How does a new entrant make its mark in a fast-growing, dynamic banking sector and seize a slice of the action from more established players? When it launched in 2008, CIBanco already had a history stretching back 25 years as a leading foreign exchange house operating in Mexico as International Consulting—but taking its first steps in the banking sector created a whole new set of challenges.
CIBanco set itself the goal of developing a high-quality service covering auto loans, trust funds, online and mobile banking, currency and investment options, and lines credit. To realise these ambitions and challenge the relatively small number of European, American and local banks that hold the lion’s share of the market, CIBanco would need a technology platform to support innovation and sustainable growth.
Capturing a share of a growing market
CIBanco’s launch coincided with a period of significant growth for Mexico’s banking industry. An increasingly strong private sector, rising GDP, and high levels of foreign investment created fertile conditions for corporate and retail banks looking to increase their profitability. In the decade to 2018, for example, corporate lending volumes rose by 11 percent and revenues by a total of $7.4 billion.
Ernesto Sandoval Rebello, Chief Information Officer at CIBanco, explains: “To take advantage of a favourable economic landscape and build our client base, we needed to become as agile and customer-centric as possible. We placed technology at the centre of our vision for CIBanco, and aimed to implement a scalable core platform that would enable us to develop user-friendly banking services.”
Processes run 96 percent faster with the new Temenos solution
Selecting a vendor with local expertise
To support its growth as a commercial bank, CIBanco looked to partner with a vendor with a strong track record working with financial institutions in Mexico. After an in-depth search, the bank selected Temenos Transact as its core system for product development and managing customer transactions. Since then, CIBanco has continued working with Temenos to optimise the platform and implement the latest functionality.
Ernesto Sandoval Rebello explains: “We face very demanding banking regulations in Mexico, which made it imperative to find a software vendor with pedigree in the local market and that offered a strong support network. In Temenos we found a vendor with expertise and experience with Mexican banks, equipping them with a deep understanding of the unique pressures that we encounter.”
15 to 20 minutes to complete complex tasks
Achieving operational excellence
In recent years, CIBanco upgraded its core system to the R15 version of Temenos Transact, unlocking valuable operational efficiencies. Enhanced levels of automation are helping the bank to accelerate many workflows and freeing up employees to focus on value-add tasks. In some cases, processes run 96 percent faster with the new Temenos solution.
“The results of the latest Temenos upgrade have been very impressive.” says Ernesto Sandoval Rebello. “We are enjoying significantly smoother, more efficient day-to-day operations. In the past, it could take between five and seven hours to complete complex tasks such as end-of-day processing. Now, it takes just 15 to 20 minutes, a huge improvement that helps our employees spend more time on customer-facing activities.
Keeping banking services available 24/7
CIBanco places a premium on making its services available round-the-clock, ensuring customers can always reach their money via branch, ATM or online. The robustness and reliability of Temenos Transact enables the bank to mitigate the risk of outages and service interruptions, safeguarding quality of service and helping to generate long-term customer loyalty.
Ernesto Sandoval Rebello continues: “The stability of the Temenos platform is exceptional and one of the features that we value most. In the last 11 years, we have never had to delay opening our doors in the morning due to system downtime. We know that other core systems require non-stop monitoring and investment to ensure high availability, but with Temenos we enjoy peace of mind that things will run smoothly.”
Supporting a nationwide presence
Supported by Temenos Transact, CIBanco has achieved impressive growth, and currently boasts a network of 205 branches across Mexico. The bank continues to evolve its product range, and now holds a position as a top ten service provider for fiduciary and auto loans in Mexico, and remains one of the leading foreign currency exchange operators in the country.
”Our partnership with Temenos is a key driver of our growth, enabling us to achieve our goals of high-quality service, innovation and sustainability. We are excited about where we can go next with Temenos, and fully intend to take advantage of the upgrade paths and the integration capabilities of the platform to continue to advance our offerings.”Ernesto Sandoval Rebello , Chief Information Officer