Meradia was engaged by an OCIO with over $25 billion AUM to assess their current IBOR and emerging ABOR (US GAAP) needs, system requirements, and future roadmap. The existing IBOR-like solution had been in place for many years yet limitations in functionality, integration and the underlying architecture caused issues with processing and forced workarounds that created a complex environment of multi-path and alternative processing. In addition to the IBOR functionality, market-led demand was driving the OCIO to expand ABOR account reporting capabilities. This included: lot level accounting, gain/loss, receivables & payables, expense, realized/unrealized gain and loss. Meradia was asked to provide an analysis of requirements and a recommended roadmap forward that would decrease the operational risk of the organization.
Meradia met with key individuals and stakeholders in workshop formats to create a current state and ultimately a future state model and plan for execution. The initial sessions allowed for a comprehensive review of functional requirements, mapping of systems data flows, and usage. The following sessions were focused on the future state model and available optionality that could provide the desired functionality. The final sessions focused on roadmap development and execution methodology; this included the development of target operating models and their proposed implementation architectures. Throughout, the aim was to deliver clear pictures of options, pros, cons and implications so that the client could make informed choices for next steps. This process helped the client navigate the complex process in determining appropriate future state architecture for their needs. Deliverables included:
- Comprehensive business requirements for both the IBOR and ABOR systems
- Evaluation of the current environment and mapping of systems data flows
- Future state options that consider the current operating model, operational capabilities, and marketplace drivers
- Future state architecture diagrams and system data flows
- Roadmaps for achieving the target state operating model and cost estimates
In total, eight initial future state options were identified for consideration and refined against the client’s desire for change within their operating model. The final recommendation required the replacement of the existing, aged and limited IBOR solution to align with defined business requirements and allow ABOR functionality to be segregated to a suitable outsourced service provider.
By facilitating the decision-making process, Meradia helped the client move forward toward the execution phase while staying on time and within the overall program budget.
Following the IBOR/ABOR needs assessment and roadmap Meradia was re-engaged to perform RFP and selection services.Investment Accounting, Outsourced Chief Investment Officers (OCIO), Solution Design, Strategy & Roadmap