KBC Bank & Insurance Group

Increased Revenue Due to Faster Rollout of New Services

Brussels-based KBC Bank & Insurance Group is currently one of the top three banks and insurance companies in Belgium. By focusing its international expansion on Central and Eastern Europe, it has built up a leading position in the second home market. KBC employs some 45,000 people and has 10 million customers in 30 countries.

Customer Challenges

Provide tailored products and real-time responses to customers
Implement best-of-breed applications in each area
Ensure that new applications work with each other and with legacy applications

Solution

Using a solution based on Sun SeeBeyond eGate Integrator, a component of the Java Composite Application Platform Suite (CAPS), KBC was the first bank in Belgium to deploy real-time integration with Euronext clearing settlement systems. Seamless integration of front- and back-end processes is crucial to the success of the company's Internet banking service, amongst others. Faster integration also means reduced development times for new services, which translates into increased revenues because services can be offered to customers more quickly. Development costs are substantially reduced, as are costs associated with maintaining the infrastructure.

Business Results

Increased revenue due to faster roll-out of new products and services
Substantially reduced maintenance and development costs due to flexible integration capabilities
System handles 80,000 to 200,000 transactions daily

Products and Services

Story Details

The KBC best-of-breed approach introduces its own challenges. However sophisticated the functionality of an individual application, it is of little value to the bank unless it can be integrated with existing infrastructure. To ensure that new applications work seamlessly with each other, KBC had to find a reliable, scalable, secure integration platform. An immediate catalyst for the integration project was KBC’s decision to move to a new loan management application, LoanIQ. Having invited proposals for an enterprise application integration (EAI) solution, it carried out a detailed evaluation and pilot project involving two vendors.

At the end of this process, KBC chose a component of Java CAPS, eGate Integrator. "Sun SeeBeyond offered the best technology, the best support, and the most professional attitude," said Bart Vanhaeren, senior systems integrator in KBC’s EAI Competence Center. "eGate Integrator was also the most elegant solution in the sense that integration scenarios could be established with less effort and a cleaner design."

In conjunction with the implementation, KBC introduced the network data model (NDM) as a paradigm for information exchange. This model facilitated a longer-term approach to integration, with additional functionality from the outset to support possible future needs. To date, KBC has integrated commercial applications such as SAP, LoanIQ, Murex, and Siebel, as well as existing legacy applications running on its IBM mainframe. Business-to-business (B2B) integration has been achieved with external partners, including the National Bank of Belgium, for reporting and accessing centralized data, and the Euronext stock exchange for settlement of securities transactions.

" As we develop real-time services for our customers, the fact that we can integrate applications quickly and easily is one of our crucial success factors. Thanks to Sun SeeBeyond, we don’t hesitate to tackle even the most complex integrations. "

— Bart Vanhaeren, Senior Systems Integrator, EAI Competence Center, KBC Bank & Insurance Group

Thanks to eGate Integrator, KBC is now able to maintain a more complex application architecture, with centralized operational data on the one hand, and a variety of individual databases on the other. According to Vanhaeren, eGate Integrator enables KBC to pursue its business vision by implementing the best applications on the market. Even the most complex technical integrations can be achieved quickly and efficiently, as with LoanIQ. "IT is no longer an obstacle to the company’s business goals. The ease or difficulty of integration is not an important criterion when it comes to choosing applications. We have the right tools and we know we can do the job," Vanhaeren explained. This approach translates into faster, better customer service.

Having invested in developing knowledge and experience around eGate Integrator, KBC is in a position to integrate future applications smoothly and efficiently. More specifically, Vanhaeren expects to see Web services playing an increasingly important role. "I am sure that we will see more and more business processes being built around Web services," he commented. "Our partnership with Sun SeeBeyond – which has a very clear Web services vision – gives me confidence that we will be able to take advantage of any new developments. As an integration specialist, I have seen lots of integration tools and I can vouch for the reliability and stability of the Java CAPS platform. Technically speaking, eGate Integrator is a very strong product, while Sun SeeBeyond support staff are highly knowledgeable and responsive."

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