INTRODUCTION

Our client, a multinational bank, was in the process of issuing new bounce back loans (BBLs) to support small businesses in response to the COVID-19 pandemic.  

Due to the delays in BBL issuance, the client was under pressure to produce accurate and timely daily management information for Her Majesty’s Treasury (HMT) and the media, which required going through 10 years of loan applications in less than two months. The client was also struggling with managing their resources, due to manual data manipulation, which was also affecting the data quality of for HMT reporting and creating faults in key organizational operations. They needed a joined-up view of their applications and fast!   

The client engaged Capco to build a central analytics function that is able to respond with agility to rapidly automate processes, as well as to provide analytics services across the issuance process.

WHAT WE DID

Our approach was to:  

1. Conduct rapid identification of critical process owners, alleviating dependency on key individuals and taking ownership of crucial reporting processes 

2. Create a central repository - hosted on Hadoop - for all reporting data, becoming a one-stop shop for all client stakeholders throughout the E2E process and partially automating the ingestion of key data 

3. Develop a Python analytics pipeline to automate HMT & Executive reporting, spearheading daily reporting standards and working closely with stakeholders to better understand how to report on their data 

4. Free up capacity to deliver value-add ad-hoc analyses to all critical teams across the process, creating repeatable and accurate reports using Python and advanced analytic automation tools.  

WHAT WE DELIVERED

Since completing the project, the client has been able to utilize the following benefits:   

• A reusable data asset that connects business owners intimately with their data, enabling value-driven, informed decision-making 
• Credit and lending asset design has proven its versatility, laying the bedrock for the client to deliver on multiple strategic objectives, including but not limited to RWA reduction, IBOR transition and forecast analytics 
• The data asset was built to enable automation and the client leveraged the asset for regulatory reporting to the UK’s Prudential Regulatory Authority (PRA) 
• The creation of tailored data extracts for consumable insights used by the end users. 
• The development of an API connection, which allows product users to pull and generate the desired reports on demand. 

Capco’s Jai Raichura said, “The engagement was a great success and has insured the bank could issue bounce back loans to those who needed it in the peak of the pandemic and in a timely manner. The bank now have a comprehensive view of their lending exposure and automated PRA reporting due to the increased data transparency and mapping we have provided. In fact, we were able to identify over £100 billion IBOR rate-related exposures. Going forwards, the bank will be able to deploy new products faster as all data sources are now linked.”  

Capco continues to work with the client on a wide range of international projects within data & analytics and across multiple business functions.