Design of an operational transformation plan to improve the efficiency of a leading financial institution in Spain
"Identifying large pockets of opportunity in operational efficiency requires a transversal vision to tear down silos and keep a groundbreaking mentality to go beyond incremental improvements with little impact on the transformation of processes"
Challenge
In a context of health and economic crisis, and in an environment of low interest rates, financial institutions face the challenge of
sustainably maintaining their profitability levels. The great advances in digitization in the sector in recent years have focused mostly on
user experience and the enabling of contracting of financial products remotely by means of smartphones, but have lacked evolution
with regard to banking operations. Operations which, besides, tend to be inefficient.
15 years ago, the entity opted for a strategy of operational centralization to unburden commercial networks of much of the
administrative workload and improve employee productivity. However, in the face of the new environment and strong pressures to
improve results, the Bank was forced to continue optimizing its operating model to achieve new efficiencies.
sustainably maintaining their profitability levels. The great advances in digitization in the sector in recent years have focused mostly on
user experience and the enabling of contracting of financial products remotely by means of smartphones, but have lacked evolution
with regard to banking operations. Operations which, besides, tend to be inefficient.
15 years ago, the entity opted for a strategy of operational centralization to unburden commercial networks of much of the
administrative workload and improve employee productivity. However, in the face of the new environment and strong pressures to
improve results, the Bank was forced to continue optimizing its operating model to achieve new efficiencies.
Solution
Our collaboration focused on supporting the customer in sorting more than 3,000 processes and 800 cataloged services:
- We identified and quantified opportunities through a top-down approach.
- We estimated the potential of each opportunity based on comparisons of market best practices.
- We defined the strategy to capture the identified opportunities.
Benefits to the Organization
The project made possible the identification of a potential 18% efficiency increase with the current structure. By capturing these efficiencies, the bank would be able to position itself as the second most productive player in the Spanish market.