This article was previously published in the April issue of Independent Banker and is an excerpt from the IBT Apps ebook - Is a Core Transformation Best for Your Bank? Download it here.
While core transformations have evolved tremendously over the years, they can still be quite painful for a bank. If the financial investment and time commitment aren’t enough to grimace at, bankers often worry that Murphy’s Law may strike during the actual transformation process and impact business operations.
But it doesn’t have to be this way. Steps can be taken proactively to ease the process and prevent a negative outcome. In this article, we provide a few best practices to help banks shift their mindset and look forward to having a successful transformation.
- First, have honest conversations with your provider. Whether you’re working with your current provider or partnering with a new one, make sure that you have honest conversations about costs (including any deconversion fees), the conversion timeline, online and onsite training options for your team, and the transformation process.
- Treat the core transformation as an organizational transformation.
Involve your bank staff in the decision-making process as they will be using the new platform; having their input and buy-in up front will help when developing new processes. If you have multiple branches, consider appointing key staff members from each location who can represent every department.
- Start cleaning up data to prepare for migration, which includes having a clean set of customer accounts.
Focus on eliminating duplicates and reduce dormant or inactive accounts where regulation allows.
- Ensure any desired legacy products can be integrated into the new system.
It’s often underestimated how long it can take to integrate legacy products with a new core system. Make sure expectations are set up front, so you avoid disruptions, delays, and other surprises during conversion.
The IBT Apps Approach
Thinking about a full core transformation can be overwhelming, which is why it’s critical to have a trusted partner who equips you with an affordable core solution that meets the goals of your bank. At IBT Apps, we lead with our partnership and offer a truly innovative core system that works for your business. Our adaptable i2Suite® core platform provides multiple benefits, including an intuitive user experience, increased ROI, and improved compliance. When you’re ready to explore a new option for your bank, connect with us and learn how to move your business forward with a modern core provider.
Want to learn more about full core transformations and if they’re really worth the investment?