IndusInd Banks On Newgen For BPM Soln

BPM like ERP will not go out of fashion, at least for another few years. The primary benefit of BPM is that it streamlines business processes, thus, leading to improved efficiency and effectiveness. In its bid to serve customers better and expedite customer-facing processes, IndusInd Bank sought to automate its operations. After scouting the market for an ideal solution fit, the bank zeroed in on Newgen’s OmniFlow.

Challenges Plaguing the Bank

IndusInd Bank had already undertaken an initiative to centralise a number of its back-office operations so as to improve operational controls, bring about standardisation and reduce operational work at the branches.

With this initiative, the bank realised that centralised operations resulted in increased turn-around time (TAT) for the physical movement of documents for the account opening process. In case of exceptions, the exception resolution would add further to the a/c opening TAT as documents had already reached central headquarters and exception notification was not online. The operational metrics were not real time, which led to reactive managerial intervention.

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The bank was also aiming for an improved customer-centric approach, low turn-around time, quick and easy retrieval of documents anytime, anywhere and reduction in costs related to photocopying and storage of documents at branches in addition to a more efficient way of performance monitoring.

The Implementation

The bank wanted this implementation to take off smoothly and therefore, moulded its IT infrastructure accordingly. It put in place a robust, secured and efficient Enterprise Wide Area Network covering all branch locations, a disaster recovery site in Chennai, and adequate security controls so that information and information systems became inaccessible for unauthorised persons.

The goal of the implementation phase was to implement the solution correctly, efficiently, and quickly. For this, a study was conducted to understand the ‘As-Is’ processes of the bank. The Newgen team then came out with the right solution based on their domain expertise. The dynamic team of IndusInd Solution Delivery Group was aggressive in getting confirmations from the business team and adding value to the solution design.

Once this was done, a customised solution was delivered by the Newgen development team. Also, the UAT (User Acceptance Testing) was managed by third-party professionals so as to take minimal time. The Account Opening process was studied and restructured in 20 days and a fully-customised process was developed and deployed for UAT within a month.

The outsourced experts team and IndusInd business users jointly completed the UAT within 20 days. In the next one month, the new Account Opening process was live in most of the branches in the country covering around 70 percent of the business.

From the date of its inception, the process was rolled out to all IndusInd branches within five months with adequate training given to users.

Understanding and capturing the existing business processes was one of the major challenges in addition to integration of the new solution with existing applications. A Herculean challenge also lay in changing the mindset of employees, preparing them to work from an unstructured method to an effectively managed dynamic business process.

Host of Benefits

IndusInd made a wise choice by partnering with Newgen as the benefits that it realised from the implementation were numerous. The solution allows a customer-centric approach fulfilling the main objective of efficient Account Opening. Under the new process, the documents need not to be sent to the CPU for processing and can instead be sent to the nearest hub for scanning. This has reduced the document travelling time. The status of the application can easily be traced and the total turn-around-time has also improved dramatically.

The bank can now use the Newgen solution to enhance overall operational excellence. Exceptions can be raised and resolved within the system and this has lent more transparency to the entire process. Users can now retrieve documents quickly and easily, resulting in manifold increase in the efficiency of the entire process.

Under the new process, the documents are being converted to digital scanned images directly, which facilitates sharing of these documents, ultimately leading to reduction in photocopying and courier costs. The Business Activity Monitoring (BAM) tool of the new solution provides the right information at the right time to the business owners leading to better operational performance.

Future Roadmap

The efficient solution provided by Newgen has encouraged IndusInd Bank to plan and automate other bank processes like Procurement, Business Banking and Claim/ Bill Disbursement.