Business Transformation & Architecture for Cash Securities Data Store
Offering: Risk mitigation, Efficiency improvements, Cost reduction, Remaining competitive, Platform modernization
Client: Tier 1 Global Investment Bank
Client Situation
The client, a Global Investment Bank, faced significant deficiencies in its cash securities processing environment, including:
Insufficient process reengineering or system investment to support business growth.
Complex regional silos, leading to fragmented processes and inadequate operational controls.
Increased reconciliation efforts and break volumes due to rising product complexity and transaction volumes.
To address these deficiencies, the client aimed to establish a Centralized Securities Data Store (CSDS), which would:
Serve as a golden source of trade and position data for cash securities products.
Provide a robust, integrated architecture for cash components of derivative trades.
Enable entity-independent processing for booking, profit & loss calculations, position keeping, validation, enrichment, and exception management.
Key drivers behind the initiative included:
Risk mitigation.
Efficiency improvements.
Cost reduction.
Remaining competitive.
Platform modernization.
Approach
Capital Markets Advisors deployed a structured and results-driven approach to deliver the CSDS solution:
Sample Deliverables
Program Governance and Mobilization
Mobilized the team and established robust program governance frameworks.
Facilitated the assimilation of critical information about the existing operating environment for program team members.
Scope Definition and Business Architecture
Refined the scope in terms of required functions, processes, and data models.
Delivered a detailed business architecture for CSDS, focusing on specific functions and their integration across the organization.
Technology and Workstream Design
Identified and specified technology services to support both business functions and foundational requirements.
Defined key workstreams necessary for the development and implementation of CSDS.
Benefits Validation and Cost Estimation
Validated the qualitative benefits of the CSDS solution, such as risk reduction, operational efficiencies, and improved scalability.
Provided cost estimates associated with delivering the solution.
Benefits
The implementation of CSDS offered transformative benefits to the client, including:
Risk Mitigation:
Created a centralized repository to reduce data inconsistencies and operational risks.
Efficiency Improvements:
Streamlined processes, reducing reconciliation efforts and improving exception management.
Cost Reduction:
Lowered operational costs by eliminating redundant processes and enabling integrated workflows.
Enhanced Competitiveness:
Enabled faster and more reliable processing of cash securities and derivatives, supporting business growth.
Platform Modernization:
Established a scalable and integrated platform to handle complex cash securities processing across regions.
This initiative positioned the client to achieve its strategic goals while addressing existing operational inefficiencies, enabling long-term growth and sustainability.
