A major Canadian bank uses Deposit Processing Centers to process cheque and cash ABM deposits. Locally at each center the deposited contents of ABM units arrive in sealed bags via armoured car delivery. These bags are opened and the deposit envelopes are opened; cheques and envelopes are left aside while all cash is removed and counted. The envelopes and cheques are then scanned for processing at a separate, Centralized Balancing Department.
The client operates over 10 ABM Deposit Processing Centers, each of which process ABM deposits for other financial institutions as well. The current plan is to relocate, as well as expand, some of these processing centres. Properly organizing the timing and staffing of these centers ahead of implementation will allow these changes to proceed smoothly, minimizing the risk of breaching SLA time limits. Scheduling the working hours of the Centralized Balancing Department as new Deposit Processing Centers come online will also have a major impact on successful implementation.
The ABM Deposit Processing Simulation tool modeled all existing and planned ABM Deposit Processing Centers located throughout Canada as well as the Centralized Balancing Department. The model provides the capability to test a number of scenarios by changing spreadsheet based input parameters including:
- Staffing and shift timings
- Armoured truck delivery schedules
- Process rates and routing probabilities
In addition to the detailed process logs, which are used to trace the workflow for individual pieces or batches of work, the following performance metrics are calculated by the system:
- Resource utilization
- WIP and throughput results
- ABM end-to-end tracking
The flexible input sheets and KPI reports allow the user to analyze the impact of rate changes, volume increases and routing alternatives. The detailed sensitivity analysis and “what-if” testing provides the user with a simulation tool to proactively pinpoint inefficiencies and adjust the timing and staffing parameters accordingly.
The ABM Processing Simulation study allowed the efficient planning and organization of both the ABM Deposit Processing Centers and Centralized Balancing areas. Using this model the bank was able to conduct detailed “what-if” analysis across the entire system.
This study ensured that staff is allocated properly, thereby reducing the likelihood of under- and over-loaded staffing areas. As a result the client minimized the risk of breaching SLA time limits, avoiding the resulting costly penalties.