Bethpage Federal Credit Union is the largest credit union in its market, a full-service financial institution with assets of over $5.5B and a membership base of more than 230,000 members. It provides extraordinary service and value anytime, anywhere. As the needs of its members have grown through the years, so has the list of products and services they offer.
ChallengeBethpage’s situation was typical of many rapidly growing organizations. They had multiple voice and data providers, terms, and services, although pricing that was in place was perceived to be very aggressive. They were midway through a 3-year contract for data and voice services with annual voice and data costs of over $750K.
The organization set goals of cutting costs by a minimum of 15%, renegotiate better terms and service with providers, improve service, and rationalize the 30+ bills and terms to 3.
SolutionAdvantage began a collaborative effort with Bethpage team to understand the credit union’s business direction and objectives. The integrated team established regular checkpoints with frequent open communication and feedback. Advantage created weekly executive reports to review status and gain approval on important issues and decisions. Next we created a master inventory by location and provider of all voice and data services. Leveraged billing agents to cut local costs, eliminate long distance charges, and rationalize billing to single billing platforms. Advantage delivered a business case, program management, provisioning and migration support, and post-migration financial analysis to measure and monitor results. An MPLS network was also implemented to link all operating locations.
ResultsBethpage was able to exceed their financial and operational objectives on an aggressive schedule.
Cost Reduction – lowered costs by 45% from the baseline
Process Improvement — rationalized dozens of rates, terms, and bills to 3 sets that are easy to understand and administer
Risk Management – successfully migrated all services without disruption or incident
Scalability – opened 6 new branches and a 2-location, 15-seat call center without issue.