PROJECT PLAN
This Project Plan becomes the blueprint to implement RELATES in ABC Bank where every individual who is directly or indirectly involved understands and refers to the plan for information, for referencing and for guidance especially with regards to certain standards mandated to successfully implement this project.
RELATES project Project Plan
PROJECT PLAN
DOCUMENT PREPARATION INFORMATION
PROJECT NAME PREPARED BY (PRINT) SIGNATURE DATE PREPARED DOCUMENT ID
RELATES A123 25.6.99
CUSTOMER INFORMATION
CUSTOMER CONTACT CUSTOMER ACCOUNT
ABC Bank QAQ / ZAZ
GENERAL INFORMATION
PROJECT MANAGER CONTACT E-MAIL
A123 3254656 [email protected]
ORIGINATOR INFORMATION
ORIGINATOR ORGANIZATION NAME
PRS / A123 ABC
ORGANIZATION ADDRESS
PHONE NUMBER FAX NUMBER WEB SITE
VERSION INFORMATION
LAST UPDATED MASTER VERSION LOCATION
21 July 1999 • (softcopy) : Directory : Opnt_1\knowledgelib\
\\ABC Bank Knowledge Base\projects\project management\plan\
• (hardcopy) : Project Management Office @
Note: The reader must verify that this is a current version before using.
RELATES project Project Plan
DOCUMENT CONTROL
DOCUMENT DISTRIBUTION
NAME TITLE ORGANIZATION
CHANGE HISTORY
DATE CHANGE DESCRIPTION APPROVED BY
RELATES project Project Plan
PROJECT PLAN
1.0 MANAGEMENT SUMMARY
1.1 Overview
1.2 Objective.
1.3 Scope
2.0 PROJECT REQUIREMENTS
2.1 Statement of Work.
2.2 Work Breakdown Structure (WBS).
3.0 DELIVERABLES
3.1 RELATES - SW Provider Solution
3.2 Standard Components and Customized components
3.3 Other component
4.0 RISK ASSESSMENT AND MITIGATION STRATEGIES
5.0 RESOURCES AND RESPONSIBILITIES
5.1 Organization Charts
5.1.1 Customer Organization
5.1.2 SW Provider Organizations
5.1.3 Project Organization.
5.2 Project Contact
5.3 Responsibilities
5.4 Key Project Team Member Profiles
5.5 Project Management and Administration
6.0 SCHEDULES
6.1 Detailed project schedule
6.2 Summarize project Schedule
7.0 REPORTING AND REVIEW
7.1 Project Status Reporting
7.2 Project Meetings
8.0 STANDARDS
8.1 Standard Products
8.3 Standard Project Management Tools
8.4 Standard Development Tools.
9.0 WARRANTY
9.1 SW Provider Standard Warranty
9.2 Warranty Period
10.0 SUPPORT
10.1 Service Availability
10.2 Service Within the Warranty Period
10.3 Service Outside the Warranty Period
11.0 POSTPROJECT EVALUATION
RELATES project Project Plan
11.1 Summary of Project
11.2 Recommendations and follow-up
11.3 Statistics
11.4 Postproject Summary
12.0 SUPPORTING PLANS
13.0 OTHER RELEVANT DOCUMENTS AND FILES
O Project Overview
P Correspondence
C Progress Reports
P Other Documents (as required)
O Project Qualification Report
P Minutes of Meetings
M Change Control Documentation
14.0 GLOSSARY AND DEFINITIONS
15.0 APPENDIXES
15.1 Appendix A - Project Charter
15.2 Appendix B - Project Manager Letter of Assignment
15.3 Appendix C - Statement of Work (SOW)
15.4 Appendix C-1 - Detailed Implementation Schedule
15.5 Appendix C-2 - Summarize Implementation Schedule
15.6 Appendix D - Project Contact
15.7 Appendix E - Key Project Team Member Profiles
1.0 MANAGEMENT SUMMARY
This Project Plan becomes the blueprint to implement RELATES in ABC Bank where every
individual who is directly or indirectly involved understands and refers to the plan for
information, for referencing and for guidance especially with regards to certain standards
mandated to successfully implement this project.
