temenos company overview brochure - september 2010

8/8/2019 Temenos Company Overview Brochure - September 2010

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TemenosCompany Overview


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01 About Temenos03 What Makes Us Different05 Our Vision07 Creating Value For Our Customers

11 Software Portfolio17 Consulting And Professional Services19 Partner Services21 Summary

Contents


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About TemenosThe Banking Software Company

F

ounded in 1993 and listed on the Swiss Stock Exchange (SIX: TEMN), Temenos GroupAG is the market leading provider of banking software systems to retail, corporate,universal, private, Islamic and micronance & community banks. Headquartered inGeneva with 56 ofces worldwide, Temenos serves over 1,000 nancial institutions in

more than 125 countries across the world.

According to IBS Intelligence, which maintains an annual league table, TEMENOS T24 (T24)has been the rst or second best selling core banking solution for the last 12 years and in2009 was the best selling solution for the third year in a row. Forrester ranks Temenos as oneof only two global power sellers (Forrester Global Banking Platform Deals Report 2009) andTemenos has been the winner every year since its launch of the Best Core Banking Product inBanking Technology magazines Readers Choice Awards.

Temenos customers are proven to be more protable than their peers: analysis on data fromThe Banker1 top 1,000 banks shows that Temenos customers enjoy a 62% higher return oncapital, a 54% higher return on assets and a cost/income ratio that is 7.2 points lower thannon-Temenos customers.

Temenos Company Overview01

Sources

1 The Banker top 1,000 banks 2009: average values for Temenoscustomers compared to average values for non-Temenos customers.


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Market Leadership

We sell mission-critical software. Banks want to buy software they can trust, froma vendor they can rely on to deliver wherever they are in the world and overthe full horizon of their investment. Being the market leader with the highestsales and the largest installed base bestows this credibility.

Focus On Banking

We are the only one of the top ve vendors in core banking to have a single domain focus.Banking is all we do. All of our management time, our research and development (R&D) effortand our expertise is focused on the banking sector making us true specialists. Moreover, thisensures that our success is inextricably bound to the success of our customers if we cantimprove their businesses, we cant improve our own.

Product SuperiorityOur products are highly acclaimed. We work in partnership with our customers all overthe world and in the many different types of bank, to direct the innovation and substantialinvestment we make in our software. We consistently devote around 20% of revenues toR&D signicantly more than our peers and greater than twice the industry average. Thisinvestment in new technology, functionality and in meeting new regulatory requirementsallows us to deliver products that are consistently state of the art, which are made availableto all customers through an annual release programme. We provide a single, consistent,service oriented architecture (SOA) that is componentised, easy to integrate into complexenvironments and for larger banks provides low risk progressive renovation options.

Outperforming Customer Base

Implementing Temenos software signicantly lowers banks total cost of ownership (TCO) andprovides a scalable infrastructure that allows them to extract economies of scale as they grow.

At the same time as giving them greater exibility to innovate and adapt quickly to capitaliseon changes in the market. A single view over client and other data enables more effectivemanagement of both risk and client relationships. This is why Temenos customers are the mostprotable banks in the world.

A Partnership Approach

We work in close and active partnership with our customers, their preferred partners andthe expanding community of Temenos partners, that already encompasses some of the bestnames in the industry. This partnership approach helps us give choice to our customers over what technology platform they want to run and who they want to work with toimplement and support the solution.

Predictable Low Risk Implementations

In an average year, 50 new banks go live on T24. This very high number of successful projects isenabled by our predictable, process-led and low risk approach to implementations, which startwith our highly congured, best market practice model bank. Further complemented by ourenthusiasm for working in partnership with the preferred partners of our customers.Global But Local Presence

Our consultants operate from 56 international ofces in 38 countries ensuring that theyunderstand local banking needs, as well as the local language - our 3,500 employeesencompass some 75 nationalities and speak over 65 different languages. We have deliveredproducts to more than 1,000 clients in 125 countries and have country models withpackaged functionality to support local banking practice in each of the markets in whichour customers operate.

