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Providian Trust Case

In: Business and Management

Submitted By bapankundu
Words 986
Pages 4
HULT International Business School
Module C Information technology management
Professor: Jim Slusser


Fenway Cohort

Kamanasish Kundu

1. Business Context/Key Business Drivers * In 1994, Providian Trust, the tenth largest provider of financial and fiduciary services, slowly slipped away from profitability and competition due to the lack of efficient business processes and information technology. * The company was headquartered in New York and had three divisions Pension and Institutional Trust Services (PITS), Personal Trust and Trust Operations with a network of 216 branches. * To address the problems that Providian Trust were facing, Michael LeBlanc, the Senior Vice President of Trust, Investment and Treasury, took the initiative to lead the project aimed at not only implementing new technology but also reengineering Providian Trust’s business processes by implementing a major software system, Access plus, developed by Select One. The project, supposed to last for 20 months, cost $18 million, was finally approved by board members in April, 1994. * The key driver behind the above initiative was intense client demand on the part of PITS division, lack of control and discipline in the trust division, lack of operation efficiency and outdated reporting system. 2. Initiative Objectives/Benefits * Decrease the cycle time and improve operation efficiency. As stated in the case, the clients often had to wait for 2 to 3 months to get a statement and finally due to late or inaccurate statements, Providian Trust had to waive or discount fees, which cost the company annually $2 million to $5 million. * Increase control and discipline in the trust division.…...

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