1.1 Overview
The Need
This SW Provider solution namely RELATES is in response to ABC Bank requirement to
have an automated workflow system for consumer loan products as follows :
• Based on Keynesian Model, Bank Negara is encouraging all financial institutions to
increase their lending to spur the Nation out of its economic crisis
• ABC Bank is taking the initiative to streamline its lending processes to expedite the
delivery of consumer loans in line with Bank Negara’s guidelines
Project Charter and Project Manager’s Letter of Assignment
Attached as :
• Appendix A : The Project Charter
• Appendix B : Project Manager’s Letter of Assignment
The Goal
RELATES – a workflow-base system will tracks loans from the point of customer application
till disbursement including all standard specified documentation.
The Solution
Application Processing Account Processing
Account Processing
Application Processing
Approval Product Development
Business Approval Product Development
Development
Documentation Account Mgmt/Reporting
& Documentation Account Mgmt/Reporting
Marketing Disbursement
Disbursement Legislative Reporting
Legislative Reporting
Loans application Core Loans
and tracking System
RELATES
RELATES will be an end-to-end automation of the front-end processes for the various loan
products (HP, standard Housing Loans and Unit Trusts).
Management Overview Page 5 of 30
SW Provider’s solution is based on open systems architecture that is scalable across the
enterprise The components are based on the following scaleable technologies :
1. Optika eMedia Workflow Engine
2. Microsoft SQL Server
• Microsoft Visual Basic
• Microsoft Windows NT
The Services
Services includes :
3. Process Redesign Consulting
4. Project Management Services
• Software Customization and Development Services
• System Implementation Services
• Training Services
Major Milestones
Major milestones includes the following :
5. Acquisition of hardware and software
6. Environment readiness
• Contract agreement
• Business Process Reengineering
• Design
• Customization development
• Training
• Testing
• Customer Acceptance
• Documentation
• Live cutover
• Monitoring – Control - Evaluation
1.2 Objectives
Its objectives are :
• To turnaround time for approval,
• To reduce turnaround time for disbursement,
• To track loan status from application till disbursement,
• To implement right first time concept and last but not least,
• To increase user productivity.
1.3 Scope of work
The scope of work includes the design, customization and implementation of the RELATES
System from Loan Origination until Disbursement.
Management Overview Page 6 of 30
2.0 PROJECT REQUIREMENTS
2.1 Statement of Work (SOW)
The SOW defines the activities to be completed and the responsibilities of both ABC
Bank and SW Provider during the implementation. The major activities to be
completed are as follows :
• Project Planning and Organization
• Environment Readiness
• Organizational Readiness
• RELATES implementation
- Process Redesign Consultancy
- Initial Product definition and Parameter setup (System configuration)
- Customization
- Training
- Acceptance Test Planning
- Acceptance Test Execution
- Installation
- System Implementation
- Project Management, Control and Reporting
• Product and Parameter verification
• Interface Development
• Pilot and subsequent cut-over to live operation
• Post RELATES support
• Customization support
The detailed SOW is defined, refer to Appendix C.
2.2 A High level Work Breakdown Structure (WBS) is simplified as below :
• Data Collection
• Gap Analysis / Redesign
• Modification
• Testing
• Implementation
For a detailed WBS, refer to Implementation Schedule
Project Requirements Page 7 of 30
3.0 DELIVERABLES
3.1 RELATES - SW Provider Solution
Whilst the BPR is taken as the method to analyze and achieve breakthrough achievements in
process efficiency, we would like to position RELATES as the means to help financial
institutions realize the goals set in the BPR through end-to-end process automation.
Introduction
RELATES is a workflow-based system that tracks loans from the point of customer
application until disbursement. In addition, the system implements automation as far as
possible, e.g., in the credit processing/approval of loans applications, the various types of
documents (e.g., letter of offer, reject letters, cover letters, charge documents etc.) are
automatically generated. The workflow system with its inherent (automated) electronic
routing of work and scheduling, together with the automated features results in loans
applications cycle time (for approvals and disbursements) being greatly reduced. This system
will greatly improve a financial institution’s customer satisfaction level as well as increasing
its market share in the highly competitive credit and lending industry.