Unique Business Model

Our success has proven that packaged core banking software with the exibility of T24can meet the exacting requirements of the worlds largest banks, without source code

modication and an ongoing signicant investment in customisation services. With thecore protected, customisation is achieved through extensions of the platform, enabling allcustomers to benet from our collective experience in over 700 core banking implementationsacross the globe. With enhancements rolled into an annual upgrade programme, banks cannow focus on their true differentiators, whilst we focus on delivering commodity systems.


What Makes Us Different


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Our Vision

Our vision is to help our customers to be the most protable banksin the world by:

- Optimising operational efciency, based on best practiceprocesses and low TCO.

- Increasing agility and time to market with new products.- Providing comprehensive risk management and cost-effective

compliance.- Helping to deliver a superior customer service.

We believe that we have the unique ability to provide a single, platform independent, highlyexible core banking platform with a modern architecture. By delivering software that isopen and standards-based, we future-proof the system to avoid the technology obsolescenceinevitable with legacy systems. Our products address the needs of banks of every size

from very large to very small with a business focus ranging from universal banking to highlyspecialised retail, corporate and private banking, and with the exibility to be implemented ona worldwide basis.

Our strategy to continue to deliver these benets to our customers, is to remain focusedexclusively on banking technology and to collaborate with customers on continuouslyne-tuning processes and enhancing our core banking platform in line with emergingrequirements based on a commitment to industry-leading levels of R&D investment.

In addition to our core banking technology, we offer a front ofce suite of products and alsosupport banks requirements in business intelligence, anti-money laundering (AML), regulatorycompliance and payment message repair and enrichment.

The new decade will bring a renewed spotlight on core bankingrenovation ater a prolonged period o delaying core projectsduring the global recession. The ocus will be on rereshing the coreto support new business models as nancial institutions look toimprove prots and increase eciency, questioning the tremendousmaintenance and integration costs o legacy core systems. Thefexibility o a component based approach will be key to corerenewal, supporting unique strategies as FI executives invokeinnovation to take a leadership position in the marketplace.

Karen Massey - IDC Financial Insights.



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Creating Value For Our Customers

Introduction

Banking is changing. But Temenos customers are exible and agile enough to adapt, helpingthem to signicantly outperform their peers.In Europe and the US, the future of the banking industry has been shaped by the consequencesof the banking crisis. Balance sheets have shrunk enormously2; banks have disappeared3;wholesale and credit market funding has become more tightly rationed; and liquidity in certainnancial markets such as securitised mortgages has all but dried up. But there are still moreresults to come, especially in the form of greater government regulation over capital adequacylevels, governance and remuneration.

In the developing world, rapidly growing demand places different kinds of strain. For examplein China mass urbanisation and a booming economy are creating enormous demand for

retail and corporate banking services and putting pressure on banks systems and processes.Moreover, the governments move to open up and deregulate the banking market is alsointensifying competition, meaning that coping with demand is not enough banks also haveto raise their standards of customer service, efciency and risk management.

What is constant across all markets, however, is that the best banks react fast, adapting theirpractices to stay ahead. Where these banks also have modern software, they are respondingfaster and more cheaply helping them to generate higher returns than their competitors.

Sources

2 FDIC In the period Sep 07 Mar 10, 196 US banks failed compared to 223 in the whole period Jan 00 Mar 10.

3 Thomson Reuters The IMF estimates that by the end of 2009, USand European banks had suffered USD 1.1trillion of write-downsrelated to the credit crisis, yet new capital raising as at the end of2009 was only roughly half that amount, around USD 520 billion.

The Most ProtableBanks Run Temenos

62%higher return on capital

54%higher return on assets

7.2points lower cost/income



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Improving Flexibility And Innovation

In the developed world, the shortage of wholesale and capital market funding is forcing banksto shore up their funding bases, while tighter funding is increasing the pressure to generatehigh quality assets and higher fees. In the developing world, where wholesale funding wasnever especially prevalent, the competition for deposits remains strong and is intensifyingas clients become more discerning, governments deregulate and Western banks come insearch of faster growth and higher returns. All in all, successful banks will need to offer adifferentiated and highly personalised service, centred on relationships, not products.

