2. Summary of the case Advantages and disadvantages of implementing a strong Internet presence versus a fine-grained network of physical branches? Can Nykredit replace their heterogeneous IT with a dedicated ERP system? What are the key requirements and technologies for building the new IT infrastructure at Nykredit? How can tracking the company’s web site be used by Nykredit to get new insights on customer behavior?

3. Summary of the case

4. Business Areas Nykredit A/S(2001) Real estate investor company Nykredit Ejendomme A/S Real estate broker chain Nykredit Mægler A/S Retail Bank Nykredit Bank A/S Insurance Company Nykredit Østifterne Forsikring A/S

5. Summary of the case Objective Nykredit Group was to become an internationally competitive Danish financial institution by virtue of qualified employees, up-to-date services, an extensive product range and innovative distribution channels.

6. Summary of the case Situation Nykredit strategy (2001) How to distribute services? Which channels to communicate with customers? Increase Call center activity + stronger web presence? Open up more fhysical offices (Did already have 48 offices)

7. Summary of the case Choice of channels to communicate with customers Real estate agents 48 offices Increase Call center activity + stronger web presence Cross functional sales support (The insurance salesman can provide support for traditional bank products)

8. Summary of the case Challenges A change in the information systems (excisting systems designed to service one specific function) - Would the Nykredit Data Center be able to build the needed IT- infrastructure. Customer relations (customer needs to be treated equally well, independent of channel) Corporate culture (customer might also need insurance, a loan etc. Not only think of customers as mortgage customer) New organizational structure ( Customers no longer the property of one specific regional office)

9. Advantages and disadvantages of implementing a strong Internet presence versus a fine-grained network of physical branches?

10. Advantages Increased effectiveness Better costumer service Flexibility Segmentation Personalized experience

11. Advantages and disadvantages of implementing a strong Internet presence versus a fine-grained network of physical branches? Disadvantages Industry customers demand high level of trust High starting costs

12. Advantages and disadvantages of implementing a strong Internet presence versus a fine-grained network of physical branches? Management challenges Integration of technological development and business development Project management plan Prioritizing projects Timely development of prioritized projects Managing of IT infrastructure

13. Can Nykredit replace their heterogeneous IT with a dedicated ERP system?

14. Nykredit’s situation: 1.Distributed infrastructure 2.Many legacy systems designed for and optimized to support a totally different business than the present 3.Few developers and more are hard to find due to the old technology used 4.Small size banking and insurance but large mortgage-loan department 5.Difficult to establish a unified IT platform that offers consistency

15. Can Nykredit replace their heterogeneous IT with a dedicated ERP system? ERP (Enterprise Resource Planning) Systems Advantages Integration Better Overview Reduced Operating Costs Coherent work-flow between departments Module based system Secure Disadvantages Startup costs Time of deployment Data Migration Long ROI

16. Can Nykredit replace their heterogeneous IT with a dedicated ERP system? What did similar companies do in this situation? DanskeBank: implemented a full SAP & ERP system in 2008 ING: same history, global company - ERP + SAP solution from IBM in 2011 Standard Bank South Africa: mainly the same history, dreams of becoming global – ERP + SAP solution started in 2004 Deutsche Postbank: “Posterboy” for ERP and SAP since 2003

17. What are the key requirements and technologies for building the new IT infrastructure at Nykredit?

18. Multi channel structure Overview of customer engagement across all channels(customer profile) Seamless and personalized customer experience All services available trough one channel The ITI should contend with the existing ITI

19. What are the key requirements and technologies for building the new IT infrastructure at Nykredit? Multi channel structure Overview of customer engagement across all channels(customer profile) Seamless and personalized customer experience All services available trough one channel

20. What are the key requirements and technologies for building the new IT infrastructure at Nykredit? The ITI should contend with the existing ITI Multi channel support

21. How can tracking the company’s web site be used by Nykredit to get new insights on customer behavior?

22. First of all, the website:

23. How can tracking the company’s web site be used by Nykredit to get new insights on customer behavior? Google Analytics + Userflow: Attention Heatmaps:

24. How can tracking the company’s web site be used by Nykredit to get new insights on customer behavior? Heatmaps:Real tracking:

25. How can tracking the company’s web site be used by Nykredit to get new insights on customer behavior?

26. Thank you!