modernizing enterprise technology.

when it comes to credit union personal loans, technology is key.

In banks and credit unions across the country, legacy consumer lending platforms are running their course. They can no longer support innovative and evolving needs in the credit union personal loan, home loan, and automotive loan arenas. After supporting and enhancing their homegrown legacy application for decades, the nation’s largest credit union hit a wall. They needed to scale their growing $40 billion consumer lending portfolio business and their platform could not support the level of change they wanted to achieve.

With the emergence of fintech disruptors and competitors delivering consumer lending experiences that echo the speed, simplicity, and convenience of Apple Card and TrueCar experiences, the credit union knew their antiquation and growing technical debt would lead their members to seek streamlined experiences and more expeditious funding elsewhere.

With such a consequential investment on the line, the credit union reached out to Randstad Digital to help them transition from a digital laggard to a leader and innovator amongst their competitors. Knowing their enterprise technology was not flexible enough to add additional lending products and the innovations sought by leadership, the Randstad team was asked to do a technical assessment and provide a business case for replacing their legacy consumer loan origination system.

assessing enterprise technology for modern consumer lending experience.

Randstad began with a technical assessment that revealed a number of issues and missed opportunities:

backlogs.

Efforts to maintain and enhance their application were met with large backlogs. A simple text edit to a document would take weeks due to a lack of omnichannel architecture.

limited resources.

A shrinking pool of resources to support the application would routinely result in projects running over-budget by months and additional costs of over $1 million.

missed opportunities.

Slow speed to market due to backlogs and resources hobbled their ability to run other projects that would keep the credit union competitive.

slowed responses.

Employees, having to access simple information across multiple screens, created unnecessary waits and lag times processing credit union personal loans and responding to customers. Internal support teams spent most of their time resolving issues on loan applications.

lack of scalability.

Because of the system’s limitations, some products weren’t available over the web. Meanwhile, competitors could offer those capabilities, negatively impacting the credit union’s market share by the day.

resistant culture.

A low willingness to adapt to change hindered the credit union’s ability to grasp the severity of issues and concerns of growth, scalability and more importantly, costs.

building the case for new enterprise technology. 

Once the technical assessment was complete, Randstad moved forward with its assessment framework to conduct interviews with platform users, vet replacement platforms and build the business case. Working hand in hand with project stakeholders, IT, and the business users, Randstad Digital:

• Developed application documentation including entity relationship diagrams, technical debt analysis, and solution scorecards to rank prospective solutions.
• Conducted user interviews and future feature design sessions to develop a solution framework.
• Delivered an actionable plan that included revamped Apple Card and TrueCar-like customer experiences and employee experiences.
• Conducted market analysis of consumer trends and competitors to keep the credit union abreast of their competition and evolving consumer needs.
• Provided a business case for an end-to-end replacement platform
• Analyzed various vendor-supported loan origination systems.
• Provided solutions that provide insight into operational reports that would remediate reporting lags for compliance.

This research helped build the case for the credit union to make an informed, data-based decision to encourage leadership to make the case to use this as an initial case for a platform modernization enterprise wide.
recommending a modern consumer-leading platform for all the credit union’s needs.

With Randstad’s assessment, the credit union has reached full agreement across the executive board that the antiquation, technical debt and opportunity costs have reached a point to move forward with a replacement platform.

Now the credit union can recapture their missed opportunity costs by providing an omni-channel, digital, modern consumer lending application experience for their members. Both employees and members will benefit from Apple Card and TrueCar-like experiences, simplified loan application processes, and a lower loan application abandonment rate. The replacement enterprise technology will also support speeding new products to market for competitive advantage. And, finally, the credit union’s technical debt will now be wiped clean as they move forward with a more agile solution that doesn’t rely on tribal knowledge and limited skill sets to maintain and enhance the platform.

The team at Randstad orchestrates seamless digital journeys using enterprise technology. Randstad Digital is dedicated to delivering the best solutions to our customers. We’ve got you covered. Talk to us to find out more.