HSBC has signed an enterprise deal with Experian, a global information services company, to integrate the bank’s access to external data sources around the world and achieve global standardization around risk management processes.
Starting in Asia, HSBC will use Experian’s Connect+ data integration software to enable access, consolidation and aggregation of data from multiple sources, including credit bureaux, and other third party data providers.
Experian claimed that the service is currently supporting HSBC’s personal financial services business in Malaysia with rollout planned for three more countries in Asia. Following a successful rollout in Asia, the software will then be available to support HSBC operations in specific regions around the world.
According to the Experian, data feeds, which can differ widely from country-to-country, are made available in a standard format for consideration within implementations of its strategy management decision software that already in use at HSBC. This allows consistent decisioning models to be used across different countries.
The common interface created by Connect+ will enable HSBC to further standardize its third party data access around the world. As a result, when HSBC requires external data when making decisions, Connect+ will be used in determining and accessing the most relevant sources of credit information. Connect+ will then gather the data, aggregate it into a consistent format and return it to HSBC.
Through Experian’s data and analytics, HSBC is expected to be able to deploy enhanced decision systems into new markets, while providing support for cross-border lending by enabling relevant data, where permitted, to be used to support decision making.
Chris Hawkes, global head of retail credit risk at HSBC, said: “Experian is a key strategic partner for HSBC. Its innovative data and analytics are important components of our One HSBC initiative. This initiative is helping us to achieve global standardization around our risk management processes, obtain greater efficiencies and improve the customer experience we are able to offer.
“Through working with Experian, HSBC can continue to reduce the barriers to entering new markets, furthering our global reach and our position as one of the world’s leading banks in emerging markets.”
Gary Wood, MD in UK & Ireland at Experian Decision Analytics, said: “Experian’s partnership with HSBC is helping the bank to develop its global banking system. The implementation of Connect+ will enable greater standardization of HSBC’s third party data sources, while ensuring it is able to consider the most appropriate local data sources for each location.”