BISS SOO Attachment C - 2027 Target State Architecture v1.1.pdf

2027 FDIC Target State Enterprise Strategy Branch

Publication Date: 2023-09-01 Version 1.1

*PDF Generated from Target State Website https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/2027_target_architecture.html

Table of Contents

2027 Target State FDIC IT Vision in Action Audience Current Landscape Business Overview Division of Consumer Protection Division of Insurance and Research Division of Resolutions and Receiverships Division of Information Technology Division of Complex Institution Supervision and Resolution Corporate University Division of Administration Division of Finance Legal Office of Communications Office of Inspector General Office of Minority and Women Inclusion Division of Risk Management Supervision Office of Legislative Affairs Office of the Ombudsman Future Landscape Key Architecture Priorities Key Capabilities CIOO and FDIC Strategy Cross Map Target State Principles Service / Product Centric Organization Target Practices Architecture Flywheels Developer Experience / Application Modernization Flywheel Business Event Flywheel Machine Learning Flywheel Resiliency and Zero Trust Flywheel Platform Control Plane Flywheel Adaptive Enterprise Flywheel Cloud Exit Strategy Cloud Exit Roles and Responsibilities DevSecOps Data Operations (DataOps) Multi Cloud Target Range Architectures Application Platform Range Architecture Integration Range Architecture Storage Range Architecture User Journey Range Architecture Transformation Blueprint Transition Strategy

Target State

Executive Summary To meet the demands of an ever-evolving regulatory environment, the FDIC envisions operationalizing an Adaptive IT Architecture over the next 5+ years. An Adaptive IT Architecture lends itself to continuously refine the structure, behavior, and resources enabling a composable enterprise that can be reconfigured by the business to meet changing needs. This architecture strengthens the resilience of the IT infrastructure through intelligent automation and cloud-smart technologies, proactively reduces the risk of successful cyber-attacks against the FDIC digital infrastructure, increases staff access to the corporate data to promote Evidence-Based Decisions, digitally empowers the hybrid workforce and tech-savvy customers, stimulates a technology innovation ecosystem, and delivers new/modernized capabilities with speed and scale.

The diagram at the right illustrates the desired outcomes and capabilities of an Adaptive IT Architecture.

Resilience Speed

Scale

Enterprise

Data

Management

& Analytics

Innovation

Proactive

Cybersecurity

Operations

Digital

Empowerment

& Experience

Bottom Line Up Front:

The target state works to align the technologies and systems of the FDIC with the FDIC Strategic Plan whose goals are repeated below:

FDIC Major Program Goals Program Areas Strategic Goals

Insurance FDIC-insured deposits are protected from loss without recourse to taxpayer funding.

Supervision

FDIC-insured institutions are safe and sound.

FDIC-supervised institutions comply with federal consumer protection laws, including fair lending laws, and the Community Reinvestment Act (CRA).

Large, complex financial institutions are resolvable in an orderly manner.

Receivership Management Resolutions are orderly and receiverships are managed effectively.

Moving Towards an Adaptive Enterprise The 2027 FDIC Target State outlines the next phase of the FDIC’s information technology (IT) modernization efforts.

It facilitates efforts to meet the FDIC’s business needs faster, with built in security, integration, resiliency, observability, analytics, and privacy. The 2027 target expands on the 2025 target state to drive a more adaptable/composable enterprise.

An adaptive enterprise harnesses the value generated by the ever closer relationship between technology and people. It responds to changing conditions and risks at the speed in which they are coming at us. It enables iterative experimentation of new ideas and is resilient and responsive to threats.

The 2025 targets laid a foundation for a mobile-first and cloud smart strategy that emphasized a foundational transformation in FDIC’s IT portfolio management. By identifying and strengthening the aspects of the FDIC architecture that lead to an adaptive enterprise, we build the capacity to support all aspects of the FDIC’s mission.

This includes an open adoption of Artificial Intelligence (AI) operations.

Applications suitable for low-code platforms should migrate and target those platforms• Investments in competencies that drive long term dividends (flywheels) to manage IT complexity, drive integration and improve analytics

Focus on building economies of scale within a smaller number of technology stacks• https://www.fdic.gov/about/strategic-plans/strategic/index.html

This FDIC Target State serves as a blueprint to guide our transformation journey and to align everyone at the FDIC towards a common vision. This will help to inform IT demands, Security and Enterprise Architecture Technical Advisory Board (SEATAB) activities, system architecture decisions, IT roadmaps, and the Technical Reference Model (TRM). The expectation is that the FDIC will make major progress toward realizing the objectives and significant outcomes of the Target State by 2027.

To achieve the 2027 FDIC Target State , the CIOO will continue to modernize the way it operates, fine-tune organizational alignments to optimize for the flow of work, and enable staff to focus their learning to support their customers’ goals. The CIOO will measure progress by tracking time to market from ideation to delivery.

