Temenos (SIX: TEMN), the banking software company, today announced its next-generation end-to-end corporate lending platform, designed to help banks digitally transform their entire corporate banking business to reduce cost and drive operational efficiencies, improve customer experiences, and create offers for customers that are tailored to individual corporate needs.

The microservices-based platform helps banks automate their heavily manual and complex processes and enables the bank’s corporate lending teams to access the right data at the right time to make faster and smarter decisions. Temenos’ corporate lending platform enables banks to evaluate loan applications more rapidly, structure complex corporate deals and handle negotiations in a transparent and efficient manner. It also allows banks to assess credit risk to maximize the performance of their product portfolio and capital, as well as help corporate customers access the right credit facilities for their needs. The digital corporate lending platform also enables banks to manage lending for both corporates and SMEs, further streamlining systems and processes.

Corporate banks often have complex IT architectures with data residing in multiple system siloes, resulting in time consuming, heavily manual processes and poor data utilization. Temenos’ end- to -end corporate lending solution helps banks streamline their disparate systems into a centralized platform with consolidated processes and pricing, embedded analytics and real-time dashboards, to offer fully automated digital services.

Temenos’ enhanced corporate loan origination capabilities help banks manage the entire loan lifecycle, from pre-screening to underwriting, due diligence, document capture, credit administration, acceptance and closing. This enables banks to aggregate and analyze the information they need to take decisions faster on complex corporate credit arrangements and process commercial loans with effective risk management. These corporate loan origination capabilities are based on Temenos Infinity, the market-leading digital banking platform, which utilizes industry standard workflow management and business rules solutions to handle complex case management.

During the pandemic, many banks reported loan application volumes that were eight to 10 times their typical level [1]. The difficulty to process these volumes was exacerbated by the complex underwriting challenge in a fast-moving environment and the process requirements of government-backed schemes that, given their novelty, remain manual for most banks.

Jerry Silva, Vice President, IDC Financial Insights, commented: “The commercial lending market is seeing a spike in volumes due to the pandemic. Now more than ever, corporate banks need to aggregate data and have a comprehensive customer overview to protect their balance sheet and structure their loans and risk portfolio accurately, deciding which corporate customers are viable to support. Solutions like Temenos’ corporate lending platform improve transparency and a consolidated view of the corporate customer over legacy technologies, ostensibly supporting banks as they set their corporate lending strategies.”

Max Chuard, Chief Executive Officer, Temenos, said: “Corporate banking represents a large addressable market, ripe for change as banks need to accelerate their digital transformation to meet their corporate clients’ expectations. Temenos has invested relentlessly to deliver an innovative end-to-end, corporate lending platform based on advanced cloud and AI technology combined with rich banking functionality. We signed new flagship corporate banking clients and our product has been named a leader by top analyst houses. With our corporate lending platform, banks can consolidate disparate systems on a single, cloud-native platform that gives the agility to deliver tailored solutions to their corporate customers, improves transparency and efficiency removing the need for manual interventions.”

Temenos’ architecture is open-API based and it allows data to flow across the functional business lines of a corporate bank from payments to cash management, enabling efficiencies, lower total cost of ownership from the consolidation of systems and new business models. Temenos' investment and innovation was recognized by Forrester and the platform was named a leader in The Forrester Wave™: Digital Banking Processing Platforms (Corporate Banking), Q3 2020.

[1] Oliver Wyman , ‘Five Actions For Corporate Banks In Response to COVID-19’, 2020.