F-integrity Consulting LLP Our Experience in Your Interest

1. F-integrity Consulting LLP Our Experience in Your Interest

2. Consultant!!!! • Why seek consultation when competent people are already hired for the job! • Even though talented/ capable, an employee would always tend to have - • Limited scope • Biases • Need to please seniors • Self preservation needs • Execution fears • So let’s us get a good consultant ! • The natural tendency is to go for the big names, who … • are mostly generalists • rarely have exact domain specialized knowledge/ experience • would learn the business through further consultations • mostly have global expertise – not fully useful for unique Indian environment • can’t have a real ‘GROUND REALITY CHECK’ for the lack of personal experience • wouldn’t like any execution responsibility • limited/ No ownership for fizzled outcome • will give hundreds of pages in report – with a tenth of it being really useful • CHARGE A BOMB

3. What’s the better option! • There is very little/no option (or it may seem so!) beyond the big names! • Yes, there is no local consultant (non IT) with a reputation to match big players • A ‘BIG NAME’ stamp is often preferred to impress investors/ rating agencies • Its often the case of ‘paying for applied benefits’ than actual business impact • We come in picture, when – • there is need for hands-on business set up/turnaround assistance • there is high value attached to every penny being spent on consultation • At F-integrity Consulting, we – • undertake only HFC & NBFC (mortgage focus) assignments • know the business (with all its complications) • apart from the core team on board, benefit from our endless network • know how it works for local mindset • have the advantage of ‘seen it all’ and ‘done it all’ • offer to take execution responsibility • will take ownership of outcome (only when we do the execution) • will report what really matters (no unnecessary jargons) • CHARGE A FRACTION OF BENEFITS

4. Who are you! • Got Capital, thinking about starting an HFC/ NBFC (mortgages) • Already big – would like to get in the leadership (top 5) race (>10000 cr) 1 6 • Stable business – would like to take some big leaps (2000 cr to 10000 cr) • Decided, need to apply/applied for HFC/ NBFC license with NHB/ RBI 2 5 • Young/ small business – would like to get some size (e.g. <2000 cr) • Got license, about to start business 3 4

5. What we can do for you! • Got Capital, thinking about starting an HFC/ NBFC (mortgages) • Already big – would like to get in the leadership (top 5) race (>10000 cr) 1 6 • Stable business – would like to take some big leaps (2000 cr to 10000 cr) • Decided, need to apply/applied for HFC/ NBFC license with NHB/ RBI 2 5 • Young/ small business – would like to get some size (e.g. <1000 cr) • Got license, about to start business 3 4

6. Cat 1. Thinking about …. • Self-assessment (e.g. Capital Adequacy & Debt procurement capabilities – how much/ how/ when) • We will help with a SWOT analysis with YOUR CONTEXT and the segment/ region you wish to enter e.g. • Does it address a basic need • Will it be profitable • Will it be sustainable • Will it be scalable • Is there potential for new players now (and in future) • Is there scope to offer some niche value addition to customers • Worst-case issues • Best-case scenarios • And a balanced view of realistic expectations

7. Cat 2. Applying for license… • Self-assessment (e.g. Capital Adequacy & Debt procurement capabilities – how much/ how/ when) • We will prepare a SWOT analysis with YOUR CONTEXT and the segment/ region you wish to enter e.g. • Does it address a basic need • Will it be profitable • Will it be sustainable • Will it be scalable • Is there potential for new players now (and in future) • Is there scope to offer some niche value addition to customers • Worst-case issues • Best-case scenarios • And a balanced view of realistic expectations • All of above (i.e. Cat 1) & • Assistance with NHB follow-up

8. Cat 3. About to start … • Cat.1 &/or 2 plus … • Business strategy (What/ Why/ Where/ When) • Execution plan (What/ How) • Right People • Right Product • Right Policy • Right Process • Right Technology • Right Infrastructure • Market Intelligence • Right Marketing • Risk Management • Operational Controls • Compliance Management • Audit Efficiency • Collection Efficiency • Recovery Management • Business Intelligence/ Analytics

9. Cat 4. Get some size … • If its normal growth issue, we will take Cat. 3 measures • Market potential mapping in your context • List down various available options of growth – with respective PROs & CONs • Elaborate execution plan for the chosen option • Also develop monitoring tools and intervention flags for execution efficiency • Contingency plan (to supplement some/all of original plan) • If it’s an ailing situation, we will go back to Cat.1 situation and reassess the whole model or in other words… • Travel back in time to make the standard module • Determine variance from what ‘should have been’ to ‘actual’ • Classify good variance v/s bad – depending upon the impact • Further identify reasons for variance • From the bad ones – what can be reversed (gradual/ immediate)! • What can be salvaged! • New/ improvised inputs • Cat. 4.1

