Optimizing Print Significantly Reduces
Expense for Retail Banking System
Demand Analysis Led to Improved Ordering Patterns and More Appropriate Output Methods
One of the nation’s leading diversiﬁed retail banks with over $300 billion in assets and approximately 2,500 banking centers had a business strategy of providing a higher level of personalized customer service than their competitors. This helped make them one of the fastest-growing ﬁnancial services companies in the country.
An initial analysis by Curtis uncovered that no guidelines had been established for the frequency with which traditional documents and marketing materials could be ordered by the bank’s internal departments and branches. This, coupled with restrictions on item quantities, resulted in 65% of departments placing orders more than once per week, which created unnecessary requisition costs and misuse of branch personnel resources.
In order to reduce expenses and improve efficiencies, Curtis developed a framework to model customer demand, understand business drivers behind that demand, and provide recommendations of an optimized demand model and related beneﬁts. After modeling usage pattern data on thousands of requisitions, Curtis recommended new quantity restrictions based on actual user demand.
With a better understanding of demand and usage, Curtis optimized production models and identified the most economical and efficient means to produce and distribute items. Print-on-demand and digital programs were recommended where appropriate to further reduce inventory and improve service levels.
Instead of merely fulfilling the quantities requested by our clients, Curtis analyzed and identified economic order quantities for frequently used items such as jumbo rolls, transaction tickets and marketing materials.
Curtis reduced the bank’s total cost of ownership of its documents by freeing up capital and increasing service levels through auto-ship programs. And, by controlling the frequency of orders and managing demand with weekly requisitions, order activity was reduced by 37% and requisition costs decreased by over $300,000. Additionally, inventory value was reduced by 59% on high usage items. The new production models minimized freight charges, reduced pallet storage costs and improved service levels and ultimately reduced obsolescence by 23%.