CASE STUDY

ENHANCED BANK PERFORMANCEMANAGEMENT WITH OFSAA APPLICATION

The loyalty of bank customers is no longer assured.

Instead, customers today demand value, speed and convenience. It is these three elements which must drive how banks operate in the present day. Operational enhancement and increased profitability starts with understanding the performance of the institution across all levels and segments.

In order to manage performance, governance, risk and compliance, MauBank in Mauritius implemented software in technical partnership with egabiFSI, specialists in assisting financial institutions to effectively drive business operations. The partnership resulted in enhanced bank performance management to achieve business goals and increase profitability.

MauBank operates retail, SME and corporate banking locally and internationally for individuals and businesses.

It consists of 19 branches and 32 ATMs across Mauritius, offering a wide choice of financing, deposits and transactional facilities to meet personal, small & medium enterprise (SME), corporate, global business and retail banking requirements.

THE CLIENT

The bank was not able to provide funds transfer pricing (FTP) and profitability management components for segmental reporting such as profitability by segments, products, RMs, etc.

Banks use FTP as a method of analyzing the strengths and failings of the business. Funds transfer pricing also helps to determine the profitability of various products the bank offers, as well as the performance of each branch, and provides the ability to judge the effectiveness of processes.

Without FTP, it is difficult for executives and the board to make effective decisions that impact the customer journey, financial planning and budgeting, as well as identify what products and outlets are profitable.

The lack of data-driven decision making in turn negatively affects profitability, productivity and competitor differentiation on all sorts of levels. For example, the marketing department will struggle to send out messages to the right people, which makes marketing initiatives ineffective and costly.

PROBLEM

EgabiFSI was chosen as Maubank’s preferred partner because of our deep experience in OFSAA implementation.

The OFSAA Application service was the proposed solution, and together with 12 fully involved bank staff members who represented Finance, Risk & ALM, Treasury, Corporate, IT and Consumer Banking, the solution was implemented.

The solution provides the bank with deep insight around customers and easy to use dashboards so that they can implement customer retention and acquisition strategies while optimizing value.

SOLUTION

To understand the performance of the bank, the CEO required an understanding of profitability by segments, branches, products, relationship managers in order to increase profitability on the customer level.

Following the implementation of the OFSAA application in partnership with EgabiFSI, the bank’s CEO, executives and the board now have a method of understanding unified financial information that consolidates bank data across the entire organization. The solution allows visibility into the plans for each unit across the bank.

The implementation of the OFSAA solution by EgabiFSI has allowed the bank to fully achieve it’s financial planning, budgeting and reporting goals as set out in their management information reports, analytical KPI graphs and daily financial statements.

Simulation was delivered so that business managers at all levels can evaluate business activities and support them in decision making. The reports were implemented to provide the users with a full view of the bank’s financial statements (balance sheet and income statement), as well as financial ratios (CER, Jaws, ROA, RoRWA, ROE, A/D, etc.) and non-financial indicators.

RESULT

We developed a great partnership with egabiFSI because of their commitment and dedication in

implementing and supporting the OFSAA solution. We highly appreciate their attention to detail and

consulting approach to bringing our Enterprise Performance Management solution to life.

www.egabifsi.com