CONCORD, MA (March 30, 2004) - A new Gantry Group ROI Value Driver Report, Web Cash Management for the Banking Industry, analyzes the alignment of web-based cash management solutions with industry challenges, examining the underlying ROI value drivers. According to the report web cash management technology provides economic return to banks by streamlining their own business processes, as well as those of their corporate customers. This report concludes that web cash management systems can conservatively generate an ROI of 30%-50% through increased business process efficiencies and revenue streams from newly enabled services.

"Cash management" refers to the strategy of investing and disbursing cash and the control of cash collections. "Web-based cash management" solutions allow for these same tasks, facilitated by the Internet via a browser-based interface. According to the report, banks that invest in a web-based cash management solution can offer new services and products to their business customers, helping them to optimize their balance sheets (e.g. AR, AP and investment). Web cash management services can help banks expedite collections, optimize disbursement, administer investment and sweep services.

"By examining how web cash management solutions favorably impact banks' business processes to improve corporate performance, we have concluded that banks now have an opportunity to provide their customers with new services that generate new fees," said Dawna Paton, managing partner of the Gantry Group and co-author of the report. "The combination of Internet geographic reach, availability of robust security, privacy-protection technologies, and the openness of J2EE/XML standards, the bank-customer relationship is newly strengthened as customers enroll in online banking, allowing banks to cross-sell and up-sell to further shore up fee revenue."

The Gantry Group independently undertook to conduct an objective study that examines the key ROI value drivers and areas of cost savings realized through the adoption and deployment by U.S. banks of corporate web cash management solutions. Specifically, Gantry Group explored the changes that occur within bank-to-customer business processes as a result of deployment of web cash management systems.

Account revenues for banks have been hit hard due to diminishing deposit balances fostered by down economy and low interest rates. Ever pressured to improve profitability, banks are also seeking to control or reduce costs - all while competing in a crowded arena for the business of a reduced pool of business prospects. Web cash management solutions provide numerous opportunities for cost reduction, as telephone and branch transactions are replaced with lower cost online transactions. Many solution vendors now offer self-service enrollment, eliminating the often high costs of initial account set up.

According to Ralph Dangelmaier, President of leading web cash management vendor Politzer & Haney, "Because many web cash management offerings are available on a hosted-subscription basis, banks can enjoy the cost benefits of outsourcing otherwise capital intensive - and often cost prohibitive - products. This is particularly attractive to any bank not in the top 30."

"As the premier provider of web cash management systems to banks, we are well aware of how important it is to 'sell with ROI'," added Dangelmaier. "The Gantry Group's Web Cash Management Value Driver report provides key insights into how these IT solutions generate economic benefit and is on target with the value drivers they identify. The report also informs readers about the very real challenges all banks are facing in the next 2-3 years and explains clearly how web cash management solutions can help banks to effectively address these challenges."

This report examines the underlying value drivers that justify banks investment in and ROI from Web Cash Management Solutions. The report includes:

• Value Drivers that create economic return for banks investing in web cash management solutions
• Propensity of banks to invest in web cash management solutions
• Top web cash management solution vendors, comparing approaches, capabilities and ability to deliver value
• The strategic importance of web cash management solutions
• The critical success factors for web cash management implementations

An abstract of this latest Gantry Group ROI Value Driver report is available on the Gantry Group website at: www.gantrygroup.com/publications/reports.htm. Ordering information is available by calling Gantry Group at 978-371-7557 or emailing info@gantrygroup.com.

About Gantry Group
The Gantry Group is the only management consulting firm specializing in technology ROI. The Gantry Group's ROI impact analyses are validated by primary market research to ensure accurate capture of the real value drivers and costs. With over 200 technology clients, 3,000 business process interviews and profiles in their knowledge base, and more than 1,000 ROI business processes and value drivers modeled, Gantry offers its clients the greatest depth and breadth of ROI experience and invaluable objectivity. Since 1997 Gantry Group has provided ROI Calculators, Benchmark Studies, White Papers, Case Studies and ROI Sales Training Materials for hundreds of technology companies in healthcare, financial services, mobile/wireless and business process optimization. Gantry Group's client list of technology vendors includes leading IT vendors such as PeopleSoft, McKesson Health Solutions, Thomson Media, palmOne, Xerox, Politzer & Haney, and Best Software. For more information on The Gantry Group and the services they provide visit www.gantrygroup.com

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