Highlights
A large multinational bank decided to modernize its end-to-end (E2E) billing platform. The existing system was outdated, inefficient and prone to errors, leading to customer dissatisfaction and compliance risks. The bank aimed to transform its billing platform to improve accuracy, enhance customer experience and ensure compliance with regulatory standards. HCLTech experts helped the client progress from dated technology and processes to eliminating hundreds of spreadsheets and touchpoints while becoming a streamlined model of modern efficiency.
About the client
The customer is a global financial services company specializing in investment management, servicing and administration. The organization has more than $3 trillion in assets under management and more than 40,000 employees. The top-ranked bank is known for its expertise in asset servicing, investment research and trading and providing innovative solutions that help clients optimize their investment operations.
The Challenge
Overcoming billing system challenges
The client faced outdated and error-prone billing systems, leading to customer dissatisfaction and compliance risks. The challenge was leveraging Value Stream Management (VSM) to identify inefficiencies, streamline processes and facilitate a smooth transformation of the E2E billing platform.
Analysis
- Outdated systems: The existing billing platform was technologically outdated, causing numerous inefficiencies and operational difficulties
- Inaccuracy: Frequent errors in billing processes led to incorrect invoices, resulting in customer dissatisfaction and trust issues
- Inefficiency: The process was slow, with significant delays in billing cycles, partly due to manual data entry and processing
- Compliance risks: The outdated system struggled to meet regulatory standards, posing risks of non-compliance and potential penalties
- Customer dissatisfactions: Inaccuracies and delays in billing led to numerous customer complaints, affecting the bank’s reputation
The Solution
Modernizing billing for enhanced accuracy and compliance
To address the challenges, the client implemented a modern E2E billing platform that improved accuracy, enhanced the customer experience and ensured compliance with regulatory standards.
- Initiating value stream mapping (VSM)
- Current state mapping: A multidisciplinary team, including representatives from IT, finance, operations and customer service was assembled to map out the current state of the billing process. This included identifying all steps from data input to invoice generation and customer payment.
- Data collection: The team collected data on process times, error rates, rework rates and customer feedback to understand pain points and inefficiencies.
- Identifying waste and inefficiencies
- Bottlenecks: The VSM exercise revealed several bottlenecks, such as manual data entry errors, delays in data processing due to outdated systems and frequent invoice corrections.
- Redundant processes: Multiple redundant processes were identified, including unnecessary approval steps and repetitive data verification tasks.
- Customer complaints: Analysis of customer complaints indicated issues with invoice accuracy and delayed billing cycles.
- Future state mapping
- Optimized process design: The team designed a future state map that aimed to eliminate identified inefficiencies. This included automating data entry, streamlining approval workflows and integrating real-time data processing.
- Technology integration: Adoption of advanced technologies such as AI-driven analytics for error detection and predictive maintenance.
- Implementation plan
- Phased rollout: The transformation was planned in phases to mitigate risks. The initial phase focused on automating data entry and integration of processes/AI-driven routine tasks.
- Training and change management: Employees were trained in the new system, and a change management plan was implemented to ensure smooth adoption.
- Continuous monitoring: A feedback loop was established to monitor the performance of the new system and make necessary adjustments in real-time.
The Impact
Transforming billing with value stream management
By applying value stream management under the guidance of HCLTech consulting experts, the bank successfully transformed its E2E billing platform and achieved the below results:
- Improved efficiency: Reduced or eliminated approximately 500+ touchpoints per month handling billing data extraction
- Trusted data source adoption: Migrated the source of Performance & Analytics data from 700+ spreadsheets to a single data source on the billing platform
- Regulatory compliance: The new system ensured better compliance with financial regulations, reducing the risk of penalties
- Cost savings: The bank realized substantial cost savings from reduced manual labor and rework, along with lower operational costs due to increased efficiencies
