countries Sanction of temporary limits and seasonal limits Earmarking limits, transfer of limits and restructuring of limit hierarchy Collaterals Finacle Collaterals is an advanced enterprise-wide collateral management and evaluation system. The solution helps reduce risks and secure exposure. Key highlights of the solution include: Flexibility to create new collateral types dynamically Creation of a basket collateral with collaterals of different types and currencies Process configuration for valuation, inspection and insurance tracking Agility for continuous innovation Commercial Banking modernization is one of the most ambitious programs at the Group, a true tier 1 global financial institution. ING in partnership with Infosys Finacle, embarked on a massive exercise to transform its commercial banking operations in multiple countries spread across 3 continents. Like most large banks, the technology landscape featured multiple legacy components that not only impeded scalability but also drove up maintenance costs. The general lack of standardization also created multiple operational challenges for the bank, including drawn-out time-to-market for new product launches. ING wanted to leverage the robust account management modules and the multi-entity feature of Finacle to unify multi-country operations under one entity with a unified database. The early results of transformation have been highly encouraging. The time-to-market for new and innovative commercial banking products has been reduced to weeks, from months. The account opening process now takes 10 minutes, instead of 48 hours. 6 I External Document 2018 EdgeVerve Systems Limited

7 Trade finance Finacle trade finance module delivers comprehensive support for cross border trade requirements of small business and corporate customers. Supports end-to-end trade finance operations viz. opening, amendments, cancellation, extension, closure and financing features Module supports both traditional and advanced products including o Documentary credits, bank guarantee, bills, pre-shipment finance, post shipment finance, remittances and forward contracts o Factoring, reverse factoring, invoice discounting and buyers credit o Islamic trade finance - Murabaha, Kafalah, Wakala, Wakala Murabaha, Musharakah, Mudarabah and Istisna Solution offers extensive configuration capabilities such as flexible interest structures, fees and charges definition, linkages to underlying instruments (like bills, collaterals), online, real-time linkage to limits and seamless support for SWIFT message generation to complete transactions Other key capabilities to enhance operational capabilities include - multicurrency processing, forward contracts, central limit monitoring for customers, country, currency, bank, counterparty/ buyer/seller, nonperforming account classification, among others Origination Simplify and strengthen the complete credit approval lifecycle with Finacle enterprise loan origination solution End-to-end credit approval lifecycle from application initiation to credit analysis and decisioning, followed by loan onboarding and credit monitoring across various types of loans, ensuring cost efficiencies and optimum control Consolidated view of customer/ related party exposure, comprehensive underwriting and integrated credit monitoring capabilities empower banks to control risk and achieve higher credit quality to increase profitability Multi-facility and multi-currency origination capabilities help bank increase efficiencies and delight customers with faster turnaround time Loan servicing The solution offers flexibility and increased operational efficiencies with a wide range of product features: Supports end to end loan management lifecycle from drawdown management to managing of distressed assets Flexible parameterization in credit structuring, repayment processing, interest rate management, among others help banks respond swiftly to changing market demands across multiple customer and business segments Facilitates effective management of risks through exposure/overdue tracking, debt consolidation and restructuring capabilities External Document 2018 EdgeVerve Systems Limited I 7

8 Leasing Finacle leasing module simplifies the complete lifecycle processes across commercial leasing contracts. The solution supports end-to-end lease lifecycle starting from lease contract creation to servicing to lease closure, ensuring cost efficiencies and optimum control Manages the entire asset management cycle from asset acquisition, creation, maintenance and asset disposal across finance and operating leasing products Syndication Finacle syndication module delivers robust capabilities to propel banks syndication business. Supports banks acting as Administrative agents, Participant lenders and Agent cum participant lenders Caters to complete agency functions including contribution tracking from member banks, automated notice generation to borrowers/members and automated repayment processing to member banks Comprehensive fee management and reporting capabilities Payments Banks can leverage Finacle Payments, an advanced enterprise payments services hub, to modernize payments business: The solution manages end-to-end payments lifecycle and processes payments regardless of payment instruments, originating channels, hosting modules and payment networks The SWIFT certified solution is designed leveraging ISO standards to deliver seamless interoperability across various global and local payment networks. Solution supports cross border and local RTGS, ACH, FPS, NEFT and GIRO scheme types along with capabilities for positive pay processing Treasury With Finacle treasury banks can bring the advantage of an integrated yet modular front, middle, and back office solution to their treasury operations. The solution helps banks manage trading, risk management and processing for a broad range of asset classes on a single integrated platform. Support for foreign exchange, money markets, fixed income securities, interest rate derivatives, equities and their derivatives, credit derivatives, precious metals and structured products It comes with middle office features such as integrated market and credit risk management (including value at risk), limits management and liquidity management 8 I External Document 2018 EdgeVerve Systems Limited