Scope of RELATES
In terms of the life cycle of the lending process, RELATES will cover the following phases:
Origination
Approval
Documentation
Disbursement
Though processes do vary from financial institutions to financial institutions, RELATES will
provide a standard framework for the automation of the various work processes for various
product requirements. These work processes can be “production-based” processes (i.e.
characterized by high volume and standard processes, e.g. Standard housing loans, hire
purchase) as well as “ad-hoc” processes (ie. characterized by low volume and ad-hoc in
nature, e.g. Corporate/commercial loans). Processes and applications can be customized to
unique requirements. RELATES is also unique in the sense that changes in business processes
do not affect the applications and vice-versa.
RELATES – Major Subsystems
a) RELATES (Workflow Automation)
Automatic Tracking of Loan Application Status
As the application progresses through the various stages, e.g. Data Input, Approval,
Documentation, etc., the system will automatically track each stage of the application. For
example, a customer calls in at the Loan Center. When he provides the Loan Center with a
unique identification number, he will be able to know the status of his application within
seconds. The system will be able to pull out the relevant details, e.g., waiting for lawyers,
awaiting confirmation of site visit, awaiting receipt of acceptance of letter of offer from
customer, etc.
Automatic Routing of Work
Deliverables Page 8 of 30
As the application progresses through the various stages, the system will automatically route
the work to the correct stage/queue where the staff identified to perform that particular role
will be able to pick up the work to be performed and so on. No manual recording of work
steps will be required.
Automatic Tracking and Performance Monitoring
Detailed status and performance reports by activity and by role/staff may be obtained to
enable the Bank to track the performance of the Loan Center operations and the productivity
levels of its staff. Moreover the system is able to keep track of the performance of external
entities e.g. lawyers. Any bottlenecks in the process can also be identified, thus leading to
continuous process improvements.
Automatic Display of Work to be done
When a user logs onto a RELATES terminal the system will display a list of tasks to be done
in order of priority. The system will keep track for the user what needs to be done, e.g.
Follow up on letter of offer for customer ABC, Perform Disbursement transaction for
customer XYZ, Check and Sign Banker’s Check for customer JKR, etc. The user need not
remember the steps that have to be performed, the system prompts the user to perform the
required steps. Moreover, the system automatically pulls out the relevant details for the user,
i.e., the user need not remember the application details as the system keeps track of the
processing stage for each customer application.
Statistics
Each activity in the RELATES process is tracked and monitored with the following details:
- date and time when the activity was available to be acted on
- date and time when a staff actually started to work on that activity
- date and time when the user finished that activity
- the staff who worked on that activity
- the outcome of that activity
The detailed statistics captured will provide information on the performance of both the
process and the users, e.g. reports on productivity/performance of the staff, bottlenecks in the
process as the volume of applications increase
Security
Only the staff identified to perform certain activities will be able to access those activities,
i.e., the system will know how to route the work to the relevant people. This provides a level
of security whereby certain activities can only be accessed by the relevant staff, e.g.,
Authorize Disbursement can only be performed by Credit Officers and not Clerks.
Work Escalation via Deadline Feature
The system is able to escalate a work activity, or to send messages to inform relevant
personnel if a deadline has passed. E.g. if a customer has not come in to provide the rest of the
Deliverables Page 9 of 30
documents required after a certain time period, the system will notify the clerks to give the
customer a call, or to send reminder letters.
Reject Reasons Captured
As the applications go through the process and rejections occur, the reason for rejects are
captured by the system with the reasons indicated automatically in the reject letters.
Unique System-Generated Tracking Number for Customer Reference
The system will start tracking the loan application once the customer puts in an application
form. A receipt containing basic customer and loan information with a reference number is
automatically printed and given to the customer. At any time the customer may call the bank
and provide this number in which case the bank is able to provide detailed status as to the
status of the loan.
