Case Study – Digital Consulting Process
Our solutions for the business and the people behind it—designed with capital-market expertise, technical knowhow and experience, and state-of-the-art technology.
The development of a game changing and for the first time entirely digital consulting process for a German high street bank that represents an innovative solution for the risk and investment counselling of corporate clients. Crucial elements of the consulting process were to be digitalised: digital consulting as completely WpHG- and MiFID-II-compliant investment counselling. Apart from exploring all necessary data, the project was especially concerned with product info. Crucial points were the increase of efficiency, quality assurance, the use of digital consulting to enable generalist to sell derivatives, and the ability to offer risk and investment counselling to customers around the clock via self-service. Interest rate and currency risks, and capital investment were part of the agenda.
The Strategy / Our Approach
The intended innovation of digital consulting was developed by us as a product vision; the result was realised as a pilot that met the needs of the customer. Together with the customer we further developed the project and dealt with supervisory aspects from the beginning on. That way we could create digital consulting that meets all legal and regulatory requirements and that operates in accordance with the investment and object-oriented. Part of the requirements analysis was an agreement on the relevant initial situations of the customer and their economic realities on the one hand, and identification of necessary intersections in accordance with architectural councils, as well as talks with intersection partners. The choice of focus products and automated pricing was essential. The implementation conception included a click-dummy to describe and align requirements. This was employed by the client with all stakeholders of the project, customer consultants, customers, and legal and compliance departments.
From a technical perspective, the digital consulting process is built on our software LPADoc. This made it possible to retain the necessary flexibility during the daily business and at the same time adjust the consulting process where needed. The development of the software was organised according to agile Scrum-methods. In regular reviews with all stakeholders, solution improvements were made transparent and easily adjustable. During the following testing phase, it became clear that the developed solution met all requirements of up-to-date digital consulting—all elements of the digital consulting process could be activated incrementally.
The digital consulting process we developed in close cooperation with the client is available to consultants as well as to the customers, while the access via already established portals was integrated to make the overall access for customers as easy as possible. Our solution consists of two phases—digital exploration and digital product information. During the exploration, we have an adaptive interview that generates the required information for the following selection of products, e.g. knowledge and experiences of the user, personal and economic situation, investment goals and horizon, risk appetite, risk-bearing capacity, and existing business. Background on complex questions is provided by easily understandable videos. Data obtained at this phase is stored for future consulting and shared with conventional applications like CRM-solutions.
The following selection of products is central to digital consulting: Here the customer learns which product matches his current situation. The technology takes its decision on the basis of all relevant facts: Not only does it use customer-individual data for its recommendation, but also global conditions like the identified product universe, current market situation, and comparison of the target market with the requirements of MiFID II. Once the suitable financial product is identified, it gets explained in a digital product presentation together with all its opportunities and risks. Part of this digitally enhanced product information is an individual explanation video, which is created automatically according to product parameters. An interactive scenario-calculator comprehensibly illustrates the consequences of market developments for pay-off profiles. After the digital consulting process ends, the system automatically creates a suitability declaration (former minutes of the consultation) and archives it with the other documents.