Nick Caplan, Managing Director International Financial Services

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• Nick Caplan, Managing Director International
  Financial Services

Financial Services
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Agenda

• The market place
• Drivers of expenditure
• Developing and delivering repeatable solutions
• LogicaCMGs financial services strategy
• The propositions
• Delivering to the markets challenges

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The Market
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Drivers of expenditure

• Cost / Income Ratio improvement
• Cost reduction
• Revenue leakage
• Regulatory and Compliance requirements
• Statutory
• Through participation
• Customer Differentiation
• Speed to market
• Flexibility

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LogicaCMG Financial Services focus- Resolving
market challenges
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Smart Sourcing

• Outsourcing that uses a sourcing hub to deliver
  an effective, least cost solution from the most
  appropriate resources
• Utilisation of resources in India, Malaysia,
  Singapore, Czech Republic and other near and
  offshore capability
• Earliest realisation of benefits that uses
  previous knowledge of all other organisations who
  have done it before
• Characterised by short timescale to develop
  solutions that match business need
• Managed locally, built globally, delivered to
  time, quality and cost

Smart Sourcing
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Payments on Demand

• Supporting all participants in the cash
  management and payments marketplace
• Focused on the interactions between participants
  and the processes to manage control those
  interactions with and within their own business
• Addressing compliance, risk and regulatory
  aspects
• Driving commercial models based on risk reward
  structures
• Delivering to the need to address Eurozone
  payment pricing consolidation
• Support new customer demands

Payments
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Charge consistently, correctly and
comprehensively

• Banks have ad hoc billing and charging processes
  - spending on service charging will reduce costs
  and enhance revenue management capabilities
• Banks can use service charging billing to
  enhance competitive edge, improve customer
  loyalty change customer behaviour
• LogicaCMG adapts best practices for product and
  revenue management from other industries for
  financial services clients
• The need for transparency and enhanced fee income
  management requires a comprehensive approach

Pricing, Fees billing
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Compliance from one Place

• Meeting regulatory requirements while improving
  operational efficiency
• Solutions that can be deployed globally
• Solutions that are designed to ease the burden of
  change
• Solutions that use best of breed world class
  components
• Solutions that are integrated into existing
  systems and processes
• Basel 2 and IAS specific solutions integrated to
  business benefit in risk, cost and revenue
  management
• LogicaCMG enables our clients to capitalise on
  the inherent value of the information we capture
  and manage, while meeting the demands of their
  regulators.

Risk Regulation
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The Back-Office Utility
Enterprise Back Office

• IT optimisation accelerating the streamlining and
  automation of business processes
• Standardising support functions to reduce costs
  and enable divestment
• Smart sourcing approach (situating activities
  in geographically favourable locations)
• Labour skills/availability
• Tax advantages
• Regulatory advantages
• Improving efficiency using a shared services
  approach and
• LogicaCMG taking the onus to deliver improved
  operations (via outsourcing)

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Smarter Cards
Cards

• Supporting all participants in the cards
  marketplace
• Capitalising on the investment in chip card card
  issuing and acquiring technology
• Addressing total cost of ownership and
  transaction cost pressures
• Improving processing automation and efficiency in
  back office issuing and acquiring
• Assisting acquirers in differentiating themselves
• Responding to pricing and competition directives
  from regulators
• Part of the single, componentised LCMG payments
  architecture

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LogicaCMG Financial Services focus- Delivering
to market challenges
Drive thebusinessforward
10 payment traffic, 3trillion /day, 30 years
experience, designers of SWIFT, CLS etc
Payments
100 global billing projects including
Vodafone KPN Unique integration
experience in Financial services
Service charging billing
Regulatory market leader Over 250 clients
Compliance regulation
Effective Operations
Number one European payroll processor Largest
European SAP Partner
Resourcing hub for on-shore, near shore and off
shore resources
Smart Sourcing
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LogicaCMGs Market Place

• corporate and retail banks
• financial clearing houses
• general and commercial insurers
• retail FS distributors
• credit and debit card providers
• central infrastructure

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Market share/leadership

• in regulatory reporting
• There are over 500 installations of our products
  representing some 250 individual banks
• 85 of the top 50 German Banks
• Over 60 of the top investment banks operating in
  the UK
• in Central Bank Payments
• 25 countries
• in Financial Messaging
• 10 of SWIFTs world-wide payment traffic
  (3,000bn per day)
• in EFT, EMV SMART Card migration
• Two national EMV infrastructures over 50 ATM
  EftPOS systems and non-bank clients

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LogicaCMG in Financial Services
In Financial Services we have over
Australia
Luxembourg
Belgium
Malaysia
Brazil
3,200
Netherlands
staff working
Canada
Norway
Czech Republic
from over100 offices
Saudi Arabia
France
Indonesia
Germany
Sweden
Hong Kong
Switzerland
India
Philippines
UAE
Ireland
South Africa
United Kingdom
China
Spain
United States
Japan
Italy
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