Case Study: ScotPac remodels risk management with r3 RiskOps

ScotPac – the biggest non-bank business lender in Australasia – has been working to implement our r3 RiskOps system since early 2024 to improve its risk management procedures, simplify its back- and front-office operations and prepare the business for future innovation.

Drivers

Until now, ScotPac managed its backoffice and risk management operations in separate systems. Teams took data from the lender’s core platform and monitored it in a third-party system. 

Working this way added time and effort to the lender’s everyday operations and caused potential delays between risk events and teams’ ability to respond.

Since 2022, ScotPac has used the dancerace OS as its core invoice finance lending platform – including our c3 Backoffice, f3 Client Onboarding and e3 Client Access systems. Launched in 2024, r3 RiskOps is part of the dancerace OS, sharing data and functionality with other systems in the platform. 

“r3 therefore offers us an integrated risk module within our debtor finance core that alleviates our need to switch between systems,” says ScotPac CTO Neale Kant. In implementing r3 RiskOps, ScotPac has consolidated its risk management activity into the same platform it uses for its wider invoice finance operations. 

“Working with the dancerace OS offers us a ‘suite’ of funding tools that seamlessly interact with each other, provides reference consistency for our teams across Australia and removes the need for duplicated tasks on different systems,” says State General Manager James Crossley. 

James CrossleyState General Manager

“While we were looking for more intuitive tooling and a simpler way to support staff interaction in risk management, we were also searching for an adaptable platform that could be enhanced as we move further into the possibilities of Open Banking in future.”

“The launch of r3 RiskOps was therefore a key reason we chose to adopt the dancerace OS as our core platform in 2021.”

Implementing r3 RiskOps will mean more efficient operations and simpler risk management for ScotPac today, and a new foundation for risk operations for tomorrow. 

A fully integrated risk management module provides cost efficiencies across productivity and licencing. 

Solution

r3 RiskOps offers ScotPac an end-to-end risk management solution, with which teams spot and react to client risks in one place.

In r3, credit risk teams model their unique approach to risk and monitor the client portfolio. When clients exceed the lender’s chosen risk parameters, the system triggers workflows for operational teams to respond inside the dancerace OS. r3 makes risk data accessible to operational teams and risk teams, and shows which clients represent the highest risk at any time to help staff prioritise reviews, audits and credit control.

This way, r3 RiskOps helps invoice finance lenders to better manage risk and work more efficiently, everyday.

“r3 RiskOps offers a rich roadmap of future features, an intuitive UX and feature-rich dashboards and insights –with more to come in future,” says CTO Neale Kant. “Moving to the new system has also allowed us to properly architect our environment by separating risk management from relationship management.

“Having operated our previous risk management system as a CRM, we needed r3 to ‘do’ debtor finance risk and to do it well – which it does – while also giving us the flexibility to build a single view of our customers and risk across multiple product types in other systems.” 

The future

After testing r3 RiskOps over several months, ScotPac is now focused on rolling the system out to its teams across Australia. 

Moving from one core management system to another takes time, but ScotPac’s users are already seeing the benefits of r3 RiskOps’ intuitive and efficient approach to lending operations, says James Crossley:

James CrossleyState General Manager

“The graphical representation of trending analytics, ease with which portfolios can be created and viewed, and the sharing of client notes between our c3 Backoffice Control and r3 RiskOps’ systems are already enabling us to work smarter and avoid duplication."

“The separation between risk management and relationship management, as well as the triggers and insights obtained from r3 RiskOps has allowed us to change our operating model for a better staff and customer experience.”

To understand if r3 RiskOps is right for your invoice finance business, click here.

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