Process Optimization

In an economic environment where margins are being squeezed due to higher than anticipated charge-offs and loan growth is shrinking due to much tighter underwriting standards, many banks are forced to re-examine their cost structure. More often than not there are usually large inefficiencies in a bank’s origination, servicing, and collections processes that result in unnoticed and unnecessary cost drains. The challenge is for banks to identify where this is happening and to extract possible cost savings.

SunGard can help. SunGard’s Ambit Risk Consulting provides a comprehensive solution to process optimization.

Features

  • Obtain a thorough and detailed knowledge of the bank’s loan origination, servicing, and collections functions
  • Quantify the value and cost of any and all processes that exist and provide recommendations on what can be done to maximize the value for cost, including a view of necessary organizational restructuring, systems replacements and a more efficient set of policies and procedures
  • Evaluate origination and servicing processes for redundancies and gaps that can create cost drains.
  • Evaluate the collections process to ensure that collections activities are targeted at those borrowers for whom the expected recovery exceeds the cost of the intervention

Benefits

  • Allows efficient and effective deployment of resources
  • Reduces underwriting and servicing costs per loan
  • Maximizes recoveries
  • Minimizes the costs associated with defaulted borrowers