FINNOVA BANKING SOFTWARE END-TO-END, EFFICIENT, OPEN, INNOVATIVE 3 Table of contents Finnova at a glance 4 Smarter Banking 6 Finnova Banking Software’s winning formula 8 Value proposition for our customers 10 Finnova Banking Software at a glance 12 Further development of the Finnova Banking Software 20 Services 24 Finnova Channel Suite 28 Finnova Front Suite 34 Finnova Management Suite 40 Finnova Expert Suite 44 Finnova Solution Suite 58 Licence and price model 62 Lenzburg, September 2017 4 FINNOVA AT A GLANCE Finnova is a leading provider of banking software in the Swiss financial centre. We help banks and outsourcing providers to realise growth in the banking sector, even in chal- lenging times, thanks to efficient and innovative IT solutions compliant with regulatory requirements. ‘Smarter banking’ with Finnova – that is what we stand for. And that is why over 100 banks have already put their trust in us. Finnova was founded in 1974 and now employs around 400 people at its headquarters in Lenzburg and at branch offices in Chur, Seewen and Nyon. With the Finnova Banking Software, around 80 universal and 20 private banks benefit from the at- tractive total cost of ownership (TCO) of this very high-per- Today, more than 100 universal and private banks from Switzer- formance, reliable standard solution, which can be used front- land and Liechtenstein are among our customers. We have to-back for various business models thanks to its wide range evolved to become one of the leading banking software manu- of functions. facturers in the Swiss financial centre. The Finnova platform is open to software solutions devel- oped by banks or third parties such as fintechs, so that banks Our future can set themselves apart on the market in this period of digi- It is our ambition for the future to establish Finnova software talisation. Finnova also offers complete flexibility in choosing solutions as the leading reference for end-to-end banking in From left to right: Hendrik Lang, Daniel Bernasconi, Charlie Matter, Simon Kauth, Markus Metzger, Jörg Steinemann the most appropriate operating model for the bank, whether in- our target markets. We want to enable banks, operating part- dividual installation, multi-tenant installation or BPO services, ners and selective intermediaries, together with third-party supported by selected operating partners. With accompanying providers, to look upon digitalisation, industrialisation and reg- services, we offer support for the Finnova Banking Software, ulation as an opportunity and to successfully position them- from analysis and advisory to training, operation and support. selves in the new era of banking. We focus our efforts on our Our organisation roughly 100 existing customers. Finnova is a limited company under Swiss law. Various stakeholder groups are represented in Our roots We wish to selectively gain further banks for the Finnova our shareholder base, in which all owners have a long-term commitment and share the com- Our success story began in 1974 with the development of Community in Switzerland and Liechtenstein, particularly in pany vision. This makes us a reliable partner. The majority shareholder of finnova AG Bank- the ‘FIS’ software. In the early eighties, various banks joined the private banking sector. ware is the German IT consulting and system integration company msg systems ag. As part forces in the FIS user bank pool. From this organisation, finis We are investing heavily in our product and services port- of the msg group, we have access to this globally designed network that includes over 6000 AG for banking software emerged in 1999. It developed an folios in order to bring innovative solutions to market at the experts and offers strategic consulting as well as value-adding IT solutions. In addition, a total integrated modular solution for universal and private banks. right time, be it in the form of Finnova developments or to- of seven customer banks, the strategic partner Swisscom and the management have a share In autumn 2003, this mission was accomplished and finis be- gether with partners. in finnova AG Bankware. This balanced structure, which is also reflected in the Board of Di- came Finnova AG, which concentrated on the further devel- rectors, incorporates the interests of the most important stakeholder groups. Our solidity can opment and marketing of its standard solution, the Finnova be seen in our 100% self-financing level. Banking Software. Only a few months later, the first banks All shareholder groups are represented in Finnova AG’s Board of Directors. Hans Zehet- opted for the new Finnova solution. In summer 2005, the par- maier, founder and CEO of msg systems ag, has been its president since 2015. The Execu- allel operation of several banks on one single installation in a tive Board comprises CEO Charlie Matter, who has been leading Finnova AG since 1999, and so-called multi-tenant tower was realised, which enabled fur- the heads of the five business units. Our Executive Board members have many years of ex- ther efficiency gains. perience in the IT and financial sector. Some of them have held leading positions at interna- tionally active companies. 