Branch Transformation & Bassilichi

Danilo Rivalta

London, December 2 Executive Divisional Director Sales and Marketing, Bassilichi Group

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REVENUE 2013 242 € ml FORECAST REVENUE 2014 303 € ml

< 4% TURNOVER

SOCIAL ENTERPRISE

13 BRANCHES IN ITALY 3 ADBROAD

58 YEARS OF INNOVATION

2198 EMPLOYEES

AVERAGE AGE 40

42,50% WOMEN

Some number about us

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System Evolution and Revolution

In spite of the now a day changes of financial environment and regulation, technology and design are considered enablers, but in the middle are the people with their relational skill and acknowledged capabilities of dealing with new demanding and aware Customers.

Source : Abi Events, Bancaforte and Gartner with «Branches Remain Vital, so design Them for Digital Success» and «Retai Banking Is Not Dead Yet»

ECONOMIC PRESSUREFinancial crisis along with multiple bank mergers have become major drivers in branch strategy

BANKS VS. NON-BANK Incumbents from other industri-es that provide traditional banking services with or without a banking license depending on local regula-tions.

REGULATORY SUPERVISION “Basel III, SIB Regulation,

Fiscal Tightening”

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Changing Branch Role

In the digital age, the role for physical branch asset is changing. Physical market presence assumes greater importance in the digital age, but many existing models for measuring the contribution and the value of branches remain anchored to the analog age.

BRAND AWARENESSCustomers of all types still value the ability to recognize and access their banks via some form of physical channel (branches) and banks must keep this desire in mind as they develop their strategies

RETENTIONPhysical branches remain at the center of the relationship with the customer

Source: Capgemini

TOP CHANNELBranch still remains the central linchpin for much of their sa-les activity

BRANCH

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Changing Branch Role

More and more ATMs are evolving from simple cash dispensers to customer Relation tools

Tellers and ATMs recuction

From cash dispenser… to customer Relation tool

Remote support

Sales processes

CRM initiatives

Non-bank services Usability Interactivity

(e.g. barcode)

Selective closing of non Performing and overlapping branches

100 80/85 2016Today

Source: Accenture

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New Branch Solution

BASSILICHI OFFER

NEW BRANCH

SOLUTION

PROFITABILITY

Productivity

Service Model Restructure

BranchAutomation

Productivity Improvement

Layout Ridesign

Operating Costs

Branch Operations

Customer Experience

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New Branch Solution

Bassilichi is able to manage the Branch Transformation end to end value chain

• Process analysis • Support for format

and service model definition

• Feasibility analysis• Layout consulting • Implementation

study

ASSESSMENT

Service Model Restructure Layout Redesign

Productivity Improvement

Branch automation

PROJECT & DESIGN STARTING IMPLEMENTATION OPERATIONS

OUTOSURCING

• Process reengineering

• Design• Rendering and

implementation proposal

• Materials study

• Device supply • Ad-hoc solution

implementation• Documentation

management and structure coordination (banks, municipalities, etc.)

• Site preparation and branch setup

• Support for change management activities

• Cash management• Maintenance and

monitoring • Back-office

management • Remote teller

operator service

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Branch Organizational Structure

Entertainment Area

Spaces dedicated to relaxa-tion, free Wi-Fi, social networ-king, coffee corner and shop-ping area

Agora

The central engine of the branch, in par ticular :

• Reception, routing and • customer support • Products Showcase • Transaction Area

Advisory Area Spaces dedicated to specialist advice that can be supplied by branch staff with sitting and private areas dedicated to in-formation on complex services

H24 Self-Service Area Spaces based on advanced H24 self-service area solutions available 24/24

Technical and Productivity Security Space dedicated to mainte-nance and CIT activities The independent access al-lows to separate branch ac-tivities from support ones (working hours and service levels)

Each area is functional to specific requirements; the application of the 4 modules is flexible based on the logistics characteristics of the branch

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Logic Principles of Format Creation and Application

4 format types with different application modes of the 4 branch functional areas (En-ter tainment, H24 Self-Service, Agora and Consulting). Branch clustering functional to the application of 4 formats, based on two drivers:

• development potential• number of transactions

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Market potential growth

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• The Market potential growth of the branch is an algorithm that must take into account the attractiveness of the market and its penetration level by the branch (Market share/Employee share)

• Resources retrieved by use of these models can be allocated to support the growth in markets with a high de-velopment potential

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Logic Principles of Format Creation and Application

Work Organization and Technologies Basic Light Medium Top

Spaces dedicated to entertainment Yes Yes Yes Yes

H-24 self-service area with advanced ATMs and kiosks Yes Yes Yes Yes

Greeter No Yes Yes Optional

Products showcase and light commercial desks No Yes Yes Yes

Counters No No No Yes

Hybrid ATMs No Yes Yes Yes

Back-office No No No Yes (for HUB branch)

Basic dedicated consultants No Yes Yes Yes

Expert dedicated consultants No No Yes Yes

Expert consultants traveling across a group of branch offices Yes Yes No No

Developers No No Yes Yes

Videoconference workstation for specialist advice No Yes Optional Optional

NoEnter tainment area Agora Advisory AreaH24 Self-Service Area

The Areas

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H24 Self-Service Area

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H24 Self-Service Area - Tipical Device

Recycling Totem/Kiosk CashOut Atm

Interactive Window Display

Video Wall Remote Teller

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Agora

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Agora -Tipical Device

Tablet Table Interactive Video Wall

PC Hybrid ATM

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Focus on Processes – Remote Banking Operator

Within the branch transformation, one of the most important concepts is to provide assistance and advice in order to give customers a unique banking experience, everywhere and anytime, not only through self-service operations, but also through remote assisted complete services

Extended service hours Bank services optimization Substitute managementImproving service experienceLowering operating costs

The advantages

Deliverable Services

Hybrid ATM/ Kiosk Infrastructure Server Remote Operator

Account Opening

Customer information and contract changes

management

PaymentsCard Issuing SecuritiesManagement

Corporate Banking

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