In the dynamic world of financial operations, achieving operational excellence and enhanced risk mitigation is pivotal for any organization. Prodktr has helped revamp the Treasury operations and risk management framework for a mid-sized regional bank, with a particular emphasis on structured derivatives.
This transformation underscores the importance of not only managing but also reinventing treasury functions to simplify operating models, optimize liquidity, and mitigate financial risks effectively.
Client Challenges:
Our client struggled with the complexity of managing a structured issuance business, particularly within its medium-term note (MTN) front office operations. The challenge was compounded by a fragmented technology landscape, requiring coordination across multiple system vendors and providers. This led to increased operational costs and regulatory demands. The result was an inflated expense structure that impaired the accuracy and reliability of the operating model, crucial for effective decision-making and risk management.
Prodktr’s Approach:
By understanding our clients’ challenges and objectives, our approach to treasury design is redefining operational efficiency and cost-effectiveness.
- Thorough Review & Seamless Treasury Design: by designing a smooth Treasury Operating Model (TOM), Prodktr initiated an end-to-end review of business processes and technology systems. The objective was to identify opportunities for enhancing efficiency and reducing costs, ensuring a smooth transition. This involved a meticulous assessment of future service capabilities and activities, emphasizing the significance of a well-structured treasury function that integrates seamlessly across the organization.
- Technology Optimization & Cloud Solutions: by capitalizing on cloud solutions for enhanced agility and scalability, Prodktr conducted a comprehensive investment technology model assessment. This resulted in the proposal of upgrades, alternative providers, and simplifications via cloud platforms. The proposed activities were beneficial in addressing the critical need for strong security measures and immediate access to financial data to improve and simplify treasury processes.
- Strategic Implementation & Avoiding Manual Processes: our delivery included a detailed audit report, summarizing key metrics, success indicators, and an economic business case for the proposed changes. This minimized manual processes and striving for high levels of straight-through processing (STP) to reduce operational risks and enhance efficiency.
Client Outcomes:
- Vendor Consolidation & Risk Mitigation: Successfully phased out multiple vendors, streamlining the technology stack and significantly enhancing risk management. This consolidation led to a more integrated and efficient operating model.
- Cost Reduction Across All Office Functions: Achieved a real reduction in technology spend across front, middle, and back offices by identifying and implementing cost-saving measures. The adoption of cloud solutions played an important role in enhancing operational efficiency. This approach helped create a secure and scalable environment, effectively reducing overall technology expenditure.
- Enhanced Data Consistency & Risk Management: consistent and accurate data were delivered to both front office and risk management teams.
Our Advantages:
Prodktr’s expertise and the strategic insights on designing a seamless Treasury Operating Model (TOM) can help you achieve operational excellence and enhanced risk mitigation.
- Tailored Roadmap Services & Stress-Free Treasury Design: Prodktr offers customized roadmap services, from audits to full transition support, encompassing technology and data transition as well as resource augmentation. This bespoke approach is designed to foster operational excellence, reduce costs, and improve risk management, one of the benefits of a stress-free treasury operating model.
- Operational Excellence & Strategic Partnerships: Our services are carefully crafted to enhance efficiency, mitigate costs, and enhance risk management through strategic outsourcing and technology optimization. With our extensive experience, we help our clients through the complexities of treasury and risk management, ensuring a smooth and efficient operational framework.
Are you handling the complexities of treasury and risk management within your financial operations effectively?
Contact Prodktr today to start your journey towards streamlined operations, enhanced data.