Temenos customers are already doing this. New market entrants such as BforBank in Franceand Metro Bank in the UK, are using modern technology as an important component of theirdifferentiated offering.

BforBank is setting itself apart through the quality and volume of the information it makesavailable to clients and the quality of the user experience offered. It is empowering anincreasingly exacting, nancially literate and technology savvy public to become their ownprivate bankers, based on the provision of rich, valued added and interactive content, which isunmatched, except by vendors like Amazon outside of the banking industry.

Metro Bank is offering unparalleled customer service with a unique branch approach,underpinned by a convenience with quality business model to serve the banking needs ofthe consumer and business communities. Clients will benet from extended opening hourswith branches in operation 361 days of the year, a 24/7 London based call centre, best in classonline banking facilities and rapid account opening services with debit and credit card issuancein 15 minutes.

Established Temenos customers are also using advanced technology to personalise andimprove their customer service. North Shore Credit Union (NSCU) in Canada makes useof T24s Arrangement Architecture (AA) to allow sales agents to negotiate standard productconditions at the point of sale, thereby tailoring products for individual clients.

Techcombank, the fastest growing bank in Vietnam, has capitalised on the exibility of T24to launch a stream of innovative products. This has helped it to grow deposits at a compoundannual rate of 72%, more than twice as fast as the overall market, while it has takenadvantage of the single customer view afforded by T24 to tailor its product pricing based onindividual client protability, helping boost retention and cross-selling. In the last two years,Techcombank has grown revenue per client by an average of 25%.


Not only are we able to launchnew products aster thancompetitors, but the fexibilityo the system means that all oour processes are ully alignedto this new product. In contrast,even i a competitor reactsquickly and launches a similarproduct, this is likely to involve

a signicant amount o manualprocessing until the systemcan be congured appropriately resulting in much lowerproductivity.

Le Xuan Vu - Chief Information Ofcer -Techcombank

T24 has enabled Bank oShanghai to launch a number otruly innovative and pioneering

products, in particular bycombining corporate and retailproducts. Not only that, but T24has also dramatically reducedthe time to market or newproducts by a actor oseveral times.

Mr. Zhao Gang - General Manager, ProductInnovation Department - Bank of Shanghai


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Sources

4 Boston Consulting Group BCGs sixth annual IT costbenchmarking study, June 2009.

5 Techcombank annual report, Banker database, Thomson Reutersand various broker notes


Leveraging Scale EconomiesHow a modern, integrated platorm helps customers to operate at signifcantly lower coststhan peers

Banks spend more than any other industry on IT costs. According to Boston Consulting Group,banks spend 14.3% of costs on IT compared to an average of 7% across all industries.The general assumption, which has sanctioned inaction, is that this higher relative spendowes to more complex and sophisticated IT requirements; an explanation that, moreover,justies the lack of IT scale economies achieved by banks and the failure to extract IT costsynergies from acquisitions.

Temenos customers however are invalidating this assumption. EFG Bank, for example, has anoutstanding record of realising scale economies in IT. Since its inception in 1995, the bank hasgrown extremely rapidly, increasing clients Assets under Management (AuM) to CHF 87.7billion at the end of 2009. EFG Bank now employs circa 2,400 people in over 50 locations in30 countries and has absorbed over twenty acquisitions. Yet it remains highly efcient in termsof IT: at less than 6%, its IT spend as a proportion of total costs is around one third of theaverage for European private banks4.

Bank of Shanghai, with more than 13m accounts, 280,000 corporate clients, 7.4m retailclients and more than half a million transactions per day is T24s largest volume customerand is also enjoying the signicant scale advantages of adding more volume and clients ontoan integrated platform. Bank of Shanghai is adding around 700,000 new retail and corporateclients a year, yet given its modern infrastructure, the bank employs fewer than 370 full timeIT employees. We estimate the bank has an IT cost to total operating cost ratio 60% belowthe industry average while its overall cost/income ratio is 55% below the average for the top1000 banks, and 15% below domestic peers.

