New COO says microservices are the key in a changing world
Nevada-based LendArch has announced the hiring of Karthik Kumar (pictured) as executive vice president and chief operating officer.
A 25-year mortgage banking veteran with deep expertise in technology, Kumar will lead operations as the company continues to create what it bills as game-changing mortgage technologies that digitize the entire loan origination process. The company announced it plans to do nothing short of disrupt mortgage technology with the addition of Kumar in its ranks.
Kumar praised LendArch founder and CEO Tammy Richards, noting he shares the same vision: “Tammy has fundamentally changed mortgage technology and operations at each organization she’s been at. We also share the same vision of creating a truly end-to-end digital mortgage experience. So, when she offered me the chance to be a part of the LendArch journey, I knew it would be an excellent opportunity to have a positive impact on the mortgage industry.”
Kumar has global experience in operations, business transformation and performance excellence, as well as in digital solutions. He most recently served as the global mortgage practice head for Tata Consultancy Services, while Citigroup and Standard Chartered Bank are among his previous employers. Kumar is also a speaker, host and facilitator at mortgage banking events around the world.
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“Karthik is the ideal leader to help us continue to disrupt the real estate finance industry,” Richards said. “He will provide invaluable assistance as we pave the way to transform the customer experience while improving efficiency for lenders.”
This is an opportune time for home lenders to reassess their technology strategies and loan cost structures as mortgage originations have dropped from previous record-breaking levels. “Compared to a decade ago, mortgage executives are far more technology savvy, and IT executives are far more operations savvy,” Kumar said. “Dealing with a more informed industry makes our mission easier.”
Kumar is a Chartered Accountant and an Alumni of the LEAD Program at the Stanford Graduate School of Business. He is also COPC Certified, a CRU and 6 Sigma Black Belt. In his spare time, Kumar is an advocate for youth mental health and a member of The Board of Advisors for SKY Schools.
During a telephone interview with Mortgage Professional America, he provided a glimpse into his new role. “Our intent is to actually create products that are built on microservices architecture,” he said. “Today, you might have a very large LOS (loan origination system) – something that you have invested millions and millions of dollars in over the last one or two decades – that you would not want to undo. But does that mean that you give away better ways of improving your customers’ experience? I think microservices is the perfect concept. It integrates well within your system.”
Such microservices are the basis of the market intrusion: “In LendArch we are going to create a lot of microservices throughout the entire value chain of mortgage originations,” Kumar said. “Right when the customer is shopping for a home – not even a loan yet, all the way to processing, underwriting, closing, funding – and creating a digitally open economy to embrace the best of the market products. Our intent is to be there for all the lenders of all scales.”
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Amid a breakneck pace of innovation, several of the software platforms and technologies lenders have used to conduct business will likely be obsolete in a few years’ time. More modern technology is increasingly being eyed as loan production costs continue to increase. As a result, a growing number of lenders have had to reassess their current LOS to ascertain whether it’s positioned for success in the future.
LendArch provides mortgage origination firms with consulting services and technology microservices that enable them to fully digitize the loan production process and significantly improve the borrower experience. The fintech specializes in model and process design that helps lenders reduce their dependence on monolithic IT architecture. Services provided through the LendArch platform include LendArch’s own offerings and other solutions from a network of service providers.