Automatic Generation of Disbursement Schedule and Calculation
The system will generate the disbursement schedule and calculates the disbursement amount
automatically depending on the stage of complement. It also keeps track of when, who, and
how much was disbursed.
Folders and Notes
At certain stages of the work process, notes (credit memos, reminders, recommendations or
any general notes) maybe attached to the work unit. As an extension, images of documents
may also be attached to the work unit for review purposes. This feature mimics the real world
where very often memos and documents are attached as part of the work parcel.
b) FAX Server Interface
The Fax Server interface provides the following benefits:
i) Sending out of faxes may be automated, i.e., staff need not have to key in the telephone
number. System will retry if the line is engaged, or paper is out, hence saving staff
time
ii) The system may be programmed to send out faxes at off-peak rates
iii) Sending same fax to different recipients is automated
iv) Reduction in paper costs
c) Developer & Project Profile with End-Finance Limits Attached
The developer and project profiles are centrally maintained at the RELATES database. Part of
the role of the Bank is to proactively identify potential new developers and projects (from
newspapers, constant contact with developers, etc) and enter the required details into the
database. This is so that when applications are sent for processing, information is available
Deliverables Page 10 of 30
online and a minimal number of applications would require direct contact with the developers
(for the missing information).
The Automated Approval System will access the developer/project/end-finance database and
adjust the limits accordingly when the applications are approved or rejected.
d) Lawyer Profile
Presently, most banks have a panel of lawyers that handles the documentation phase.
Documentation turn-around time is very much dependent on the lawyers themselves and there
is no central monitoring of the performance of the lawyers.
To improve the documentation process, the Bank may specify some criteria for the lawyers to
be included in the panel. The criteria may include:
i. Performance
ii. Standard Fees
iii. Documentation Standards
RELATES will also be able to automatically select the lawyer from the panel list based on an
algorithm unless the customer has indicated a preference in the application form.
Performance Tracking of Lawyers
The workflow automation system will track the date and time when the Lawyers are notified
of the work to be done, and the date and time when the actual work is passed back to the
Bank. Performance reports may be churned out monthly for the Bank to monitor the
performance of the lawyers and to take appropriate action.
Lawyer Selection Algorithm
System should perform automatic selection of lawyers based on
- panel list
- performance
- work assignment
- type of loan
- geographic location
System first checks if a particular lawyer is preferred, in which case it picks up that lawyer
otherwise it will select the lawyer based on the algorithm.
The way the lawyer list is presented should reflect the performance and/or work assignment of
the lawyers, i.e., the first lawyer on the list is the next to be selected
Lawyer Profile
The lawyer profile must be maintained centrally at the Loan Center in the database. At a
minimum the following details are to be captured:
Deliverables Page 11 of 30
Name
Address
Telephone
Fax
Type of Loans handled by the Lawyer
Grading (based on the performance statistics from the workflow automation system)
e) Document Generation System
Offer Letters, Reject Letters, Cover Letters to Lawyers, Valuers, Standard Documents etc.
will be automatically generated by the system with the relevant details inserted into the
documents from the database without any human intervention/typing.
Information should only be keyed in once at data input, with subsequent extraction of the
required information from the database so that users does not need to re-key in the
information (could introduce errors) when letters of offer, fire insurance form, etc. are
produced
f) Automated Evaluation System (AES)
As its name suggests, this system automates the current functions of the Credit Officers in
approving a loan, e.g. perform necessary credit checks (online to host database for existing
customers), checking eligibility, BNM criteria, etc.
This greatly reduces the time taken for approving standard loans, and relieves the Credit
Officers for other tasks, e.g., marketing to customers. This system is parameter-based and
hence allows for routine credit requirements to be changed on the fly as current conditions
dictate. Moreover it reduces (not eliminate ) the need of hiring new experienced Credit
Officers to process the loan applications as the loan volume increases and also reduces the
training curve of new officers.
