Implementing FlexCube

ImplementingFLEXCUBE: ACaseStudy

ImplementingFLEXCUBE:ACaseStudy Askari Bank Pakistan is the eighth largest private bank in Pakistan with a branch network comprising200+branches,andacustomerbaseofaround700,000,operatingintheCorporate, Retail andIslamicBankingsectors.AskariBankselectedOracle Financial ServicesandSoftware (OFSS)’s Universal Banking Solution as its Core Banking Solution and chose Techlogix as its implementation partner in April 2008. The project was kicked off in August, 2008. The first branch’sParallelRunstartedinJanuary,2010andthebranchwastakenliveinApril,2010.

TheChallenge In investing in a world-class Banking platform, Askari Bank seeks a transformative advantage wherebytheBankcancompetebothfunctionallyandtechnicallywithnationalandinternational competitors.Thus, the full ROI for aninvestment ofthisnaturewillonlybe realizedif Askari BankisabletoutilizethissolutiontoimplementanextgenerationBankinginfrastructure. ThespecificmodulesofFLEXCUBEselectedforimplementationinclude: ♦

Core

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CASA(Current,SavingsandTermDeposits)

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LimitsandCollateralManagement

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ConsumerLending

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LocalPaymentsandCollections

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FixedAssetManagement

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RetailBranch

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TradeFinance(LCs&LGs)

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BillsandCollections

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Treasury: o

MoneyMarkets

o

OTCOptions

o

ForeignExchange

o

Securities

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IslamicBanking

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InternetandMobileBanking

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FLEXCUBEXMLInterface(ForinterfacingwithChannelslikeATM,Visa,PoSetc)

Apart from the complexity of implementing the functional modules (more than 400 banking products to be analyzed, consolidated, configured and tested), the following implementation challengesfurthercomplicatetheoverallimplementation: ♦

PhasedModuleRollOut(RetailandCorporaterolledoutinPhase1andTreasury andIslamicBankingrolledoutinPhase2)

Implementing Oracle’s Universal Banking Solution (FLEXCUBE): A Techlogix Case Study

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PhasedBranchRollOut(Nobigbangapproach)

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Co-existenceinfrastructure(functionalandtechnical):Forthenexttwoyears, FLEXCUBEandUniBank(currentLegacysystem)willbeoperatingsidebyside

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DataConversion:DataCleansing,Enrichmentinall200+branches,systematically rollingoutgroupsofbranchesoversuccessiveweekends

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FirstimplementationofFLEXCUBEinaPakistanioriginbank(noexperienced resourcesavailableinthemarket)

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OFSSteams’inabilitytotraveltoPakistan(strongonsite–offsitemodel);

TheSolution: Theprojectwasinitiatedwitha20personTechlogixteamanda15personAskariteamworking togethertoachievethefollowing: ♦

Identificationofgapsinproductsandprocesses;

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Consolidationofthebank’sgeneralledgersandproducts;

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DesignandParameterizationofthebank’sproducts;

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DataMigrationStrategyandConversionofbranches;

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DesignandBuildofInterfacestocatertoCo-ExistenceofFLEXCUBEandthelegacy system;

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DesignandBuildofInterfacestocatertoParallelRunofFLEXCUBEandthelegacy systeminthebranches;

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Interfacingwiththebank’slegacysystem,eightperipheralsystems,nationalATM network,SWIFTandaTeradataDataWarehouse;

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HardwareSizingestimatesprojectedtocatertothebank’sneedsforthenext5 years;

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Identification,analysisanddevelopmentofRegulatoryandOperationalReports;

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TrainingfortheBank’sCoreTeamandEndUsers;

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TestingStrategies,testcasesandreconciliationtools(aimedatUserAcceptance Testing,SystemIntegrationTesting,Mockdataconversions,businesssimulations etc);

Additionalstepstakentoensuresuccess: ♦

Strictprojectmanagementfocusedontakingoutthepilotbranchesinayear’stime;

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StrongoffsiteteamsinBangaloreandRomaniasupportingtheonsiteteamsona dailybasis;

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Strongprojectgovernancecommitteesandprocessesinplace;

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Regularcommunicationsviaemail,phonecallsandvideoconferencesbetweenthe onsiteandoffsiteteams;

Implementing Oracle’s Universal Banking Solution (FLEXCUBE): A Techlogix Case Study

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FocusedownershipwithintheBankandTechlogix(FunctionalLead,TechnicalLead, TestingLead,DataConversionLead,Co-ExistenceLeadallreportingtoasinglePM);

KeyContributions:Turningchallengesintostrengths Theprojectwaskickedoffwithsomemajorrisksalreadyinplace: ♦ ♦ ♦

FirstpartnerledimplementationofFLEXCUBEglobally; FirstglobalimplementationofFLEXCUBE’sfullybrowserbasedversion10; FirstglobalimplementationwithnoOFSSresourcesavailableonsite

Foreknowledge of thesechallenges meantdevising practical mitigation stepsfor eachone of them.AfocusondevelopingTechlogixresourcesinsteadonrelyingonexternalconsultantswas akeymitigationstep.Extremelyfocusedandresultorientedprojectmanagementwasanother. StringentExitandEntrycriteriaformajorphases/activitieswasanother.Finally,atransparent relationshipwithOFSSwith detailedreviewsofwork outputsensuredthata highlyexperience offsiteteamwasabletoreviewqualityonanongoingbasis.

KeyContributions:TimelyDelivery Techlogixdeliveredthe10,000+ManDaysprojectwithinthecontractedtimelinesandonthe agreeduponqualityparameters.ThisimplementationisthefirstCoreBankingimplementation inPakistantohavesuccessfullycompletedallitsmajormilestoneswithintime.

KeyContributions:NocompromiseonQuality Techlogix supported around 6 months of User Acceptance Testing utilizing six thousand test scenariostocoverallthemodulesandallpossiblefunctionalandtechnicalscenarios.

KeyContributions:RepeatedSuccessesbeforeGoLive Techlogixsupported3monthsofParallelRuninthefirstpilotbranch.Theactivitycomprised reconcilingthreemonthendsandayearend withthelivelegacysystem;eventuallyendingup inthebankgainingextremeconfidenceonthequalityoftheconfiguredsoftware.

AboutTechlogix TechlogixisaglobalConsultingandITServicescompany.Withover300consultantsintheUS andAsia, Techlogixdeliverssolutions in keypracticeareasincluding CoreBanking, BPM/SOA, MasterDataManagement,BusinessIntelligence,ProjectPortfolioManagementandEnterprise Applications.Ourpracticesareasdeliverbreakthroughbusinessvalueforenterprisecustomers.

ContactingTechlogix www.techlogix.com

Implementing Oracle’s Universal Banking Solution (FLEXCUBE): A Techlogix Case Study

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