Intelligence is the ability to adapt to change -- Stephen Hawking

Most importantly the target state focuses on establishing and supporting reinforcing causal loops that enhance the flywheel effect (continuously pressing the means of transformation until a breakthrough occurs. See description below). Causal loops map the relationships between pairs of elements within a system and identify feedback loops. These loops can either be reinforcing or balancing. The flywheel effect occurs in enterprises, just as it does in machines, because of very deliberate building and linking together of capabilities to execute against a defined strategic objectives in such a way that a compounding return on effort is introduced, resulting in continued acceleration in reaching goals. There is no single initiative, new technology or innovation that will define success, but it is the sum of all the parts pushing over and over again that eventually achieves the desired high speed momentum. The goal of the Target State is to guide the FDIC in focusing its energy on pushing “the flywheel” in the right direction, removing friction, and avoiding distractions.

Jim Collins - https://www.jimcollins.com/concepts/the-flywheel.html

The activities needed to achieve the 2027 FDIC Target State are driven by six objectives.

These objectives enable the FDIC to address financial system risks while removing barriers to agility:

These objectives will positively impact the FDIC’s mission by:

Increase Speed and Agility - Deliver new/modernized capabilities with speed and scale. Simplified, automated and commoditized architecture to generate speed in service delivery; a continuous-delivery framework to modernize the corporate IT services with design-thinking, human-centered approach

• Lowering the risk and cost of introducing change (Increase Speed & Scale in Delivering IT Services)

Increase capacity, speed, and agility to achieve new business goals by using Cloud Native technologies and techniques (including AI, and end-to-end automated testing) to enable change with reduced risk while efficiently using compute resources https://www.jimcollins.com/concepts/the-flywheel.html

Data Management and Analytics - Unleash data as a corporate asset. Increase staff access to the corporate data to promote evidence-based decisions. Advanced analytics platforms with connected datasets; Well documented, quality data; Predictive, prescriptive self-service analytics; Upskill workforce on Data Science

• Supporting the generation of new insights

Enable domain experts to leverage FDIC Data as a Strategic Asset by centralizing data on a platform with advanced data management and analytics capabilities

Stimulate Innovation - Foster a technology innovation ecosystem. An Innovation Ecosystem for staff to innovate; a maturity framework to scale innovations; A network of networks to foster partnerships and shared learning

• Enabling iterative experimentation

Empower IT developers, business developers, data scientists, data analysts, IT security and infrastructure operators with productive, self-service experiences needed to improve the delivery, security and operations of business capabilities

Promote Digital Empowerment - Digitally empower the hybrid, distributed, diverse workforce and tech-savvy financial industry customers with highly-intuitive end-user services and streamlined customer experience. Human-centered Digital Employee Experience, Customer Experience & Engagement; Increased Self-service capabilities, Hybrid Work-Life Technologies

• Reducing human centric IT processes

Gain efficiencies through continuous rationalization of IT resources. Optimize processes to eliminate barriers to agility. Including optimization through the effective use of Artificial Intelligence

Institutionalize Proactive Cybersecurity

- Proactively reduce the risk of successful cyber-attacks against the FDIC digital infrastructure. Zero Trust Architecture; Cloud Native Cyber Infrastructure; DevSecOps;

Upskilling Workforce

• Strengthening our cybersecurity posture

Adopt cloud-native and Zero Trust Architecture (ZTA) approaches to turn application components into standardized building blocks that can be quickly reorganized into new security defenses or new business solutions while increasing resiliency

Build in Resilience - Strengthen IT resilience through intelligent automation and cloud-smart technologies. SaaS/PaaS/Shared Services first approach, last option IaaS with Cloud Native Architecture; Multi-cloud Cross-Connect Architecture, transform VSQ Datacenter to a computer room

• Improving digital employee experience (DEX)

Increase employee engagement, productivity, and stimulate innovation by continuously improving their Digital Experience. The cloud has already enabled the FDIC to quickly adapt to a public health crisis by creating a hybrid workspace and by focusing on employee experience as a design principle we can continue to generate value

IT Vision in Action

IT Vision in Action CIOO Vision: We value each other, have a healthy culture, and are the most respected and trusted information and technology organization within the Federal Government. We achieve this in collaboration with our partners to provide secure, reliable, and resilient capabilities that deliver business value.

The FDIC will continue to focus on modernizing our IT systems and practices, as well as improving our culture and transforming CIOO into a high-performing team. We will transition our operations to a more agile, user-centered, DevSecOps model; formalize IT policy and governance processes; and align our IT investments with business strategy to ensure we deliver value for the Corporation.

The following objectives are from the 2020-2023 CIOO Strategic Plan:

Strategic Objectives Objective Intended Results

Strategic objectives and their intended results table

Improve Customer Satisfaction Customer needs and expectations are consistently met.

Strengthen Partnerships Engaged and trusted partner amongst staff and customers in meeting the divisional mission objectives.

Improve Budget & Strategy Alignment We continuously refine and execute on a clear, comprehensive, multi-year plan.