North Shore Credit Union

needed a cost-eective way tomanage our inrastructure whilestill providing excellent memberservice and innovative products.

Fred Cook - CIO - North Shore Credit Union

Undoubtedly, the best aspecto centralisation has beenthe elimination o the bigdiscrepancy that existed in theoperating costs o the dierent

platorms. We now run anextremely lean inrastructurewith inrastructure costs lowerby approximately one third, andwith IT support in the servicecentre representing about 5% othe total workorce.

Pierre-Louis Favre - CFO - Schroder & Co Bank AG

The improvement in aggregatedmanagement inormation hasbeen a huge advantage duringthe subprime crisis. For examplewhen we wanted to understandour exposure on the clientand nostro side to Lehman

Brothers, it took us hal an hourto understand that we had noexposure. In contrast, at thetime o the Barings collapse, wespent signicantly more timeretrieving this inormation.

Pierre-Louis Favre - CFO - Schroder & Co Bank AG

T24 has brought us completeand real-time data, whichclearly has big implications or

our ability to manage risk,but also or the quality andtimeliness o the inormationthat management uses orday-to-day decision making.

Mr. Jiang - Vice President - Bank of Shanghai

Seeing The Whole PictureHow a single view helps banks to manage risk

Diversication and disintermediation were meant to mitigate risk; instead, they createdgreater complexity that made risks even more difcult to manage. Nonetheless, while banksactivities are likely to be scaled back and some of the practices to deconstruct the credit valuechain barred, the renewed focus on robust risk management from clients, regulators, boardof directors and governments, will remain. Banks will need to write higher quality business,which will require strong pricing and underwriting skills and more crucially, a complete viewof the client.

T24 customers have been taking advantage of this complete view of risk, at both the client

and aggregate level, to manage and price risk effectively. For example Schroders PrivateBanking was able to see the entire counterparty risk exposure for them and their customers inless than 30 minutes following the collapse of Lehman Brothers. And between 2006 and 2008Techcombank grew gross loans by 199% around 30% faster than the overall market5 butits level of non-performing loans actually fell to 2.56%.


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Software Portfolio

Temenos is a banking software specialist, with its award winning T24 core bankingplatform at the heart of its solution portfolio. Our consistently high annualinvestment in research and development enables us to constantly invest in newtechnology, functionality and in meeting new regulatory requirements, allowing us to

deliver products that are consistently state of the art.

We are committed to open standards and work in partnership with the industry leadinghardware, database and middleware solution providers to ensure that our software is availableon and optimised for a wider range of technology platforms than any other core bankingvendor. We believe that the open architecture approach and leaving the choice of platform toour customers, enables them to achieve the lowest total cost of ownership and to leverageexisting skills, investments or vendor relationships in order to achieve the highest possiblereturn on investment.


Core Banking

TEMENOS CoreBanking

TEMENOS CoreBanking (TCB) is a contemporary functionally-rich core banking platform,deployed on IBM mainframe technology and designed around IBMs Information Framework(IFW) industry banking model, to maximise re-use, eliminate duplication and minimiseredundancy. TCB is used by the worlds largest mass market retail banks, who given their scalecan achieve signicant competitive advantage by having total control of their software assets.It is designed to enable application components to be implemented independently, allowingbanks to transition from their evolved, fragmented and highly complex legacy processing

environments on a step-by-step incremental basis.

TEMENOS T24

T24 is the worlds most widely used core banking system and provides a technically advanced,SOA-based front-to-back platform for banks in over 120 countries, from small communitybanks to large retail banks with over 15 million accounts.

T24 is a modular, functionally rich, fully integrated, real-time banking application, thathas revolutionised the core banking system industry by removing the need for end-of-dayprocessing and enabling 24/7/365 online operation. The exible, open technical architecture,combined with the richness of functionality of the solution enables banks to respond toevolving market needs, providing core competitiveness for the future.

