This document provides information on SmartWave's digital client onboarding solution. It discusses SmartWave's mission, facts about the company, and its partner BPMS Suisse. It then discusses client onboarding processes, including key activities, challenges, and how SmartWave helps clients. The document outlines SmartWave's preparation approach, including analyzing the current client onboarding process, identifying issues, and modeling the existing state.

1. March 17, 2016
Digital client onboarding
solution
Approach and Solution

2. March 17, 2016
Excellence in Client Onboarding
Processes
2
SMARTWAVE COMPANY
INTRODUCTION
Mission and facts

3. We improve enterprise
business processes
and information management
by integrating software solutions
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Excellence in Client Onboarding
Processes
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4. March 17, 2016 Excellence in Client Onboarding
Processes
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Our solution catalog

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Excellence in Client Onboarding
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SmartWave facts
Reliable: more than 15 years of steady growth
Local and more: based in Geneva with a subsidiary in Bulgaria
Independent: profitable, no debt, owned by management
Major Player: turnover 10 MCHF, 50 large clients
Expert: 40 consultants with high skills profiles

6. 6
They trust SmartWave
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Excellence in Client Onboarding
Processes

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PARTNERS

8. Client Onboarding Solution 8
Our partner: BPMS Suisse
We help our clients define and achieve their transformation
projects
Consulting
Business Analysis - To define
BABOK, CBOK, Enterprise Architecture, …
Project Assistance - To succeed
PMBOK, Agile, …
Training
Business Analysis
Enterprise Architecture
Business Process Modeling

9. Client Onboarding Solution 9
Our partner: BPMS Suisse
We help our clients define and achieve their transformation
projects
7 years
since 2009
10 complementary profiles
Geneva, Paris - business school / IT
40 clients
any sector
3 partners
no software editor

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Processes
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CLIENT ONBOARDING
Facts and challenges

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What is client onboarding?
• All activities that takes place when a financial institution
initiates a relationship with a client
• Main goals
– Validate the client is who he says he is
– The source of funds is clear
– The client has a good fit with the bank offer

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Excellence in Client Onboarding
Processes
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Simplified client onboarding business process
Acquire
Client
• Shortlist of
potential
customers
• Collect client
details
Gather
client data
• Collect
additional
client details
• Specific
information
regarding
profile
Verify
collected
data
• AML, KYC, PEP
Checker
• Authenticate
customer
Decide on
customer
acceptance
• Management
validation
Fulfillment
• Account
creation
• Document
archiving

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Excellence in Client Onboarding
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Facts on client onboarding
• Critical and essential process
• Mix of paper and computer based activities
• Up to 500 fields to capture!
• Involve multiple departments
• Customer exposed

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Excellence in Client Onboarding
Processes
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Client onboarding challenges
• Enforce compliance and risk management programs
• Reduce cost and duration of onboarding processing
• Ensure consistent client selection
• Simplify data capture and reduce data entry errors
• Ensure an exhaustive client data capture
• Improve communication between departments

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Excellence in Client Onboarding
Processes
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Our engagements
Reduced risk
in dealing with
new clients
Real
teamwork
productivity
Accelerated
process
Improved
bank brand

16. Client Onboarding Solution 16
OUR PREPARATION APPROACH
Analysis of the Client On-Boarding Process
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17. Photo by Bryan Davidson - Creative Commons Attribution-NonCommercial License https://www.flickr.com/photos/26290117@N03!
Business Analysis
PMI 2014 Pulse of the Profession Study
Poor requirements management is a major
cause of project failure, second only to
changing organization priorities.
Client Onboarding Solution 17

18. Abstraction
to offer
options
Client Onboarding Solution
Approach
Analysis to identify alternatives, before action
Diagnostic
Analysis
Alternatives
New ways
Problem to
solve
Objective to
reach
Action plan
Concrete
Abstract
Present Future
From T. Picq – « Manager une équipe projet » - Dunod
18
CAUTION!

