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Benchmarking

Fairbanking is a registered charity dedicated to encouraging and helping retail banks, building societies, credit unions, and similar institutions to improve the financial well-being of their customers. The 2016 Fairbanking Ratings Report will include its fourth industry wide survey assessing how well institution's financial products serve their customers. The previous 2013 survey assessed responses from 55 institutions, including five out of the top six UK retail banks and building societies, and generated considerable favourable publicity on publication.
fairbanking
To ensure all the features of their products are considered, financial institutions are invited to contribute to the rating process by filling out the relevant product questionnaires. The report will list contributing institutions; but it will highlight individual institutions only in the context of positive features or initiatives. The product's of non-contributing institutions will be assessed using publicly available information.


2016 Fairbanking Product Questionnaires

The not-for-profit sector is struggling to cope with steep rises in insurance costs in recent years. Z/Yen Limited, the UK's leading risk/reward management firm have recently completed a major benchmarking study to help the sector understand the current state of insurance, including an in-depth analysis of insurance costs, claims, restrictions and options. More than 100 organisations, covering the breadth of the UK not-for-profit sector contributed their insurance details and obtained in return a full picture of insurance in the sector and how their costs and returns compare to others.

This insurance information is proving invaluable to participants, enabling them to inform and educate their brokers about the nature of insurance in the sector, and to negotiate more realistic premiums based on market information.

The study has revealed that some so-called "high risk" charities have a huge variation in premiums, with some paying nearly 150% more than others. Clearly this kind of inconsistent pricing could have a major impact on any not-for-profit's bottom line.

Z/Yen are proposing to make this study available on an ongoing basis, allowing charities to compare their insurance costs to their peers, and identify what savings could be made. Charities will be able to increase their negotiating power with their brokers and should benefit from lower premiums. If your existing broker can't help you, then the benchmark will help to identify better performing brokers and better value insurance companies. The survey will be available online and in paper, making it simple to provide you with results in the shortest time possible - helping to reduce pressure on you at insurance renewal time.

If you would like to learn more about this study, please complete the form below and fax it back to Z/Yen - (020) 7628-5751. Alternatively you can express your interest by e-mailing your details to mary_ocallaghan@zyen.com.

Z/Yen Limited, the UK's leading risk/reward management firm, works with many charities on strategic planning, system reviews, value for money studies, interim management roles, financial planning, computer systems implementations, effectiveness reviews, information technology strategies and reserves assessments. Z/Yen helps trustees, executives, staff and volunteers structure the issues they face and make choices that improve performance. Z/Yen have an excellent record of running benchmarking studies in the not-for-profit sector (most recently completing the Charities Consortium IT Director's Group Benchmark 2002/03), as well as in the commercial sector.

Name: _______________________________________

Organisation: ___________________________________

Position:  ________________________________________

E-mail Address:_________________________________

Telephone: _________________________________

 

In the current environment, most organisations are looking at cost and service levels in their support functions.  Of particular interest to many is the Corporate Treasury function which, although small in terms of headcount, is a key driver of the companies P&L.  Additionally, business and accounting requirements are also driving corporate treasuries to re-evaluate their systems support and to assess opportunities for outsourcing.

Central to the process of change is a thorough understanding of an organisation's own costs and key performance indicators (KPIs) and how these costs compare to its peers.  Although there are available figures for the overall cost of a transaction within wholesale financial services, there has been no detailed benchmarking across Corporate Treasuries and, as organisational structures differ widely, management have found it difficult to compare this data to their own costs.

Z/Yen has a long history of innovative work in both the Financial Services and the Corporate Treasury sectors and, in the last 4 years, has run many annual Competitive Cost Comparison (CCC) benchmarking studies covering "back-office & IT costs" over various products & markets.  So far, over 25 major banks have taken part in these studies.

Each of these CCC studies follows a similar methodology whereby representatives from each of the participant organisations are brought together in a series of workshops facilitated by Z/Yen to define scope, standard definitions, data collection templates and report outputs.  At the end of the workshops a deadline is set for data submission.  Following receipt of data, Z/Yen perform a full validity check before reporting.

Z/Yen now propose to initiate a new CCC study into the Corporate Treasury area.  The format of this study will follow that of the "back-office" studies, i.e., to capture cost, headcount & transaction volume data on: ¨ Products traded & processed, e.g., Foreign Exchange, Money Market Loans & Deposits, Debt & Repo and Derivatives; ¨ Activity types, e.g., trade execution & capture, confirmation, settlement and post-settlement activities such as risk and P&L processing and accounting activities.

To ensure confidentiality, each participant is given a unique code name under which all its data is indexed.  Z/Yen, as the independent third party, acts as the repository for the data, collects information from each participant, collates the data into a set of benchmarks and then presents results to each organisation.

In the current environment, banks are looking at cost and service levels in their support functions.  Of particular interest to many banks are the purchasing and accounts payable functions which, in many cases, are being re-engineered and in some cases, relocated or outsourced.  Key also to this analysis is the demand for growing external transparency into costs required by various stakeholders, e.g.  business lines and senior management.

Central to the process of improvement is a thorough understanding of an bank's own costs and how these costs compare to its peers.  Although there are some available figures for the overall cost of a transaction, there has been no detailed benchmarking across Financial Services (FS) and, as purchasing profiles differ widely, management have found it difficult to compare non-FS services data to their own costs.

Z/Yen has a long history of innovative work in the FS sector and, in the last 4 years, has run many annual Competitive Cost Comparison (CCC) benchmarking studies covering "back-office & IT costs" over various products & markets.  So far, over 25 major banks have taken part in these studies.

Each of these CCC studies follows a similar methodology whereby representatives from each of the participant organisations are brought together in a series of workshops facilitated by Z/Yen to define scope, standard definitions, data collection templates and report outputs.  At the end of the workshops a deadline is set for data submission.  Following receipt of data, Z/Yen perform a full validity check before reporting.

Z/Yen now propose to initiate a new CCC study into the purchasing & accounts payable area.  The format of this study will follow that of the "back-office" studies, i.e., to capture cost, headcount & transaction volume data on: 

  • Transaction types, e.g., IT, HR, facilities, marketing & promotion, legal & professional fees. 

  • Activity types, e.g., transaction capture, data enrichment, purchase confirmation, payment, accounting, reporting etc.

To ensure confidentiality, each participant is given a unique code name under which all its data is indexed.  Z/Yen, as the independent third party, acts as the repository for the data, collects information from each participant, collates the data into a set of benchmarks and then presents results to each organisation.