Newgen: Banks "bank" upon us

Enabling Banking Transformation

www.newgensoft.comhttp://blog.newgensoft.com

SOLUTIONS FOR BUSINESS PROCESS & CONTENT MANAGEMENT

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Banks today need systems beyond core banking. For improving productivity, centralization of back offices is an

imperative, where non-customer facing activities can be moved from branch to central back office. This ensures that

most of the staff at branches is customer–facing and performs value added services. Using BPM & ECM, banks can build

centralized back offices and improve overall customer experience.

In order to tap the benefits of centralization, process automation is a must. Digitization will help transform manual and

paper-based processes across branches / head Offices into electronic processes. This will eliminate all error- prone and

redundant activities like manual hand–offs, needless paper movement, repetition of checks, reviews and more system

inputs than necessary. The key processes which banks look forward to automating will include Account Opening,

Loan Centralization and Trade Finance.

Process automation leads to greater visibility and transparency across the organization. This can be achieved through

real time dashboards; thus enabling the enterprise to gain insight into the work-in-progress, user or process

performance and KPIs. Through measurement and tracking, BPM can help identify the gaps and remove bottlenecks in

the process thus optimizing process performance.

Enhanced customer experience can be achieved by ensuring communications via customer preferred channels and by

enabling them to get access to the bank via multiple channels like mail, fax, sms, phone, web portal, etc. Customer

on-boarding experience can be improved by leveraging alternative channels of communication.

Another important benefit offered by BPM/ECM, is the ability to meet regulatory compliance and adhere to the SOPs,

thus enforcing consistency. BPM enables large organizations to outsource selectively, while maintaining visibility into

those outsourced transactions.


DRIVING TRANSFORMATION THROUGH PROCESS AUTOMATION

Introduction

Centralized Back-Office

Digitization & ProcessAutomation

Visibility & Measurement

Enhanced Customer Experience

Compliance &Standardization

Outsource Selectively

Newgen's highly configurable, flexible and scalable products along with its domain experience in banking have

led to readymade point solutions being offered to banks. These solutions are working in numerous large scale

Global Banks and are available to clients as soft template processes and off the shelf products.

The below diagram clearly encompasses the spectrum of Newgen's solution for banking. The following figure

resembles an assembly line which has multiple point solutions provided by Newgen for functions like

Corporate and Commercial Banking, Payment and Settlement, Lending & Mortgage and Retail processes. At

the base of these processes are the solution enablers provided by Newgen like Business Process Management,

Content Management and Rules Management etc. which are integrated with the existing systems in a bank like

Core Banking System, CRM, and ERP etc.

As an assembly line of the processes, it is possible to have a 360 degree view with real time monitoring using

Newgen's Organizational Dashboard. For interacting with the end customers, request management solutions

(for Contact Centers) and customer communication management solutions are available in Newgen's kitty. All

these solutions for Banking ensure almost 100% compliance to the regulatory standards, streamlined

processes enabling high productivity and reduced costs. Also, the customer communications management

solution ensures standardization, customer experience and revenue maximization.


Organiza

tional D

ashboard

Organizational Dashboard

99% Compliance

Standardizing of Customer Exp.

REAL TIMEVISIBILITY

Lower TAT

Cross Selling

CRM for Contact Centers Customer Communication

CORPORATECOMMERCIAL

Letter of CreditIssuance

Commercial Loans

Bank Guarantee

Accounts Payable

Image Based Clearing(Inward/Outward)

PAYMENT & SETTLEMENT

Funds Transfer

Post Dated Cheques

Forex

...... ............

Automated ChequeHouse

LENDING & MORTGAGE

Loan Origination

Loan Servicing

Loan Underwriting

Collections & Dispute

Know Your Customer & Customer Due Diligence.

Account Maintenance

......

Term Deposit Service

Process Management Content Management Product Configurations User & Rights Management Rules Management

CRM ERP Internet Banking Legacy Systems

Core Banking

COMMON INFRASTRUCTURE

Newgen Banking Solutions Universe

Banking Industry Framework


CENTRALIZED LOAN PROCESSING

The loan applications are received at remote branches by

the customer walking-in or by direct sales agents. These

documents are then scanned, registered and minimal data

entry is done. Additional supporting documents such as

proof of identity, proof of residence, etc. are also received

and are scanned against the enrollment number of the

original application. The document images are authorized

by comparing them against the original documents at the

branch itself.