9 Operational excellence for treasury business At Credit Suisse, Finacle offers a front-to-back office, treasury functionality, which is comprehensive, integrated and provides support for more than 800 users in over 20 countries. At the back-end, Finacle integrates with the bank s mainframe based back-office system developed in-house. This ensures a very high level of straight-through processing (STP). As a front-to-back office treasury management solution, which is also modular and scalable, Finacle offers Credit Suisse several business benefits. Andreas Blatt, Director, Credit Suisse, Zurich, says, Finacle is a key enterprise platform for Credit Suisse. Finacle treasury is a consolidated multi-entity treasury system for our FX and MM business, across global operations in Zurich, London, New York, and Singapore. Just recently, we merged three of our independent private banks on to the central FX and MM platforms. This was a project of 12 months length, seamlessly integrated on time, on budget. Majority of this work was outsourced to Infosys. The result was of excellent quality and led to high satisfaction for us at Credit Suisse. With Finacle, we are confident of a strategic partner that can measure up to our vision and ensure that our technology is geared to meet the business challenges posed by the flat world. External Document 2018 EdgeVerve Systems Limited I 9

10 Finacle Trade Connect Finacle Trade Connect is a blockchain based solution developed specifically to address and simplify the trade finance process requirements of banks. The solution is designed to help digitize trade finance business processes, including validation of ownership, certification of documents and making payments, while working on a distributed, trusted and shared network. Finacle Trade Connect is available for a range of functions, including Bill Collection, Letters of Credit, Open Account for Trade, C2C Transactions for Trade, B2C transactions for Trade, PO Financing and Invoice financing. The solution enables banks, buyers and sellers to maintain the same direct relationship with each other resulting in absolute transparency of the transaction instruments Facilitates message and document sharing in real-time basis for all involved parties It provides visibility into the flow of goods and information to required parties in the transaction, all at the same time Supports higher automation, increased transparency and immediate availability of data for better decision making for both banks and corporates Finacle Trade Connect is powering a domestic blockchain enabled Trade Finance network in India. Seven banks have partnered to be on the network, including both private and foreign banks. The focus for the first phase is inland trade products. The consortium representation involves trade product heads from banks, and members from regulatory institutions such as RBI and IDRBT. 10 I External Document 2018 EdgeVerve Systems Limited

11 Finacle Payments Connect Finacle Payments Connect is a blockchain based enterprise solution developed to simplify the global payments process requirements of banks and provide a frictionless payments experience across all payment transaction areas. The solution helps digitize the payments business processes, while connecting banks, payment providers, digital asset exchanges and corporates on a single distributed, trusted and shared network. Finacle Payments Connect is completely agnostic to the underlying distributed ledger technology and works with all the major platforms, including Corda, Bitcoin, Hyperledger and Ethereum. The solution enables instant, on demand transfers and settlements in real time Facilitates multiple remittance models such as Pre-funding based, Nostro based and tokenized value transfer based Blockchain based solution powering digital age payments business Emirates NBD and ICICI Bank, two leading banks from the UAE and India, worked with Infosys Finacle to pilot a blockchain network on the UAE-India payments corridor, one of the busiest corridors in the world for international remittances. The pilot project was completed in 8 weeks and saw benefits of near real time transactions, improved transparency, reduced fraud, increased digitization of documents, and strengthened security. Both banks have today moved to production stage. Our pilot project with Infosys Finacle and ICICI bank, a first for the banking sector in the UAE, demonstrates blockchain s immense potential to change how organizations and governments conduct business. - His Highness Shaikh Ahmed bin Saeed Al Maktoum, Chairman, Emirates NBD We have also marked a milestone by piloting a blockchain network with Emirates NBD and Infosys Finacle as partners and have successfully executed cross-border open account trade finance and remittance transactions. I envision that the emerging technology of blockchain will play a significant role in banking in the coming years by making complex bilateral and multi-lateral banking transactions seamless, quick and more secure. - Ms. Chanda Kochhar, Managing Director & Chief Executive Officer, ICICI Bank Supports status tracking of transactions at granular level and facilitates visibility into Nostro/Vostro balances in real-time, thereby improving transparency and traceability Provides rich transaction pipe allowing transfer of documents in addition to messages Enhances automation capabilities through use of smart contracts and helps achieve higher STP due to preand post-messaging channels External Document 2018 EdgeVerve Systems Limited I 11

