; Process MGMT ERSTE Group Buzzword oder Realitt
Documents
Resources
Learning Center
Upload
Plans & pricing Sign in
Sign Out

Process MGMT ERSTE Group Buzzword oder Realitt

VIEWS: 11 PAGES: 34

  • pg 1
									                                                         ER S TE GR O UP




               Process MGMT @ ERSTE Group

                      Buzzword oder Realität?




Bjoern Pichler
Group Org Retail, Corporate and PcM
October 2009

OE 0196 0413                          07. Oktober 2010                     Seite 1
Index
                                                      ER S TE GR O UP




− Check of Expectations of the audience
− Short Intro - Who ERSTE is
− What we got regarding BPM
− Process Performance Management
   − Implementation
   − Experiences
   − Lessons Learned
− Questions & Answers




OE 0196 0413                       07. Oktober 2010                     Seite 2
Index
                                                      ER S TE GR O UP




− Check of Expectations of the audience
− Short Intro - Who ERSTE is
− What we got regarding BPM
− Process Performance Management
   − Implementation
   − Experiences
   − Lessons Learned
− Questions & Answers




OE 0196 0413                       07. Oktober 2010                     Seite 3
History –
Austria’s first savings bank: Founded in 1819

 - Erste Group went public in 1997                                                     New
                                                                                       holding
 with a strategy to expand its retail                                                  structure
                                                                           2008        improving
 business model into CEE                                                               Group
                                                                                       governance

                                                                    2007
 - Acquisition of more than 10
 banks between 1997 and 2008
                                                             2006
 - Erste Group now runs market
 leading retail banking operations                    2005
 in the new EU member states,
 which remain underpenetrated                  2004
 compared to their Western
 European markets                       2003


                               2001


                        2000                                 - Erste Group’s customer base
                                                             grew from 600,000 in 1997 to
                                                             17.5 million in Q1 2010
              1997


June 2010
                                                4
Erste Group Bank AG-Share
since 1997
in EUR



 70                                                                                                                                                   Purchase of Bank Prestige
                                                                                                                                       Capital
                                                                                                                                       increase
 60                                                                                                          Signing of BCR
                                                                                                             acquisition
                                                                                                                                                                              Bank Center-Invest
 50                                                                                              Stock-split 4:1


 40                                                                                                                                                                                     Lehmann
                                                                                                                                                                                        Crisis
                                                                          Riječka banka
                      Česká spořitelna                                    purchase                                     Novosadska banka
 30                   (CS) bid accepted                                                                                purchase         Closing of
                                        Capital                   SLSP deal
                      by Czech                                    closed                                                                BCR
                                        increase                                                                      EU enlargement    acquisition
                      government                                                                                                                                                        closing
 20
                                                                                                                     Postabank acquisition;                                             price on
                                                                                                                     deal closed                                                        14.5.10
 10                                                                                         Buyout of CS                                                                                EUR 31.19
                                                Announcement of                             minorities & capital                             Announcement of
                                 CS deal closed Cross-guarantee                             increase                                         State Capital
  0                                             system
      12.97

              07.98

                         02.99

                                 09.99

                                         04.00

                                                 11.00

                                                         06.01

                                                                 01.02

                                                                         08.02

                                                                                 03.03

                                                                                         10.03

                                                                                                     05.04

                                                                                                             12.04

                                                                                                                     07.05

                                                                                                                             02.06

                                                                                                                                     09.06

                                                                                                                                              04.07

                                                                                                                                                      11.07

                                                                                                                                                              06.08

                                                                                                                                                                      01.09

                                                                                                                                                                                08.09

                                                                                                                                                                                         03.10
June 2010
                                                                                                 5
Strategy –
Consistent strategy since 1997 IPO


                Consistent but evolving strategy since 1997 IPO



             Business             Geographic             Efficiency
              focus:                focus:                 focus:

                                  Central and              Cost
            Retail & SME
                                 Eastern Europe        consciousness
              banking




        Value creation for shareholders and all other stakeholders



June 2010
                                       6
  Erste Group business snapshot –
  Retail market leadership in the eastern part of the EU
                   Czech Republic
                                                                       Slovakia                                                                      Ukraine
                       Clients: 5.3m
                   Retail loans: 27.3%                               Clients: 2.5m                                                                 Clients: 0.1m

                    Retail dep.: 29.4%                            Retail loans: 26.3%                                                           Retail loans: 1.7%

                                                                  Retail dep.: 27.7%                                                            Retail dep.: 0.3%
                      Branches: 660
                                                                    Branches: 281                                                                 Branches: 134