T24 is available as a model bank implementation, with pre-congured services and bestpractice banking processes and workows built in, to allow for an easier, more cost effectiveand low risk out-of-the-box implementation; or a more tailored approach for customerspreferring differentiation.


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Our single domain focus andexpertise allows us to providespecialist solutions for thefollowing different bankingvertical sectors:

Providing Specialist SolutionsFor Each Banking Industry Sector

T24 For Retail Banking

T24 is used to support more than 250 retail banking operationsranging from the largest international banking groups to communitybanks and new start-ups. T24 offers full retail functionality, from thefront through to the back ofce, including CRM and product lifecyclemanagement. Unparalleled scalability and resilience is combined withtotal customer centricity.

T24 For Corporate Banking

T24 provides integrated support on a single global platform tocorporate and wholesale banks offering services to professionaland corporate clients. T24 enables banks to introduce new businessmodels quickly and add value to their client relationships. Support

includes coverage of corporate credit, correspondent banking and cashmanagement, payments, treasury services and trade nance.

T24 For Private Wealth Management

T24 supports banking for afuent to high net worth individualsby providing front to back ofce support for the widest range ofnancial products, ranging from the simplest fund- and equity- basedinstruments and FX through to structured products, exotic optionsand hedge funds. T24 contains extensive discretionary and advisoryasset management support, including performance measurement,plus the ability to maintain and use traditional and market trackinginvestment models. Portfolio level cash management is also supported.

T24 For Islamic BankingT24 is a best-of-breed Islamic banking system, which is bothShariah-compliant and commercially exible. T24 supportsorganisations which operate solely on Islamic principles, as wellas allowing conventional banks to operate Islamic windows witha separate balance sheet, but within the same environment. T24enables banks to adopt one core system to address all aspects of bothconventional and Islamic banking and is well-suited to most retail,corporate, investment and universal banking operations. T24 is richwith best practice processes and pre-congured products that supportMurabaha, Mudaraba, Bei Salam, Musharaka, Istisnaa & ParallelIstisnaa, Bei Bithaman Ajil, Wakala, Operational & Financial Ijara,Tawarruq, Commodity Trading, Reverse Murabaha, Sukuk and aProt Management System.



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ARC

ARC - Acquire Retain and Cross-sell provides the front ofcecapabilities for T24, based on its multi-channel architecture andfocusing on technologies which support client-facing staff indelivering a differentiated customer experience, whilst alsoproviding a consistent level of service across different electronicdistribution channels.

ARC Branch - In the branch ARC offers specialised tellerfunctionality and device support, including off-line processing toensure reliable customer service and access for branch staff toall client information through a single customer view. Branchmanagers benet from branch-level access to very exible

business intelligence technology to assist with understandingclient needs and managing branch targets.

ARC Internet - On the internet ARC provides the widest possibleaccess to banking functions across retail, corporate and privatebanking, supported by a scalable and extremely secure internetbanking infrastructure.

ARC Mobile - On mobile devices ARC enables banks to offer acombination of highly exible banking and payments solutionson the widest range of devices and in different channel modes,including SMS, browser and downloadable applications.Functionally rich, highly secure and scalable, ARC Mobile offersintegrated m-commerce capability that allows banks to extendtheir mobile service beyond banking, interfacing with retailers

and other payment channels to transform the handset into apoint of sale device.

ARC Call Centre - In the call centre ARC has an open architecturewhich enables the single customer view to be combined withthird party interactive voice response (IVR) and computertelephony integration (CTI) technologies.

ARC ATM - ARC provides a standard ISO 8583 interface to enablethe rapid integration of third party ATM/POS switch technologies.

ARC Origination - ARC offers the ability to originate a varietyof banking products using PW, T24s process workow engine toensure maximum exibility in building and periodically ne-tuning effective origination processes.

ARC CRM - ARC provides fully integrated support for identifyingopportunities and managing prospects, by combining acombination of operational and analytical CRM with marketingcampaign management capabilities.

