Boosting the effectiveness of retail network business processes using Process Mining technology

RAMAX International, a Russian system integrator, and the VTB 24 bank announced that they completed a project for integration of the algorithms for analysis and monitoring of business processes. The project aims at enhancing the efficiency of the bank's retail network. The five-month-long project included a solution that is conceptually new for Russia; it will enable the bank to boost efficiency of banking processes, slash sales losses, and reduce the total labor input required for serving individual customers.

goals

  • to boost operational efficiency of customer services in order to gain competitive advantages in a highly competitive environment and reduce the cost of providing banking services
  • to apply new methods for analysis of sales and the current situation in view of

solution
Having conducted a survey of the market for solutions that support Process Mining technology, the bank’s top management came to the conclusion that the Celonis platform provides the highest functionality, flexibility, and user-friendliness. Intended primarily for business users rather than skilled IT specialists, the Celonis solution offers the widest possible options for business analysts’ operations.

Owing to the broad functionality of the solution, RAMAX International’s specialists implemented a prototype solution in three weeks without the need to first manually map the company’s business processes or interview production engineers and end users. As a result, the key process involving granting cash loans has been successfully reconstructed.

Loans in cash and credit cards, key processes for the bank, were selected for analysis. The analysis covered the entire set of applications processed in 2016. Oracle Siebel CRM was used as the data source.

The collected data were used to reconstruct in detail the individual chains of activities carried out to process applications, including the time the retail network employees spent on each step of the process.

The application of Process Mining technology in the operations of major foreign companies began several years ago but it has not yet been used on the Russian market.

The project at VTB 24 is the first industrial-scale implementation in Russia.
result
  • the main areas for optimization have been determined;
  • a number of tactical and strategic measures for optimizing processes have been developed;
  • the efficiency of processes has been boosted as a result of the increased employees’ efficiency;
  • sales losses have been reduced owing to the exclusion of inefficient sales technology;
  • labor input has been reduced as a result of optimizing extreme process scenarios.

customer quotation

‘VTB 24 maintains a program to search for new ways to optimize operational efficiency of customer services; this program delivers competitive advantages in a highly competitive environment and a reduction in primary costs of banking services. The very size of the bank’s sales network and the fast development of the product suite were the factors that restricted the options for analyzing the situation by traditional methods. We needed a new, never-used-before technology, since the analysis timeframes offered by traditional methods failed to match the pace of change in the current situation,’ says Tatyana Svidunovich, head of the bank’s Process Efficiency Department. ‘The economic effect we attained shows that Process Mining technology may be gradually applied to all of the bank’s key processes.’

Tatyana Svidunovich, head of VTB 24 Department of Efficiency of Processes

‘The flexible and adaptive approach to implementing Process Mining technology applied by RAMAX International enabled us to gain, within the shortest time possible, the first tangible results in process optimization that yield actual financial effects,’ says Aleksey Golubintsev, head of the bank’s Process Optimization Department. ‘Owing to the Celonis platform’s functionality and user-friendliness, the bank can independently analyze the current situation promptly and identify promising areas to boost performance without the need to conduct long-term and expensive surveys with the involvement of third-party consultants.’

Aleksey Golubintsev, head of VTB 24 Department for Optimization of Processes
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