0. The Banking RFP Process
A Perspective from a Financial Institution
July 20, 2016
Daniel Behanna
Senior Vice President Market Manager | Eastern Carolina | Treasury Management
301 Fayetteville Street, Suite 2100
Raleigh, NC 27601
The PNC Financial Services Group
(919) (office)
(412) (mobile) *

1. Why issue an RFP? State or local requirement Board Mandated
Change in internal systems or processes
Unhappy with current Banking Relationship
Evaluate Current technology
Pricing
“I caution companies not to go into an RFP process just to save money,” Lynn said. “It may happen, but I’m not sure that I would advise clients to change banks based on cost alone. The bigger savings may be the reduction in the company’s own operating costs. Be honest up front with your bank about what it takes to get your business. The lowest cost may not be the most important factor.”
Bruce Lynn, CTP, managing partner at The Financial Executives Consulting Group LLC,

2. RFP Considerations Be Clear about Objectives Ask the right questions
What’s your target?
Communicate
Create a timeline
Ask the right questions
Review Analysis Statements and to ensure current processes are addressed
Compare apples to apples
Share your timeline
Focus on Service
Conduct One on One interviews
Have decision makers sit in on final presentations
Don’t conduct in-person interviews back-to-back
AFP How to Conduct a Successful RFP for Banking Services

3. RFP Considerations Use the RFP to review internal processes
Review all paper based and manual processes
Review your full Payables and Receivables process
Ask the respondents for best practices
Explain your current processes and ask for best in class solutions
Use the RFP process to ensure you are utilizing the best products effectively
Ensure you are upgrading services as well as reducing costs
Reduce hard dollar costs
Reduce costs from process improvement

4. After the Selection Kick off Call with selected provider
Summarize needs from RFP
Identify the needs and timing of IT Resources
Develop preliminary project plan based on Client’s requirements
Provider will review implementation documentation
Implementation
Meet personally with the banks to discuss strategy – Be open
Document and agree upon implementation plan
Utilize Solid Project Management
Assign a point person

5. Lesson’s Learned Who are you Paying? Who is Paying you?
Export all that is available from current Bank
ACH templates
Wire templates
Who is Paying you?
New lockbox address for invoices
Look at accounts for payments received electronically
Communicate new payment instructions to all payers

6. Lesson’s Learned Training & Implementation
Review all products and services implemented with trainer
Provide available dates for training
Communicate expectations for training. In person or webinars
After implementation, schedule touch base calls
Understand your support team
Regular relationship reviews
Promotes discussions of unrealized needs
New Product availability
Addresses open issues and problem resolution
“While the process of conducting an RFP from start to finish can take 3-4 months, the real work often begins with implementation”
AFP How to Conduct a Successful RFP for Banking Services