The Automated Evaluation System (AES) also provides the following functionalities:
- Checks for Security Acceptability
- Citizen and Residency Checks
- Eligibility Checks
- Calculation of Installment Amounts
- Calculates Sensitivity Ranges
- Logs the reasons for rejects
- Access host system for BMC, Bankruptcy, etc. checks
Under some special circumstances RELATES may allow for certain rejected applications to
be re-routed to a Credit Officer for confirmation of the reject.
A sample of some of the reject reasons is as follows:
Reject Reject Description
1 Failed Citizenship Test
Deliverables Page 12 of 30
2 Not Malaysian Citizen
3 In BMC List
4 Is a Bankrupt
5 Customer Liability Status - Doubtful
6 Customer Liability Status - Difficult
7 Customer Liability Status - Judgment
8 Customer Liability Status - Legal Action
10 Aggregate Liabilities > 1.5 M for secured
11 Aggregate Liabilities > 150 K for clean
12 More than 1 Return Checks due to insufficient funds
13 More than 2 months consecutively in excess
14 Loan Amount below Lower limit
15 Loan Amount above Upper limit
16 Loan Amount below OD Lower limit
17 Loan Amount above OD Upper limit
18 Age below Lower Limit
19 Age above Upper Limit
20 Tenure above Maximum Allowed
21 Tenure + Age exceed Maximum Allowed
22 Exceed Maximum Margin Of Advance
23 Exceed MOA Range
24 Exceed Maximum Installment
25 Exceed Maximum OD Repayment
26 Exceed Net Income Lower Limit
27 Exceed Joint MOA
28 Exceed Joint (OD) MOA
28 Securities Not Accepted
29 Non-Standard Restrictions
30 Exceed End Finance Limit
31 Bank Exposure Exceeded (ASB)
32 Bank Exposure Exceeded ( ASN)
33 Trust Certificate Not Acceptable
Deliverables Page 13 of 30
g) Interactive Voice Response (IVR) System Interface
RELATES has an IVR interface whereby a customer may call a hot-line and find out the
status of his loan application over the telephone without having to call the branch personnel.
This effectively extends the customer service to 24 hours, 7 days a week.
In addition, prospective customers may call the same hot-line and check on his eligibility for
certain loan products. This is another avenue for the Bank to market its products as well as to
improve customer satisfaction since customers have easy access to their loan information.
Features and Benefits of RELATES
FEATURES BENEFITS
WORKFLOW AUTOMATION
AND MANAGEMENT
Automatic tracking of loan As the loan application progresses
application status through the various stages, the system
will automatically track each stage of
the application. Customers wishing to
know the status of their application
will be informed instantaneously.
Key Benefits
• Customer satisfaction
• Enhanced image for the bank in
terms of efficiency
• Staff productivity - no time is
wasted locating documents,
location and persons responsible
for that stage of processing.
Automatic routing of Work with Work to be performed will be
work escalation via deadline automatically routed to the correct
stage and staff. No manual recording
of work steps is required. Deadlines
can be set for activities and work can
be escalated thereon.
Key Benefits
• Eliminate processing errors - “do it
right first time” concept
• Eliminate misplacement of
information
• Ensures timely processing of
application with set deadlines.
FEATURES BENEFITS
Deliverables Page 14 of 30
Automatic tracking and Detailed status and performance
performance monitoring reports by activity, role, user can be
generated to track performance and
productivity. The system is able to
track the performance of external
entities e.g. lawyers.
Key Benefits
• Tracking mechanisms helps the
bank in continuous improvements
in its operations.
• Provides quantitative and objective
measurement on productivity
Automatic display of work to be When a user logs on to the system, a
done and standard checklists list of tasks to be done in order of
priority will be displayed. The system
will keep track for the user on what
needs to be done.
Key benefits
• Staff productivity
• Consistent work process
Security Only staff identified to perform
activities will be able to access the
related activities.
Key Benefits
• Improve audit and control
Automated document generation Offer letters, reject letters, cover letters
to lawyers etc will be automatically
generated with relevant details inserted
from the database.