T24 For Micronance And Community Banking

Temenos has developed an additional layer of functionality that canbe applied to any T24 implementation, which presents pre-conguredfeatures, products and reporting specic to micronance andcommunity banking (MCB). T24 MCB supports the specicoperational and processing requirements of organisations engagedin retail, community and micronance banking in emerging markets:micro lending institutions, smaller retail banks, large commercialmicronance institutions (MFIs) and global networks of nancialintermediaries and Credit Unions. T24 MCB is used by more than 100clients, many with multiple sites, in over 35 countries.

T24 For Universal Banking

T24 supports banks which deliver a wide range of productsand services across retail and corporate banking. T24 offers anextraordinary breadth and depth of functionality across all channels,giving the universal bank the ability to offer products and serviceswhich compete with more specialised banks, together with theagility and exibility required to compete with large internationalbanks which may be entering the market. T24s inherent scalabilityallows banks with many overseas branches to enjoy the benets of acentralised production facility and product factory, whilst maintaininglocal front ofce functionality.

Treasury Trader provides a seamless and transparent ow ofinformation to synchronise the front, middle and back ofces of aninternational treasury operation, delivering real-time links to themarket for instant and accurate data, together with an impressive

range of risk, planning and analysis tools.

Front Ofce


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Biometrics

Biometrics enables the positive identication of employees and clientsthrough one touch biometric identication for any T24 transaction.This allows banks to cost-effectively launch new products, servecustomers in emerging markets, decrease time at the teller in branchoperations and meet regulatory compliance guidelines for multi-factor authentication.

Client Reporting

Client Reporting provides wealth managers with the tools to delivercomplex, tailored and highly accurate information to clients on aregular basis. Through a a set of pre-congured templates and an enduser tool that allows the quick and easy customisation of reports,

Client Reporting enables banks to deliver high quality periodic andad-hoc reporting for both the demanding high-net-worth and massafuent markets.

Country Platforms

With our extensive experience of customer implementations inmore than 125 countries, we have packaged all country speciclocalisations, including compliance with regulations and localpayments systems, into reusable country platforms, to provide ourcustomers with software that fully supports local requirements.

We currently offer a platform for over 30 major countries.

Insight

Our Insight solutions take data from the core banking system anddeliver it back intelligently to those that need it.

Insight Performance Management

Insight is a browser-based business intelligence and nancialperformance management reporting solution, providing integratednancial performance, risk, budgeting and managementdashboards. It can be used to build, run and electronically distributereports throughout the bank, which can be viewed in the Insightbrowser, made available as spreadsheet data and analysed in multi-dimensional pivot tables. Built on the latest Microsoft technology,Insight has been fully integrated with T24 to work without the

need for extensive consultation, data mapping or development.

Insight Risk

Insight Risk enables banks to meet many of their regulatorycompliance needs, using an extensive regulatory capital engineand comprehensive liquidity and interest rate risk analysis tool.Integrated with T24, nancial institutions can ne-tune capitalrequirements to maximise economic and nancial returns.Insight Risk also includes a exible reporting engine to addresslocal regulatory requirements and for communicating to multiplerisk management stakeholders.

AML

The AML suite of products delivers sophisticated screening and

proling functionality to mitigate anti-money laundering risk:

AML Watch provides a cost effective watch list screening solutionthat is fully integrated with T24, designed for banks with smallercustomer holdings and which process lower transaction volumes.

AML Screen gives far greater control of AML operations.In addition to providing an integrated watch list screening solution,it enables banks to manipulate and manage watch lists, and denescreening rules. These enhanced tools help maximise the chancesof identifying true positives whilst minimising instances of falsepositives, to achieve a more efcient and effective AML operation.

AML Prole delivers additional value, through understandingclients activity, enabling the analysis of trends and behaviours

both at sector level and with individual clients. AML Prole isfully congurable and can be adjusted to meet banks own riskprole requirement.


