Reducing operational costs for remediation projects

The challenge

Our client, a Global Retail Bank, bought a system from a ‘Big 4’ firm to manage, analyse and process data for their PPI remediation projects through excel spreadsheets. The new approach required case handlers to manually input the relevant information for the system to calculate any redress due. Using this process, it took on average 2.5hrs for each case handler to process 1 case. With an FTE headcount of 160 case handlers, the average cost to complete each case was £98 with an annual cost of over £8M.

Recognising the benefits to be had from automating calculation processes the bank invited tenders from a number of the Big 4 firms, however, the cost and time involved proved prohibitive and a decision was made to build their own internal solution

The technical skillset and knowledge needed to deliver the solution were very specific to the project requirements. The client had engaged with several recruitment agencies to supply associates however struggled to find the level required. The client found attracting the top talent locally difficult as they had to compete with the London market and rates which they could not match. They also suffered high attrition as associates supplied were not from the local area and left for more money or contracts closer to home.

The aims of the project were to:

• Provide experienced resources from the local market
• Ensure resources met the required technical level and requirements
• Build a strong local network to be able to quickly grow the team or fill attrition gaps
• Understand the key personal and cultural attributes required by the client
• Sell opportunities and clients to attract talent over just a day rate

The solution

Davies Resourcing worked with the Head of Remediation Management Information to understand the skills required and build role profiles to bring a project team together capable of creating an automated calculator that would reduce reliance on manual input and so mitigate the risk of inaccuracy.

By working closely with the Client to understand what he was trying to achieve and then help source the best candidates in terms of background and technical experience and location we were able to build a team of up to 20 specialist contractors including Database Architects, Developers and technical BA’s working within the team on specialist remediation projects.

The outcome

The bank has used the calculator as a template that has been developed to suit multiple remediation projects including PPI, Credit Cards, Store Cards for Mortgages to accommodate both internal systems and third party data. Across all remediation projects, they have now saved over £40M in operational costs over 2 years.

Davies Resourcing have built an extensive network of technical specialists in a challenging geographical area and have yet failed to complete a resource requirement in the past 4 years successfully filling over 30 positions.

As a result of working closely with the client to understand their resourcing needs and challenges Davies Resourcing is now the sole recruitment partner for the Technical MI function.

With PPI at an end due to the successful work of our associates they have all been retained to work on other critical projects within the Bank on remediation and financial crime projects to support their data and technology needs

• £40M+

  Reduction in operational cost

• 100% Delivery

  All requirements fulfilled

• Lower Attrition

  Average contract tenure 1.5 years