Banking on Linux (page 2 of 2)

"Channel integration could help give us a competitive advantage because we can be more reactive to business demands and cut the cost of implementing and maintaining the system."

Thrown into the mix was an IT infrastructure largely dependent on distributed OS/2-based servers operating everything from credit evaluation to customer relationship management (CRM) applications. The entire system demanded a more streamlined IT environment to better serve the bank's customers as well as boost overall system security and availability. BPM coordinated with IBM Global Services—Business Consulting Services to achieve its goals for a new IT infrastructure to help improve the overall customer experience by implementing a consolidated, integrated and multi-channel banking solution that could accommodate Web-based, phone based and ATM-based transactions while also providing the potential for future growth and innovations.

"We saw IBM as the only global partner that had the depth of skills and expertise—in both processes and technologies—that we needed for such an intensive effort," says Whincup. "IBM's strong support for open technologies like Linux was also key." They also recognized the need to streamline their system to ferret out the redundant processes that had emerged as a result of their distributed server environments and conflicting applications.

The infrastructure upgrade was no small feat, requiring the installation of two zSeries* 990 servers running z/VM as well as Novell SUSE LINUX v.8 partitions. Through z/VM, the bank is able to dynamically shift central processing units (CPUs) and memory to the necessary workloads as well as provide the capability to create virtual server partitions to accommodate new applications in the future. Via Linux, BPM can host a variety of other business-critical applications while realizing a reduced total cost of ownership through savings on software licensing and support.

Leveraging Linux

BPM was able to leverage Linux in a variety of ways. The bank was able to dispose of most of its previous client applications by hosting Lotus Notes and Domino 6.5.1 on Linux, where branch users can now access the company mail server through Lotus Domino Web Access 6.5 clients. Standardizing its branch clients on Linux this way allowed the company to end the need to distribute software and dispose of the costs associated with their previous client maintenance support.

Additionally, thanks to Linux, the bank was also able to reuse some of its existing hardware. With the savings realized on reduced software and licensing, BPM was also able to update its line of desktop systems within its branch offices.

Today the bank now enjoys a single, multi-channel, fully integrated banking solution that's unified on a system anchored by Linux, z/VM, Java 2 Platform, Enterprise Edition (J2EE) and WebSphere, on two zSeries 990 mainframes serving Linux-based clients across its entire 600- branch network. The system provides universal access across its branches and across its multiple transaction channels to the same singular view of the core customer data, all via a Web browser.

As a result of its standardization, integration and IT innovations, the bank is realizing an improvement in its crossselling and up-selling capabilities, which is helping to optimize
its revenue potential while improving its all-important customer loyalty. Additionally, BPM is experiencing a reduction is its TCO and, thanks to reusable hardware components,
it's able to quicken the deployment of new services and look ahead to adding more functionality.

"We look forward to building on our platform by adding Web Services, which will give us the means to expand our revenue opportunities through service partnerships—without
having to build them ourselves," says Whincup. "This is the essence of on demand business, and it wouldn't be possible for us without IBM's vision and guidance."