Post on 15-Feb-2019
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Pro� leUnited Bank for Africa Plc is a leading fi nancial services group in sub-Saharan Africa, with presence in 20 African countries, as well as the United Kingdom, the United States of America and France.
From a single country operation founded in 1949 in Nigeria, Africa’s largest economy, UBA has emerged as a pan-African provider of banking and other fi nancial services, to over 15 million customers globally, through one of the most diverse service channels in sub-Sahara Africa; over 1000 branches and customer touch points, 2400 ATMs, 13,500 PoS, and a robust online and mobile banking platform.
UBA was the fi rst Nigerian bank to make an Initial Public Off ering (IPO), following its listing on the NSE in1970. It was also the fi rst Nigerian bank to issue Global Depository Receipts (GDRs). The shares of UBA are publicly traded on the Nigerian Stock Exchange (NSE) and the bank has a well-diversifi ed shareholder base, including foreign and local institutional investors as well as individual shareholders.
OverviewIn April 2014, UBA embarked on a major systems upgrade to the latest version of Finacle to simplify its processes and signifi cantly improve customer experience across all channels. The ambitious project envisaged a big bang implementation in phases across UBA’s operations in 19 countries. The project involved a lot of complexities, such as: migrating a data of 14TB for Nigeria alone, migrating 5000+ customizations, multilingual deployments (English, French and Portuguese), and training more than 11,000 users spread over the African continent. The fi rst country went live on Finacle within a year of
project commencement. The remaining 18 rollouts in as many countries were completed in the next 14 months. The extremely quick implementation was a result of meticulous planning, enabling
simultaneous roll outs across 4 countries.
Key Business Drivers UBA realized it needed a state-of-the-
art banking platform to support its
transformation plans, which would
enable it to consolidate its strategic
positioning and capitalize on the
extensive opportunities in the African
market. The chosen platform would
not only have to provide the desired
functionality but do so in several
languages. The multilingual, multi-entity
features of Finacle made it an ideal
choice.
Implementation HighlightsThe project scope covered
implementation of core banking,
online banking and treasury systems
for the bank’s 19 country operations.
UBA was keen on a short timeline,
especially for the core banking and
online banking implementations. The 19
implementations – 10 French,
1 Portuguese and 8 English – were
grouped into 5 multi-entity deployments.
The bank was recommended to leverage
a data replication tool to replicate data
to ensure that they didn’t have to go
through an intermediate migration cycle.
The latter allowed UBA to undertake a big
bang migration to the latest version of
Finacle.
Standardization of migration, porting
and testing activities enabled optimum
$12.4 billion in assets
Operates in 23 countries
One of the largest banks in sub-Saharan Africa
Serves over 15 million customers globally
Consolidate its strategic advantage across 19 countries
Build a strong technology foundation to capitalize on the impending opportunity in Africa
Deliver delightful digital experiences to the new generation of customers
Achieve extensive automation to be agile in the digital world
Comply with continuously evolving regulatory and compliance requirements
Objective
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utilization of human and other resources.
Everything was meticulously planned, and
particular attention was paid to predicting
major risks, their mitigation, and backup
plans. A secure, shared portal was used for
tracking all requirements and issues online
helped to keep the rollout on track, despite
problems such as fuel shortages.
The bank’s internal team comprised a cross-
functional permanent core of 48 staff and
another 65 members from key departments
such as, Operations, Information Technology,
Audit, Internal Control, Finance, Trade, Risk
Management, E-banking, and Treasury, who
pitched in when required. There were also
representatives from other African countries
(besides Nigeria) on the core team.
The Finacle team comprised of 20 members
along with the 10 members from the alliance
partner Computer Warehouse Group. The
fact that all three teams – UBA, Finacle and
CWG – worked as one was instrumental in
the project being delivered in a record time
of 26 months.
The Finacle Core Banking and Online
Banking implementations at UBA were
a huge success. Finacle Treasury was
implemented in Nigeria and other
subsidiaries even before Finacle Core
Banking.
Business Bene� ts The speedy rollout in about 26 months
saved UBA considerable time and money.
