Unlocking Efficiency and Security:
Transforming Pension Administration at a Zimbabwean Pension Fund with Fundworx™
Company Overview:
Brief Introduction:
This case study is on a defined benefit pension fund that was established in 1952. The fund is governed by the Pension and Provident Funds Act and Regulations of Zimbabwe. The pension fund provides retirement benefits to employees of the metal industries in Zimbabwe.
Industry Served:
The fund serves the mining industry in Zimbabwe.
Insurance Products:
The pension fund offers a single pension product, which is a defined benefit plan. The plan provides members with a monthly pension upon retirement, based on their years of service and salary.
Membership Details:
The fund has over 100,000 members.
Fund Information:
The fund has assets under management of USD 100 million.
Challenge or Objective
The pension fund was facing a number of challenges with its legacy pension administration system. The system was outdated and inefficient, which made it difficult to track and manage member data accurately. The system also lacked the scalability to accommodate the growth of the fund’s membership and assets.
Pain Points:
Limited scalability of existing systems to accommodate growing membership and fund size:
The legacy system was not scalable, which made it difficult for the pension fund to accommodate the growth of its membership and assets. This led to performance issues and data integrity problems.
Lack of data security and compliance with regulatory requirements:
The legacy system did not have adequate security measures in place, which made it vulnerable to cyberattacks. The system also did not meet the regulatory requirements for pension funds, which could have led to fines or penalties.
Manual and time-consuming reporting processes:
The legacy system did not have automated reporting capabilities, which made it difficult for the pension fund to generate reports on its pension data. This made it difficult for the pension fund to track the performance of the fund and to comply with regulatory reporting requirements.
Solution:
The pension fund implemented Fundworx™’s pension administration solution to address these challenges. Fundworx™ is a cloud-based system that is designed to be scalable and secure. The system provides a single view of member data, which makes it easier to track and manage member data.
Fundworx™ also provided a number of features that help to ensure the security and compliance of pension data. Additionally, Fundworx™ provided a variety of reporting and analytics capabilities, which allows the pension fund to generate reports on its pension data quickly and easily.
Results and Impact:
As a result of implementing Fundworx, the pension fund has achieved a number of benefits, including:
Improved scalability:
The fund is now able to accommodate the growth of its membership and assets without any performance issues or data integrity problems.
Increased data security:
The fund’s data is now more secure and compliant with regulatory requirements.
Streamlined reporting:
The fund is now able to generate reports on its pension data quickly and easily.
Improved compliance:
The fund is now able to comply with regulatory reporting requirements more easily.
Reduced costs:
The fund has reduced its IT costs by outsourcing its pension administration to Fundworx™.
Conclusion:
This pension fund is a great example of how Fundworx™ can help pension funds to improve their pension administration processes. The fund has achieved a number of benefits as a result of implementing Fundworx™, including improved scalability, data security, compliance, and reduced costs.