Business Intelligence,Risk Management And Compliance


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STeP Payments Repair

STeP Payments Repair (STeP) markedly improves straight throughprocessing (STP) rates by automatically repairing and enrichingmessages, enabling payment transactions to be conductedelectronically without the need for re-keying or manual intervention.STeP is based on articial intelligence type technology combinedwith a unique Temenos banking community-generated knowledgebase, which integrates seamlessly into payment platforms andoperational systems.

Payments Data Management

ProDB

ProDB is an enterprise data management (EDM) solution thatautomatically optimises the quality of master data (e.g. statics,corporate actions, pricing data) to reduce the costs and risk associatedwith managing increasing volumes of data required to comply withregulatory change. Based on a highly sophisticated rules engine ProDBvalidates and consolidates data from international and local dataproviders and dispatches consistent data (a golden copy) to user-dened systems across the organisation.


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Consulting And Professional ServicesA core banking system implementationshould transform your business


A Process Led Approach

In order to fully realise the true benets of any systemimplementation, Temenos believes that banks need to take a freshlook at their operating environment and align their processeswith the new core banking solution. Simply transferring existing,

inefcient processes to a new banking platform will negate thepotential business benets that the solution can offer and preventbanks from experiencing the full value of their investment. Temenoshas built up considerable experience in leading banks through majorchanges in their operating environments through our process ledapproach to system implementation.

Implementations start with our highly congured, best market

practice model bank, which embodies an approach that is unique toTemenos. It was developed as a pragmatic response to the complexityand cost of core banking implementations and as a repository forthe best practice that we have learnt over the course of more than700 implementations around the world. Unlike our customers,who will typically be involved in only one or two large-scale corebanking system implementations, we successfully complete 50 newimplementations every year. Our model bank is constantly beingrened as we encounter new best practice models in the bankingsectors we serve, as we work with banks of all sizes and prolesaround the world.

Ensures packaged sotware remainspackaged and does not become abespoke solution.

Fewer customisations. Faster implementations - the average

project length has been reduced by 40%in the last 3 years.

Greater ease o upgrade - less localdevelopment and ewer customisationstranslate into aster upgrades. Length otime taken to upgrade has allen by 58%over the last 3 years.

Business ownership o theimplementation project.

Translating into very low cost oownership.

Benets Of A Process LedImplementation:

Management Consulting Services

Temenos Management Consulting Services (MCS) brings its knowledgeof banking and extensive experience of core banking systemimplementations to assist banks in reviewing their current systemsand processes and assessing the best course of action that meetsall of their strategic objectives, to ensure efcient and low-risk corebanking platform migrations.

MCS engagements are guided by proven methodologies, specicallyadapted to apply to banking system processes:

Temenos Implementation Methodology (TIM) a comprehensiveproject management methodology for core banking systemimplementations.

ARIS the leading process management tool from Software AG. Temenos Banking Reference Processes around 600 end-to-end

processes representing the accumulated industry knowledge of over700 client engagements, covering a wide range of banking sectors.

This process led approach to implementation ensures:

A clear view of end-to-end process design at the start of theproject, thus allowing improved scope management.

Standardisation of functions and documents according to bestpractice removing non-value added steps; improving controls andachieving higher levels of straight through processing.

Minimal changes to the standard model bank, reducingcustomisation and project resources and therefore the speed andcost of implementation.

Project effort focused on effecting business improvement, asopposed to just a system replacement.

Quantiable and qualitative benets are identied, leading toimproved decision making based on business prioritisation.

Clarity and transparency for users fearing change, generatingenthusiasm for and commitment to the project.

Application Management, Customisation And Hosting Services

T24 is a functionally rich system. Nevertheless where there is arequirement for customisation, either to reect a specic aspect ofthe business or to support localisation, we provide an offshore, reliableand cost-effective conguration and customisation service. We ensurethat any customisation is developed in a controlled environmentand becomes a product that we continue to support, withoutcompromising our customers ability to upgrade as part of the annual

T24 release programme.

We also remotely manage applications and host T24 for customersrequiring an off-premise solution for software as a service typeimplementations.

