Improving Lending Operations with Pega
Transforming Lending Operations
Enhancing lending operations with case management.
Decrease in loan processing times
Quotes handled per month
hours saved per month per underwriter
Shawbrook Bank experienced a 25% year-on-year growth in its loan book, necessitating the need for scalable platforms capable of handling a growing number of loan applications. To onboard new clients effectively, the bank recognized the importance of loan origination, administration, and underwriting processes that were both fast and accurate. To enhance its competitiveness in the consumer lending market, Shawbrook's consumer franchise realized the need to invest in a platform that could speed up the processing of loan applications. This investment in faster processing was seen as a key component of the bank's broader strategy to succeed in the consumer lending space.
The lending process at Shawbrook Bank previously relied on manual procedures, which resulted in extended validation and checking periods, causing delays in loan processing. This created a challenge for Shawbrook to efficiently handle loan volumes, leading to customer frustration. This posed a risk of potential borrowers seeking loans elsewhere due to the extended wait times, resulting in missed business opportunities. Additionally, not addressing the processing times would have led to increased operational costs, typically associated with hiring more personnel to manage the loan volume. In the highly competitive banking market, ensuring prompt and efficient loan processing is crucial to minimize loan abandonment during origination and administration stages.
In collaboration with Shawbrook's product and engineering departments, we conceptualized and built an efficient operational workflow solution. This tool facilitated the smooth handling of personal lending applications. Within a timeframe of less than four months, we successfully delivered the minimum viable product (MVP). Our dedicated DevOps teams have since been diligently improving the application by incorporating more users and refining the workflow. Our main goals have been to provide a unified interface for employees working on personal lending applications and to achieve a high level of automation while still maintaining a human touch.
Reduced human error
By eliminating the need for manual data entry and implementing automated data collection from various systems, we can significantly reduce the occurrence of human errors. This automation process greatly minimizes the chances of inaccuracies and mistakes caused by human input. Consequently, it ensures greater data accuracy, improves operational efficiency, and mitigates potential risks associated with manual data handling.
By implementing a number of Pega's OOTB reports, we have given managers insights into the process and where inefficiencies may lie. Work management has also been implemented removing the need for managerial work allocation by utilising work basket features.
By implementing 80% automation for initial checking and utilizing email automation to communicate with potential clients, the workflow has reduced the workload for loan administrators and significantly enhanced the speed and capacity at which Shawbrook can process loans.
Improved customer experience
Shawbrook has achieved a favorable balance of processing speed and personalized interaction by automating the workflow to handle data consumption while still enabling administrators to assist clients throughout the process.