Manipal Co-Operative Bank Improves Operations With Superior Services And Efficiency

Microsoft Windows Server System Customer Solution Case Study

Manipal Co-operative Bank Improves Operations with Superior Services and Efficiency

Overview “The BankSoft solution on the Microsoft platform Country or Region: India has offered us an end-to-end solution to meet our Industry: Financial Services immediate business objectives. It also sets the Customer Profile foundation for additional value-added services….” Manipal Co-operative Bank Ltd. was established in 1985 in Manipal. Manipal Co-operative Bank was the first co- operative bank to use computers in 1987. Janardhan Bhat, Systems Officer, Manipal Co-operative Bank, Ltd.

Business Situation

To remain competitive and continue to Manipal Co-operative Bank Ltd. standardized on Microsoft® grow in the banking sector Manipal Co- operative Bank decided to improve its IT Windows Server™ 2003 and Microsoft SQL Server™ 2000 using infrastructure and streamline day-to-day the Processware BankSoft™ solution for its single-branch banking transaction processes. automation. Solution Manipal Co-operative Bank implemented

Microsoft® Windows Server™ 2003 and BankSoft, the turnkey banking solution, has enabled Manipal Microsoft SQL Server™ 2000 along with Co-operative Bank to adapt to the growing needs of the banking a total branch automation solution, BankSoft™, to increase branch efficiency sector. The infrastructure is capable of supporting Manipal Co- and productivity. operative Bank’s future growth and plans to optimize its

Benefits business.  Improved performance  Increased efficiency by 40 percent  Decreased operational expenses Manipal Co-operative Bank has seen some significant business  Operational efficiency benefits ranging from lower operational costs to improved  Customer care branch and employee productivity. Manipal Co-operative Bank is now well positioned to offer a new range of services to its customers.

“[The] BankSoft solution on the Situation Keeping an eye on the competition, the Microsoft platform generates Manipal Co-operative Bank was bank decided to revamp its existing established in 1985 in Manipal, India, a infrastructure to incorporate enhanced all the…periodical financial town located about 400 kilometers from services to its customers. statements which are sent to Bangalore. The establishment consists of 35 personnel headed by the General the Reserve Bank of India.” Manager, G. Somashekhara Rao. The G. Somashekara Rao, General Manager, Manipal management comprises a team of professional directors headed by Ashok Co-operative Bank Ltd. Solution Pai. Manipal Co-operative Bank conducted an extensive evaluation of core banking Manipal Co-operative Bank caters to the solutions available in the country. middle- and lower-income groups and The bank replaced its legacy application students studying in professional colleges system, which was written in COBOL and at Manipal. A single-branch bank, Manipal standardized on Microsoft® Windows Co-operative Bank has deposits of U.S. Server™ 2003 operating system, Microsoft $270 million/Rs 12197.80 lakh and a SQL Server™ 2000, and Processware’s working capital of U.S.$81 million/3692.91 BankSoft™, for branch automation. lakh. Windows Server 2003 and SQL Server 2000 are both part of Microsoft Windows Manipal Co-operative Bank was facing Server System™ integrated server competition from nationalized and foreign software. banks, which had begun to offer new technology-based services with longer Commenting on the choice of the BankSoft working hours. It was also a challenge for solution, G. Somashekhara Rao, General the bank to get a clear assessment of its Manager of Manipal Co-operative Bank Nonperforming Assets (NPAs). says, “The BankSoft solution has provided us with the opportunity to automate and To be successful, it needed to retain its integrate our day-to-day business existing customers, add new revenue processes. The solution enables us to streams, and reduce costs. The bank also efficiently connect with our existing wanted to reduce the time and cost of customers, partners, and employees.” branch operations, such as ledger work, closing of books on the same day, From planning to implementation, Manipal generating reports required by the Reserve Co-Operative Bank worked with Bank of India (RBI), and reconciling of Processware Systems, a Microsoft reports. Certified Partner. BankSoft uses Microsoft software effectively, thus making The bank required a technology framework customization an easy process. The solution that would help it grow and customization was completed within two compete in the new economy. months. The new solution is being used at a single location and has 35 concurrent users. Other than providing a core banking solution, Processware has been selected existing systems at Manipal Co-Operative as the preferred technology consultant, to Bank. accommodate the prevailing and future requirements of the bank. Improved Performance BankSoft has enabled Manipal Co- Rao remarks, “Processware’s BankSoft operative Bank to eliminate unnecessary solution on the Microsoft platform complex infrastructures, redesign inefficient generates all the statutory reports, processes, and integrate people, especially periodical financial statements processes, and information. This has led to which are sent to the Reserve Bank of a secure network and a superior India. In fact, during the RBI audit in functioning of the bank’s operations. November 2004, the solution was highly appreciated by the RBI audit officials.” Increased Efficiency Manipal Co-Operative Bank faced a Using SQL Server 2000 as the server, shortage of space. Therefore, keeping Processware’s BankSoft solution has documents was becoming an onerous provided Manipal Co-operative Bank all the process. BankSoft solution has digitized necessary modules for complete branch the data, thereby removing the need for automation. physical space. The vouchers are first scanned and indexed. The voucher images BankSoft on SQL Server 2000 It has enabled the bank to get a complete are then saved in date order to facilitate Number of months to 2 view of its comprehensive audit log and easy reference. This enables the viewing of implement generate statutory reports such as Form 1 all transactions pertaining to a specific date Reduced Work Hours Nearly and Form 9. at the click of a button. This has been 40% accomplished using minimum personnel Transactions handled 300 Janardhan Bhat, Systems Officer of and has resulted in increased employee per day Manipal Co-operative Bank says, “The efficiency. BankSoft solution on the Microsoft platform has offered us an end-to-end solution to Decreased Operational Expenses meet our immediate business objectives. It From the handling of new accounts, also sets the foundation for additional enrollment, loan origination, compliance value-added services such as support for filings, and performance management, multiple delivery channels including BankSoft enhances customer service with Internet, PDAs, touchscreen kiosks, mobile a superior performance. Operational phones, and ATMs. We plan to offer these expenses have also decreased by the facilities to our customers in the near reduced man-hours. future.” Operational Efficiency Benefits With the implementation of the BankSoft The bank has made impressive progress solution, Manipal Co-Operative Bank is and has grown from strength to strength able to close its books on the same day, since the implementation of BankSoft. It generate statutory reports required by RBI, has boosted easier integration within and provide a clear view of the NPAs at any given time.

