- ThoughtWorks created a new loan origination system for a financial services client to handle a projected doubling in volume from the expansion into a new product line.
- The new system integrated and automated the origination processes, empowered dealers with online access, improved configuration management, and reduced transaction turnaround times from days to just minutes or hours.
- The client has realized significant benefits like lower costs, increased competitiveness, and the ability to easily integrate new services.
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New Loan Origination System Empowers Dealers
1. Empowering Dealers With A New Loan Origination System
When this financial services client projected its lease and loan origination volumes to
double due to expansion into a new product line, it turned to ThoughtWorks. Utilizing
cutting-edge technology, ThoughtWorks created an origination system equipped to process
the higher volumes, improve transaction turnaround time and deliver new features to the
dealer sales channel.
The Client The Benefits
The client is a subsidiary of a Fortune 500 company that offers a diverse range of financing alternatives
for industrial customers and dealers throughout the world. It is a global organization with offices and • With the new system, the
cost-of-sale has vastly
subsidiaries throughout North America, South America, Asia, Australia and Europe. The client creates
reduced and competitiveness
financing plans individually tailored to its customers’ businesses and helps position them to make the
increased. Dealers can now
most of future opportunities. input customer specifications
and generate a finance quote
The Situation in seconds, vastly improving
When the client’s parent company expanded its product line to include additional equipment, the customer service levels and the
financial services subsidiary forecast that the increased volume from this line could potentially double volume of closed business.
the number of financing transactions. This posed many challenges to its origination business processes:
quoting, credit, documents, booking and funding. These processes already demanded a high degree • By integrating and automating
the complex credit application
of attention from dealer personnel, as well as the client’s own territory managers and personnel.
and approval process,
The situation led the client to look for new ways to handle the projected increases in volume, while
waiting time for credit approval
maintaining or improving transaction processing efficiencies for itself and the dealer network. and documentation has
decreased from several days
The Challenge to just minutes.
The client recognized that, in addition to handling the forecast volume increase, any new solution should
also address four key business issues: • The new technical infrastructure
and application architecture
First, achieve better integration of the origination processes and reduce or eliminate duplicate allows the system to support
entry of information. The client relied on a variety of systems to take financing transactions through vastly increased volumes and
the front-end origination process of quoting, credit approval, document preparation, booking the also allows for new services to
transaction and funding. Each of these processes employed separate systems with little integration. be integrated easily and quickly,
continually enhancing the
Redundant data entry was commonplace.
client’s competitiveness.
Second, automate the credit approval process. Since the credit approval process was manual,
securing credit on a single deal often meant waiting several days as analysts assembled credit • The system’s “auto-packeting”
function lets users generate
reports, financial statements and other required documentation and approvals.
all documents required to close
a deal with a single mouse
Third, empower the dealers with access to the new system.
click, improving efficiency and
user satisfaction.
www.thoughtworks.com