19. Client Onboarding Solution 19
BUSINESS GOALS, STAKEHOLDERS, CURRENT
STATE, FUTURE STATE, ASSESS RISKS AND DEFINE
CHANGE STRATEGY
1. “STRATEGY” ANALYSIS
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20. Current state
What is the business goal ? Example of request out of SLA terms
Client Onboarding Solution 20
New requests
(100%)
Abandonned
requests
(30%)
Completed
requests
(70%)
Fails
Validation
(25%)
Delivered
Requests
(75%)
Fails onsite
Validation
(20%)
Successful
Rollout
(80%)
Outside SLA
(75%)
Within SLA
(25%) 10%
Restarted
at least once
(50%)

21. Stakeholders and goals
Ensure each stakeholder understands what will happen…
Client Onboarding Solution 21

22. Client Onboarding Solution 22
PROCESS, INFORMATION, RULES, APPLICATION
LANDSCAPE …
2. MODEL EXISTING STATE
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23. Current state
Business process as a guide, a roadmap
Client Onboarding Solution 23
evue détaillée du processus Personnes Physiques
Client onboarding TOBE
12(
Business rules
Applications for
integration
Business
information
3
2
4
Activities &
Roles
1

24. Identify issues
Where are issues located ?
Client Onboarding Solution 24
Issue !

25. Business information inventory
What is the key information? Who is the owner?
Client Onboarding Solution 25

26. Form 402 FORM A
Données clés Description des champs de saisie ou report donnée Type de champ Actions
Contracting Partner Commercial Entity texte libre Report auto
Account Number Account ID 6 chiffres Report auto
Beneficial Owner's Identity 1
The Contracting Partner hereby
declares:
- that the Contracting Partner is the sole beneficial owner of the assets concerned
- that the beneficial owner(s) of the assets concerned is/are
XOR Checkbox If second choice, following fields are
mandatory
Full name (or Company) Texte libre - une ligne
Date of Birth Date
Citizenship(s) Texte libre - une ligne If USA
Address / Domicile Texte libre - une ligne
Country of domicile Texte libre - une ligne If USA
Beneficial Owner's Identity 2 If Other Beneficial Owner checked after BO 1 idem ci-dessus idem ci-dessus
Beneficial Owner's Identity 3 If Other Beneficial Owner checked after BO 2 idem ci-dessus idem ci-dessus
Beneficial Owner's Identity 4 If Other Beneficial Owner checked after BO 3 idem ci-dessus idem ci-dessus
Beneficial Owner's Identity 5 If Other Beneficial Owner checked after BO 4 idem ci-dessus idem ci-dessus
Signature
Date Ne pas remplir, champ libre client
Signature of the Contracting Ne pas remplir, champ libre client
Remarques : Contracting Partner = Account Holder
Business information inventory
Client data for each form
Client Onboarding Solution 26