These documents are then transmitted to the central

processing centre where the authorization and approval

processing takes place. The data entry, risk assessment and

loan sanction is done by the authorizer based on the

eligibility guidelines. The process can be integrated with third party verification agencies for customer credit checks. If

an exception is raised, it is automatically sent to the branch for resolution. The local database at remote site is also

updated with status and transaction data for all live transactions. On authorization, appropriate action is taken and loan

is disbursed to the customer along with Collateral Contract.

The client core application which keeps information about customers and their transactions can be updated with the

Loan Details.

Loan Process Implementation for a leading Bulgarian bank

Challenges

• Time consuming processing of loan documents

• APS the core banking system was running separately

• Integration required for proper functioning

Processes Automated

• Contract approval and facility input

• Initial and Further Disbursement

• Credit Amendments

• Further Administration, Repayment

• Problem Loans, Liquidation and Archiving processes

Benefits

• Integration with the core banking system

• Initiating work from the core banking system

• Contract generationTM• Master management in APS and reference by OmniFlow

• Automation of 250 branches

• Implementation in Bulgarian to enable the local language support

Newgen Loan Origination Customers


Account opening process can be initiated at the branch office where the

user will fill in the information related to the account-opening request. The

same can be scanned and used for data entry along with the other

supporting documents required for Know Your Customer (KYC) details. At

this stage the signed CIF & additional documents will be scanned and

routed for document verification to the central processing centre.

In case of any discrepancies like missing document, expired

passport etc., the Assessment Experts would raise an

exception on the basis of which the transactions would be

immediately forwarded to the concerned user at the

branch office for resolution. Automatic email triggers can

be sent to the client for submission of missing documents

at branch office. Post approval, the data would be pushed

to core banking for Account Number generation. The user

would also be able to generate a welcome kit which would

be dispatched to the customer.

Process Modeler

Dashboard

CUSTOMER ON-BOARDING (ACCOUNT OPENING)

60% Reduction in Account Opening TAT for a Fortune 500 bank

• Bank first foray into retail banking worldwide

• Ambitious customer acquisition targets

• Long A/C opening cycle

• Anticipating outsourcing for keeping costs down

• Time-consuming exception handling

• Tracking physical documents as per Central Bank

guidelines

• Account Opening, Maintenance and Closure for

Savings Account, Current Account & FD

• Outward Remittance

• Standing Instructions Execution

• TDS Process

Benefits

• Opens 1200 accounts/day through 10 branches

• TAT improved from 8 days to 3 days

• Better monitoring of branch activities

• Outsourcing step allows automatic upload of bulk customer data

• Masking of signature and mobile nos. for the outsourcing vendor

• Exception handling TAT reduced substantially

• Operational risk management via KYC

Newgen Account Opening Customers

Challenges Processes Automated


Customer Experience Management (CEM) is the collection of processes a company uses

to track, oversee and organize every interaction between a customer and the

organization throughout the customer lifecycle. The goal of CEM is to optimize

interactions from the customer's perspective and, as a result, foster customer

loyalty.

Newgen offers banks a seamless and automated Customer Experience

Management solution catering to multiple processes like Customer Query

Resolution, Case Management and Contact Center Processes etc.

The key business challenges in managing customer experience are:-

�To manage a consistent experience to customers across various

touch points like Call Center, Front Desk, Helpdesk etc.

�To reduce erroneous hand-offs and customer servicing

procedures

�To simplify and standardize implicit policies and procedures buried

in multiple back-end systems

�Differentiating customer concierge services by customer type

�Dependency on Vendors/ IT experts for performing minor changes on different systems leading to escalated costs

Newgen's offering in Customer Experience Management provides a streamlined, consistent and effective way of

handling the day to day transactions and interactions with customers.