Improve the Delivery of Services Secure and high-quality services are provided in a timely and efficient manner.

Improve Governance Established and communicated governance processes support orderly, repeatable, justifiable, and defensible processes across CIOO.

Enhance Culture A set of shared values, attitudes, competencies, and practices are established, adopted, and followed.

Improve Knowledge, Skills & Abilities

Resources effectively support a modern, secure, cost-effective, and flexible IT environment.

Improve the Use of Technology Tangible progress is made against IT modernization goals.

https://fdicnet.fdic.gov/content/dam/dit/publications/strategicoperatingplans/operatingplan/documents/cioo-strategic-plan-2020-2023.pdf

Audience and Purpose Audience Expected audience that would benefit the most from the target state architecture include all of the FDIC's leaders and strategists such as:

Purpose of this document Provide a bold view of a five year target that links risks, challenges, opportunities, pactices and strategies to the IT Modernization Plan

Additional Links

FDIC Strategic Plan

2020-2024 IT Modernization Plan (pdf)

Modernization Roadmap

OCIOO leadership at all levels• Solution architects• Business strategists• Business IT planners•

FDIC IT Modernization 2022-10-17 https://www.fdic.gov/about/strategic-plans/strategic/index.html https://fdicnet.fdic.gov/content/dam/dit/itgovernance/enterprisearchitecture/eahome/documents/it-modernization-plan-2020-2024.pdf https://roadmap.fdic.gov/ https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/fdic-it-modernization.html

Current Landscape

From the FDIC Strategic Plan, the major challenges facing FDIC include developing and implementing strategies to enable vibrant ecosystems of community and regional banks; managing the risks associated with Large and Complex Financial Institutions (LCFIs); managing the challenges and risks banks are experiencing in adopting new technologies or responding to cybersecurity threats; aiding underserved households and communities gain benefits from the FDIC insured institutions; and addressing the issues of workforce retirement and diversity in support of the FDIC's mission.

Over the years, the FDIC’s IT portfolio has grown in size and complexity, and much of the technology used to support the business is aging or approaching End of Life. The illustration below shows the scope of that complexity. Further, the IT budget has increased as a percentage of the overall corporate budget, and the level of effort required to manage and maintain the IT portfolio has grown.

Scope of current IT landscape https://www.fdic.gov/about/strategic-plans/strategic/index.html

The following table identifies considerations that influence the strategic vision of the IT environment.

Consideration Strategic Vision

We are spending about 80% of the CIOO budget and using significant capacity on operational activities, which limits innovation.

Rationalize, standardize and automate the operation of platforms to the maximum extent possible, while modernizing applications onto these platforms to reduce the operational costs.

We are individually managing and not fully utilizing thousands of servers with unique configurations (including high availability). These servers require specialized skillsets to administer. This impacts our ability to timely respond to performance issues, outages and maintenance.

Establish FDIC Platforms with built-in governance and standardized configurations to meet the needs of the organization.

These Platforms will leverage cloud service provider offerings for scalability, resiliency and redundancy.

We maintain over a thousand disparate and individually managed databases (SQL, Oracle, and DB2).

Leverage cloud service providers’ open source platform data management capabilities, such as PostgreSQL, to optimize licensing costs and increase resiliency and availability.

We maintain a diverse and expansive set of licenses for over a thousand IT products. This makes it difficult for FDIC to procure best value options, and manage, upgrade and protect the IT environments.

Rationalize products, platforms, and licenses to a smaller set of standardized software with an automated supply chain verification and optimize the end-to-end lifecycle management from budget/procurement through disposal.

Leverage approved cloud service providers with an emphasis on software as a service and open source over proprietary solutions to obtain better value.

Use infrastructure as code and declarative deployments to implement, auto test and simplify software upgrades.

We are manually managing hundreds of unique applications with limited standards or consistency.

Many of our business processes require multiple applications to complete a single function.

Modernization of individual applications may drive an accelerated increase in the number of applications.

Leveraging approved platforms with built-in automation and moving toward product lines will drive consistency and improve management.

Modernize and rationalize applications to streamline and automate the enabling of business processes from start to finish.

Favor use of existing cloud solutions and application enhancement over creating new applications.

Favor out-of-the-box applications and platforms without customization to the extent possible.

The average number of severity one outages is 25 per month with an average monthly impact of 1.5 business days of user downtime.

Apply automation, observability, resiliency, infrastructure as code, infrastructure testing, automated application testing, code coverage and DevSecOps to reduce impactful outages.

The highest number of production outages occur Monday after weekend maintenance or deployments

Move to deployment, management and operational methodologies, including security as code, that are automated and can be performed during normal working hours when staff is available to reduce the impact to the user community.

Consideration Strategic Vision

Release times are measured in months not weeks or days

Product teams need to use Agile, DevSecOps, automated testing, and Platforms to directly address business requirements (reducing reliance on external governance processes and streamlining release approval) to demonstrate business value in short increments.

