Issue link: https://read.uberflip.com/i/1364206
Boosting support for Iceland's biggest banks Long-standing IT service center RB develops and provides core systems to all banks in Iceland, including the country's central bank. Problematically, many of these banks were previously running on costly legacy systems, and it was RB's objective to change this, by providing multi-bank solutions that increase efficiency in financial institutions while lowering costs. But to do that in the most successful way, RB needed to review and challenge its own business processes, rationalize costs and replace its existing system. Finding the right partner In order to achieve these goals, RB needed a partner who could provide a state-of-the-art and effective solution to maintain the company's excellent reputation. Thanks to Sopra Banking's proven track record and experience delivering innovative, localized solutions throughout Europe, RB chose us to help them deliver this solution. As a software leader with a long history of strength and stability, and supported by Sopra Steria Group, RB could be completely confident that we would provide a comprehensive, off-the- shelf solution. The result? RB continuing to provide a successful, seamless service to its own clients. Responding to challenges The initial scope of the project was deposits and payments, with the option to add a lending suite as well. Sopra Banking responded by K E Y W I N S P R OJ ECT I N A N U T S H E L L • A solution that easily manages the complexity of interest rate indexation across different products and can be a foundation for the further modernization of Icelandic banks • Successful completion of phases one and two – onboarding and complete migration of three of the leading Icelandic banks to the new system • By the end of 2021, RB will manage all bank accounts and real-time payments in Iceland on our Core Banking System, and will be able to decommission its mainframe legacy system • Foreseen cost savings when all the financial market has been migrated to Sopra Banking's system, and RB's mainframe system has been sunset CHALLENGE To update RB's existing system, challenge business processes and rationalize costs SOLUTION Core Banking System, as well as Provision (which manages IFRS9 compliancy) for one Icelandic bank "RB needed a strong partner and a flexible solution to replace the legacy software that RB has been running for Icelandic banks for decades. With the help of an external consulting company, RB performed an extensive selection process. A lot of partners and systems were analyzed and, from them, three were chosen for a final phase, and eventually Sopra Banking was selected. RB is very satisfied with the cooperation with Sopra Banking, and their software has proven to be both flexible and feature-rich, able to fulfil the requirements of the banking system in Iceland. Currently, we are looking into opportunities to extend the use of the Sopra Banking system in Iceland and possibly add new Sopra Banking modules to the portfolio of systems at RB." Jon Helgi Einarsson, Executive Vice-President at RB