Process Day 2011

1. 11:00-11:30
Architecting BPM
Through a Center of
Excellence at Wells
Fargo Bank
Paul Tazbaz, Enterprise
Architect, Wells Fargo,
California, USA
Building & Managing a Successful BPM
CoE

2. Architecting BPM Through a
Center of Excellence at Wells Fargo Bank
Process Days Conference
July 28th, 2010
Paul Tazbaz, Enterprise Architecture

3. Agenda
Background & Value Proposition
Organizational Structure
Roadmap & Current Activity
Best Practices & Lessons Learned
Questions
8/9/2010

4. Wells Fargo – The Company
8/9/2010
Diversified financial services company with 1.3 Trillion in assets
Banking, insurance, investments, mortgage and consumer finance
Decentralized organization with over 80+ lines of business serving
customers in all 50 states

5. Enterprise Architecture
8/9/2010
Head of TOG
Enterprise Hosting
Mainframe/Midrange
Enterprise Strategy
Risk/Security &
Network/Desktop
Customer Service
& Operations
Enterprise Architecture
Technology Operations Group
(TOG) managed by Avid Modjtabai
TOG touches more customers than
any other group in Wells Fargo…
We touch them every time they
transact business online, at the ATM,
by telephone, or in a store—more than
8 billion times a year
We impact them through availability
and security
We touch them indirectly through our
business partners who deliver value-
added products and services
5

6. Background of BPM Program at Wells Fargo
EA sponsors current state
analysis of BPM at WFC
Goal: Knowledge Sharing,
Collaboration, Awareness
Focus Areas: People,
Process, Technology
Initial Participation: Multiple LOB
Initial findings
published in whitepaper
10+ LOB focused on
BPM in siloed efforts
20+ technology
products in use
Results presented to senior management
Based on diversity findings, surveyed interest among LOB
in forming working group to support cross collaboration
Drive cost reduction and improve efficiencies in
managing processes
Establish best practices, standards, technology re-use, target
architecture and roadmap
Architect BPM for Sustainability
COE kickoff
1Q07 2Q07 3Q07 4Q07 1Q08 2Q10
Current Accomplishments
Membership: 45 LOB, 300+ members
28 business line presentations
Showcasing cost saves upwards of $30myr
30+ business lines have adopted BPM
standards and products promoted by EA
$1M+ in savings from re-use
75+ hands-on consultations for business lines
Centralized BPM training program established
400+ team members completed a class
$450K+ in savings versus external providers
5 new BPM programs entrenched in business units
Formation of sister group focused on BRM

7. Partnership with Business & IT Practitioners
BPM
Center of
Excellence
Other Business Lines
Enterprise Processes
ITRetail Banking
Lending
Wholesale
Wealth Management
8/9/2010
Organic Growth Strategy
vs.
Ivory Tower Mandate

8. Consensus Driven Roadmap
2010 & Beyond
Current State Baseline
•Analyze current state of BPM including skill sets, methodologies
analysis techniques, process portfolios and core technology
•Identify re-use opportunities from current state analysis
•Identify best practicesstandards at WFC and make them repeatable
Tactical Triage on Projects
•Provide guidance on BPM to project teams
•Leverage current state and best practice insights to
guide re-use of skill sets, analysis techniques,
technologies and subject matter expertise
Target State & Enterprise Roadmap
•Identify gaps between current state capability and target state needs
•Develop target state inclusive of people, process, and technology standards
•Develop roadmap and program plan for achieving target state capabilities
Reconcile tactical
guidance (if
different from
target state)
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9. Marketing BPM Value Contribution through
Knowledge Sharing, Consulting & Governance
Case studies of the People, Process & Technology needed to make BPM
projects a success
28 Business line presentations completed from 2008-2010
40-80 BusinessIT stakeholders in attendance per session
Best Practice - Common templates used to drive common understanding
and target recommendations
9
How are groups organized
to address BPM? What
are their skillsets?
What are the various
approaches and artifacts
used to implement BPM?
What are the core BPM
technologies involved?
People Process Technology
Architecting BPM as a
Sustainable Capability

10. Business Process Dependencies –
SOA Example
8/9/2010
10
Process to Service Matrix
Operating Models and Service Re-use

11. Credit Risk Management
Monitoring, Control and Customer Insight
Case Studies, Case Studies, Case Studies!
Value Chain Contribution to Wells Fargo
Product
Management
Sales Verification Origination Servicing Collection
& Closures
Retailer Dealer Setup Process
• Business Problem: Needed to simplify process for dealers to do doing financing through
Wells Fargo. 100 dealer applications received each week,142 steps required to set up.
• Solution: Lean event streamlined the process. Solution team developed workflow automation.
• Business Results: Process for dealer set up went from three weeks to one day.
Monitoring the Disposition of Non-Real Estate Loan Applications
• Business Problem: Driven by ECOA/Regulation B, needed to ensure 200,000+ non-real
estate applications were dispositioned in a consistent and timely manner
• Solution: Lean event and workflow automation solution to simplify process.
• Business Results: Projection was 10 FTE, only 2-3 needed. Cost saving of 350-400k annually.
8/9/2010

12. Credit Risk Management
Monitoring, Control and Customer Insight
Value Chain Contribution to Wells Fargo
Sales Verification Origination Servicing Collection
& Closures
Check Order Process
• Business Problem: 2,000 check orders missing the 5 day SLA,
along with missing data.
• Solution: Process monitoring solution implemented to provide real
time visibility into check orders
• Business Benefits: 99.75% improvement in SLA.
8/9/2010
Case Studies (cont’d)
Name, Title & Address Change Process
• Business Problem: Customer accounts did not receive
updates for over one year.
• BPM Solution: Process monitoring solution
• Business Benefits: Process monitoring identified the
issue/resolution, resulting in cost avoidance of 4000-
5000 service requests going unfulfilled annually.
Product
Management
Sales

13. Additional COE Best Practices
BPM product demonstrations from each LOB
Commercial and Open Source
Market analysis from research firms such as Gartner, Forrester
People, Process, and Technology Case Studies from Industry
Common communication and social networking via BPM portal
Shared Documentation, Calendar of Events, Surveys
Real-time Alerts, Group Discussion, Links,
Membership Roster, Product Catalog and Expert Listing
Frequent communication at all levels of the enterprise. Build adoption
from both the bottom up and top down
Avoid theoretical discussion and focus on providing guidance that is
directly actionable in a business unit.
Lead by example. Business lines are much more willing to adopt new
disciplines if they have a true partner that can lead the way
8/9/2010
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14. Top Action Items for Starting a COE
8/9/2010
14
1. Partner with business lines looked upon as thought leaders within the
company
Accelerates momentum and awareness
2. Act as the facilitator and not the owner. Build the forum and framework
for communication that ultimately enables the community to drive
towards adoption
Facilitate the knowledge transfer that empowers the business to do
the “heavy lifting”
3. Identify internal success stories that can be shared. They are much
more impactful than generic case studies, especially if the internal
business line is looked upon as a thought leader in the company
4. Look for change events to accelerate adoption of business process
management disciplines and technologies
Merger with Wachovia, Legacy system migration, other

15. Questions & Contact Info
For more information, contact:
Paul Tazbaz
Enterprise Architecture
415-652-4159
paul.tazbaz@wellsfargo.com
© 2009 Wells Fargo Bank, N.A. All rights reserved.
8/9/2010