     Austria                                                                             Hungary
                                                                                       Clients: 0.9m
   Clients: 3.1m
                                                                                   Retail loans: 13.4%
Retail loans: 19.0%
                                                                                     Retail dep.: 8.1%
                                                                                                                                           Key market stats
Retail dep.: 19.1%
                                                                                      Branches: 201
 Branches: 1,053
                                                                                                                                           Total population: 120m

                                                                                                                                        Bankable population: 92m
                         Croatia
                                                                                                                                     Erste Group customers: 17.5m
                      Clients: 0.8m                                                             Romania
                  Retail loans: 13.1%                           Serbia
                                                                                               Clients: 4.5m                         EU resident customers: 16.4m
                   Retail dep.: 12.5%                       Clients: 0.2m                  Retail loans: 19.9%
                      Branches: 138                      Retail loans: 3.2%                Retail dep.: 23.2%
           EU or-EU candidate country                    Retail dep.: 2.7%                     Branches: 665
       Non-EU or non-EU candidate country                   Branches: 73                                                                                    Indire ct presence

   All data are as of March 2010 excl. Austria’s Retail loans and deposits (YE 2009). Percentage numbers refer to market shares. Croatia branch numbers include Montenegro.


   June 2010
                                                                                           7
Structure
                                  ER S TE GR O UP




OE 0196 0413   07. Oktober 2010                     Seite 8
Index
                                                      ER S TE GR O UP




− Check of Expectations of the audience
− Short Intro - Who ERSTE is
− What we got regarding BPM
− Process Performance Management
   − Implementation
   − Experiences
   − Lessons Learned
− Questions & Answers




OE 0196 0413                       07. Oktober 2010                     Seite 9
What we got @ ERSTE Group
                                                          ER S TE GR O UP




−   Vision/Mission/Strategy
−   Established function & organisational positioning
−   Process MGMT Roles & Responsibilities concept
−   Process MGMT Trainingsconcept (SixSigma,…)
−   Group Standard for BPM tool
−   Group Process Map
−   Group Process Performance Measurement
     − central infrastructure with dedicated
        Competence Center
     − first success stories


OE 0196 0413                           07. Oktober 2010                     Seite 10
Index
                                                      ER S TE GR O UP




− Check of Expectations of the audience
− Short Intro - Who ERSTE is
− What we got regarding BPM
− Process Performance Management
   − Implementation
   − Experiences
   − Lessons Learned
   − Example Slides (from online-system)
− Questions & Answers



OE 0196 0413                       07. Oktober 2010                     Seite 11
PPM Implementation
How we did it                                                     ER S TE GR O UP




− On-boarding Top-MGMT (Holding Board) for investment into PPM
− Pilot selection, execution
− Decision for group-wide roll-out with specific scope based on pilot’s
  success with:
     −   Defined Roles & Responsibility concept
     −   Existing Infrastructure
     −   Existing Know-How INTERNALLY (goal: independence from Consultant)
     −   Listening/Respecting ind. country requirements/desires
     −   1 country roll-out: 6 months, current: 3 months
− Set-up of dedicated Competence Center for PPM
− Continuous scope-enlargement for ind. countries & divisions
− Continuous road-shows for PPM advantage,…



OE 0196 0413                                   07. Oktober 2010                     Seite 12
3 process types
                                                             ER S TE GR O UP




           1                2                                3
     Designed          Implemented                       Executed
     Processes          Processes                        Processes
      (Project View)      (IT View)                       (Real Life)




OE 0196 0413                          07. Oktober 2010                         Slide 13
  Root cause analysis
                                                       ER S TE GR O UP



                      Trend                               Distribution
                     analyses                          (process stability)



Indicators




             What?
                     How?

Where/Who?           Why?                                         Influencers
                                                                   (analysis
                                                                    criteria)




                                          Defects in
 Communication                             process
   networks                                  flow

  OE 0196 0413                  07. Oktober 2010                         Slide 14
Mission and allocation of PPM Roles                                                  ER S TE GR O UP


                 Role                   Mission & Goals                                 Level
                                                                                          Org/IT
                                                                                      Entity Group
         Head of Group
        Head of Group
                             Responsible for the establishment and management
         Process
        Process                                of BPM and PPM
         Management
        Management

        PPM Champion
         PPM Champion        Responsible to coordinate, standardize and organize
                                      PPM activities within the group



        PPM Administrator
         PPM Administrator   Responsible for the PPM technical governance within
                                                  the group


        PPM Customizing
         PPM Customizing     Responsible for the customizing PPM and bring PPM
                                  knowledge to the local PPM Power User
         Specialist
        Specialist


         IT Specialist
        IT Specialist           Responsible for the data sourcing within PPM



