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Mambu

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How Mambu generates customer value through reduced environmental footprint and cost efficiency

During the pandemic, European financial institutions that maintained a competitive environmental, social, and governance profile saw their shareholder returns outpace their peers by 500 basis points. It’s not surprising then that environmental and financial sustainability (or responsibility) have become two of the top priorities for organisations across the world.

Whether discussing a tier-1 bank or a fintech startup, consumers increasingly value businesses that take a responsible approach to growth.

For decades, legacy technology providers in the financial services industry required their clients’ time and efforts to implement infrastructure that drained significant resources and energy.

Enter cloud native Software-as-a-Service. Cloud-native applications were berthed from the chasm created by legacy providers’ capabilities and growing end-user volume and preferences because they could not maintain growth in a cost and resource-efficient manner.

The advantages of cloud technology in solving environmental and financial sustainability are three-fold:

Reduced footprint

Large organisations that utilise cloud applications can reduce their carbon emissions and thus environmental impact by up to 60%. So what is stopping organisations from migrating?

Reducing an organisation's footprint, especially one utilising legacy technologies, seems like an arduous task. Migrating internal data, while applying a successful risk-management strategy has a history of failure or prolonged timeframes.

Tasked with maintaining the competitiveness of their business, in an ever-changing global environment, executives don’t have time to manage a years-long implementation, but cloud technology can eliminate this hurdle.

Mambu has successfully completed core migration for clients like TymeBank in under six months. Where clients have chosen a speedboat approach, simply augmenting their own core with Mambu’s engine, time to market is even faster.

Historically, 95% or more of Mambu’s implementations are completed within six to twelve months. This gives organisations confidence that an initiative to reduce footprint will in fact be successful.

Mambu works with leading cloud service providers, like AWS, Azure and GCP who all have rigorous environmental footprint reduction plans and targets in place and are transparent with their progress on achieving those. Mambu customers can achieve at least half of carbon emissions reductions compared to on-premise computing equivalents due to renewable energy purchases of our cloud partners and computing optimisation.

Increased efficiency

In the next decade companies will lose roughly $650 billion as a result of system downtime and cybersecurity breaches. This is simply unacceptable for organisations in extremely competitive industries like financial services.

Effective cloud usage can mitigate these losses through improved application development and maintenance (+38%) and infrastructure cost efficiency (+29%). Mambu is multicloud and partners with AWS, Azure and GCP to ensure its clients utilise the latest, most secure and high-performance technology stack available.

What’s more, gone are the days of significant downtime. Mambu’s platform is built on fundamentals of auto-scaling and automatic failover, while performing exhaustive testing to ensure 99.99% uptime.

Reduced cost

Where banks have migrated to second-generation applications they realise a savings of roughly 9% - after four years. Where banks have adopted cloud, observe reduced costs up to 50% - after only 12 months.

Mambu’s client Grameen America saw its loan transaction time cut in half. Through these and other cost savings, their organisation is 60% more financially sustainable than before. This is the rule and not the exception for Mambu clients.

Even more enticing, institutions that move to the cloud can maintain a cost avoidance of 7-12% on a yearly basis. This is due to lower marginal cost growth, greater visibility of spending factors and greater ability to match supply of capacity with demand.

The results of these three factors are significant. While reducing footprint and cost, through increased efficiency organisations both large and small are still able to scale.

N26 utilized Mambu’s technology to scale its end-users from 100,000 to five million in three years. TymeBank scaled from 50,000 customers to 2.5 million in even shorter fashion.

Mambu currently services over 47 million end-users across 200+ clients in 65 countries, with these numbers predicted to grow rapidly in the coming years. Improving your organisation's environmental and financial sustainability is now more feasible than ever before.

Find out more about our commitment to a sustainable future in finance, here.

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Jordan Mannix
With two degrees in business and finance, Jordan spent multiple years in the tier-1 banking space. It was his desire to help businesses deliver better financial products and experiences that drew him to Mambu. He is the Regional Director of North America for the Customer Value Team, supporting account executives and their discussions with prospective and current clients.
Jordan Mannix