CUSTOMER EXPERIENCE MANAGEMENT

Solution Highlights

• Unified application framework

• Online closure of requests with unified customer

services interface

• Back office processing - workflow

• Multi-authorization facility (e.g. in credit line

increase)

• Process modeling to ensure agile configurations of

business processes that can be defined and

modified by business

• TAT association & escalations

• Comprehensive MIS & dashboard

• Total visibility

Benefits

� Reduction in requests abandonment

�30% improvement of productivity via straight through

processing

�20% increase in customer acquisition and retention

rates

� End to End tracking of requests

� Cases of requests getting assigned to wrong back

office units eliminated

�Bulk processing of requests leading to operational

efficiencies

� SMS/Email notification to customers

�Automated Rule Based Escalation And Exceptions

Management

NEWGEN BANKING CUSTOMERS

100+ processes

(e-Serve); pioneering work

20,000 checks in 4 hours; Loan Proc Request Mgmt System

55 processes across LOBs implemented in just 8 months

450 branches in 22 countries, 4 languages

Account Opening,

Loan Disbursal – TAT reduced to 1 day

700+ branches automated in 2 years; 40,000 loans per month

30 min consumer loan approval in 4 countries

40% reduction in Account Opening Process TAT

Signature Management System, Inward Clearing Process

Ombudsman Process, Integration with Core Banking Finacle

Loan and Credit Card Processing with Score Check app

Loan Admin Process, Interface in Bulgarian, 250 branches

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CUSTOMER COMMUNICATION MANAGEMENT SOLUTION

CUSTOMER COMMUNICATION MANAGEMENT SOLUTION

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In today's competitive world customer is the most important asset to an organization and it is pertinent to retain customers

for sustainable growth. Smart and effective customer communication is the key to retaining existing customers and

attracting new ones. The communication is expected to be highly personalized, One-On-One and over the preferred

delivery channel. Newgen's CCM solution helps banks in transitioning to new generation customer communication while

driving the costs down. It has a proven track record of implementations at leading banks across the world.

CUSTOMER COMMUNICATION MANAGEMENT (CCM)

Consolidation of Statements

� Better customer experience by having a single view of the customer's statements across Savings A/C, Investment, Loans, Credit Cards etc.

Customer Centric Inline Advertisement

�Utilize prime paper space for Personalized Inline Advertisements

�Rule-based profiling and segmenting of customers

Cost

�Consolidated output saves paper, printing & postage

�Avoid wasteful & unread inserts

�Reduced manpower for the entire process

Improved Presentation

�Communicating in customer’s preferred language

�Adherence to corporate branding guidelines

�Graphical analytic representation for taking informed decision

Electronic & Multichannel Delivery

�Failsafe and faster delivery of the correspondences through Email & Mobile

�Tracking of bounced, undelivered, incorrect statements

�Personalized messages over html body or attached pdf

Compliance

�Repository for Statement Archival and real time retrieval

�Service duplicate statement request effectively

�Workflows for multi-level approvals

�Content and design consistency

�Any-time audit

Key Benefits


Newgen's solution for trade finance expedites trade transactions and minimizes potential data entry errors by offering

rich functionality in an automated environment. The automation results in greater central control over operations and

efficient tracking of instruments. The solution brings overall benefits such as shortened customer service times, leaner

branches with no dependency on physical documents, anytime-anywhere access of digitized documents, faster and

informed decision making and automated exception and resolution.

Moreover, with an agile BPM platform and soft template based approach, the solution can be implemented rapidly for

the customer with minimum time to market.

Trade Finance Processes automated by Newgen

•

• Banker's Acceptance (BA)

• ECR Pre & Post Shipment (ECR)

• Local / Foreign Bills of Exchange Purchase /

Negotiated Under LC

• Onshore Foreign Currency Loan (OFCL)

• Documentary Collection (Both Inward / Outward)

• Bank Guarantee (BG)

Trust Receipt (TR) • Letter of Credit (LC)

• LC Issuance

• LC Amendments

• LC Cancellation

• LC Correspondence

• LC Closure

• Letter of Guarantee (LG)

• LG Issuance

• LG Amendment

• LG Correspondence

• LG Closure

• LG Cancellation

The move to Global sourcing in pursuit of lower supply costs has generally increased the working capital required,

introduced additional bottlenecks and inefficiencies in the global supply chain. As significant amount of world trade is

settled through Letters of Credit (LC), a considerable amount of money is locked up in the financial supply chain due to

inefficiencies in Trade Finance Processes like Letter of Credit, Letter of Guarantee etc. The paper-based processing of these

transactions is time consuming and labor-intensive.

