The financial benefits were equally significant. Revenue collection improved by $4.2 million, resulting in a net annual hard savings of $226,800 (at a cost of capital of 5.2 percent). Additionally the company improved its operating cash margins significantly, which subsequently improved its debt rating.
Within a Fortune 100 financial services firm is a segment of advisers offering financial planning and services to individual customers, businesses and institutions. The group of advisers is committed to recruiting and retaining the most qualified employees to best serve customer needs. In order to do so, the group needed a better way to recruit, train and retain new and experienced financial advisers. The current hiring and retention processes in practice were labor intensive and greatly duplicated
efforts. Each process was independently owned with objectives that did not necessarily align with enterprise objectives.
TRAXION Enterprise For a crucial company success factor such as the process of identifying new hires, executing post hire procedures, and evaluating new hire success, too many gaps existed in the process to be efficient for both the advisers group and the employee.
The group follows Six Sigma principles and required a Business Process Management (BPM) solution that would align with the methodology when designing, modeling, executing and optimizing the life-cycle of the employee hire and retention process. In addition to this requirement, the company wanted a tool that would provide a common understanding and end-to-end view of business processes spanning departments, regions and work-groups. The processes must be transparent, seamless and remove redundancies. Another requirement was the ability to generate and test scenarios to identify work-group utilization and bottlenecks. Next, the power to identify areas to increase productivity and decrease cycle time was key, as was determining optimal process flow and workload to reduce costs. Last, the BPM solution the advisers group would select must needed to have a feedback mechanism to measure the effectiveness of the implemented solution.
To help the company identify the most effective new hire process, CommerceQuest’s TRAXION Enterprise Business Process Management Suite (TRAXION Enterprise BPMS) was selected because of the breadth and depth the solution offered. Specifically, TRAXION Enterprise BPMS is able to more rapidly identify higher quality recruits, implement more applicable training methods for each new hire, and continuously improve processes by monitoring results and applying the best options to increase processes efficiency.
CommerceQuest worked closely with the financial services advisers to review their current processes and to develop a customized approach for them to model and document processes. The processes were then added into TRAXION BPMS’ Process Modeler and the group was able to run simulations that identified bottlenecks, excessive costs, and inefficiencies prior to deployment. Several iterations of improving and simulation processes identified a 20-30 percent savings in time and labor costs prior to deployment.
TRAXION Enterprise BPMS encompasses business focused and IT focused tooling that compliment the entire process of recruiting, training and identifying new employees and it will become an organizational standard that will be deployed across the enterprise beyond the new hire process. For example, the benefits obtained using modeling and simulation capabilities prompted the company to implement additional TRAXION Enterprise BPMS solutions, this time in the execution and integration of system resources, that identified at least another 20-30 percent efficiency improvements by automating these processes across the financial services group.