Key Benefits
• Eliminate mundane work
processes
• Eliminate processing errors
Complements CIS and Loans The system provides online access to
database with developer, project, critical information to substantiate
lawyer profiles credit approval.
Key benefits
• Reduce exposure in projects
Reduce exposure in selected loan
portfolio
FEATURES BENEFITS
EXTERNAL INTERFACES
Deliverables Page 15 of 30
Interactive Voice Response Key Benefits
• Customer satisfaction through
online status feedback
Fax Server Key Benefits
• Eliminate manual process to reduce
cycle time
Internet/Intranet Sales Platform Key Benefits
• Extends market reach
• Customer satisfaction through
online status feedback.
Deliverables Page 16 of 30
3.2 Standard components and Customized components
Standard Customized
components components
Description Qty
Mandatory Items
1. RELATES Application Software
- RELATES Server 1 •
- RELATES Client 30 •
2. Optika eMedia
- eMedia Workflow (20 connections) 20 •
3. Professional Services
- Process Redesign Consultancy •
- Project Management •
- Customization •
- System Implementation •
- RELATES Training (Train the trainers) •
4. Miscellaneous
- Microsoft SQL Server (5 Clients) 1 •
- Microsoft SQL Server Clients 25 •
- Microsoft Windows NT Clients 15 •
5. Hardware
- Optika eMedia Server 1 •
IBM Netfinity 5000, 2 x Pentium II
450 MHz, 3 x 9GB, 256 MB Memory,
12/24 GB DAT, Win NT 4.0 (5 Clients)
- Backup/Development Server 1 •
IBM Netfinity 3000, Pentium II
450 MHz, 3 x 9GB, 128 MB Memory,
12/24 GB DAT, Win NT 4.0 (5 Clients)
Deliverables Page 17 of 30
Standard Customized
components components
Description Qty
Optional Items
1. Optika eMedia Imaging (concurrent users) 20 •
2. Hardware •
- Imaging Server 1
IBM Netfinity 5000, 2 x Pentium II
450 MHz, 3 x 9GB, 256 MB Memory,
12/24 GB DAT Tape Drive
- Fujitsu Document Scanner 1 •
Up to A3 size, 39 ppm (Simplex), 70 ppm
(Duplex), 100-sheets Auto Document
Feeder
3.3 Other component
AS/400 interface will need to be worked out in details with Silverlake. Note that there
may be other hardware and services charges that Silverlake may impose for this
interface.
Should ABC Bank requires our service to work on this component, SW Provider’ time
and Material charges are as follows :
• Project Manager/Senior Consultant – RM 3,000 per day
• Technical Consultant/Engineer – RM 2,000 per day
• Application Programmer – RM 1,000 per day
Deliverables Page 18 of 30
4.0 RISK ASSESSMENT AND MITIGATION STRATEGIES
[To discuss the risks with ABC Bank PM in order to compile a list of probability of risks and
to introduce mitigation strategies for the risks identified.]
Risk Assessment and Mitigation Strategies Page 19 of 30
5.0 RESOURCES AND RESPONSIBILITIES
The following are several charts specifying various teams and its purpose for this project.
5.1 Organization Charts.
5.1.1 Customer Organization.
[Insert ABC Bank’s organization chart to be included here]. Present the
customer’s organization chart, and discuss the organizational location of the
project’s sponsor. Use the chart to identify and discuss the ultimate users of the
project.
5.1.2 SW Provider’ organization
5.1.3 Project Organization
5.2 Project Contact – attached as Appendix D.
5.3 Responsibilities. [To work with ABC Bank on Responsibility Matrix & to include the
chart]
5.4 Key Project Team Member Profiles. – attached as Appendix E.
5.5 Project Management and Administration.
A comprehensive detailed Project Management practices has been documented for
management, project managers, consultants, users and all other project team members
for usage and reference. The practices contained in this document are as follows :
• Project Administration Practice
• Project Library Practice
• Financial Practice
• Project Communication Practice
• Project Change Control Practice
• Escalation Management Practice
Resources and Responsibilities Page 20 of 30