Newgen enables centralized processing of Trade Finance processes. Managing trade finance involves processing and

tracking of Letters of Credit and related instruments at one central location for the entire global operations.

It requires seamless process automation which Newgen offers using its comprehensive suite with strong document

management, imaging, scanning, records management and BPM capabilities.

TRADE FINANCE SOLUTIONS

Trade Finance for a Leading Bank in EMEA

Challenges

• Bank was running various applications and worried about

upgrading the applications every time there was a change

in the business process

• Bank wanted to achieve business agility by moving to a

common platform for all the processes which could be

changed easily

Processes Automated

15 Trade Finance Processes were automated under the

following processes

• Letter of Credit (LC)

• Export Settlement

• Letter of Guarantee Issuance & Amendment

• Shipping Guarantee Issuance

• Trust Receipt Settlement

Benefits

• Reduced Turn-Around-Time for LC/LG issuance

• Availability of online images for verification

• Improved exception handling and tracking

• Enhanced compliance with complete accountability

Newgen Trade Finance Customers


Retail Banking

A/c Opening &Maintenance

Term DepositServices

CustomerServices

Customer RequestManagement

ATM StatementsProcessing

Locker/CustodialServices

PoS A/cManagement

Statements Archival

CRM ImageEnablement

StatementsConsolidation &Distribution

Corporate / Commercial

Applications

Cheque ClearingProcess

Remittance

PDC Operations

Interest/DividendWarrants

Inward & OutwardClearing

LC Issuance &Amendment

Cheque Archival

Cash ManagementService

Cheque Collection/Bulk Pay Orders

Capturing Documentsat the point of sale

Adhoc Contractsgeneration

Shipment Credit

Bank Guarantee

Commercial Loans

Term Lending

SOLUTIONS


Loan Origination

Loan Originating

Loan Underwriting

Loan Servicing

Early Warning System

Collection & DisputesLoan Takeover Mgmt

Image Enablement of LOS

Loans Statements Archival

Loans Statement consolidation

Reconciliation Module

Customer Query Resolution

� Current Economic

Environment

� Operational

Efficiency

� Risk Management

� Protection from

predatory lending

Payment & Settlement

Fund Transfer

SWIFT Virtualization

Forex Cheque Processing

Foreign Inward Remittances

Foreign Outward Remittances

Credit Cards & Third Party

Credit Card Issuance

Credit Card Servicing

Chargeback

ATM Statements Processing

Bancassurance

Utility Bill Management

Reconciliation of Visa and Master


CORE PRODUCTS

Business Process Management Suite

OmniFlow is a platform-independent, scalable Business Process

Management Suite (BPMS) that enables automation of organizational

business processes. OmniFlow is designed to ease the creation,

deployment, modification and management of Business Processes.

Built using open technologies, it has seamless integration abilities

allowing it to be introduced into any IT infrastructure.

™

OmniDocs is an Enterprise Content Management (ECM) Suite for

creating, capturing, managing, delivering and archiving large volumes

of documents and content. OmniDocs manages Scanned Document

Images, Electronic Documents and Emails as records. It also supports

seamless integration with other enterprise applications.

Enterprise Content Management Suite

™

OmniScan is a production and distribution software scanning for

document image capture. It supports distributed scanning, image

quality enhancement and delivery of documents to business systems.

Production and Distributed Scanning Suite

™

OmniReports stores trillions of computer-generated output pages

and reports in a highly compressed form. It has a high-speed ingestion

process with simple interactive definitions, enables instant access to

terabytes of reports independent of business application, and is fully

searchable at field/row/page levels. OmniReports is ideal for sun-

setting of business applications as well as optimizing core system

performance by purging historical reports.