        PPM Power User
         PPM Power User      Responsible to coordinate and steer PPM activities in
                                                 the entities




OE 0196 0413                                               07. Oktober 2010                            Seite 15
                                                                                                                  15
Process Organization for PPM in
ERSTE Group                                                                                                                            ER S TE GR O UP




 Performs the             PPM
 customization of                                                PPM                                    PPM            ARIS PPM Coordination
                       Customizing
 the PPM system                                               Administrator                           Champion         Support process standardization
                        Specialist
                                                                                                                       on group level

                                                             Takes care of the                                         Group ARIS PPM Management
                                                             technical governance
     Support and
                                                                                                                 Coordinates PPM
  knowledge Transfer
                                                                                                                    Power User


                                                                                                                            Operative ARIS               Logo
 Technical Data manager                                                                                                     PPM Power User in            Entity
 in the Entity                                                                                                              Entity
                                   PPM
                                                                                                        PPM                 Supports Business Units
 Responsible to the            IT Specialist
                                                                                                      Power User            with Report / KPIs
 data extraction and
 import in PPM                                                                                                              Supports in
                                                                                                                            improvement processes

                                                                              Support to identify
                                                                                improvement
                                                                                  potential
E.g.
                                                                                                                              BPM Organisation
                             Simple Loan Standard Process
                                                                                                    Process Owner

                         Credit Advic e        Application         Approval     Cont ract Signing       Disbursement




OE 0196 0413                                                                                         07. Oktober 2010                                    Seite 16
                                                                                                                                                                    16
 General PPM Change Management
                                                                                                                     ER S TE GR O UP



                                    PPM                   PPM                                                  PPM
 Process Owner                                         Customizing                  PPM                     Customizing
                                  Power User
                                                        Specialist                Champion                   Specialist

                                  Report change       Report request to                                              Send cost
    Process Owner
                                 request to PPM       PPM Customizing                    Decision                estimation to PPM
    request change
                                   Power User            Specialist                                                 Power User


Based on                   Power User             PPM Customizing             PPM Champion                  PPM Customizing
improvement ideas          analyses and           Specialist analyzes         prioritizes and decides       Specialist gives an
(KPIs, measure             structures the         request and estimates       about request                 estimation for effort
points, …) Process         request.               effort of change /                                        and feedback about
owner request                                     improvement. Align the                                    potential
changes in PPM                                    change with group                                         implementation plan.
                                                  standard.



      PPM                             PPM                  PPM              PPM
                                                                                          PPM
                 Process Owner     Customizing                           Customizing
    Power User                                         IT Specialist                   Power User            Process Owner
                                    Specialist                            Specialist

                                                                       PPM Customizing
      Asses cost estimation           Plan implementation                                               Going live
                                                                         and Set up


  Entities assessing the         PPM Customizing Specialist        Customizing Specialist       Process owner tests the
  cost estimation and            setsup detailed                   implements request           changes and gives the
  implementation plan.           implementation plan with          with the needed local        sign-off for roll out.
  They decide about the          needed local resources            resources.
  implementation.


  OE 0196 0413                                                                    07. Oktober 2010                                     Seite 17
                                                                                                                                                  17
PPM Implementation and Usage:
Lessons Learned/Experiences                                      ER S TE GR O UP




− Integration of future role-holders into implementation project as soon as
  possible
− Continuous trainings and coaching (go-live + 3 qu)
− Listening to individual pain points – erasing them as success stories
− still do some quick wins (above mentioned is – as experienced showed
  – mostly mid-term)
− Top-down and down-up marketing of “vision” and especially benefits is
  core
   − specific MGMT presentations (KISS principle)

− bank-specific: bridge “wish-list” from business with “what is possible”
  from operations in a mediator-like role



OE 0196 0413                                  07. Oktober 2010                     Seite 18
Group Performance Cockpit
                                               ER S TE GR O UP




OE 0196 0413                07. Oktober 2010                     Seite 19
Group Product comparison
                                              ER S TE GR O UP




OE 0196 0413               07. Oktober 2010                     Seite 20
Joint developmen of KPIs
                                                                                   ER S TE GR O UP

based on Voice of Customer (6s)

 The financing takes too
 much time!
                                  Voice of the customer
                                                                  Translation into a actual
                                                                  result and its quality
 The decisions have
 to be taken much
                                       Output criteria
 faster!                                                           Derive measurement criteria
                                                                   and dimensions

 Time for decision=
                            Process Performance Indicator
 through put-time from
 advice to approval                   (Instance)     Target value/borders of
                                                                   tolerance