Thousands of batch jobs execute between the hours of 7pm and 7am that move large quantities of data between applications. This negatively impacts the timeliness of data availability and increases storage, network usage, back-ups and security needs.

Consolidated databases are being used for integration between applications, a function for which they were not designed, and result in unnecessary complexity.

Data quality issues occur since extra processing occurs at both the inbound and outbound stages. Reliability issues often occur since intermediary data stores may not have the same availability requirements as the source or target applications.

Minimize batch data movement by leveraging Event Driven Architecture (EDA), Event Sourcing Pattern, and real-time Application Programming Interfaces (APIs).

Use EDA to dynamically manage optimized views of data within target applications avoiding intermediate data stores.

Manage large data movements and complex data transformations by migrating batch jobs to a Data Pipelining Pattern. Data pipelines can enhance observability of data, enable tracking of data lineage, provide restart capability, and improve the ability to protect and leverage data.

While improvements in the above referenced areas could be accomplished in isolation, a comprehensive, integrated approach would achieve more meaningful improvement in how the IT portfolio is managed, operated, and maintained.

Current Challenges Future Opportunities

Current Challenges & Future Opportunities

Customer Experience

IT Operations

Modernization

Bankers and the public often need to go through multiple steps to access FDIC services

End-user capabilities do not adequately support a modern and hybrid FDIC workforce

Delivering new demands are not timely and sometimes miss customer expectations

Siloed and disconnected data limits staff from performing data analytics

Streamline customer experience for bankers and the public

Highly intuitive end-user service for the hybrid, diverse, and digitally-empowered workforce to deliver the mission

Connected, timely, reliable, and high-quality data available for making informed business decisions

Deliver new IT solutions/services with speed and superior quality

Complex IT portfolio with 300+ applications and a wide spectrum of technologies with many approaching end of life

Reactive cybersecurity operations with long response times and expensive recovery

Change management is distributed and expensive

Simplified, resilient, and amenable IT portfolio for secure and reliable operations

Address cybersecurity risks proactively• Integrate change management•

Delivering new and modernized services are time consuming and labor-intensive

Limited support for innovation•

Deliver new and modernized IT solutions in a cost effective, less burdensome, and timely manner

Foster an innovation ecosystem•

Corporate University

Division of Administration

Complex Institution Supervision and Resolution

Division of Consumer Protection

Division of Finance

Division of Information Technology

Division of Insurance and Research

Division of Resolutions and Receiverships

Division of Risk Management Supervision

Legal

Office of Communications

Office of Inspector General

Office of Legislative Affairs

Office of Minority and Women Inclusion

Office of the Ombudsman https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DOA.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DCP.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DIT.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DRR.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/Legal.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OIG.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OMWI.html

> Current Landscape

Business Overview

Division of Consumer Protection

Division of Insurance and

Research

Division of Resolutions and Receiverships

Division of Information Technology

Complex Institution

Supervision and Resolution

Corporate University

Division of Administration

Division of Finance

Legal Office of Communications

Office of Inspector General

Office of Minority and Women

Inclusion

Division of Risk Management Supervision

Office of Legislative Affairs

Office of the Ombudsman https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DIR.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DIT.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/CU.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DOF.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OCOM.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OMWI.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OLA.html

> Business Overview

Division of Consumer Protection

DIVISION OF CONSUMER PROTECTION

To promote public confidence in the nation’s financial system by: (1) supervising insured financial institutions to ensure they treat consumers and depositors fairly and operate in compliance with federal consumer protection, anti-discrimination, and community reinvestment laws; and (2) promoting economic inclusion by helping to build and strengthen positive connections between insured financial institutions and consumers, depositors, small businesses, and communities.

Business Objectives:

Business Capabilities:

Value Chains:

DCP is primarily responsible for delivering services in the Supervision & Examination/Compliance, Outreach & Communication and Policy Strategy and Control capabilities. DCP works closely with RMS in Supervision activities and collaborates with partner divisions in support of other FDIC functions.

To provide these services DCP relies on a portfolio of applications supported by CIOO resources and a smaller set of business developed and supported tools. DCP is in the process of modernizing its supervision suite of applications through the implementation of the FOCUS application. FOCUS has recently replaced the legacy SOURCE application that had supported its main supervisory functions since the early nineties.