Enterprise Reports Management and Archival

™

Newgen's Omni Output Management System (O2MS) delivers

smarter & targeted communications for better customer

experiences. It offers the capability of leveraging prime paper space

for customer centric inline advertisement, consolidation across

multiple products. It enables secure communication on improved

templates with rich designs and graphical representation of analytics

across multiple distribution channels. In addition easy archival &

retrieval of correspondences for presentment & efficient customer

request resolution is achieved using this enterprise application.

Customer Communication Management

™

Newgen’s Invoice Processing System, with automatic data verification

and validation capability, is a solution for automatic data capture

from semi-structured invoice documents. It also supports seamless

integration with SAP and other ERP’s.

Invoice Processing System

™

OmniExtract is the data capturing solution which extracts business-

critical information from image documents and forms. It can extract

all possible kinds of information like Hand-printed/ Handwritten

Characters, Optical Marks, Barcode, Machine-printed Characters

and MICR Fonts.

Forms Processing Engine

™

Governance, Risk & Compliance

Compliance Manager is an integrated solution for Governance, Risk

and Compliance that’s geared to ensure compliance with standards,

best practices and guidelines of various regulatory acts.

™

Newgen’s ChequeFlow is an image based Cheque Processing

solution for inward and outward clearing. Advanced and highly

configurable sub-systems for Automatic Signature Verification,

FOREX Cheque Processing, PDC Management, ECS/ACH

mandates, add-ons for Cheque Deposit Machine/ Kiosks.

Image-Based Check Clearing & Payment

™


Value for Money

2011 BPM Decision Matrix

2010 BPMS & 2011 ECM MQ

Reports

®

Proven for Large Volumes Market Leader

Market Leader inDocument Mgmt.

& Workflow

Significant Player

Significant player

in Banking

Fastest Growing

Emerging India Award for IT, ITeS and ICE

Flexible andCost Effective

2011, DOCCM Wave Report

ANALYST RECOGNITIONS

Corporate OfficeNewgen Software Technologies Ltd.A-6, Satsang Vihar Marg,Qutab Institutional Area,New Delhi - 110 067 INDIATel: +91-11-4077 0100, 2696 3571Fax: +91-11-2685 6936Email: [email protected]

USNewgen Software Inc.1364 Beverly Road, Suite 300McLean, VA 22101Tel: +1-703-749-2855Email: [email protected]

UAE

Email: [email protected]

Newgen Software Technologies Ltd.

Off No: 314, Bldg No: 3,P. O. Box. 500297, Dubai Internet City, Dubai, UAETel: +971 4454 1365Fax: +971 4454 1364

www.newgensoft.comhttp://blog.newgensoft.com

About Newgen

• Leading Global Provider of Business Process Management (BPM), Enterprise Content

Management (ECM) & Customer Communication Management (CCM)

• 850+ installations across 45 countries

• Solutions for Banking, Insurance, Healthcare, BPO/SSCs, Telecom and Government

• Credited with some of the world's largest implementations

• Innovative culture, consistent R&D investments, 35 patents

• Employee strength 1100+

• Certified for ISO 9001:2008, ISO 27001:2005 and CMMI Level3

Investors

“Marfin Laiki Bank is known for its innovating culture and focus on bottom line. The bank was always on the lookout for embarking

on initiatives like enterprise content management and business process management to introduce new ways of doing business

improve operational efficiencies and service levels. Newgen Software Technologies with vast experience in the finance and banking

industries, has been the ideal partner for us in realizing these initiatives, as it offered us a complete, comprehensive and mature set of

tools and technologies that simply make things happen ... The quantifiable increases in productivity speak for themselves"- Marfin Laiki Bank

“… Newgen has enabled us to centralize a large number of our processes, resulting in leaner and efficient branches. Branches have

been able to focus on sales, while the processing activities are moved to centralized back office. TAT has been significantly reduced,

leading to better customer experience."- Deutsche Bank

“Simple, Easy & Powerful"- Bank Muscat

MOMENTS OF PRIDE