TEMENOS Learning

Temenos believes that the training of staff is the key to extractingmaximum value from and protecting the investment in a T24implementation. We offer a variety of proven learning methods andcan recommend the most appropriate learning approach, offeringchoice and exibility in the way that our customers wish to learn:

Public Scheduled Training - available in 325 classroom locationsglobally, using both lectures and hands-on T24 workshops.

On-Site Training - tailored training combining content from any ofour 50 training courses, delivered at the customers site.

Temenos Online Live - combining the expertise of a live Temenostrainer with a distance learning technology platform.

Custom E-Learning - cost effective e-learning solutions based onthe customers T24 system, provided in partnership with Verisim.


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Partner Services

Temenos has strong relationships with some of the most reputable companies acrossthe globe and through a programme of training and certication offers a networkof partners to support our customers to deliver quality end to end solutions frombusiness consulting through to complementary services post implementation.

We take pride in identifying, selecting and working with the right companies to support ourbusiness, which allows us to offer customers more choice over which advisors they use andaccess to world class business management and product delivery skills. Our approach ofworking with only authorised partners re-afrms our commitment and dedication to providinga truly credible network of partner services.

Services Partners

Temenos Services Partners commit to training their consultants in T24, the Temenos

Implementation Methodology (TIM) and to undertake certication in the ImplementationTraining Programme (ITP) examinations. This ensures a consistent approach in implementingthe model bank and understanding of the latest release of T24. Their skills range frommanagement consulting to systems integration and in specialisms from hosting to testing.All offerings are available for delivery on both a global and local level.

Complementary Solution Partners

Temenos Complementary Solution Partners develop and deliver offerings that complement orbroaden our product and solution footprint, either by adding banking specic or very localisedfunctionality. Temenos maintains the interfaces or connectors to these products to ensure thatthey are certied and operational to support our customers needs.

Technology Partners

Temenos Technology Partners enhance Temenos core solutions by providing robust andscalable platforms. In partnership we carry out regular benchmarks to optimise processes andperformance metrics to ensure industry leading best practice and performance.


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Temenos is an established supplier to the banking industry and a growing and protablecompany. We have grown from an entrepreneurial start in 1993 to our present marketleadership position. Listed on the Swiss Stock Exchange (SIX: TEMN) since 2001,Temenos has a strong balance sheet and a broad, global shareholder base, which

includes some of the worlds largest and best known institutions. Our robust nancial positionand history of delivering successful software solutions makes us the supplier of choice formore than 1,000 nancial institutions worldwide.

We serve these customers in more than 125 countries, from 56 ofces and with approximately3,500 staff, made up of 75 nationalities and speaking over 65 different languages.

Temenos is the worlds leading supplier of packaged banking software. We offer modern,innovative and award-winning banking systems, which enable our customers to grow theirbusiness, reduce costs, improve exibility and innovation and manage risk. We are the onlysoftware company that has committed to banking as its sole domain and we live or die bythe success of our banking systems. This success depends on our ability to offer specialiseddomain expertise. We do not dilute this expertise by serving other industries.Our systems are based on the latest open technology and not aligned to any particularhardware, server or database technology. This results in exibility, reduced risk and ensuresthat our customers have choice in the technical infrastructure on which they run our systems.

We take our responsibilities seriously as a supplier, business partner, employer and globalorganisation. We are aware that this success depends in turn on investing in our products andpeople to ensure that they continue to support your requirements into the future.

We will continue to invest for the long term and we invite you to talk to us to see how ourinvestment can benet your organisation.

For further information please visit www.temenos.com

Summary


The Most ProtableBanks Run Temenos

62%higher return on capital

54%higher return on assets

7.2points lower cost/income


24/24

Temenos Headquarters SA

18 Place des PhilosophesCH-1205 GenevaSwitzerlandTel: +41 22 708 1150Fax: +41 22 708 1160

www.temenos.com

TEMENOS and TEMENOS T24 are registered trademarks of Temenos Headquarters SA

2010 T H d t SA ll i ht d

temenos company overview brochure - september 2010

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