Commercial lending transformation: more than technology—A market scan

Today, commercial lenders are facing a number of pressing and complex challenges, including the remaining effects of COVID-19, constantly evolving regulatory requirements, increased competition, and the high demand for talent. Commercial lending leaders can also look to countless opportunities to transform how they do things with an aim of being better positioned to meet those challenges. These solutions range from new loan and sales platforms, integrating automation and/or complex artificial intelligence, and data strategies (including big data), to redesign or reconfiguration of lending operating models.

KPMG surveyed executives at more than 100 financial institutions that operate across the United States and internationally to learn more about how commercial lending leaders are viewing transformation, benefiting from transformation, and prioritizing their efforts to continue transformation.
 

Rethinking the operating model

Organizations that refine their operating model to better align their business strategy and risk appetite and enhance the ways credit risk is monitored and controlled, will be in the best position to gain efficiency and successfully scale their lending businesses.

Does the commercial lending organization have a strategy for collecting more data from borrower documents collected for review processes, either digitally or with other methods, so that more of this data can be leveraged to inform future credit decisioning or risk management?

When evaluating your end-to-end process for commercial loan evaluation and delivery, what areas of the commercial lending organization and its processes would likely most benefit from new tools and technologies? Select up to three.