Division of Consumer Protection

Division of Insurance and

Research

Division of Resolutions and Receiverships

Division of Information Technology

Complex Institution

Supervision and Resolution

Corporate University

Division of Administration

Division of Finance

Legal Office of Communications

Office of Inspector General

Office of Minority and

Women Inclusion

Division of Risk Management Supervision

Office of Legislative

Affairs

Office of the Ombudsman

C2.2.1 Compliance Examination•

C2.2.2 Compliance Monitoring & Tracking•

C2.2.3 Compliance Enforcement•

C4.1.2 Supervisory Policy Management•

C5.1.1 Community Banking Outreach•

C5.1.5 Financial Services Industry Outreach•

C5.1.6 Government Relations•

C5.2.2 Financial Institution Relationship Management

C5.1.3 Consumer Complaint Management• https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DCP.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DRR.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/CISR.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DOA.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/Legal.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OIG.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/RMS.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OO.html

New Capabilities:

References:

Challenges:

A key priority for DCP is the implementation of the FOCUS system. FOCUS is the conduit with which DCP will not only consolidate and retire a number of its legacy and obsolete applications but also provide the opportunity to reevaluate its business processes.

DCP relies on enterprise applications that have a primary owner situated in another division/office. DCP sees the need to share ownership and work collaboratively with the other Divisions that have a stake in those applications. Examples include the EPIC, EFX, and FDICConnect systems. EPIC is currently owned by DOA and supports DCP’s Consumer Complaints activities. EFX and FDICConnect are primarily owned by RMS and supports similar DCP functions.

DCP uses a variety of tools and IT resources outside of its portfolio of formal applications monitored by CIOO. Some of these are home grown, in obsolete technologies, and some are shared with other divisions such as DOA, DCP and RMS. DCP needs to take a look at these tools and evaluate ownership, a target architecture, as well as better integrate them with the applications in its formal IT CIOO portfolio. As the FOCUS application evolves, DCP’s vision is to replace some of those tools with FOCUS functionality.

The Supervisory Policy capability is supported mostly through semi-manual processes using ad-hoc document repositories, and email communication.

DCP looks forward to the use of platforms that allow business led development such as MPP, Appian, Salesforce and other platforms and grow this capability.

DCP needs to use the tools and enterprise capabilities offered by the CIOO to perform data analytics and to leverage big data. This field in conjunction with Artificial Intelligence is growing rapidly and a number of DCP staff are dedicated to these activities.

Vision:

Strategies:

Tactics:

D d i

The FOCUS system is complete and adequately supports DCP’s supervisory business functions. DCP’s legacy and obsolete applications are retired and the new business processes are adopted and operational.

DCP has shared ownership and work collaboratively with the other Divisions that have a stake in applications that support its business processes. DCPs priorities are considered equally and funding and capacity for enhancements meets DCP demands.

Examples include the EPIC, EFX, and FDICConnect systems.

FDICConnect is modernized and integrates well with the new architectures.

DCP will have a standardized set of tools to complement the functionality that FOCUS and other major applications provide. A combined analysis and rationalization between DCP and CIOO on the “products” and “Tools” that are in EA-Rep/Service now occurred. These tools comply with FDIC’s target architecture and are well supported by the CIOO and internal DCP resources.

The Supervisory Policy processes are supported by modern electronic workflows and document repositories.

DCP uses low-code platforms to perform business led development and maintains a portfolio of DCP supported applications that complement its CIOO supported portfolio.

DCP has the resources to perform data analytics, machine learning and artificial intelligence in support of its business functions.

Work with the business owners of enterprise solutions and the CIOO to ensure DCP’s priorities are taken into consideration.

Modernize the technologies and processes used by DCP to work with partner agencies, the banking community and the public such as the single portal effort and FDICconnect modernization

Continue executing the FOCUS Program roadmap

Pursue and increase of O&M funding for enterprise systems to allow development teams to implement DCP enhancement requests.

In partnership with the CIOO perform an inventory analysis on tools and products used by DCP (in addition to the formal applications that were included in the 2022 Application Inventory Analysis), and develop a plan to modernize and replace those tools.

Work with RMS and the CIOO to understand the IT needs for the Supervisory Policy capability.

The CIOO to deliver the appropriate tools for DCP’s business led development and the appropriate governance and access to all major platforms.

Work with the CIOO to determine the right strategy and tools to perform DCP’s data analytics & research as well as the adoption of Artificial Intelligence and Machine learning techniques.

Risks:

Measurements:

KPIs:

Applications:

Demands:

Placeholder List the active, approved and deferred demands

AMORTIZATION Calculator•

ANNUAL PERCENTAGE RATE FOR WINDOWS•

ANNUAL PERCENTAGE YIELD CALCULATOR•

Branch Location Assessment Maps•

CalendarWiz•

COMMUNITY CONTACTS Database (CCD)•

COMMUNITY REINVESTMENT ACT (WEB)•

CRA RATINGS (PERFORMANCE EVALUATIONS)•

Framework for Oversight of Compliance and CRA Activities User Suite

DSC MANAGEMENT REPORTING SYSTEM•

OPEN-END CREDIT CALCULATOR•

Pre-Examination Planning•

SYSTEM OF UNIFORM REPORTING OF

COMPLIANCE AND CRA EXAMS

AEI - DCP Community Affairs MS Teams•

Electronic Deposit Insurance Estimator•

Consumer Affairs Reporting and Event System (CARES)

Social Learning Communities•

HMSRU•

CRA/FL WIZ •

SRS Source Report System •

> Business Overview

Division of Insurance and Research

DIVISION OF INSURANCE AND RESEARCH

To help the FDIC provide the public with a sound deposit insurance system by offering comprehensive statistical information on banking; identifying and analyzing emerging risks; conducting research that supports deposit insurance, banking policy, and risk assessment; addressing global financial issues of importance to the deposit insurance system; assessing the adequacy of the deposit insurance fund; maintaining an effective and fair risk-based premium system; and conducting economic analysis for FDIC rulemaking.