6 7 SMARTER BANKING In the future, successful business models in banking will be determined more than ever by the intelligent use of technology. Growing cost pressure resulting from the erosion of margins, the digitalisation of banking and increasing compliance requirements are driv- ing forces here. In this interplay, we offer our customers efficient and innovative IT solu- tions, enabling ‘smarter banking’ with the open Finnova ecosystem. The single-source banking solution As a whole package, the Finnova Banking Software offers banks a broad range of functions, enabling consistent data storage and processing, up-to-date interaction with clients and comprehensive data analysis. The Finnova Expert Suite is the core element of the Finnova Banking Software. It contains the Systems of Record, which ensures storage of structured and increasingly unstructured data, and this with sharply rising volumes, high speed and increasing process orientation. The data is provided to the Systems of Engagement (Finnova Channel Suite and Front Suite) and the Systems of Insight (Finnova Management Suite). The Sys- tems of Engagement address customer experience, mobility and context-oriented services and information – with the aim of reinforcing client loyalty to the bank and its services. Last but not least, the Systems of Insight provide analyses concern- ing clients, products and markets as well as in-house procedures – with the aim of continually introducing improvements and innovations and having risks under con- trol at all times. The Finnova Solution Suite enables the opening up of the Finnova Banking Soft- ware not only externally for third-party system, development and service partners, but also internally to ensure the integration of its own applications and suites. This helps create an open ecosystem in which Finnova plays the role of business driver for the Systems of Record while, for the Systems of Engagement and the Systems of Insight, it plays the role of business enabler. SYSTEMS OF SYSTEMS OF SYSTEMS OF FINNOVA ECOSYSTEM ENGAGEMENT INSIGHT RECORD & DELIVERY Channel Suite Front Suite Management Suite Expert Suite Solution Suite FINNOVA AS A FINNOVA AS A BUSINESS ENABLER BUSINESS DRIVER 8 9 Efficiency FINNOVA BANKING SOFTWARE’S Thanks to the broad cost distribution in the largest banking community in Switzerland, the automation and industrialisation made possible by WINNING FORMULA the software, and the flexible operating model, our customer banks ob- tain a very attractive TCO. This is demonstrated every year with the top positions of our banks in the ranking of Swiss retail banks with the low- With the Finnova Banking Software, around 80 universal and 20 private banks benefit est cost-to-income ratio. Once again, in 2016, nine of the top ten were from the attractive total cost of ownership (TCO) of this very high-performance, reliable Finnova banks.* standard solution, which can be used front-to-back for various business models thanks to its wide range of functions. Community With 100 banks and over 70 partner companies, the Finnova community is Switzerland’s largest, most diverse banking IT ecosystem. It unites Stability banks with different business models and a wide range of sizes. We ac- Parts of our software have been operating for years in varied tively manage our community via our topic-specific Expert Panels, the constellations of use. It is characterised by the stability that our Advisory Panel at strategic level and the CEO Panel at the top level. The customers highly value, whether for peak loads such as the year- Finnova community offers the banks and partners the opportunity to ac- end processing or for rolling out new functionalities as a result of tively help shape the Finnova Banking Software. It means that we are continuous releasing. always up to date with our customers and partners, and can therefore set the right priorities. Performance The Finnova Banking Software is a particularly efficient processing plat- Expertise form with high scalability and high STP rates. This makes it possible, for Finnova has broad, in-depth experience of the Finnova Banking Software. example, to run the software on a multi-tenant tower with over 40 banks With us, customers can obtain everything from one source, from busi- or as the backbone of the Swisscom processing centre, via which Zürcher ness analysis and consulting to solution architectures and technology, Kantonalbank processes all of its payment transactions. as well as operation, training and support. Breadth of functions Flexible operation The Finnova Banking Software covers all essential functions of universal, Whether the software is installed individually, on a multi-tenant tower, retail, private and transaction banks, from core functions such as client or as a BPO service, our customers can choose the operating model master, fees or account balancing, to business processes such as pay- that suits them best, with an operating partner of their choice.