Coopmil
“The MyABCM technological solution really has many of the qualities that are usually only promised in other tools. The software is very stable, intuitive, and simple to operate; interactions with the support team happen because of evolutions in the cost model, not because of problems with the solution. The tool creates a virtuous circle, as usually the necessary improvements are for our processes and controls, and this was evidenced by one of the functionalities that we intend to implement. As for the company MyABCM, we saw that the same care taken in the relationship during the contracting phase remains in our partnership.”
André Ribeiro Baião
Accountant
São Paulo, Brazil
COMPANY
Coopmil is a non-profit financial cooperative aimed at promoting the well-being of cooperative families by providing the best cost-benefit in financial and social products. Founded in 1989, Coopmil serves more than 46,000 cooperative members (military and civilian police, civil servants of the Department of Public Safety, pensioners, employees of Cruz Azul and Municipal Civil Guard). Its strategic mission and vision are to promote credit union in a sustainable way and be a reference in the system.
CHALLENGE
In recent years, credit unions have faced great challenges posed by the Brazilian credit market. There are many variables that influence the industry: the significant increase of players acting as financial agents in several platforms and different business models; the new strategies performed by the main market stakeholders in response to increased competitiveness; the need to diversify the portfolio of products and services, which considerably increases operating costs; the worsening economic crisis and the consequent default increase; and especially the policy of reducing interest rates practiced by the Central Bank of Brazil, which made credit unions significantly reduce revenues from financial intermediation, its main source of income.
SOLUTION
In recent years, credit unions have faced great challenges posed by the Brazilian credit market. There are many variables that influence the industry: the significant increase of players acting as financial agents in several platforms and different business models; the new strategies performed by the main market stakeholders in response to increased competitiveness; the need to diversify the portfolio of products and services, which considerably increases operating costs; the worsening economic crisis and the consequent default increase; and especially the policy of reducing interest rates practiced by the Central Bank of Brazil, which made credit unions significantly reduce revenues from financial intermediation, its main source of income.
RESULTS
The Project for the implementation of a cost management model using the ABC (Activity-Based Costing) methodology was already very successful in its initial phase at Coopmil, as it has contributed in a relevant way to reaching the strategic objectives of optimizing the cost structure and offering products and services with a better cost-benefit ratio.
