Read this article about Cognizant Technology Solutions, one of our finalists, in the category Best Achievement in Operational Excellence to deliver Business Transformation, selected by the independent judging panel, for the 2019 Business Transformation & Operational Excellence Industry Awards program. Click here to read articles on other finalists.

Investment Banking Finance division of a global bank

Cognizant delivers IB Finance Controllership services for a large global Investment Bank. IB Finance controllership function is the in-house guardian of data and information in an investment bank. The function shoulders a crucial role by ensuring the integrity, completeness and accuracy of all trading profit and loss (P&L) positions and related finance data. 

Key Challenges being faced by the Investment Bank’s CFO who wanted CTS to solve for the below:-

• Increasing Cost of Capital leading to focus on optimizing cost of delivery
• Enhanced regulatory requirements leading to increased reporting requirements
• Need to have a pristine control environment from a manual control environment

Scope and Objective of Business Transformation 

It is in this context that CTS delivered a business transformation of the IB Finance controllership functions – Valuations, Costs and Product Control

• Process Reimagined using Value Stream Mapping, Six Sigma and Lean Techniques – Process Excellence Solutions which include Standardization, Optimization, Elimination and Point Automation , Robotics and Other Platform Solutions
• Addition of Senior Talent added for delivering the Transformation Program as well as strict governance for tracking Red / Amber Projects and follow ups with identified owners
• Improved controls environment due to automation of manual controls resulting in in significant error reduction and improved FPY (First Passed Yield)
• Training initiatives for all the associates in the process to re-skill them for the digital work environment
• Sustained Change Management initiatives like Ideation exercises, Floor Townhalls and other connect sessions to understand feedback and to implement key changes

CTS approach to Digital Transformation

• We performed the Art of Possible Workshops – which was a brainstorming exercise which listed down how the business metrics could be improved
• The next step was to examine each process from end-to-end, conduct time and motion study, goal was to harmonize procedures and controls for standardized outcomes.
• 2018 Transformation Book of Work finalized and signed off based on three levers PEx, Platform Solution and Robotics
• Projects were Identified with identified owners and support team and key milestones were laid down and a transformation tracker was published

Key Business Metrics Outcomes

• Operating costs are 30%-40% lower with 206 FTE saved with a better control environment with automation of several manual controls
• Process Reimagined by Design Thinking Workshops and 90+ FTE saves through Process Re-design, Capacity Optimization and 100+ Point Automations
• Risk Reduction through 80+ bots to strengthen process controls by automating manual controls / activities in areas like Supervisory Dashboards in Product Control, Data Downloaders, Reconciliations and Journal Posting bots in Costs
• In Product Control - Daily P&L delivery time reduced from T+1 to same day with refined User Interfaces and reduction of latency time by 80%
• 80% improvement in accuracy through automation and reduction in errors facilitating reduction of Supervisory Layers by 25% in the overall team
• Period-end close accelerated by 4 days and late postings reduced by 95% (from + 80/mn to < 3 mn).