Continuous delivery and testing of
customization, porting line items by the
bank ensured smooth SIT/UAT/Rollout
phases. The implementation allowed UBA to
discontinue many old systems and thereby
save USD 350,000 per annum.
The project automated processes and
integrated information to signifi cantly
lower the transaction processing time by
over 30%. The time to open a new account
is now just two minutes. With a single view
of customer information, the bank has
improved the turnaround time and customer
sales and sales capability. The system also
enables document capture to digital images
reducing paper dependence.
There were also several qualitative
benefi ts, such as the closing of regulatory
and compliance gaps, avoidance of
regulatory sanctions, as well as addressing
Approach
To set up a strong foundation with core banking and online banking platform
The platform based on functionality, fl exibility and multi-lingual support
Clustered roll outs to achieve multi country, multi lingual implementations in shortest span of time
Extensive transformation across 19 countries within 26 months
Leverage comprehensive unifi ed view on customer for deeper engagement
Integrated multiple disparate systems for increased automation
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technological obsolescence.
Quantitative Bene� ts• Increase in customer base: UBA
experienced a quantum leap in its
customer base with an increase of over
28%.
• There was an increase in the number of
new products that were introduced into
the market
• Faster time to market for new products:
Launching a new product and rolling it to
the market takes just one week whereas it
used to take a month earlier. In addition,
social media integration has contributed
to faster roll out of products with fewer
resources employed.
• Increased revenues: UBA has seen
an increase in revenue with the bank
introducing contemporary value adding
products and service off erings
• Faster customer service: With the
advantage of 360-degree view of the
customer, the customer service time has
dropped drastically by 67%.
• Greater operational e� ciency: The
bank has witnessed immense operational
benefi ts due to process optimization. For
instance, the time to open a new account
has decreased by over 67%, while the cost
of transaction across channels has reduced
by 80%, post core transformation.
• Greater agility: United Bank for Africa
is now able to launch new branch in a
single day vis-à-vis four days it used to take
earlier.
• Achieving greater scalability: The
transaction peak load capacity has now
increased by over 25%. The average
number of transactions processed in a day
has also more than doubled since go live.
• Optimization of cost across channels
The unifi cation of various touch points with
a digital engagement platform has helped
UBA better understand customer behavior
across segments, as well as their product and
channel preferences. The upgraded Finacle
solution helped them optimize channel
usage and migrate low cost transactions to
low cost channels.
Outcome
UBA witnessed a 28% leap in its customer base
Time to market for new products reduced by 77%
Increase in revenue by introducing contemporary value added products and services
With 360-degree view of the customer, the service time has reduced by 67%
Time to open a new account has decreased by 67%
Cost of transaction across channels has reduced by 80%
Time to launch new branch decreased by 75%
Transaction peak load capacity increased by 25%
Average number of transactions processed in a day has more than doubled
Transaction processing time has reduced by 30%
“At UBA, we have always looked to drive greater fi nancial inclusion across Africa.
It has become vital for banks to have a strong technology architecture in place
to provide a customer experience at par with digital disruptors across channels
while accelerating innovations across new business models. With Infosys Finacle,
we now have a strong digital suite that enables the bank to drive growth
while providing a exceptional banking experience to our growing retail, SME,
institutional, and corporate customers”.
Kennedy Uzoka
Group Managing Director, UBA Group
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About Infosys FinacleFinacle is the industry-leading digital banking solution suite from EdgeVerve Systems, a wholly owned product subsidiary of Infosys. Finacle helps traditional and emerging financial institutions drive truly digital transformation to achieve frictionless customer experiences, larger ecosystem play, insights–driven interactions and ubiquitous automation. Today, banks in over 100 countries rely on Finacle to service more than a billion consumers and 1.3 billion accounts.
Finacle solutions address the core banking, omnichannel banking, payments, treasury, origination, liquidity management, Islamic banking, wealth management, analytics, artificial intelligence, and blockchain requirements of financial institutions to drive business excellence. An assessment of the top 1250 banks in the world reveals that institutions powered by the Finacle Core Banking solution, on average, enjoy 7.2% points lower costs-to-income ratio than others.