What is Cognizant's onboarding process

Customer onboarding - the new, old supreme discipline in banking?

If you believe different sources, then the future of banking will be decided in the discipline of customer onboarding, i.e. in the ability to integrate new customers into the bank's IT systems as smoothly as possible. In reality, we are often still a long way from achieving this goal.

by Ralf Keuper, blogger and columnist

Anyone who has come into closer contact with master data management usually knows about countless duplicates of customer data records, be it due to typing errors, abbreviations, different address data or changed legal forms. The culmination of the dilemma is when the customer data is in different databases that do not carry out an automatic data comparison. Many a DWH often has no other function than to carry out this comparison.

In this respect, the plan to introduce a seamless onboarding process is not as mundane as it may appear to outsiders. So far, the results of similar projects, including Six Sigma and Straight Through Processing (STP), have been more or less mixed. In the theory of high plausibility, the implementation in practice turns out to be a Herculean task.

And now should customer onboarding succeed, which has ended early in the depths of the system landscape and the organizational charts?

In any case, there is no lack of advice and best practices, such as the 21 Steps to Onboarding Success in Banking and the Bank Customer Onboarding Schedules. The application routes are closely related to the topic of onboarding or are largely congruent.

Moving from one bank to another can be made easy, for example with FinReach's automatic account switching service (no, I have no relationship with the company) or with ID-Now (there is no business or other relationship here either ). I find the paper Efficient Client Onboarding: The Key to Empowering Banks by Cognizant to be particularly informative.

So far so good.

Ideally, the onboarding process takes place without media breaks, manual or automatic corrections. Once created, all further business transactions can reference the data records. Duplicates are a thing of the past, as is the creation of fake accounts or other cases of fraud.

It would be even more elegant, however, if solutions from the field of identification technologies were switched on before the entire onboarding process, which contain the necessary and valid information about the new customer. The new customer comes to the bank with his digital identity, releases the necessary data, whereupon the investment takes place automatically, in compliance with the regulatory provisions (KYC); Of course, only if the bank accepts the customer, which is then a business policy decision. In short: the problem is solved right from the start. A customer who is able and willing to provide the necessary information in a valid form saves a bank a lot of effort, which is why it is not inappropriate to grant him special conditions, especially if data is the new oil areā€¦. It is also conceivable that certified identity brokers establish the initial contact with the bank on behalf of the customer and release the data if an agreement is reached.

The new BYOP model - bring your own persona, so to speak - has similar ideas Le dernier cri in the fast-moving fashion of digital banking - managed. More on this in another article

Ralf Keuper (banking, business graduate and FinTech expert)

Ralf Keuper is a banking and business graduate and has been working in various positions in the banking sector for around 15 years. With his blog bankstil, he is also one of the top 10 bloggers in the FinTech sector and advises banks on digital transformation and FinTech startups on entering the market. Keuper has worked as Senior Consultant Banking at COR & FJA AG and Senior Consultant Banking & Financing at Steria Mummert Consulting AG.


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