To the main content

Getting started with Client Lifecycle Management

After the initial adaption to AML, KYC and CTF regulations, banks and financial institutions are now looking for ways to make compliance a competitive advantage rather than a simple must-do to avoid fines. For way too long, AML, KYC and CTF compliance and risk management has been a part of organizational routines, separated from the core business. The investments you make to adapt to ever-changing regulations are now what can possibly differentiate you from your competition. How? Client Lifecycle Management.

What is Client Lifecycle Management?

Client Lifecycle Management (CLM) is the process of making compliance a part of your core business, customers service and sales. Stricter regulations and escalating client demands have made it harder to stay on top of each individuals’ needs. Through automation and user-centric processes, compliance-related tasks will give you the data and overview you need to really get to know you clients. Not only to comply to AML, KYC and CTF regulations, but also to provide clients with the services they need the most.

Financial services are a critical part of everyone’s daily life and the need for systems that provide financial institutions with both regulatory control and client overview is growing. Client Lifecycle Management solutions are a combination of a compliance system and a CRM system, and can easily integrate with your existing solutions to make life easier for you, and user-friendly for your clients.

Beyond AML and KYC

A CLM solution inhabits all the compliance functionalities that you need as financial institution to stay compliant. Onboardings and origination, secure signing, AML/ KYC checks and ongoing due diligence are the basic elements of both a compliance solution and a CLM solution. What differentiates the two is CLM’s focus on using the information you acquire about your clients to better adapt to their financial needs. This creates a cooperation between compliance employees and the sales department, which will provide value during up-selling and cross-selling. Using a CLM solution over time will give you insight to what your target group needs at different stages, ages and situations, creating possibilities for accurate measures for marketing and sales.

Quesnay CLM solution - infographic.jpgTop 5 functionalities in a CLM solution

An effective CLM solution consist of several features, here are some of the most important.

Automation:
As your client base is growing and client needs are escalating, automation is vital in order to gain complete control. Through workflows which pick up the information you need to stay on top of AML and KYC regulations, as well as changes in a client’s financial preferences, you don’t need to manually manage each client relationship.

Client portal:
A portal with a complete client overview for each individual, or business, is important to really understand your clients’ needs and how they are changing. With all necessary information in one place, you’ll be able to track changes in the client’s behavior and discover new needs. This while staying on top of relevant compliance tasks related to a person or business.

Integrations:
A flexible solution easily integrated with your existing systems is a must when choosing a Client Lifecycle Management provider. Seamless connections to data providers, official records, media screenings and CRM are crucial to get the information you need, when you need it.

Access rights:
Compliance for banks and financial institutions does not only include KYC, AML, CTF and MiFID II. GDPR compliance is equally important when dealing with sensitive and personal information. Different access rights for your employees and coworkers makes sure the right people have access to the right information.

Alerts:
A feature that notifies you about changes and possibilities for each client or business eliminates many time-consuming tasks. With an alert monitor, you are able to track the change and narrow down which situation has led to a change in the client’s information.

 

Want to know more?

Check out our CLM solution to get a better understanding of how we do Client Lifecycle Management or book a demo straight away!