 Time for decision < 19 h    Critical to Quality - Statement
                                        (Instance)       Specify by key dimensions
                                                                   and rate of achievement
 FIL 0815, M06/2008
 Private, EUR, 67,5 %
                               Key Performance Indicator

OE 0196 0413                                           07. Oktober 2010                              Seite 21
Per entity view on one product
                                                ER S TE GR O UP




OE 0196 0413                 07. Oktober 2010                     Seite 22
Selecting an entity
                                         ER S TE GR O UP




OE 0196 0413          07. Oktober 2010                     Slide
                                                           Seite 23
Selected Region
                                     ER S TE GR O UP




OE 0196 0413      07. Oktober 2010                     Slide
                                                       Seite 24
Selected Product
                                      ER S TE GR O UP




OE 0196 0413       07. Oktober 2010                     Slide
                                                        Seite 25
Top flop cycle time for disbursed
                                                ER S TE GR O UP

loans per branch




OE 0196 0413                 07. Oktober 2010                     Slide
                                                                  Seite 26
Unusual process flows for Risk Dep.
                                               ER S TE GR O UP




OE 0196 0413                07. Oktober 2010                     Slide
                                                                 Seite 27
MGMT Views – example
                                          ER S TE GR O UP




OE 0196 0413           07. Oktober 2010                     Seite 28
What is the difference from our
                                                ER S TE GR O UP

approach to regular controlling?




OE 0196 0413                 07. Oktober 2010                     Seite 29
Automated re-design of real processes!
                                               ER S TE GR O UP




OE 0196 0413                07. Oktober 2010                     Seite 30
Uncovering improvement options
                                                 ER S TE GR O UP




                                      Unusual
                                      occurence –
                                      big time gap
                                      …




OE 0196 0413              07. Oktober 2010                         Seite 31
Core benefit option:
                                          ER S TE GR O UP




OE 0196 0413           07. Oktober 2010                     Seite 32
ARIS PPM – tech set-up
                                                                                                                                                                ER S TE GR O UP




                                   Read
    Datamart                              JDBC-Extractor
                                   only
                                                               Web-Server                                                                            User
                                            Transform         (Apache Tomcat)



                                              Data
                                              (XML)

                                                           PPM-Application-Server


                                                                PPM Client
                                          XML-Interface




                                                                 Oracle 9

                                                            Process     PPM-Admin
                                                           Warehouse    PPM-Config




   Loans                                                                                                         Proce ss M anage ment Cockpit
                         Master Data
 Application


                                                                                                                                                     Proce ss Performance Measure ment

                                                                                            L o an c on tra c t
                                                                                             L o an c on tra c t
                                                                                                is p ri n te d      Fro nt O ffi c e
                                                                                                  is p ri n te d     Fro nt O ffi c e
                                                                                                                       a d vis o r
                                                                                                                         a d vis o r
                                                                                                                     c u st om e r
                                                                                                                      c u st om e r
                                                                                                S i g ni ng
               Scoring                                                                           S i g ni ng
                                                                                                c o n tra c t
                                                                                                 c o n tra c t
                                                                                                                        L o an
                                                                                                                         L o an
                                                                                                                      c o n trac t
                                                                                                                       c o n trac t
           Application                                                                        C on tr ac t is
                                                                                               C on tr ac t is
                                                                                                 s ig ne d
                                                                       F IN A N TIX               s ig ne d
                                                                        F IN A N TIX

                                                                          L o an
                                                                           L o an
                                                                         co nt ra ct            U pl o a d
                                                                                                  U pl o a d
                                                                                                                    Fro nt O ffi c e
                                                                                                                     Fro nt O ffi c e
                                                                                                                                         Deviation
                                                                          co nt ra ct           c o n tra c t          a d vis o r
                                                                                                 c o n tra c t          a d vis o r
                                                                       C o l la te ra l
                                                                        C o l la te ra l
                                                                        c o nt ra ct
                                                                         c o nt ra ct         C on tr ac t is
                                                                                               C on tr ac t is
                                                                                               u p lo ad e d
                                                                                                 u p lo ad e d




                                                                                           D i sb u rs em e nt
                                                                                            D i sb u rs em e nt




                                                                        Proce ss Definition                                                            Proce ss Exe cution



                                                                                                                                        26.02.2008                                Seite 33
Questions / Contact-Data
                                                         ER S TE GR O UP




               Thanks for your attention!
                        Mag. Bjoern Pichler
                        ERSTE Group Bank AG
                        Group Org Retail, Corporate & Process MGMT
                        Tel: +43/50100/ 19551
                        bjoern.pichler@erstegroup.com

OE 0196 0413                          07. Oktober 2010                     Seite 34

								
To top
;