Identifying Nonperforming Assets A critical benefit has been the availability of unified data on the bank’s NPAs. The bank is now able to generate reports by names and addresses, for example, thereby making it easier to track customers who have been defaulting on payments. Further, with a unified view of its finances, the bank is able to make better investment decisions.

Customer Care “Our main priority is to improve the value we provide to our customers. The BankSoft solution has become a primary tool for helping us serve our customers better and faster,” says Rao. For More Information About Processware Systems For more information about Microsoft Private Limited Microsoft Windows Server System products and services, call the Microsoft Processware Systems Private Limited (an Microsoft Windows Server System Sales Information Center at 1600 ISO 9001:2000 company) is a leading integrated server infrastructure software is 111100. To access information using the solution provider in banking, designed to support end-to-end solutions World Wide Web, go to: manufacturing, education, and aerospace built on Microsoft Windows Server 2003. It www.microsoft.com/india/ markets around the world. The company, creates an infrastructure based on started in 1989, focuses on enterprise integrated innovation, Microsoft’s holistic For more information about Manipal Co- products for the Indian market and product approach to building products and solutions operative Bank Ltd., call +91-820- development services for overseas that are intrinsically designed to work 2571054 markets. The company has more than 300 together and interact seamlessly with other customers in India and abroad. data and applications across your IT For more information about Processware Processware has more than 100 technical environment. This allows you to reduce the Systems Private Limited, call +91-80 - personnel based in Bangalore, India. costs of ongoing operations; deliver a more 26579635/26572188 or visit the Web site secure and reliable IT infrastructure; and at: About BankSoft drive valuable new capabilities for the www.processwaresystems.com BankSoft is a completely integrated suite of future growth of your business. applications for total branch automation, head office consolidation, and interbranch For more information about Windows reconciliation. BankSoft, which runs on Server System, go to: Microsoft SQL Server 2000, has been www.microsoft.com/ windowsserversyste m installed at more than 300 locations in Karnataka, Andhra Pradesh, and Goa. The product supports multiple delivery channels such as Internet, PDAs, touchscreen kiosks, mobile phones, and ATMs. The product enables the bank to generate all necessary statutory reports required by RBI at the bank level. BankSoft has been tested and certified by VeriTest on Windows Server 2003 and has been listed in the Windows Server 2003 catalog.

Software and Services Hardware  Products  Assembled Servers (Intel P4 2.4 - Microsoft Windows Server System gigahertz [GHz] processor, 1 gigabyte - Microsoft Windows Server 2003 [GB] RAM, 36 GB SCSI HDD) - Microsoft SQL Server 2000  Assembled Desktop (P4 processor, 2.4 © 2005 Microsoft Corporation. All rights reserved. - Microsoft Exchange 2000 Server GHz, 256 megabyte [MB] RAM, 40 GB This case study is for informational purposes only. MICROSOFT HDD) MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY. Microsoft, the Windows logo, Windows Server, and Windows Partners Server System are either registered trademarks or trademarks of Microsoft Corporation in the United States and/or other countries.  Processware Systems Private Limited All other trademarks are property of their respective owners.

Document published October 2005