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68 SAFE AND SOUND Here are three keys to enabling sound servicing decisions using data-driven technology. For loan portfolios to be serviced properly, the performance of the asset is constantly analyzed and confirmed throughout the life of the loan. is means from the time a loan has originated and transferred to a subservicer, to when the mortgage is paid-in-full or closed-out, data analysis must be used to identify pertinent information about the loan throughout each stage: where it needs to go and when, what is happening from initial point of transfer through ongoing payments and final steps. Are there opportunities or gaps in a loan situation or operational process that can be improved, etc.? Understanding these aspects is a vital part of servicing and provides the ability to: » Enable exceptional customer experience » Optimize operations to maximize cash flow and performance » Ensure all state, investor, and regulatory guidelines are met e challenge is data alone is just that— data. However, data with insights ensures meaningful value is found, allowing one to quickly make confident business decisions, no matter what role he or she plays within an organization. Beyond providing data in a consumable form, teams will need to be ready to embrace it. is includes training in data analysis to see the patterns and trends and what they mean. Encourage ways to lead with curiosity to seek the exceptions and understand why and what actions can be taken to maximize opportunities and address challenges. In the many years I've spent navigating the opportunities and challenges of data, I have found successful servicing performance management is rooted in three key concepts. 1. CREATE A SINGLE SOURCE OF TRUTH Servicing data sources can be quite varied and siloed, and every data extraction slightly different. A servicer may receive initial output from a variety of platforms, reports, and spreadsheets, but often the data collected is not pertinent or useful in the format gathered. And it's a lot of data. It is much more beneficial when the servicer can capture the aggregate, connect disparate dots, know the data is accurate, and then transform that data asset into an engine of meaningful insight and analysis to drive business on all cylinders. is involves developing a mechanism that can aggregate, distill, and communicate data in a way that enables faster response times and more effective financial and KPI tracking. It also means having clear objectives and metrics to monitor and optimize throughout the servicing cycle. For example, a comprehensive understanding by the operations team of who, how, and when payments are being made can derive strategies to improve the payment experience. e overarching objective is to consolidate the disparate data sources into a single source of truth. We've all been in meetings where more time is spent discussing the difference between numbers on reports than making meaningful progress on a topic. Once the data is consolidated, the use of data visualization and interactive dashboards make the information even easier to absorb, faster to analyze, and actionable for all servicing stakeholders. 2. EMPOWER THE SERVICING TEAM Build a data-driven culture by empowering teams across the servicing spectrum with useful data at their fingertips. Deliver it in a manner that is faster, more convenient, and more effective when it comes to managing their workflow. Organizations can reduce the friction of transitioning from multiple Excel spreadsheets to a centralized data analytics platform, by making it a one-stop shop for users to intuitively find what they need and when they need it. is ease and empowerment make evolving from traditional processes within an organization a no brainer. A centralized and comprehensive data Feature By: Jerry McCoy