bajaj finance case study, from a different source from google (dataquest case book)

[hrao s]

Bajaj Auto Finance is an asset finance company, dealing in the financing of consumer durables, personal computers, personal  and small business loans, loans against property and loans against shares. 

In the consumer finance business, customers can choose to pay by either cash, credit card or by loan instalments. Credit card repeatedly wins out against loans because of the hassle of loan approval.

Bajaj Finance wanted to introduce a set of procedures and a system to make loan approval instant and appealing. Bajaj moved its consumables financing and cross sell divisions onto Salesforce.com, extending the functionality of cloud based CRM to 300 employees across 50+ Indian cities.

To Drive Loans Among the reasons for moving to a single platform CRM was to achieve a greater ability to drive the loan product in the stores. The solution had to have unlimited scalability for end-to-end new loan underwriting and to cross sell multiple products on existing customer database. Also, Bajaj wanted to build campaign management systems for targeting  customers with a good payment record and extending the personal loan offers available to them.

Back office functions were also up for review. These typically involved identifying

1.5 mn eligible customers from a database of 6 mn and then managing them through the sales cycle.

Bajaj had been relying upon a home grown CRM, Microsoft Access and Excel spreadsheets, which proved painful, difficult to scale and lacked accuracy.

Deploying CRM

“Wipro partnered with Salesforce.com right from the start and demonstrated to us their deep understanding of our critical business  needs. Wipro also ensured that the complex requirements were implemented with great agility and in a way that is relatively easy for us to maintain and change as our  business needs change,” says Jay Krishnan, Head of CRM, Bajaj Auto Finance.

Wipro delivered the Salesforce CRM for 300 users in April 2009 and Bajaj set about using the system’s intuitive customisation  toolset to bring all of the division’s major processes online with the integration of call centre application dialer, internal dedupe system, Credit Bureau, and corporate mobile services (for SMS notification functionality) and more recently GoogleMaps.

Wipro delivered the project from concept to solution build within just three months.

Benefits

The facility for sending out SMSs directly from salesforce.com to dealers to communicate loan approval has had a significant Loan approval timelines down to 4 minutes

Robust system that can handle high loan activity in holiday seasons

166% increase in business volume at the counter in a quarter

Improved cross-selling

Results

impact on loan turnaround times, slashing them down to around four minutes! Wipro’s technical expertise ensured this benefit was realized with ease.

Prior to implementation loan applications stood at around 1,500 per day. However, the holiday season immediately following the deployment of Salesforce CRM showed a peak of 8,500 in a single day!

“We are talking about one transaction taking place roughly every four seconds – it is a testimony to the system’s robustness,” says Krishnan.

Wipro’s Salesforce CRM implementation has also provided Bajaj with a critical competitive advantage through supporting the roll out of Dealer Terminalisation, an industry first. Bajaj Finance saw a 166% increase in business volume at the counter, 100% decision accuracy achieved within

Underwriting and a cross-sell conversion rates up 66% from Q1 to Q2 after the implementation of Salesforce CRM.