12 Analytics The Finacle Analytics Solution is an advanced analytics solution that integrates banking data models and new-age open source technologies to rapidly develop and deliver actionable insights. The solution offers: Pre-built use cases in areas such as: fraud management, customer profitability, customer churn, crosssell, and upsell Finanz tools With Finanz tools banks can engage customers with graphical product illustrations. These are simple-to-use financial calculators, simulators, and modelers that precisely model how financial products work, and convincingly demonstrate their benefits and features. They help customers search and select from a meaningful choice of products, significantly shortening time-to-purchase. All-inclusive data analysis from unstructured, structured, and semistructured data from sources such as enterprise systems, industry information portals, social sites and conversation logs Real-time analytics with features like in-memory processing and instant data visualization to helps banks with faster insights SME Enable Finacle SME Enable is a first-of-its-kind, financial and business management solution, exclusively designed for small and medium businesses. It helps banks gain a deeper understanding of their SME customers so they can create and offer tailor-made products for this segment. The tablet-based solution helps SMEs manage their business operations and avail banking services all from a single application Its social engagement features allow them to connect with subject matter experts for advice and expand their business through community selling The solution helps SMEs get complete visibility of their inventories and sales 12 I External Document 2018 EdgeVerve Systems Limited

13 Business benefits Business agility Finacle corporate banking gives banks comprehensive coverage thus empowering them to expand into new business segments and geographies with the confidence that the Finacle platform will be able to support their growth. The proven scalability of the solution ensures that business is never limited by the underlying platform to execute organic and inorganic growth strategies. The componentized structure enables banks to rapidly deploy new components or upgrade existing components selectively to meet business priorities. The product factory framework lets product managers create and deploy new products in weeks instead of months. It enables them to innovate product offerings continuously to meet and exceed the changing needs of various corporate client segments. The extensibility framework with GUI (graphical user interface) based toolkit empowers banks to extend the product to meet their unique needs rapidly, while still protecting their solution upgrade path. Manage risks The solution offers robust controls for exposure management and risk mitigation. The unified limits and collateral modules, elaborate exception handling mechanism and provisions for comprehensive audit trail form the foundation for a robust and proactive risk management strategy. The comprehensive underwriting and integrated covenant monitoring capabilities empower banks to manage the loans effectively and reduce loan default rates. Enterprise customer view across business subsidiaries ensure that client exposures can be managed holistically. Enterprise-class components provide a unified view of data across business segments to effectively execute allembracing risk management policies. Superior customer experience The solution empowers banks to deliver superior customer experience by enabling value- added services and tailored offerings based on customer specific requirements. Unified view of the customer s portfolio and exposure enables relationship managers to offer the most suitable products and services based on their context. Omnichannel capabilities enable banks to serve customers on their channel of choice with real-time access to their portfolios and banking services. Finacle is proven to help banks reduce effort to roll out new products by 37% Source: An independent client survey External Document 2018 EdgeVerve Systems Limited I 13

14 Operational efficiencies Finacle with its Service Oriented Architecture (SOA) and business workflow management capabilities helps banks to automate, streamline and optimize processes. Finacle also brings along a repository of industry best practices process maps on ARIS platform to accelerate the business process optimization journey. The multi entity capabilities and enterprise-class components empower banks to design centralized operations hubs to enhance productivity across the organization and reduce operational costs. This allows them to eliminate duplicate applications across business segments and subsidiaries to free up IT budgets to support new capabilities for business growth. Finacle clients enjoy 7.2% points lower cost-to-income ratio compared to others Source: Analysis of Top 1250 Global Banks by The Banker, I External Document 2018 EdgeVerve Systems Limited

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16 About Infosys Finacle Finacle is the industry-leading digital banking solution suite from EdgeVerve Systems, a wholly owned product subsidiary of Infosys. Finacle helps traditional and emerging financial institutions drive truly digital transformation to achieve frictionless customer experiences, larger ecosystem play, insights driven interactions and ubiquitous automation. Today, banks in over 100 countries rely on Finacle to service more than a billion consumers and 1.3 billion accounts. Finacle solutions address the core banking, omnichannel banking, payments, treasury, origination, liquidity management, Islamic banking, wealth management, analytics, artificial intelligence, and blockchain requirements of financial institutions to drive business excellence. An assessment of the top 1250 banks in the world reveals that institutions powered by the Finacle Core Banking solution, on average, enjoy 7.2% points lower costs-to-income ratio than others. For more information, contact finacle@edgeverve.com EdgeVerve Systems Limited, a wholly owned subsidiary of Infosys, Bangalore, India. All Rights Reserved. This documentation is the sole property of EdgeVerve Systems Limited ( EdgeVerve ). EdgeVerve believes the information in this document or page is accurate as of its publication date; such information is subject to change without notice. EdgeVerve acknowledges the proprietary rights of other companies to the trademarks, product names and such other intellectual property rights mentioned in this document. This document is not for general distribution and is meant for use solely by the person or entity that it has been specifically issued to and can be used for the sole purpose it is intended to be used for as communicated by EdgeVerve in writing. Except as expressly permitted by EdgeVerve in writing, neither this documentation nor any part of it may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, printing, photocopying, recording or otherwise, without the prior written permission of EdgeVerve and/ or any named intellectual property rights holders under this document.