MPA catches up with MyState’s Sandi Sims on how they have transformed their operations and processing systems and the benefits for brokers.
Head of Broker for MyState Bank, Sandi Sims explains how they have transformed their operations and processing systems and the benefits for brokers.
MPA: In its recent upgrades, how has MyState transformed its operations and processing systems?
Sandi Sims: Our lending volume growth for the last twelve months has been more than double system growth. This prompted us to undertake a full review of our processes to ensure that we could keep up with the strong demand and sustainably increase scale, without growing pains.
Through this review we gained valuable insights that helped us target significant investment in our people and operations. One of the most impactful operational changes has been the revamping of our broker checklist. This has helped ensure we get all relevant documentation required to make a ‘first time’ loan decision, often resulting in a much faster decision for our brokers.
We have also increased the number of our loan assessors and developed a new workflow to ensure loan applications are processed within agreed timeframes. Electronic lodgment has introduced further efficiencies and we have adapted a more proactive approach to keep our brokers up to date on the status of their loans.
MPA: How did you decide to make changes on these particular aspects?
SS: Some of the most important information in the review process was in feedback from our brokers and our employees, which interact with our systems every day. We looked at each step of every process and drilled down into all the variables. Every aspect and alternative was timed, so we knew which reengineering efforts would deliver the greatest benefits for our brokers and their customers. I am extremely pleased to be able to say that we have increased our turnaround times dramatically. We will continue exploring ways work to further improve outcomes.
MPA: What are the benefits from the changes made?
SS: At MyState we work hard to have strong, real relationships with our brokers. We are much smaller than the Big Four and rely on our high levels of active service to win and maintain business. On top of this strength we are now able to offer faster conditional approval turn around times, that help our brokers win and maintain their customer relationships. We will continue working hard to make further improvements.
MPA: What do you find brokers look for in a bank system?
SS: Brokers look for clear, regular communication, consistency in processes so they can accurately set client expectations and a bank that takes the time to know them. Most of all they want active service. We have increased our number of BDMs to deliver this to a higher level than ever before. We now have some of the most experienced and passionate BDMs in the industry, who pride themselves on the way they help their brokers.
MPA: What are the challenges for smaller banks in making IT investments?
SS: The cost of major technology implementation has actually decreased over time, making it much easier for the small and large players to be on a level playing ground. We’re a smaller bank and have less complexity. We are also more nimble than big banks and can often change and implement faster, while adjusting for broker and customer needs. We’re investing to transform our customer-facing systems, as well as our core banking and loan origination systems.
MPA: What other areas is MyState looking to improve in the future?
SS: We are currently looking at ways we can work with selected brokers to order upfront valuations. In addition, we are launching a tracker, which will keep brokers updated on the status of their applications and allow them to upload any supporting documents directly into the loan application for quicker assessment.
MPA: In its recent upgrades, how has MyState transformed its operations and processing systems?
Sandi Sims: Our lending volume growth for the last twelve months has been more than double system growth. This prompted us to undertake a full review of our processes to ensure that we could keep up with the strong demand and sustainably increase scale, without growing pains.
Through this review we gained valuable insights that helped us target significant investment in our people and operations. One of the most impactful operational changes has been the revamping of our broker checklist. This has helped ensure we get all relevant documentation required to make a ‘first time’ loan decision, often resulting in a much faster decision for our brokers.
We have also increased the number of our loan assessors and developed a new workflow to ensure loan applications are processed within agreed timeframes. Electronic lodgment has introduced further efficiencies and we have adapted a more proactive approach to keep our brokers up to date on the status of their loans.
MPA: How did you decide to make changes on these particular aspects?
SS: Some of the most important information in the review process was in feedback from our brokers and our employees, which interact with our systems every day. We looked at each step of every process and drilled down into all the variables. Every aspect and alternative was timed, so we knew which reengineering efforts would deliver the greatest benefits for our brokers and their customers. I am extremely pleased to be able to say that we have increased our turnaround times dramatically. We will continue exploring ways work to further improve outcomes.
MPA: What are the benefits from the changes made?
SS: At MyState we work hard to have strong, real relationships with our brokers. We are much smaller than the Big Four and rely on our high levels of active service to win and maintain business. On top of this strength we are now able to offer faster conditional approval turn around times, that help our brokers win and maintain their customer relationships. We will continue working hard to make further improvements.
MPA: What do you find brokers look for in a bank system?
SS: Brokers look for clear, regular communication, consistency in processes so they can accurately set client expectations and a bank that takes the time to know them. Most of all they want active service. We have increased our number of BDMs to deliver this to a higher level than ever before. We now have some of the most experienced and passionate BDMs in the industry, who pride themselves on the way they help their brokers.
MPA: What are the challenges for smaller banks in making IT investments?
SS: The cost of major technology implementation has actually decreased over time, making it much easier for the small and large players to be on a level playing ground. We’re a smaller bank and have less complexity. We are also more nimble than big banks and can often change and implement faster, while adjusting for broker and customer needs. We’re investing to transform our customer-facing systems, as well as our core banking and loan origination systems.
MPA: What other areas is MyState looking to improve in the future?
SS: We are currently looking at ways we can work with selected brokers to order upfront valuations. In addition, we are launching a tracker, which will keep brokers updated on the status of their applications and allow them to upload any supporting documents directly into the loan application for quicker assessment.
