LeasePlan uses ACTICO Rules to rate business clients
Credit rating for the number one fleet management service
With a fleet of around 1.3 million vehicles of all different makes, the Dutch LeasePlan Corporation is the number-one provider of fleet management services worldwide. The group employs some 6,000 staff and currently operates in 31 countries across the globe. In addition to its companies in Europe and North America, LeasePlan also has subsidiaries in India, Australia, New Zealand, Brazil, and the United Arab Emirates.
LeasePlan uses ACTICO's technology for implementing credit rating models which are used as part of the credit decisioning process. Not only does the software shorten the credit decisioning process, it also makes the credit risk management team considerably less dependent on IT department support. It used to take months to roll out new rating models and now these updates are completed in days or even hours.
Aim: Avoid risks in the credit decisioning process
In a bid to avoid risks in the credit decisioning process, decision makers at LeasePlan headquarters in the city of Almere near Amsterdam were looking for a technical solution to form the basis of a new rating system. The legacy system was a decentralized solution used within the various national subsidiaries. It turned out to be very cumbersome on account of its system design and IT architecture and this made processing approved credit requests a slow business. Another shortcoming was the old system’s lack of flexibility, with the credit management department often needing months to update and adapt their rating models.
Flexible adaptation of rating models was required
As clear as the deficiencies of the old system were, so too were the requirements that the LeasePlan managers wanted the new rating platform to fulfill: effective, audit-proof, and traceable credit decisions in the blink of an eye and globally standardized rating models. On top of this, the credit risk management department also wanted to be able to implement the rating models itself and to be able to adapt the models quickly and flexibly – for example, in response to changing macroeconomic conditions.
User-friendliness gives ACTICO its edge
Following a comprehensive vendor selection process, the LeasePlan project team opted for ACTICO and the Dutch financial service provider now uses the powerful, market-proven ACTICO Rules to implement, execute, and adapt rating models. The software scored particularly high on user-friendliness: new rating models are not programmed, but implemented using the intuitive graphical ACTICO Modeler. This means that credit risk managers without any programming skills can adapt the models in no time. At the same time, further information is imported via interfaces to credit bureaus and other external data sources, which makes LeasePlan’s credit decisioning processes even more secure.
Reduced time to market
The personnel in the credit risk management department benefit the most from using the innovative ACTICO software: whereas rolling out new rating models used to take months, now credit risk manager Alex Wijna and his team are able to update the models within days or even hours – and without IT department support. As a result, LeasePlan now also wants to use ACTICO Rules in other areas, says head of the credit management project Paul van den Bergh.
"Before we had the ACTICO software, it took us several months to update rating models. Now we save a lot of time and complete the roll-out of a new version within days or even hours."
Alex Wijna Credit Risk Manager, LeasePlan
Read our Success Story and learn how the vehicle leasing and fleet management company LeasePlan uses ACTICO software.