IEDOM and IEOM Industrialize their Information Production with Talend Data Integration

The two issuing institutions revised their bank data collection and analysis application using centralization and service improvement logic.
The solution has met our expectations in terms of cost and service improvement. In addition, it seamlessly integrates with the products used for queries and restitution (Business Objects and Jedox Palo).
Patrick Bizot, Director of Information Systems at IEDOM and IEOM

The French Overseas Departments Issuing Institution (IEDOM) is a central bank that performs its operations within a decentralized structure, the Eurosystem, comprised of the European Central Bank and national central banks. Founded in 1959, it is specifically responsible for ensuring territorial continuity in terms of currency on behalf of the Banque de France in the four overseas departments and in the collectivities of Mayotte, Saint Pierre and Miquelon, Saint Barthelemy and Saint Martin.

The French Overseas Issuing Institution (IEOM) performs central banking functions in the Pacific overseas collectivities (New Caledonia, French Polynesia, and Wallis and Futuna).  Created in 1966 to issue currency, previously assigned to Bank of Indochina in the French Pacific Territories, it has central offices in Paris and three branches located in Noumea, Papeete and Mata’Utu. 

In their field of operation, the two institutions are responsible for the circulation and maintenance of banknotes, maintaining accounts for credit institutions, communication to national banking authorities, managing the accounts of the Public Treasury and debt management. These two separate legal entities share the same headquarters in Paris and have a staff of 300 and 80 people, respectively, to carry out their operations. 

Producing information for the banking community

Within the scope of these operations, the two institutions produce information for the banking community, including the analysis of market positions. For example, they complete BAFI (financial institution balance sheet) processing via management of the “Central Register of Credit Institutions”, the application for collecting BAFI statements from banks located within their area of operation (periodic statements: circumstances, income statements, accompanying charts and indicators of activity, and publishable statements: consolidated balance sheets, cash flow, etc.). The analysis of all this data draws an accurate picture of the credit and debt situation, and the general economic conditions in the regions concerned.

“This application, originally based on mainframe technology, was migrated to Evolan Report in 2003, which was used by 80% of the banks. However, primarily developed for issuing flows, it offered limited performance in terms of reception. An overhaul was necessary,” comments Patrick Bizot, Director of Information Systems for IEDOM and IEOM. “Meanwhile, we were dealing with the publication of the regulatory reform changing BAFI to SURFI (Unified Financial Reporting System), introduced in July 2010. This regulatory change designed to simplify and harmonize bank reporting has mainly changed the data exchange format with the introduction of XBRL (eXtensible Business Reporting Language). Finally, data collection and replication were completed in Paris with older tools that offered very long processing times.”

The two institutions also decided to redesign the architecture of their information systems with the goal of centralization. “Centralizing means avoiding consolidations and therefore saving time. We are also focused on working on the user-friendliness of interfaces to simplify the work of administrators and choosing analysis tools that can be used remotely, taking into account the average connection performances overseas,” continues Patrick Bizot. 

Talend Data Integration: moving towards the industrialization of data flows

In order to industrialize the loading flows from its data warehouse, IEDOM-IEOM opted for an open source alternative to benefit from performances equivalent to proprietary offers, for a much lower cost.

“We conducted a Proof of Concept with Talend Open Studio for Data Integration, on the recommendation of our partner Smile. We also developed an XBRL component, which has since been contributed to the Talend community,” explains Patrick Bizot. “The solution has met our expectations in terms of cost and service improvement. In addition, it seamlessly integrates with the products used for queries and restitution (Business Objects and Jedox Palo).”

The Department of Information Systems ultimately decided to employ Talend Data Integration, setting a date for the implementation of Talend MDM to manage reference data.  The solution – called “D-FI” – is a financial data warehouse powered by Talend Data Integration. There are various data sources: Prudential Regulatory Authority (formerly the Bank Commission), local banks, etc. After sorting, the data from one quarter is stored in a data mart for analysis. If the volume is not enormous (between 15 and 30 MB received per day), the reliability of the loading system and performance are essential to guarantee the relevance of the analyses. 

“Previously, the loading operations completed via manual SQL and Oracle scripts took approximately one and half hours, with occasional local loading time exceeding 6 hours. Today, this operation is performed in only 15 minutes!” raves Patrick Bizot. “After the analytical work, we publish quarterly or “express” summaries of the circumstances overseas, available by subscription. In short, we centralize and restore departmentalized monetary and financial statistics to credit institutions, in addition to market shares and the results of the half-yearly survey on the cost of credit to businesses and individuals.”

Cost control, ease of use, sustainability

In retrospect, Patrick Bizot is satisfied with the performance of the Talend solution, through which around 90% of the institutions’ information flows pass. “First of all, even if open source is not free, we can control our costs and take advantage of more attractive development prospects, offered through the inherent scalability of open source solutions,” he says.  “At the same time, we enjoy greater independence from the vendor when dealing with maintenance and upgrade issues: since the solutions are open, we are able to easily modify the code to meet new needs, without excessive additional costs.”

This independence, combined with the user-friendliness of Talend’s solutions, provides a sense of comfort appreciated by IEDOM and IEOM. “Configuration of the solution is very intuitive, which is an obvious plus compared to our previous solutions that required us to run SQL scripts and integration procedures that were becoming increasingly difficult to manage,” adds Patrick Bizot.

Patrick Bizot finally stresses economic stability, the sustainability of Talend support, and generally the good relationship kept with the vendor. “Talend is now an established player in the world of data integration. This position combined with the openness of its solutions guarantees the sustainability of our applications, which is essential for our operations. In addition, we have an excellent relationship with the company, which has listened and responded to our needs; this was not necessarily the case with the vendors of tools that we used in the past,” he concludes. “Even though we are still only in the startup phases of our application, we now have an integration infrastructure that is efficient, sustainable and easy to use, that will without a doubt respond to our future scalability. Eventually, we plan on deploying Talend Data Quality to further improve our analyses.”