The Bank developed a key line-of-business application in 1997. The application provides back-end services for mortgage origination. Over $40 billion of loans have been funded through the application to date, with higher volumes expected in the future. Because the application is key to the Bank's operations and strategy, the Bank wants to enhance the application to provide new features and increase its capacity to handle future growth.
Over the next three years, Avanade will manage the on-going design, development, and support of the application. Avanade consultants will work closely with the Bank’s key business managers to develop new functionality that meets the Bank’s business needs. With every enhancement and modification, Avanade will be looking toward the Bank’s long-term goals for the application, building the application to scale with the company.
During the early stage of the partnership, the bank’s secondary mortgage growth was more than 150 percent. Avanade helped the bank to take advantage of this growth opportunity by assuming responsibility for applications and expanding the capacity of the system.
With Avanade handling the management and maintenance of several applications, the bank has moved from a position of risk to a position for growth. This was accompanied by an improvement in quality, with defects per 1,000 lines of code reduced by half. Avanade’s rigorous approach to application management has enabled the bank to respond appropriately to increasingly stringent regulatory and
audit requirements for managing information.
By working with Avanade as its managed services partner, the bank is free of the issues associated with a reduction in staff. When it is time for the Bank to ramp up development on its applications, Avanade resources are on hand, ready to begin work without any start-up delays. FHLB is clearly in a position to respond effectively no matter which way the market turns.
- Increased competitive advantage
- Increased revenue
- Customer growth