Driving to six sigma (99.9986%) accuracy levels in retail banking - lockbox processing

The Client

Top 20 Commercial Bank offering retail & wholesale lockbox services

Challenge

    • Bank’s inability to offer competitive pricing in lockbox
    • Could not meet guaranteed deadlines; inconsistent quality of service
    • Processing errors meant penalty payments to customers

Solution

    • Coforge implemented standardized/ centralized workflow management ‘queues’
    • Suggested start with 29 FTEs, with remote transition

Execution

    • Coforge took over the complete back-office lockbox operations
    • 125+ FTEs from 2 Coforge locations
    • 20 million items per month
    • 300+ Bank lockbox customers
    • Took on 100% of the lockbox volumes in 4 months

Value Delivered

    • Improved quality levels
      • From 4.7 to 5.74 sigma at Coforge (99.9986%) in Retail lockbox
      • From 4.0 to 5.62 Sigma at Coforge (99.9979%) in Wholesale lockbox
    • Met guaranteed turn time (15 min to 2 hours)
    • Bank’s fixed costs converted to variable costs; daily & seasonal volume fluctuations handled