Banking and Professionals of the Financial Sector (PFS): Case Study

Consulting - Front office and back office reorganisation of a private banking arm of a major Luxembourg bank

The issue

The project consisted of the reorganisation of the front offices and the integration of the back offices via the development of synergies within the group in Luxembourg and in Europe.

Our approach

• Strategy – Front office : two complementary approaches were followed, « top-down » and « bottom-up » :
  • The bottom-up approach consisted of starting from the client perspective (establishing client segmentation and profitability) and defining the selling structure that would allow client optimisation using the available resources;
  • The top-down approach consisted of starting from the Group’s and the Private Bank’s objectives respectively and defining the targets to reach in terms of the Bank’s various functional components.
• Organisation – back office : The approach consisted of reviewing the current processes (value chain, gap analysis), developing new information flows and workflows (process mapping, analysis of the IT in place), and finally in recommending a new organisational structure (functions, roles and responsibilities, client relationship management). The objective was to improve the global performance of the various back offices by aligning the existing processes with optimum processes identified in other components of the group.

The outcome

Repositioning of the Luxembourg entity within the Group with a new and clear mission statement, leveraging the business opportunities offered by the financial marketplace:

• A new organisation based on clearly defined functions, roles and responsibilities. In addition, processes were optimised, allowing improved client satisfaction and a more efficient department;
• Deliverables included: mapping and modelling of the core processes identified, definition of the main functions, definition of the roles and responsibilities of the participants in the processes, new business plan on a global level and entity by entity.