“By implementing the iSeries platform in an on demand business model, we can now provide the same level of fast, responsive service that a much larger bank offers.”--Raul M. Camaliche, CIO, PineBank N.A.
The Challenge-- PineBank N.A. wanted to increase its response time to customers and speed up its ability to process transactions in a timely manner
The Solution--IBM eServer iSeries™ 810 system, IBM eServer xSeries® servers, IBM Lotus Notes® and Domino® software, WebSphere® Edge Server for Multiplatforms Version 2.0, WebSphere Application Server—Enterprise Version 5.2, and Datapro’s Integrated Banking System
Why IBM-- Only IBM prov ided a complete end-to-end solution to revamp the banking infrastructure with on demand capabilities
The Benefits--Increases customer traffic by 300 percent due to improved response time and end-of-day processing, increases data processing and backup time by 500 percent, integrates 90 percent of banking operation on one server for greater efficiency, and saves on operating costs by contracting for processing power on an as-needed basis Leveling the playing field
Today’s on demand banking world is high pressure and moving fast. Competitive banks must be able to react instantly to changing customers’ needs. It means having a flexible information technology (IT) infrastructure that can grow and dynamically adapt to these demands.
Last year, PineBank N.A. felt the pressure. This Miami, Florida-based wholesale commercial bank—which focuses on providing financing services in Latin America and the Caribbean—began to lose ground to more progressive competitors, especially larger banks, because of its slow response times to customers. Wireless transfers, mortgage loans, customer e-mail, and even monthly banking statements were not being processed in a timely manner.
"To become more competitive, the bank, with 70 employees, needed to upgrade its operating environment. Specifically, PineBank needed to accelerate its processing capabilities—or lose customers to more responsive competitors", says Raul Camaliche, PineBank’s CIO.
On demand model
PineBank called on IBM to help it transform its banking operations into an on demand business model, whereby the bank could deliver services faster to customers—and, at the same time, gain more control over IT operating costs.
Working with IBM Premier Business Partner, Interamerica Data Florida, PineBank acquired and implemented an IBM eServer iSeries-based solution running WebSphere Application Server, the Java-based software that integrates enterprise data and transactions into dynamic e-business on demand applications. For core processing power, the solution uses an iSeries 810 system, the flexible server with IBM eServer On/Off Capacity on Demand. During peak periods at the end of each month, PineBank can turn on extra processing power and later turn it off during non-peak periods. “We no longer pay for what we don’t use—a potential huge savings by year-end,” Camaliche says.
Integration drives productivity
The i810 server platform runs Datapro’s powerful Integrated Banking System (IBS), which enables all bank employees, including tellers, loan officers and mortgage specialists, to perform day-to-day banking transactions. “Now 90 percent of our banking operations is integrated on one server—our core banking software, checks and deposits, document imaging and e-mail run off the i810 system. This integration has dramatically improved employee productivity and response times to customers,” Camaliche says. In fact, the bank has increased transactions and customer traffic by 300 percent due to improved response times and faster end-of-day data processing.
For example, wire transfers can be processed in just 30 minutes, instead of two hours. Data processing of daily deposits and checks has been reduced from four hours to 20 minutes. Plus, all daily banking information for the emergency recovery system can now be backed up in just one hour—five times faster than the old system.
A better banking experience
To speed up its online banking operations, where customers interact electronically with financial accounts and services, PineBank consolidated five Compaq servers into IBM xSeries and iSeries servers. In making that transition, the bank improved systems availability, performance and security. Additionally, the IBM Lotus Notes and Domino software enabled the bank to improve on demand communication with customers throughout its 15 multinational branches with access at all times. Moving to Domino on an NT platform made a dramatic difference. “No more downtime, no more viruses. We’re giving customers a better, more reliable and faster banking experience as a result,” Camaliche says.
In all, the combined benefits of the IBM solution are helping PineBank to expand its customer base, without adding staff. At the same time, it’s able to generate more mortgages and process more letters of credit and wire transfers, as well as other profitable services.
Camaliche forecasts that in the next 12-24 months the bank should double in size, from 6,000 to as many as 12,000 customers. “Now we have
the infrastructure in place to scale quickly and cost effectively as demand rises,” he says. “We’re ready for rapid growth.”
For more information
Please contact your IBM sales representative or IBM Business Partner.