Call for change

The North American mortgage market was growing at unprecedented rates and companies found it hard to keep up with market demands. The leaders of one North American mortgage lender saw this as an opportunity to grow their market share and become a leading lender.

Their philosophy was that rising to challenges – whether they succeeded or failed – would ultimately lead to increased market share and market leadership.

Achieving this ambitious goal wouldn’t be easy. It required the company to rethink its processes, create new ways of working, operate much more efficiently, and generate insights to better serve its customers.

In short, the company needed to reimagine its operations—particularly in the areas of staffing acquisition, development and retention.

The lender needed to rethink its processes, create new ways of working, operate much more efficiently, and generate insights to better serve its customers.

When tech meets human ingenuity

The team used SynOps, Accenture’s human + machine platform, to create a data-driven operating model that connects intelligent technologies, talent, and data and analytics to provide real-time, actionable insights.

Over 50 automations to improve underwriting quality and productivity were quickly deployed. They transitioned loan originations to a new platform that leveraged optical character recognition, workflow automation and a rules engine to streamline the pre-purchase review of correspondent and broker loans. And they developed a closed-loop continuous improvement system—along with a rigorous quality assurance process—to increase underwriting efficiency and effectiveness.

The correspondent lending channel was the first business line transitioned to Accenture—and the first functional area the mortgage company had ever outsourced. Together, the team developed an agile workforce, new operational policies and governance models geared to maximize quality, productivity and data security.

These successes allowed the mortgage lender to see first-hand the value of having a trusted business service provider manage critical elements of its lending processes.

The lender was confident that Accenture could replicate this success in the wholesale channel as well as underwriting for conventional loans and pre-funding and post-close quality assurance for all channels.

More importantly, the new service arrangement called for Accenture to build truly intelligent mortgage operations that brought together the power of data, intelligent technologies, and talent to ensure long-term business sustainability, high-quality services, and an accelerated innovation agenda.

Access to real-time data insights and analytics helped the lender make more informed decisions. For example, using these new analytics, a lender partner optimization model was created by assessing each of the company’s lending partners and presenting performance-related insights to decision-makers in an easy-to-use dashboard.

The model quickly showed how each partner contributed to the company’s profitability.

Looking towards the future, the team is exploring advanced analytical predictive modeling in the areas of lender partner price sensitivity, borrower behaviors and loan loss reserves.

A valuable difference

The mortgage company’s decision to team with Accenture paid off. Its market share has nearly tripled, and its number of channel lending partners has climbed from 50 to 750. Each partner is now benchmarked on risk and profitability.

The company’s remarkable growth is due to many factors, including moving to a data-driven, operating model that delivers better, faster, and more efficient service.

With its move to intelligent operations, this company has distinguished itself among customers and lenders and is positioned to retain its enviable market position for many years to come.

180%

increase in market share growth.

5X

increase in the company’s monthly funding capacity—from US$400M to $1.8B.

$60M

savings in underwriting and documentation cost.

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