Business Case

Executive Summary

Objective: The objective of the project is to implement a comprehensive payment solution for loans, integrating various loan lifecycle payment operations into THE BANK's existing systems.

Expected Outcome: The expected outcome of the project is a seamless and automated process for loan disbursement, repayment, and extraordinary repayment, ensuring efficiency, accuracy, and customer satisfaction.

Problem Statement

Current Challenges:

• Manual processes for loan disbursement and repayment leading to inefficiencies and errors.
• Lack of integration between THE BANK’s legacy systems and the T24 system.
• Inadequate support for 24/7 loan disbursement and repayment operations.

Need for Payment Solution for Loans:

• Automate and streamline loan disbursement and repayment processes.
• Ensure real-time processing and reconciliation across systems.
• Enhance customer experience by providing timely and accurate loan payment services.

Solution Overview

What is Elena's BRD: Elena's BRD (Business Requirements Document) is designed to gather and document the comprehensive business requirements from THE BANK for implementing a payment solution for loans.

Types of Payment Solutions:

• Online Processing for Disbursements: Real-time processing triggered by payment orders captured in T24.
• File Processing (Payment Order Based): Batch processing of payment instructions based on payment orders created in T24.
• File Processing (Bill Based): Batch processing of payment instructions based on bills generated in T24.
• Extraordinary Repayment from Digital Channel: Automated processing of extraordinary repayments initiated via THE BANK's mobile application.

Benefits of Payment Solution for Loans

• Efficiency: Automating loan disbursement and repayment processes reduces manual intervention and processing time.
• Accuracy: Integrated systems ensure accurate and real-time data processing and reconciliation.
• Customer Satisfaction: Timely and reliable loan payment services enhance the customer experience.
• Compliance: Adhering to regulatory requirements and internal policies for loan management.

Implementation Plan

Phase 1:

• Develop and configure online processing for disbursements.
• Implement file processing for payment orders and bills.
• Integrate systems for real-time data exchange and reconciliation.

Phase 2:

• Enable extraordinary repayment functionality via the digital channel.
• Conduct thorough testing and validation of integrated processes.
• Train staff and stakeholders on the new processes and systems.

Cost Analysis

Initial Costs:

• Development and integration costs for T24 and legacy systems.
• Licensing fees for third-party software and middleware.
• Training and change management expenses.

Operational Costs:

• Ongoing maintenance and support for integrated systems.
• Regular updates and enhancements to ensure compliance and efficiency.

ROI Estimation:

• Reduced operational costs due to automation and efficiency.
• Increased customer retention and satisfaction.
• Compliance with regulatory requirements mitigating potential fines.

Risk Assessment

Technical Risks:

• Integration challenges between T24 and legacy systems.
• Potential downtime during the transition phase.

Mitigation Strategies:

• Conduct thorough testing and validation before full-scale implementation.
• Develop a rollback plan for any critical issues encountered during the transition.
• Provide comprehensive training to ensure smooth adoption.

Alternatives Considered

• Manual Processing Continuation: Continuing with the current manual processes, which would not address the inefficiencies and errors.
• Partial Automation: Implementing only partial automation for specific processes, which would still leave gaps in efficiency and accuracy.

Conclusion and Recommendations

Recommendation: Proceed with the comprehensive implementation of the payment solution for loans as outlined in Elena's BRD to achieve efficiency, accuracy, and enhanced customer satisfaction.

Next Steps:

• Finalize and approve the business requirements document.
• Initiate the development and integration phase.
• Plan and execute testing and training sessions.
• Monitor and review the implementation for continuous improvement.

Appendices

• Appendix A: Detailed Functional Requirements
• Appendix B: Use Case Scenarios
• Appendix C: Glossary of Terms and Acronyms