BPM Go Live: Using BPM to Drive Real World Agility

Recently, we had a project go-live with one of the world’s largest financial services organizations. Earlier this year, President Obama announced the Homeowner Affordability and Stability Plan to restructure or refinance mortgage loans to avoid foreclosure. As part of this plan, the Treasury Department announced a national modification program aimed at helping 3 to 4 million at-risk homeowners - both those in default and those who are at imminent risk of default - by reducing monthly payments to sustainable levels. This project was directly aimed at the large volume of documents to support the huge number of mortgage modification applications they were receiving as a result of this legislation.

The bank initiated a program to operationally support the effort to rework several hundred thousand loans. To accommodate the significant growth in volume, the bank selected Pegasystems, being the proven and incumbent BPM solution, to automate, manage, track and generally control the influx of supporting documentation relating to the modification requests with our new Borrower Assist capability.

The solution will monitor the receipt of loan modification applications while using service level agreements (SLA's) to drive activities in managing the receipt of trial documents throughout their lifecycle. Depending on the documents received, or not received, cases will be routed to assigned workbaskets for additional processing and decisions. In addition, automated letters to borrower’s indicating receipt of all documents or proactively notifying them of missing documents will be generated by the solution.

The goal for this project is to ensure the solution provides a holistic view of all inquiries, submissions and the status of all active requests, while providing an individual case for each mortgage restructure to facilitate tracking of that restructuring through to completion.

This solution has already processed over 2 million documents generating over 187 thousand work objects, of which over 80,000 are currently open. The bank started out with just under 500 users on the solution, but will eventually plans to have approximately 4,000 users up and running during the first half of 2010. This project highlights the agility that BPM can deliver to organizations. Financial institutions were looking for a means of addressing the loan modification legislation that the government put in place, and our client was able to rapidly get a solution up and running that has already delivered staggering results.

BPM can deliver such results when it can directly capture the objectives of business users to address the immediate needs of the organization.