The legacy part of this bank had an existing relationship with the core banking provider and an associated spend of several hundred million dollars a years.
The bank wanted to target the fast growing millennial customer segment with a digital first offering and was approached by the core banking provider to implement their modern banking platform along with a front end from one of the leading Hyperscalers.
The bank asked ISG for assistance in assessing the proposal to understand if it would meet their objectives, and reflected industry best practice.
Imagining IT Differently
ISG leveraged both our banking experts and the unrivalled market data from our Research team to critically review the proposal from the core banking provider, as well as the current Hyperscaler agreement.
The assessment identified gaps to market best practice in multiple areas including end-to-end service delivery and hand-off risks between the different parties.
Additionally, ISG found that the modular API-driven architecture proposed was untested in practice.
ISG also used our core banking expertise to review the pricing model and proposed fees, both for transparency and competitiveness.
Future Made Possible
The bank was able to understand the true end-to-end service delivery picture and ensure that the gaps in service were addressed by the providers.
Secondly, thanks to ISG’s review the bank was able to reduce the price of the initial proposal by negotiating out most of the monthly minimums.
Thirdly, the bank is now well positioned to swap out all the ancillary components with more competitive third party products in order to make its service offering more attractive.