Strategic Review identifying £17 million of potential improvements in recoveries for a global bank
Debt advisory and consultancy case study
The client
UK arm of a major global bank
Situation
The deteriorating economic environment was impacting customers’ ability to repay their debts, so the client wanted to be more efficient and effective in recoveries.
The project
The TDX Group Advisory team conducted a Strategic Review, spending eight weeks reviewing the bank’s late stage collections and recoveries business. By using the TDX Group Excellence Model – a proven, structured methodological framework – to benchmark debt strategy and operational capability, TDX Group was able to identify gaps and improvement opportunities.
The review included a detailed analysis of the bank’s recoveries accounts in order to understand existing liquidation performance, and how this could be improved through changes to their debt strategy and operations.
TDX Group solution
A Strategic Review of the client’s recoveries capabilities to identify recommendations for debt collection and late recoveries strategy improvements.
Results
TDX Group identified a series of opportunities to optimise performance, including
- Over £4 million of incremental recoveries through short-term activity and process changes.
- £13 million of improvements over medium-term enhancements.
TDX Group provided an implementation road map detailing the key steps the bank needed to take in order to realise these opportunities
The bank used TDX Group’s recommendations to prioritise and focus their senior management strategic plan on the opportunities identified.
Client feedback
"We engaged TDX Group to undertake a review of our collections and recoveries strategy and operation incorporating a detailed portfolio analysis. We were delighted with the output of the review. They identified a series of substantial opportunities for us to optimise our portfolio management and we are working closely with them to help realise these. I would have no hesitation in recommending TDX Group to other leading banks." - Head of Credit Risk
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