Stand with Ukraine! SEE how you can help! Learn more
Home Banking 6x Productivity Boost of Retail Lending for a Bank in Azerbaijan

6x Productivity Boost of Retail Lending for a Bank in Azerbaijan

Loan Origination System development in a large Azerbaijan retail bank. Automation of loan origination processes with a six-fold productivity increase.

Bank in Azerbaijan

Our client – further referred to as the Bank – entered the banking market in Azerbaijan offering retail loans for individuals, entrepreneurs, and SMEs. With time, the number of the Bank’s customers started to grow fast. 

The Bank faced the necessity to improve the lending process speed, productivity, and efficiency. The best option for that was the automation of lending by implementing a top-notch software solution. 

Our product, the digital platform ABLE Origination, won the intense and complex selection process. The Azerbaijan Bank appreciated the in-depth knowledge of our company in the field of lending and decision-making processes.

Client’s profile

Our client is a part of a large financial group. It has branches in more than 20 countries worldwide and operates in various regions all over the globe: from Europe and the CIS to Africa and Asia.

The offerings of the banking group are various and embrace a wide range of financial products and services for small and medium businesses, entrepreneurs, and individuals.

Client’s Requirements

Retail Bank in Azerbaijan, supported by the Head Office, conducted a tender among some software development companies. Our ABLE Origination platform matched the Bank’s requirements and passed a careful and thorough selection.

ABLE Origination attracted the Bank’s attention because the platform was built on the basis of open source technology. That allowed the solution to fully comply with the technical requirements of the Bank.

Our team’s deep expertise in the banking sphere was another condition that influenced the Bank’s choice. Our successful cases of lending process automation, quality of development, and internal testing spoke for themselves.

Bussiness challenges

The Bank had about 300 employees working in its representative office in Azerbaijan at the time. The growth of the business in the region caused numerous growth-related challenges.

Our client experienced an increase in the number of loan applications, phone calls, and customer visits to the offices. This slowed down loan application processing and loan issuing for the Bank’s customers and was labor-intensive for its employees.

Business process efficiency needed improvement. The Bank aimed to automate the lending process by launching a loan origination system that would meet international quality and performance requirements.

Another challenge was to introduce innovative types of banking services in Azerbaijan. The Bank intended to offer the regional banking market advanced and analytics-driven banking services.

The ambitious plan was to implement instant loan decisioning, new standards of speed in loan disbursement, and multichannel customer servicing, including chatbots.

Implementation

After a series of meetings between our experts and the Bank’s representatives, three stages of the ABLE Origination platform were shaped.

The first stage implied the automation of loan pre-approval. Our team automated the collection of loan applications from all available channels and the receipt of reports from credit bureaus.

A loan applicant should fill only a minimum number of fields in the application form to instantly get an initial pre-approval for the application, as well as additional banking offers. This more than doubled the efficiency of the Bank’s employees.

The second stage dealt with making the final application decision. This stage embraced the integration of ABLE Origination with the core banking system to receive client details and their credit history with the bank.

Our team carried out verification and underwriting process automation and made scorecard deployment. That enabled the Bank to provide every client with several personalized offers and increase the productivity of the Bank’s employees by 4.5 times.

The third stage included the loan documentation preparation and loan disbursement. It was aimed at further integration with the core banking system, including bank account opening and making a loan agreement, together with automated preparation of loan documentation.

The final testing of results of all the stages showed that employee productivity, in general, has increased by 6 times over, in comparison with manual loan application processing.

Solution Delivered

Throughout the development and implementation period the team of 8 specialists was engaged, namely:

  • 1 Business Analyst
  • 2 Frontend developers
  • 2 Backend developers
  • 2 QA engineers
  • 1 Project Manager.

With the ABLE Origination platform implementation, the Bank significantly improved its staff efficiency and enhanced customer experience. The platform made application processing and loan disbursement convenient, fast, and personalized.

Cooperation with our team enabled the Bank to unlock new points of growth, such as:

  • Six-fold productivity increase in a workplace.
  • Loan applications acceptance through various channels, including chatbots and partner systems.
  • Delivery of instant loan application decisions.

Load testing on the development server recorded the performance of more than 3 thousand processed applications per hour. In an industrial environment, the performance will be 3-4 times higher.

Project Outcomes

The close collaboration between our company and the Bank resulted in successful ABLE Origination platform deployment. That manifold enhanced productivity in application processing, customer data collection, loan decisioning and disbursement.

The Bank’s customers got an opportunity to apply for a loan through various channels, including partner systems and chatbots. The Bank can now provide its clients with instant loan application approval or rejection.

industriesBanking
expertisesBanking
technologiesABLE Origination, Angular, JavaScript, jBPM, Oracle
locationAzerbaijan
team8
timelineMarch 2020 - June 2021
Our Bank has set the goal of automating the lending process and introducing the Loan Origination System that meets international quality and performance standards. The task was successfully completed by RNDpoint specialists.
Executive Chair of the Board

Book a call or text us in Telegram
UK Portugal Ukraine Sweden Poland Middle East