Introduction to External Products Financial (XP)

Temenos Transact allows the customers to create their own Product Lines and Property Classes to be associated with these lines with the help of the Arrangement Architecture (AA). The Origination Architecture (AX) module allows defining external products in Temenos Transact’s central product catalogue.

The new Product Lines and Property Classes are designated as External and have limited functionality but allow the banks to create products with defined data characteristics and then open arrangements under these products. It is also possible to use some of the core Property Classes with an External Product Line, which are specifically chosen for use in External Product Line.

The arrangement opened under these products acts as place holders and a means to retrieve and display data about these arrangements from within Temenos Transact. These arrangements cannot be used to hold any financial balances.The clients running Temenos Transact frequently act as a Distributor for other Manufacturer products. Therefore they prefer to define these external products in the Temenos Transact’s central product catalogue.

Additionally, it is possible to open a customer arrangement for these products and to have the ability to record any relevant information about each customer’s external arrangement such that, it can be included in the Single Customer View. For example, if the external product is an Insurance Policy, then it becomes necessary to record the insurer, the type of policy, the asset insured the annual premium, the renewal date and any other relevant data.

As the range and type of external products to be distributed may change at any point in the future, new products and their associated data can be created and accommodated solely through the use of parameters and without the requirement to write code.

It is also possible to define a product package (bundle in AA terminology) that requires an external product to be present to meet the conditions of the bundle. Therefore, the external product is formed part of the package definition and it is possible to open an arrangement for that product so that it can be registered as part of the client’s package.

Arrangements can be created under these products are similar to other AA Product Lines.

Product Line

• The users can create their own user Product Lines for handling External Products.
• The ID of the product line record when prefixed with X is recognized as a user defined XEXTERNAL.ACCOUNTS product line and allows input of all the attributes in the product line record.
• When defining an External Product Line, the users are allowed to use some of the existing core Property Classes. The allowed core Property Classes are further classified as below categories:
  • Full Processing - Property Classes which do full core processing that is, as it works in other core product lines.
  • Data Capture – Property Classes which can be used purely for capturing and storing data.
• The availability of each Property Class for the XEXTERNAL.ACCOUNTS product line is specified in the AA.PROPERTY.CLASS records of the respective Property Class. See External Product Lines for more details.

Creating External Product Line

The bank may choose to sell and keep track of products owned by the customer, or available to the customer, which are not serviced within Temenos Transact. This is possible through the creation of external product lines.

Property Class

Besides allowing the users to create their own product lines, it is also possible for users to create their own Property Classes so that they can define the data they prefer to record for the product. To allow this, the AA.CLASS.DEFINITION table has to be used to define the data structure of the External Property Class. See External Property Classes for more information.

Activity Classes

To manage the life cycle of an arrangement belonging to an external product, the below template Activity Classes are made available.

• Whenever a user-defined product line is created, new Activity Class records are automatically created copying the below template. The Activity Class records with first part of ID (External) being replaced with the actual product line name. If the XEXTERNAL.ACCOUNTS Product Line is amended, then all the Activity Classes are rebuilt.
• For the user-defined Property Classes, the actions are updated in the same sequence in which Property Classes are defined in product line record. There is only one action for the user-defined Property Class, which is Data Capture.

Creating External Product Groups

As with standard Internal Product Lines, it is necessary to create Product Groups for each Product Line. As with other Product Lines, the Properties required for the Product Line are specified here.

Creating External Products

Once the External Product Lines and External Product Groups have been set up, it is possible to create the external products.

This is proofed and published in the usual way:

And is then available on the product catalog, like any other product.

External Property Classes

Temenos releases the business logic for handling all aspects of product servicing through the Property Classes. However, there may be some Properties of a product, particularly of an External Product, which do not fit into the conditions of the product servicing.

At this point, the bank has two options:

• It can either add a local field onto the AA.PRD.DES.xxxxx (name of a property class) table, where there are additional details relating to an existing Property Class that need to be captured. This has the effect of adding this local field onto the AA.PRD.CAT.XXXXX, AA.PRD.PRF.XXXX and AA.ARR.XXXXX tables as well.
• Alternatively, if the information is unrelated to other existing Property Classes, the bank can create their own new External Property Class.

External Property Classes are created in the same way that Formlet classes, Quotation Classes, Evidence Classes and Needs Classes are - through use of Soft Class Definition - Technical Overview

Property Class Type

As with all soft class definitions, the attributes available and those the system defaults with a Property Class is defined in AA.CLASS.TYPE PROPERTY.CLASS record (released and maintained by Temenos). This indicates the types that are available, as well as the fields that the system defaults in addition to those defined in AA.CLASS.DEFINITION, and also the prefixes used for designing, proofing, cataloging, per simulation and arrangement.

Creating New Property Class

To create a new Property Class, using AA.CLASS.DEFINITION, the @ID must be AA* and then X before the intended name of the new class, so that it is not possible to accidentally create a new Property Class with the same ID that is subsequently released by Temenos.

The class type is PROPERTY.CLASS, and the Type must be Dated (due to its being mandatory in the class definition), it is possible to define additional types as well.

Following this, the user can create the fields that captures the data that defines this Property Class.

The Property Class is then available for use in the External Product Definition.

Illustrating Model Parameters

Product Conditions of a Property Class are evaluated to bring out the features of the Property Class. The values in the Product Condition are defaulted in an arrangement during its creation. The negotiability or default values and other restrictions are also defined in the Product Condition. These Product Conditions along with the properties derived from the Property Classes are grouped together to build products.

Model parameters consists of:

Illustrating Model Products

External Products Product Line is not defined and released by Temenos. It assists banks and financial institutions to create their own Product Line. All the External products should start with X. The External Availability field in the AA.PROPERTY.CLASS tables defines how the particular property class can be associated with External Product Line created. Users can also create their own Property Classes in the AA.CLASS.DEFINITION table with the following SYNTAX AA*X… and the same can be associated to External Product Line.