Business Objectives:

Business Capabilities:

Value Chains:

Division of Consumer Protection

Division of Insurance and

Research

Division of Resolutions and Receiverships

Division of Information Technology

Complex Institution

Supervision and Resolution

Corporate University

Division of Administration

Division of Finance

Legal Office of Communications

Office of Inspector General

Office of Minority and

Women Inclusion

Division of Risk Management Supervision

Office of Legislative

Affairs

Office of the Ombudsman

Provides banking information and data to other regulators, the financial services industry, external researchers, and the academic community.

Continue to:• Produce high quality research publications, dashboards, and analysis that support policy making and proper insurance contribution

Effectively communicate results of research and analysis to policy makers, bankers, the public, and the analyst community

Effectively capture, manage, and deliver timely and accurate data to support ongoing analysis and research, focusing on quality assurance for internal and external datasets

DIR identifies risks to the Deposit Insurance Fund by:

Analyzing regional, national, and global economic and financial trends;

Analyzing challenges posed to the economy, including the impact of the pandemic, natural disasters, climate risks, and other events; and

Using legacy on-site tools to perform analysis and research to:

Support policy making,• determine risk to the DIF, and• assess the current/projected adequacy of the DIF.

https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DCP.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DRR.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/CISR.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DOA.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/Legal.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OIG.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/RMS.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OO.html

Challenges:

Modernized Technology Stacks and Services: Leverage modernized technology stacks, services, and environments to strengthen resiliency, availability, and efficiency

Data Management & Analytics: Enhance the suite of capabilities with which to manage data throughout its life cycles, analyze and visualize data, and to continuously ensure the integrity and quality of the data

Data Architecture: Leverage modernized data architecture and data governance that enhance the consistency, availability, usability, and quality of data/data sets

Process Efficiency: Develop products that support the business process needs of users and integrate/increase automation where applicable

User Experience and Engagement: Ensure that products are intuitive and provide users with an optimized experience accessing services and information

Subject Matter Expertise and Technical Skills of DIR Staff: Grow and strengthen subject matter expertise with DIR business functions and data and the associated technical skills of the staff to programmatically support and access these

Currently relies upon legacy technologies that include mainframe hosted systems and a SAS environment that requires modernization.

• Is in the process of re-competing the off-site hosting of the Central Data Repository (CDR) environment supporting the

FFIEC.

Modernized Technology Stacks and Services• Data Management & Analytics• Data Architecture• User Experience and Engagement•

Subject Matter Expertise and Technical Skills of DIR Staff

Implement and operate new cost-effective technological solutions that meet analytical, data processing, and data sharing needs

Make operational the modernized Central Data Repository (CDR)

Modernize the SAS environment to ensure continued service/support, employing state-of-the-art analytical and data science tools— including implementation of AI/ML where beneficial

Tactics:

Dependencies:

Risks:

Measurements:

KPIs:

Applications:

Transition systems and products from the mainframe to modern technology stacks, including cloud-based infrastructure and applications (e.g. RRPS)

Leverage innovative technology to improve the efficiency and effectiveness of new statistical and analysis tools

Modernize existing technology for conducting research, analysis and reporting, while enhancing techniques and methodologies used to analyze the nature of risk exposure

Replace legacy software applications by moving to a cloud-based platform that ultimately will host analytical data and tools

Update the SAS architectural environment, moving to a modern SAS environment and transitioning from the legacy mainframe

Modernize RRPS•

Modernize the Central Data Repository (CDR)•

Enhance employee skillsets capable of realizing value from new technology investments, through a combination of training and new hiring initiatives

Deposit Insurance• Policy, Strategy, and Control•

Outreach and Communication• Corporate Support•

RRPS•

CDR•

Risk Pricing Model Analysis• Systemic Risk Analysis• Financial Risk Management• Deposit Insurance Policy Management•

International Relations• Financial Institution Relationship Management

Financial Institution Profile Tracking • Industry Sector & Aggregate Profile Tracking•

Demands:

Open Demands

Central Data Repository Recompete• RRPS Modernization• BFS Mod (BankFind Suite )• SAS Ecosystem Modernization (SEM)•

SAS Ecosystem Modernization (SEM)• Public Facing Applications to the Cloud• RRPS Modernization• Data Pipeline for Cloud Applications•

> Business Overview

Division of Resolutions and Receiverships

DIVISION OF RESOLUTIONS AND RECEIVERSHIPS

DRR promotes confidence in the financial system by paying insured depositors quickly and effectively managing failed bank receiverships.

