Tech Mahindra's Success in Superannuation Mergers: Seamlessly Creating Australia's Top-Performing Fund

Overview

The client, a leading Australian superannuation fund, seeking to expand its reach and enhance member benefits, merged with and acquired the books of business of two other funds. This resulted in a three-fold increase in scale, with the combined entity now managing over $30 billion for approximately 200,000 members.

Redefining the Digital Core in Digital Transformation

Client Background and Challenges

The merger of one fund and the acquisition of another was completed over two major migration programs, resulting in a significant superannuation-based entity managing over AUD 30 billion for approximately 200,000 members. Integrating diverse systems and member databases into a seamless operation presented a substantial challenge, requiring minimal service disruption, rigorous project management, and extensive quality control.

Our Approach and Solution

Process and Operations Consolidation

Tech Mahindra also took over the business process services for the merged operation of the three entities, ensuring streamlined and consolidated operations can sustainably cater to different servicing needs and significantly greater transactional volume.

Platform Enhancement

Leveraging the existing Sonata platform, Tech Mahindra enhanced its capabilities to support the integration. This involved adding capability and functionality to the Sonata platform to cater to differing client needs.

Member Transition and Migration

Migrating books of business from different systems onto the upgraded Sonata platform, ensuring data consistency and uninterrupted service for members.

Business and Community Impact

The successful mergers facilitated by Tech Mahindra led to significant benefits:

  • 3x Business Growth: Achieving a threefold increase in the size of the superannuation fund.
  • Reduced Member Fees: The unified platform enabled a reduction in client member fees by 20-30%, decreasing fund operation costs and directly benefiting members.
  • Enhanced Market Competitiveness: Greater scale and efficiency enabled the new entity to improve its market position and offer competitive investment solutions.