27. PERSONNES MORALES / LEGAL ENTITIES WM Légende Formulaire Obligatoire
Ce classeur contient les éléments produits par le processus, avec les conditions métier et technique , si des données sont à reporter et éditer sur les formulaires, et quels formulaires sont générés A ne pas traiter
Form. n'existe pas Français
Form. à éditer?
Form.selon condition métier
DOCUMENT CONDITION METIER CONDITION TECHNIQUE
Données saisies à
reporter
Form. Avec
Signature
Données entête Formulaire F Formulaire E
Règle
Idem IND
General documents
£5AF - AOF Checklist (form 421) Dans tous les cas Oui Oui Acc Holder+Acc Nb 421 EWM 06.2015 E 421 EWM 06.2014 E
£1SL – Signature Card* (form 418) Dans tous les cas. Possibilité signature individuelle ou signatures par 2 Oui Oui Acc Holder+Acc Nb 418 04.2013 F 418 04.2013 E
£1AL – Account Opening Application* (form 412) Dans tous les cas Oui Oui Acc Holder+Acc Nb 412 12.2104 F 412 12.2014 E
£1GC – General Conditions* (form 408) Dans tous les cas Oui Oui Acc Holder+Acc Nb 408 08.2013 F 408 08.2013 E X
£1FA – Form A* (form 402) Dans tous les cas Oui Oui Acc Holder+Acc Nb 402 04.2013 F 402 04.2013 E X
£1CP – Client Profile* (form 409) Dans tous les cas. Oui Oui Acc Holder+Acc Nb 409 EWM 06.2015 F 409 EWM 06.2015 E
£ 1PB – Customer Risk Profile* (form 434) Dans tous les cas Oui Oui Acc Holder+Acc Nb 434 10.2014 E 434 10.2014 E X
£1TP – Trusted Persons* (form 422) Dans tous les cas Oui Oui Acc Holder+Acc Nb 422 04.2013 F 422 04.2013 E X
Documents related to Transactions
£1FI – Fiduciary Agreement (form 407) Si le client souhaite traiter des Fiduciaires Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 407 04.2013 F 407 04.2013 E X
£1PG – General Deed of Pledge (form 416) Dans tous les cas, possible de mettre "Refusé par le Client" Oui Oui Acc Holder+Acc Nb 416 04.2013 F 416 04.2013 E X
£1RD – Risk Disclosure Statements (form 427) Si le client souhaite traiter des Titres Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 427 04.2013 F 427 04.2013 E X
£3FO – Regulations for Futures and Options (form 414) Si le client souhaite traiter des Futures, Options et autres Produits dérivés Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 414 04.2013 F 414 04.2013 E X
£3MA – Discretionary Management Agreement (form Si le client souhaite un Mandat de gestion discretionnaire Ajouter question pour RM Oui Oui Acc Holder+Portfolio 415 08.2013 F 415 08.2013 E ?
£3MI – Client Investment Profile (form 419) Si le client souhaite un Mandat de gestion discretionnaire Ajouter question pour RM Oui Oui Acc Holder+Portfolio 419 02.2014 F 419 02.2014 E ?
£ 3MR – Investment Risk Profile Assessment (form 436) Si le client souhaite un Mandat de gestion discretionnaire Ajouter question pour RM Oui Non Acc Holder+Portfolio 436 05.2014 F 436 05.2014 E ?
£3SM – Specific Mandate For High Risk Investments Si le client souhaite traiter des Fiduciaires auprès de banques non investment grade ou, Dual Curencies Deposit Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 424 04.2013 E 424 04.2013 F X
£3DI – Client Disclosure Consent For Foreign Securities Si le client souhaite traiter des Titres étrangers Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 440 04.2013 E 440 04.2013 E ?
£3QD – Qualified Investor Declaration (form 460) Si le client souhaite investir dans des fonds et veut être considéré comme investisseur qualifié Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 460 06.2015 F 460 06.2015 E X
£ 3QA – Qualified Investor Status Analysis (form 461) Si 460 alors 461 obligatoire (si le client veut prendre des risques ou être qualifié comme investisseur qualifié Ajouter question pour RM Oui Non Acc Holder+Acc Nb 461 06.2015 F 461 06.2015 E X
£3IP – Assessment of the Investment Risk Profile – non-
Managed Clients (form 463) Si 460 alors 463 obligatoire Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 463 06.2015 F 463 06.2015 E X
£ 1UN – (No US Securities/ Specific code in Apsys) Codification Apsys (phase trois, donnée à injecter dans Apsys) A ne pas traîter
Documents related to Communications
£3DT – Communications Instructions (form 458) Dans tous les cas Oui Oui Acc Holder+Acc Nb 458 12.2014 F 458 12.2014 E X
£3HM – Hold Mail Instructions (form 403) Demande Hold Mail Si "Hold Mail Instruction" dans form 412 Oui Oui Acc Holder+Acc Nb 403 04.2013 F 403 04.2013 E X
£Disclosure of Client Details in Connection with Swift Dans tous les cas Non Non Acc Holder+Acc Nb 435 04.2013 F 435 04.2013 E X
£ Documentary Credits instructions by Swift (form 431) Si demande du client Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 431 04.2013 E 431 04.2013 E
£ Payment instructions by Swift (form 432) Si demande du client Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 432 08.2014 E 432 08.2014 E
Powers granted to third parties
£3PG – General Power of Attorney (form 406) Si demande du client pour une procuration générale Existe pour LE ? Oui Oui Acc Holder+Acc Nb 406 07.2014 F 406 07.2014 E
£3PL – Limited Power of Attorney (form 404) Si demande du client pour une procuration limitée aux titres Existe pour LE ? Acc Holder+Acc Nb 404 04.2013 F 404 04.2013 E
£3MT – Limited Power of Attorney for Professional IAM Si demande du client pour une procuration limitée aux titres pour professionnels Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 410 04.2015 F 410 04.2015 E X
£3IT – Authorization to give Information to Third Parties Sur demande du client Ajouter question pour RM Oui Oui Acc Holder+Acc Nb 425 04.2013 F 425 04.2013 E X
Tax Related Documents
£1UE – US Tax Status Declaration* (form 443) Dans tous les cas. Form 443 pour Entities Oui Oui Acc Holder+Acc Nb 443 07.2015 E 443 12.2014 E
£1UE – US Tax Status Declaration* (form 444) Dans tous les cas. Form 444 pour Trusts Oui Oui Acc Holder+Acc Nb 444 07.2015 E 444 12.2014 E
£1UO – US Tax Status Declaration* (form 445) Dans tous les cas. Form 445 pour Owners 445 12.2014 E 445 12.2014 E
£1WS – Information on Ownership US Tax * (form 446) Si Owners et Form.445 446 12.2014 E 446 12.2014 E
£1W9 – W-9 (* if US person) (IRS form) Si US person (selon 430) obligatoire Dans form 430 Non
£1WR – Authorization to disclose data to the IRS (* if Si US person (selon 430) obligatoire Dans form 430 Non Oui Acc Holder+Acc Nb
£ 1UF – FATCA Client Classification* LE (form 447) Dans tous les cas Oui Oui Recap infos collectées 447 12.2014 E 447 12.2014 E
Business rules specifications
Form according to criteria
Client Onboarding Solution 27