Business Objectives:

Manage the lifecycle of bank closings:

Division of Consumer Protection

Division of Insurance and

Research

Division of Resolutions and Receiverships

Division of Information Technology

Complex Institution

Supervision and Resolution

Corporate University

Division of Administration

Division of Finance

Legal Office of Communications

Office of Inspector General

Office of Minority and

Women Inclusion

Division of Risk Management Supervision

Office of Legislative

Affairs

Office of the Ombudsman

Pre Closing: Division of Resolutions and Receiverships (DRR), in concert with the other financial regulators, continuously monitors the health of financial institutions that meet certain supervisory and financial criteria to help DRR prepare for potential failures. The pre-closing period begins when DRR receives the Prompt Corrective Action (PCA) letter issued by the financial institution’s primary regulator and ends when the FDIC is appointed Receiver of the failed institution.

Closing: Once the charting authority closes the bank and appoints the FDIC as Receiver, DRR initiates the closing of the bank. After the FDIC revokes the failing institution’s certificate of insurance, the primary regulator closes the institution and appoints the FDIC as Receiver.

Post Closing: The post-closing phase starts when Proforma is complete and continues until the receivership can be terminated.

Termination of the receivership usually takes approximately three to five years from the failure date. The type of resolution transaction determines how many assets and liabilities are left in the receivership.

https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DCP.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DRR.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/CISR.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/DOA.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/Legal.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OIG.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/RMS.html https://fdicnet.fdic.gov/content/dit/home/itgovernance/enterprisearchitecture/target_states/targetarch/current_challenges/businessOverview/OO.html

Business Capabilities:

Value Chains:

New Capabilities:

3.1 Resolution•

3.1.3 Resolution Execution•

3.1.4 Liability Management•

3.1.5 Bridge Management•

3.2 Receivership•

3.2.1 Receivership Management•

3.2.2 Investigations Management•

3.2.3 Asset Marketing•

3.2.4 Asset Management•

4.1 Regulatory Policy Management•

4.1.3 Resolution & Receivership Policy

Management

4.2 Goals & Objectives•

4.2.1 Corporate Goal & Objective

Management

4.2.2 Corporate Strategy Determination•

4.2.3 Corporate Performance

Management

5.1 Public Relations & Outreach•

5.1.3 Consumer Complaint Management•

5.1.4 Consumer/Public Education•

5.1.5 Financial Services Industry

Outreach

5.1.6 Government Relations•

5.2 Relationship Management•

5.2.1 Consumer Relationship

Management

5.2.2 Financial Institution Relationship

Management

5.2.3 Investor Relationship Management•

6.1 Business Management & Finance•

6.1.1 Contract Management•

6.1.3 Operational Efficiency &

Intelligence

6.1.5 Receivership Accounting•

6.1.5 Receivership Accounting•

6.1.6 Vendor Management•

6.1.7 Case Management•

6.3 Human Resources Management•

6.3.3 Workforce Management•

6.3.4 Workforce Training•

6.5 Technology•

6.5.2 IT Operations Management•

Resolution and Receivership• Policy, Strategy, and Control• Outreach and Communication• Corporate Support•

Fully functional portal to interact with customers

Application Rationalization (Can CISR use DRR’s systems to close banks?)

A plan to support Salesforce in the future• Budgets to allow flexibility to perform true Agile Development via Product Teams

DRR and APDB need the contract authority to perform changes faster and provide solid O&M in Salesforce

Provide multiple ways to pay depositors (Check, Zelle, PayPal, wire transfer, etc.)

Self Certifications, Self Service payouts• Use Loss Share Transactions more easily in the future

Authentication for depositors when verifying account balances

Reduce the number of systems used• Analysis between DRR and CISR business requirements

Challenges:

Strategies:

Tactics:

Dependencies:

A large portfolio is challenging to manage and creates many points of failure

Are we focusing to much on the portfolio and not enough on the underlying DRR business processes?

Does a Portfolio Rationalization effort really add business value? This needs to be PC’d

The lack of a fully functioning portal to interact with our customers.

Can CISR successfully use DRR systems to close banks?

Is there enough joint analysis taking place between DRR and CISR?

CISR’s large banks have assets that DRR’s banks do not…..

CIOO does not have a good plan on how they can support Salesforce in the future. Future budgets do not have the flexibility to perform true Agile Development via Product Teams. DRR and APDB need the contract authority to perform changes faster and provide solid O&M in Salesforce.

Experienced employees are retiring• Not being able to easily and quickly create MVPs in Salesforce.

Large Application Portfolio (Why do we have each application and should we keep it? )

Mature Business Process Mgmt/Business Architecture Practices

All portfolio changes need to provide real measureable business value and cost savings

We need to provide multiple ways to pay depositors (check, Zelle, PayPal, wire transfer, etc.)

