ABN Amro Clearing Bank (AACB)’s strategy is focused on global, efficient, agile, and reliable IT services. The goal was, therefore, to organize its IT excellence and prepare the company for a future in the cloud. And since transaction costs are under pressure, the second goal was to achieve a structural cost reduction within a time frame of 3-5 years. This required a digital transformation of the data center’s global IT footprint and a workplace strategy. AACB was also looking to move from distributed to consolidated processing by implementing a global, standardized, and cloud-based next-gen IT infrastructure with standardized IT processes.
We got to work by performing a sourcing analysis and then assessed the current IT situation at AACB looking specifically at outsourcing readiness. We wanted to determine the biggest challenges and the main focus areas for the sourcing strategy. The sourcing strategy resulted in a set of sourcing objectives, which defined the scope of the sourcing project and allowed us to choose an approach for achieving the sourcing objectives.
In the end, we decided to look for a strategic partner to support AACB in the transformation. Selected service providers were invited to present their solutions and approach to AACB’s business requirements as part of a market consultation. The final solution and service provider were chosen based on collaboration between AACB and the two most suitable suppliers. After thorough due diligence, the contract was signed and Cognizant and AACB embarked on a one-and-a-half-year transformation project.
ABN AMRO Clearing Bank (AACB) is a leading global player in the clearing industry, executing 16 million transactions daily on 90 exchanges worldwide. The company offers an integrated modular package of services for direct market access, clearing, and custody via an international network as well as an integrated approach to global transaction processing, financial logistics, and risk management. AACB’s solutions and services are focused on traditional products such as equities and bonds. Based on revenue and market share, ABN AMRO Clearing consistently ranks among the top three clearing providers in each time zone.
With Eraneos’ support, AACB signed a contract with Cognizant, which has helped it achieve its strategic objectives by moving from three regional technology suppliers to one global technology supplier and partner. The contract provided all of the enhancements defined in the digital strategy and supports AACB’s continued growth strategy with a potential for significant cost savings.