TechcomBank automates the International Money Transfer Process with IBM Cloud Pak for Business Automation (CP4A)

About TechcomBank

TechcomBank (TCB) is one of the leading joint stock banks in Vietnam with a charter capital of over VND 35,000 billion. Equity as of December 31, 2020 is over VND 74,000 billion. The bank has its head office in Hanoi, 2 representative offices and 314 transaction branches in 45 provinces and cities across the country, 3 subsidiaries. Not only serving the needs of ordinary banking transactions, but Techcombank also ensures the financial safety with a variety of products and services for more than 6 million individual and corporate customers in Vietnam.

With the stated mission of "Leading the digital journey of the financial industry, creating motivation for individuals, businesses and organizations to develop sustainably and making breakthrough", TCB has been gradually applying many technology and software solutions to optimize business operations while providing the best customer experience.

Challenges and project requirements

In banking operations, in order to quickly increase customer experience and satisfaction, core operations should be prioritized to consider automation and digitization from processes to related activities. Therefore, the Remittance project was initiated with the problem of digitizing the International Money Transfer (Outbound, Inbound and Swift).

System status:

• Professional users perform transactions on many different systems to process transactions (ECM, AML, Capital Report, Swift, Core banking, VFX for foreign currency trading system ...)

• In addition to performing operations on the international money transfer process management system (ECM international money transfer) at the Payment Center, the transaction information must be entered again on Corebanking to perform account booking on Customer account and execute Swift order.

• For inbound international money transfers, the process is operated through Swift receipt and distribution on ECM international money transfer. In many cases, users at Payment Center have to find and distribute the transactions manually to different departments, missed transaction can be happened. The reason is that these transactions have been manually managed without any rules for automatic classification and distribution .

• The calculation and management of fees for money transfer orders is also manual, not centrally managed. This leads to prolonged processing time as well as errors in calculation.

Solutions HPT provides

HPT was selected as the deployer of CP4A solution, which automates the main business processes related to International Money Transfer of the Trade Finance and Payment Center with the following main requirements:

• Consulting and redesigning business processes

• Increase the degree of automation of the whole process

• Reduce Standardized Processing Time (SLA) and increase Work Performance (KPI)

HPT uses IBM's CP4A/DBA solution suite to automate business processes and other functions based on the following components:

: Design business processes through the WORKFLOW component: Accounting, Tracing, Supplementing records... In which, with strong integration capabilities, the system allows integration with Corebanking to perform querying of information about customer ID, account information, exchange rate...; at the same time, after successful approval on the portal at KSV, automatic account booking with corresponding entries (FT/FM/MT103/Charge…) and response will be returned if any. In addition, other systems that are individually operating to serve the business can also be integrated through the API to ensure operation on a single portal (Fee Management, Swift, ...).
ODM: Design and manage business rules through the DICISIONS component: build and manage CPD assignment rules according to conditions (money transfer purpose, transfer amount...), Nostro selection rule, others.... From there, make sure the system runs automatically and supports input of up to predefined cases.

ECM: Manage and classify records through the CONTENT component: attach records, save records according to the information Uploaded date, User upload, Profile type ...
Automating a task via RPA component: Some of TCB's operating systems do not support or are ready to provide APIs to integrate into BPM such as AML - Fraud & Crisis Prevention Testing System announcement, VFX – System for buying and selling foreign currencies. To solve the end to end problem, HPT cooperated with TechcomBank to deploy a robotic automation solution for the two individual tasks above, then the results were updated to BPM to close the process and reduce the processing time for users.

Efficiency of the project

After designing and implementing the international money transfer process, the achieved results address most of the business's goals and challenges, specifically:

Process Management: Processes are redesigned in a structured and transparent manner. Respond flexibly to change and continuously improve, aiming to build "Single Portal" on BPM.
- Business rule management: building and implementing business rules

o Approval authority

o Calculate SLA

o Calculating SLA

o Due and overdue warning
Ability to automate: increase the degree of automation through the design and implementation of rules. Thereby reducing SLAs and increasing KPIs.

o Automatically input data through suggested data.

o Reuse information and records from old transactions of customers.

o Automatically calculate money transfer fee.

o Automatically navigate the process, assign handlers with rules.

o Automatically accounting to Corebanking through the integration mechanism.

o Due and overdue warning

>>>Please refer more information: HERE