Self Certification ……. Self Service payouts…. (follow up with Brandon )

We need to be able to use Loss Share Transactions more easily in the future

Build and maintain a high-performing workforce that is flexible, engaged, diverse, and inclusive

Ensure operational readiness•

Establish and strengthen partnerships to meet DRR’s mission

Reduce the number of systems• Get off of contained technologies• We need to know via Rationalization why every system exists and who uses it, etc.

Currently we do not have all of those answers in one place.

Asset Marketing and Management• Liability Management• Receivership Management•

Resolution Planning and Execution• Shared Services•

Risks:

KPIs:

Delivering IT Solutions to Enable Business Needs is Time-Consuming, Limited Support for Innovation

Disconnected/Unreliable Data and Inadequate Analytics Provide Insufficient Support for Decision-making

Limited Availability of IT Solutions Across Devices and Business Hours

Inconsistent and Unsatisfactory Customer Experience for Technology Solutions and IT Services

Reactive Cybersecurity Operations, Longer and Expensive Response/Recovery

Labor-intensive/Costly IT Operations and Change-management

Complex IT Portfolio Management, 300+ applications, Wide spectrum of Technologies with many Approaching/past Vendor Support

A large portfolio is challenging to manage and creates many points of failure

Inability to easily and quickly create MVP’s in Salesforce

Lack of visibility and rationalization of why every system exists, who uses it, and should we keep it

Knowledge is being lost by experienced personnel who is retiring

Customer (Self) Service Portal: Shared Services

Resolution Planning and Execution• Receivership Management•

Asset Marketing and Management• Liability Management•

Applications:

AGGREGATE ASSET VALUATION REVIEW

(AAVR)

BIS SQL SERVER (BISSQL)•

BIS OPERATIONAL DATABASE (BOLD)•

Resolution Planning Tool (RPT)• VENUE Virtual Data Room (Venue)•

FRANCHISE MARKETING SYSTEM (FMS)•

LEAST COST TEST MODEL (LCTM)•

Purchase & Assumption Settlements System

(PASS)

Provisional Hold System (PHS)•

PROFORMA (PINTO) (PROFORMA (PINTO))•

Resolution Information Tracking Application

(RITA)

SETTLEMENTS TRACKING AND

RECONCILATION SYSTEM (STRS)

SETTLEMENTS TRACKING AND

RECONCILATION SYSTEM-FIELD VERSION

(STRS-FIELD)

Bridger (Bridger)• Claims Administration System (CAS)• Dividends Web _ Unclaimed Funds

(DIV_FUNDS)

DRR Internet Publications (Am I Insured)

(DRRIP)

INTEGRATED COMPLIANCE ENGINE (ICE)•

Non-Deposit Claims (NDC)•

PENSION TRACKING (PENTRAX+)•

Resolution and Receivership Management Portal (RRMP)

Resolution Transaction Submission Portal

(RTSP)

WARRANTIES AND REPS ACCTS PROCESSING

SYSTEM (WRAPS)

CUSTOMER SERVICE CONTACT SYSTEM (CSCS)•

DRRIP Balance Sheet (DRRIPBAL)• Receivership Oversight Management System

(ROMS)

TAX TRACK (TAXTRACK)•

Divisional Oversight of Liability Litigation and Restitution System (DOLLARS)

Closed Loan Sales and Closed Real Estate

(CSCRE)

Sales Tracker (Sales Tracker)• 4C (4C)•

CUSTOMER SERVICE APPOINTMENT

SCHEDULING SYSTEM (APSS)

CCH Axcess Tax (CCH)• Environmental Request Tracking System

(ERTS)

LLC Accounting Database (LAD)• Metavante-Insight System (METIN)•

ORE TRACKER (ORETRACKER)•

Post Closing Automation and Monitoring

(PCAM)

PREMISE TRACKER (PREMISETRACKER)•

Receivership Assets Data Repository (RADR)•

RECEIVERSHIP ASSETS IN LITIGATION (RAIL)•

SUBSIDIARY ASSET MANAGEMENT (SAM)•

Unclaimed Property System (UPS)•

DIVIDEND PROCESSING SYSTEM (DPS)•

Contractor Management System (CMS)• TRACK and ROUTE AUTHORIZATION CASES

(TRAC)

Closing Workforce Scheduler System (CWSS)• Apex Workspace Security Management

(AWSM)

> Business Overview

Division of Information Technology

DIVISION OF INFORMATION TECHNOLOGY

The Division of Information Technology (DIT) provides information technology (IT) leadership and services in support of the FDIC, including policy and program direction; development, implementation, and maintenance of information systems; management of telecommunications networks, hardware, and software; and servicing the information needs and requests of users within and outside the Corporation.

Business Objectives:

Business Capabilities:

Value Chains:

Transformation Strategy

To meet the demands of an evolving regulatory environment, the FDIC envisions operationalizing an Adaptive IT Architecture.