28. • Financial institution
– Business Project Manager
– Central registry
– Compliance
– Front-office
– Management
– Client relationship
– IT team
• BPMS
– Business Analyst with Banking
knowledge
• SmartWave
– Solution architect
Project team
You are the subject matter experts!
Client Onboarding Solution 28

29. Client Onboarding Solution 29
ROOT CAUSE ANALYSIS (BRAINSTORMING
WORKSHOPS), ANALYSIS, SELECTION
3. LOOK FOR IMPROVEMENTS
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30. Root cause analysis
Analysis and brainstorming
Client Onboarding Solution 30

31. The production process is too long
PROCESS
Difficulty to start new process
Many process instances are
restarted
Custom requests are longer to
process
The renewal of a card is long
SC DEV re-delivers each time
Difficulty to identify delivered
configuration version
Delivery delay
PEOPLE
Key tasks are performed by a single
resource
The system architect has no back
up
Precix ID insertion in the APC
Work out of workflow
Workflow not aligned with business
process, especially parallel work
No integration of artwork &
logistical parameters to complete
the new product definition process
Refurbishment and patch are not
included in the workflow
EQUIPMENT
User doesn't know what happens
after the request (Process ?
industrial or craftwork)
No idea on time for response
who is responsible of what : RACI
Lack of visibility
Notifications do not contain
enough information
Current request status/step not
easy to track (for person, for region)
No notification when out of delay
(no news, bad news)
Not process monitoring
Change in Precix ID implies to
restart a new order
Impossible to get a minor change in
Flow Mind
MATERIALS
40% internal (R&D) commands
ordered out of CRM
ENVIRONMENT
MANAGEMENT
Process priorities are not clear
Orders are not available in the
system at production time
Planning priorities are not pushed
in the workflow
Priorities are poorly communicated
to the field (Teams, Regions)
Cards can be produced (but not
shipped) without order
Root cause analysis
Multi-aspects : process, people, equipment, management, etc.
Client Onboarding Solution 31

32. • Process optimization
– Intermediary data summary validation by the client
• Automatization
– PEP checker integration
– Bank client number generation
Some improvements examples
Client Onboarding Solution 32

33. Client Onboarding Solution 33
TARGET PROCESS AND INFORMATION SYSTEM,
LAUNCH PROJECTS (OPERATION, ORGANISATION,
AUTOMATION)
3. TRANSFORM !
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34. 2 1
Define future state
How it should look like…
Client Onboarding Solution 34

35. Business analyst outputs for automation
Now, let’s automate!
Client Onboarding Solution 35
Business Process
- Activities
- Events
- Routing
Business Information
- Entity Model
- Relationship
- Cardinality
- Constraint
Business Rules
- Dictionary
- Rule List
Applications List
- Input / output
- Expected results
1
3
2
4

36. March 2016 Client Onboarding Solution 36
SMARTWAVE CLIENT ONBOARDING
PRODUCT
Automation of the client onboarding process

37. March 2016 Client Onboarding Solution 37
SmartWave client onboarding solution
Bank Information System
Core banking
system
Content
management User directory PEP checker
Client onboarding solution
Process automation
engine
Client data capture
questionnaire
Documentary
bundle generator
Business rules
engine

38. March 2016 Client Onboarding Solution 38
CLIENT DATA CAPTURE
QUESTIONNAIRE

39. March 2016 Client Onboarding Solution 39
Client data capture questionnaire
• Component goals: simplify data entry and ensure data
integrity
• Based on a client information data model
– Categories : customer information topic
• Each category has one or multiple forms
• Each form has one or multiple questions
• Each questions has one or multiple rules
– Categories can be multivalued
• Mobile / tablet ready

