Technology and Operations / Operations

Operations

BCG Expand benchmarks operations efficiency, cost drivers, resourcing models, and business performance to unlock productivity, rationalise operating models, and drive end-to-end operational excellence.

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The Challenge

  • ✔Excessive Run-the-Bank expenditure and manual processes limit profitability and slow transformation
  • ✔High duplication across front-, middle-, and back-office processes inflates operational cost
  • ✔Limited transparency of total cost of ownership (TCO) obscures true cost drivers
  • ✔Inefficient workflows and manual interventions result in higher error rates and operational losses

How we can help

Cost Diagnostics

We conduct full cost analysis by business line, subfunction, and cost driver to identify structural inefficiencies and prioritise actionable cost-reduction opportunities. We benchmark STP rates, manual interventions, error rates, unmatched confirmations, and operational losses to identify workflow bottlenecks and automation opportunities.

Process Efficiency Benchmarking

We benchmark Run-the-Bank versus Change-the-Bank spend to identify automation opportunities and streamline operational complexity.

Front-to-Back Process Optimisation

We review end-to-end processes across front, middle, and back office to eliminate duplication, streamline handoffs, and reduce the overall cost-to-serve.

Client success stories

$500M+ operations cost savings uncovered through peer-scaled benchmarking and process simplification.
20% Productivity uplift achieved by redesigning operations structures to improve workflow efficiency and team effectiveness
~5pp improvement in cost-to-income ratio (CIR) through elimination of duplication and improved process control.
1-5 management layers removed streamlining operating models and eliminating duplication across front-to-back functions

Case Studies

Regional Universal Bank

Benchmarking revealed ~$250m in addressable operations-cost savings and a 5-point CIR improvement, forming the foundation for an enterprise-wide efficiency programme.

Global Universal Bank

The bank streamlined front-to-back processes based on benchmarking insights, improving workflow visibility and enhancing operational control across global service lines.

Tier 1 Investment Bank

Doubled Operations IT investment into its CIB platform after benchmarking revealed project spend had peers for several years, accelerating delivery of automation and system-integration upgrades

The Challenge

  • ✔ Inefficient resourcing models, including heavy contractor reliance, inflate costs and reduce agility
  • ✔Weak location leverage and unbalanced workforce distribution limit scalability and cost competitiveness

How we can help

Workforce Benchmarking

We analyse location strategy, contract type, seniority mix, and cost-per-head to identify scalable, balanced, and cost-effective operating-model options.

Organisational Design Review

We assess spans and layers, governance structures, and role alignment to remove duplication, improve accountability, and strengthen operational resilience.

Sourcing & Vendor Mix Optimisation

We evaluate internal vs outsourced delivery models and contractor dependency to reduce cost, mitigate risk, and enhance operational agility.

Client success stories

300+ roles reallocated to optimal locations after benchmarking exposed cost-per-head gaps and footprint inefficiencies
150 FTE plans re-sequenced following peer analysis that helped right-size operations teams more effectively
500+ external contractor positions reviewed through a resourcing strategy assessment that identified dependency risk and guided the shift toward a more sustainable internal model
250 operations roles rebased by location using benchmarked cost-per-head and productivity profiles to optimise onshore, near-shore, and offshore resourcing mix

Case Studies

International Banking Group

Adjusted location strategies for client-services functions to align with benchmark ratios, achieving multi-million-dollar savings and optimising near-shore versus offshore balance

Regional Financial Services Provider

Following benchmarking of organisational structure and workload distribution, the firm realigned more than 120 operations roles across front-, middle-, and back-office teams. This addressed material capacity mismatches, reduced duplication, and enabled more consistent, higher-quality service delivery across critical processes.

“The granularity to which BCG Expand’s analysis goes, particularly for the functional breakdowns, is by far more useful than any benchmarking I’ve come across. For executives, it’s all about the trend—and the fact that it aligns with our reality makes it extremely valuable. There is great value in what you guys do.”

Director Canadian Bank

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