FINspeak

I believe that a multi-faceted approach is required. One that focuses on short-term improvements without undertaking the mega transformational programs with shaky track records.  A practical approach to solving this dilemma starts with a vision for the future. A roadmap for change. However, this future vision of process efficiency and customer delight doesn't need to be "big bang" in nature. Rather, it needs to be surgical in its approach. The low hanging fruit will most likely come from operational consolidation and streamlining of like functions usually spread out across the organization. Business-led innovation before technology change. Once a target operating model has been established, lenders should look for incremental improvements to their technology infrastructure. Improvements that can be made without ripping out every system already in place (and/or those with a huge capital investment just made). A "hollow-out" strategy if you will.  Look for excessively manual processes that can be automated via business process management, rules engines, and imaging. Think automation, eMortgages and "lights out" processing.  However, make sure that your plan incorporates quick-wins that can gain organizational buy-in and momentum. Design and implement in waves, with each wave building upon the other.

With a sound business and technology roadmap in place, you can solve the lenders dilemma. And as a result, you can be positioned ahead of the pack when mortgage lending volumes rebound as the economy recovers.