40. March 2016 Client Onboarding Solution 40
Client data capture dynamic form
• Business rules enforcement:
– Ex: if PEP advise -> warning
– Ex: If one of the account holder is American: new form is
requested
• Calculated fields:
– Ex: Automatic wealth estimate: Real estate, Heritage, Share,
Accounts
• Data quality validation: basic data format validation and
presentation
– Ex: date, number, phone format
• Investor profiling

41. March 2016 Client Onboarding Solution 41
Solution welcome screen
Client onboarding
contract organized
by contract status
Client onboarding
contract search tool
Administrator
configuration
options

42. March 2016 Client Onboarding Solution 42
Basic information category
Client reference
Question categories
Required field
Qualification
questions
Autosave

43. March 2016 Client Onboarding Solution 43
Person identification category
Declared person
Automatic multivalued
category
Mandatory field

44. March 2016 Client Onboarding Solution 44
Person identification category
Category requiring
information
Category completion
gauge

45. March 2016 Client Onboarding Solution 45
Helpers
Address copier
International phone
formatter
Number formatter

46. March 2016 Client Onboarding Solution 46
Completed contract
All rules are
enforced all data
are present
Completed category

47. March 2016 Client Onboarding Solution 47
COMPLIANCE RULES ENGINE

48. March 2016 Client Onboarding Solution 48
Business rules engine
• Component goals: model and apply customer
onboarding business rules (compliance, central registry… )
• Rules editor
• Defined with business
• Configurable by a technical administrator

49. March 2016 Client Onboarding Solution 49
Business rules editor
Attribute visibility
conditions
Form generation
condition

50. March 2016 Client Onboarding Solution 50
POLITICALLY EXPOSED PERSON
CHECKER

51. March 2016 Client Onboarding Solution 51
Politically Exposed Person checker
• Component goals: dynamic identification of politically
exposed person using a worldwide database
• Exposed as a service used by the solution and other
applications
– E.g: Based on Thomson Reuters World-Check
• Updated each week with an XML file
• Support phonetic and fuzzy word search

52. March 2016 Client Onboarding Solution 52
PEP Checker search
PEP Checker OK
PEP Checker KO
Suggested PEP

53. March 2016 Client Onboarding Solution 53
DOCUMENTARY BUNDLE
GENERATOR

54. March 2016 Client Onboarding Solution 54
Documentary bundle generator
• Component goals: Produce documentary bundle using
information captured by RM and validated by the solution
• Documents produced are based on client profile
• Based on Microsoft Word standard feature: Content
Control
• Simple to maintain
• Reuse of existing bank documents
• Enable blank printing
• Automatic bar code generation using client number

55. March 2016 Client Onboarding Solution 55
Sample generated form
Core banking client
identifier as a bar
code Customer data
Bank standard
document

56. March 2016 Client Onboarding Solution 56
BUSINESS PROCESS EXECUTION
ENGINE

57. March 2016 Client Onboarding Solution 57
Business process execution engine
• Component goals: ensure process execution and work
orchestration
• Based on a leading market BPM product: Bonita BPM
from Bonitasoft
– 1’000 customers all other the world
– Created in 2001
– Based on standard technologies
– Scalable and secure

58. March 2016 Client Onboarding Solution 58
Process and forms modeling tool
Bonita BPM Studio
• BPMN 2.0
• Drag-n-drop
• Visual form creation
• Simplified information system
integration

59. March 2016 Client Onboarding Solution 59
Core banking system integration
• Implemented using Bonita BPM connectors
• Configuration based
• Enable integration using
– File
– Database
– WebServices
– Any custom development

60. March 2016 Client Onboarding Solution 60
TECHNICAL POINTS

61. March 2016 Client Onboarding Solution 61
Security
• Component goals: ensure application security
• Single Sign On: automatic user login using Windows
authentication
• User directory: link with enterprise user directory
• Audit: all user activities are traced

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Excellence in Client Onboarding
Processes
62
CONCLUSION

63. March 17, 2016
Excellence in Client Onboarding
Processes
63
Conclusion
Reduced risk in dealing
with new clients
• Standardized process
• Automatically enforced rules
Real teamwork
productivity
• Guided client interview
• Remove repetitive tasks
• No rekeying.
Accelerated process
• Automated and standardized
process
• Reduce costs associated with
compliance checks.
Improved bank brand
• Give your employee the right
tooling to do their work
• Enable your organisation to
focus on its core business and
values.