Successful management of returns

Targeted profitability management and budget control

Your Contact Person

Martin Danne | Managing Partner
Hammer Straße 165
48153 Münster
Germany
Germany

Financial reporting and analysis functionalities

zeb.control.financial


Functionalites

Integrated and transparent presentation of returns

zeb.control.financial - Profit software module

The substantiated, targeted management of returns requires that management information is prepared in a structured way. zeb.control.financial perfectly meets this requirement by providing an integrated and transparent presentation of returns as a basis for any analysis. At the push of a button, you may generate suitable analyses or reports and zoom in for more detailed information. Specifically, zeb.control.financial supports you with the following functionalities:

Standardized reporting system

zeb has put its long-standing project expertise into an extensive report library that is especially tailored to the requirements of executives. Therefore, the standard reports already cover a significant part of the sales and controlling information requirements. The system allows for immediate productive use. The reporting system includes specific analyses as well as comparisons with benchmarks and over time for profit centers, products, customer segments, or individual customers and accounts and also indicates targets achieved by symbols such as traffic lights and trend arrows.

Flexible analyses in all dimensions

Specific return analyses are supported by an intuitive ad-hoc analysis in all three dimensions of market returns (products, customer segments, profit centers), both with standardized and freely definable figures. A drilldown to individual accounts and transactions provides an overview of all details in this context. Individual value destroyers/generators are revealed, providing the basis for identifying the need for action so that you can quickly respond to special questions and analysis requests.

Customization options and handling

zeb.control.financial's simple management of bank structures (e.g. changes to the product or organizational structure) eliminates costly and time-consuming adjustments. Customer-specific configurations can be set up flexibly and with little effort. All changes can be viewed in real-time and allow for detailed analyses. This simple handling gives you more time for actually analyzing the profitability situation.

basis for efficient cost accounting

zeb.control.financial - Cost Allocation software module

In the context of overall bank management, cost accounting is a starting point for breaking down total costs into the relevant outcome dimensions (e.g. business areas) to enable the identification of value-adding and value-destroying sectors of the bank. The allocation of costs to originators provides the basis for efficient cost accounting.

The cost allocation module is used to represent the costs incurred by cost centers and cost elements and to distribute them with any workflow, with fixed keys or stock prices to the originator. Specifically, zeb.control.financial - Cost Allocation supports you with the following functionalities:

Simulation of cost allocation

zeb.control.financial enables the distribution of costs of one cost category to various cost centers and also guarantees the settlement of all costs of a cost center to other cost centers. The attribution of costs can be differentiated on the basis of distribution keys. The distribution keys can be individually set or derived from an existing data pool.

The cost allocation of zeb.control.financial allows a more gradual approach with the distribution of costs in different constitutive steps. In addition to this allocation of costs, temporal boundaries can be established for costs occurring only once a year. These definitions can be laid down manually or automatically. The simulation of different cost allocations allows you to directly examine the proper distribution before the next scheduled distribution runs.

Costs reporting and analysis

The results of cost allocation are both available in reporting and in the ad-hoc analyses of the module for customer business control. Moreover, the costs assigned and allocated can be made available to other information systems.

The cost allocation module is very flexible and, as a result, can also be used for other applications (e.g. allocation of commission income) that, for technical reasons, are only available at a bank-wide level. The user marks a cost allocation as "currently valid" and can create further configurations for simulation purposes. This provides maximum flexibility in designing/developing the in-house accounting concepts.

Funds transfer pricing

zeb.control.financial - FTP software module

With zeb.control.financial, zeb offers a solution that allows banks to ensure the risk-based and earnings-oriented pricing of new business and to compute the present value of earnings generated by a new transaction in preliminary calculations. Specifically, zeb.control.financial - FTP supports you with the following functionalities and features:

Bank-specific product structures

Each bank offers unique products. Therefore, a modern pre-calculation tool has to process the bank's specific product structure and supply all the key basic terms and conditions of these products at a mouse click. zeb.control.financial meets this requirement through a bank-specific user interface that can be configured in line with each product.

Bank-specific contribution margins

In pre-calculation, zeb.control.financial allows you to use both a present-value and a classical period-oriented contribution margin system. Both systems can be configured in line with your requirements. Deviations from the bank's strategic reference values are highlighted by traffic lights. The earnings thresholds used by the traffic light system can be laid down separately for each product. Traffic lights also support the advisors when they adjust individual product parameters.

Present value calculation

The present value approach is consistently used to valuate individual transactions. To determine the interest condition contributions, commissions, risk costs and unit costs, the system computes the relevant cash flows, discounts them in the next step and finally aggregates them to obtain the present values of the individual earnings components.

Customer-based pricing

Customer-based pricing requires detailed information on credit collateral. Earnings-oriented terms and conditions can only be developed for new contracts if you have an overview of all existing transactions of the customer. By accessing zeb.control.data.management, the customer's contracts are analyzed in their entirety and the overall contribution margin of the transactions is calculated. Thereby, zeb.control.financial allows for earnings-oriented decisions to be made before each individual contract.

To determine ratings-based risk costs, the risk cost cash flows are calculated whose payments represent the risk-based premium for the period concerned. This approach takes account of both the current creditworthiness of the customer as well as any future rating changes during the contract term. This results in a significantly more realistic risk assessment in comparison with models that only consider the customer's current rating.

Flexible creation of condition tables

Especially with regard to loans, each customer has his/her specific demands for contractual terms and conditions. Redemption schedule, nominal interest rates, partial disbursements and extraordinary redemption rights are contractual conditions that can be negotiated on a case-by-case basis. If the customer's demands are largely accommodated by adjusting the product's design, this may be a crucial aspect when the customer decides for or against a specific bank. However, the earnings requirements of the bank also need to be safeguarded. zeb.control.financial creates the transparency necessary for defining customer-specific, risk-adjusted terms and conditions. The condition tables can be processed and presented with the help of Excel.