10. Cat 5. Big leap… • Happy with the journey so far – just need impetus for future growth • Portfolio analysis • What’s worked – what hasn’t • Build new rules/policies based on portfolio learning/market intelligence • Productivity mapping • Potential v/s delivery • Distribution width & depth assessment • 2. Unhappy with current situation – need course correction • Assess Specific functions • Assess various Locations/ levels • Prepare a diagnosis report on all concerns • Devise correction mechanisms that ensure future recurrence • An overall organizational overhaul may also be required • Cat. 5.1

11. Cat 6. Leadership… At this stage, there is little scope for major overhaul. We believe the company must have done many things right to reach this stage – even if there are glaring improvement areas. Step 1: To identify core strengths of the organization. Mostly the real strengths are not the ones supported by popular belief BUT the ones which are taken for granted. Completely leverage on all such strengths. Step 2: To identify the major impediments. Again the major flaws are the ones, which have become so prevalent over the years that no one can attribute much blame to those aspects. These need to be excavated and treated. Eradicate all such issues. Step 3: To identify the weaker aspects/ areas of the leaders’ repertoire – devise strategy to supplement them. Surprise competition by attacking the weakest spots. Apart from immediate gains, it will be a while before others react and that gives enough time to consolidate everything

12. Location Specific Services • We can undertake location specific assignments involving … • Problem identification • Root cause detection & elimination • Superior alternative execution • Business strategy • Process efficiency • Productivity • Policy efficiency/ relevance/ adherence • Credit underwriting accuracy/ integrity • Operational efficiency/ controls • Collection efficiency • Recovery Management • Market Intelligence • Marketing effectiveness • Risk Management • Compliance Management • Audit Efficiency • Business Intelligence/ Analytics • COST OPTIMIZATION/ CONTROLS This entire exercise can be in direct co-relation to Central Leadership’s directives and/ or based on ‘marked to market’ approach.

13. Other Key Services • Training • Market Research • Portfolio Analysis • Delinquency Analysis • Collection Efficiency • Talent Acquisition • Outsourcing

14. Training • Unlike professional trainers, our training technique is inspired by real life issues/inefficiencies AND keeping real life people mindsets in perspective. We manage to connect with the audience like no trainer can – thus guaranteeing desired impact on business fortunes. • Training is undertaken for all levels for following functions: • a, b, c, d, e & f are parts of ((but not restricted to) overall Sales module. • Lead Origination/ Management • Customer handling (with emphasis on origin to pre-disbursement stage) • Channel/ Vendor Management • Customer service (post disbursement stage) • Process efficiency • Productivity • Policy efficiency/ relevance/ adherence • Credit underwriting accuracy/ integrity • Operational efficiency/ controls • Collection efficiency • Marketing effectiveness • COST OPTIMIZATION/ CONTROLS

15. Market Research • New opportunities • Unexplored/ under-serviced geographies • Unexplored/ under-serviced customer segments • Unexplored/ under-leveraged products • Competition benchmarking • Learning from other’s mistakes • Best practices sharing

16. Portfolio/ Delinquency Analysis • Portfolio/ Delinquency analysis can be done on any/ all parameters … • Product • Customer Segment • Business Segment • Location • People (sales, processor, approver etc.) • Source point (DSA, DST, Direct etc.) • Deviation • Collateral • Policy • Ticket size • Tenor • Learning – trend identification • Leverage suggestions for positives • Course correction suggestions for negatives • Provision for future flags

17. Collection Efficiency • Will involve all of Portfolio/ Delinquency analysis for root cause identification • PLUS • Audit of current collection/ recovery practices • Correction/ Improvement suggestions for specific locations/ buckets

18. Talent Acquisition • Identify requirements (as informed or as a result of any other assignment) • Establish a practical budget for said requirements • Identify suitable candidates from within our extended network (unlike professional manpower consultants – the credibility check will precede the actual meeting) • Persuade the best possible talent (in line with budgets) to join in • This can be an extension of any other assignment OR it can be undertaken independently.

19. Outsourcing • We can help with the outsourcing of … • Sales/ lead generation • Field Verifications (Residence/ Office) • Reference checks • Customer service • Credit Processing • Technical evaluation • Legal evaluation & litigation services • Marketing • Accounting • Audit • Document repository • Collections & Recovery • Service would include vendor identification, shortlisting, scope of service + empanelment process (or as required by the client)

20. Core Team This core team is supported by an extensive network of specialist professionals spread across Indian Consumer Finance Industry

21. We put all the keys where they belong!