Yap Kredi Technology Yap Kredi Bank Information Technology

Yapı Kredi Technology Yapı Kredi Bank Information Technology May, 2001

General Overview Yapı Kredi Technology Architecture Application Architecture Technological Organization & Key Processes

General Overview Technology Architecture Wide Area Network Local Area Network Mainframe/Paralel Sysplex Branch Architecture Yapı Kredi Technology Branch Architecture Application Architecture ATM Call Center POS Program & Project Mngt. Phone Banking SWIFT/MERVA Change Mngt. Service Mngt. Recovery Mngt. Telephone Banking Technological Organization & Key Processes Quality Mngt. Security Mngt. Operations Mngt. YKB IT

Yapı Kredi Bank Information Technology Organization PROJECTS OPERATIONS Technological Strategies Management LAN Operations & Maintenance System Management Project Design & Development Quality Management Branch & HQ Environments Yapı Kredi Technology System Management System & Network Security Operations (DBA, CICS, MVS, Storage) App. Planning VTAM Prog. Service Mngt Change Mngt Test Mngt Network Systems WAN Operations & Maintenance YKB-NET Product Development Türk Telecom Relations System HW & Infrastructure Application Development Human Resources Field Services Project Based Groups (30 ongoing projects)

General Overview Yapı Kredi Technology Architecture Application Architecture Technological Organization & Key Processes

Technology Architecture Mainframe/Paralel Sysplex Yapı Kredi Technology Wide Area Network Local Area Network Branch Architecture Call Center/Alobanka ATM POS SWIFT/MERVA Telephone Banking

Yapı Kredi Technology MAINFRAME - Hardware - Multiple Virtual Storage / Enterprise Systems Architecture - Operating System - Database - Online Transaction Processing System - Network S/390 SYSPLEX OS/390 DB 2 CICS VTAM

Our Systems PRODUCTION • 4 Mainframe on production • 2518 mips • 2 coupling facility • 7 terabyte disk capacity (Including ODM) X 47 : 618 mips. BX 04 TSOR R 66 : 640 mips BX 01 TSOL SYSP X 47 BX 02 TSOI R 66 BX 03 TSOP R 36 TEST BX 08 BX 09 SXS 1 SXS 2 YX 01 YX 03 TSOT TSOZ TSOA TSOB Y 2 K

Yapı Kredi Technology Wide Area Networks “Business Enabler” communication network - IP (ie. Notes) u multiprotocol support u scalability u security u availability u manageability u network cost of ownership Application flexibility u Use of Internet technologies (JAVA, HTML, Intranet, extranet) Virtual Private Networking (VPN) Service Provider like service provisioning

Our Network Model SNA IP Network MSD OS/2 SNA Network & other VPN POS ATM Backbone >line up >stat Distribution IP Network Access Integrated Network & Service Management Network Management Systems Multiple Service WAN Backbone

New Communication Network Frame Relay & Concentration Centers Yapı Kredi Technology TEKIRDAG LEVENT BAHÇEK API ATAKOY KADIKÖY ZONGULDAK SAMSUN GEBZE A IZMIT GEBZE B CANAKKALE BURSA BALIKESIR ESKISEHIR ANKARA MANISA IZMIR PAMUKKALE KAYSERI KONYA AYDIN DIYARBAKIR MUGLA ANTALYA MERSIN ADANA GAZIANTEP

Local Area Networks The use of ATM Technology enables us: u Yapı Kredi Technology u u u Only one architecture for LAN & WAN Scalable architecture Switching Technology Quality of Service & Better Resource Sharing Protocol Independence Simplified Configuration & Management Increased Security Token Ring segments Ethernet technology

2 mbit lines es in tl line bit bi # of users : 2100 D-Building Backbone - Fast Ethernet Floors - Switched Ethernet Cabling - Fiber Optic & UTP 5 Servers - NT, Unix, OS/2 Clients -NT workstation OS/2 workstation # of users : 815 m 2 m OPC Backbone - ATM Floors - Switched Ethernet Cabling - Fiber Optic & UTP 5 Servers - NT, Unix, OS/2 Clients -NT workstation OS/2 workstation Remote Locations -YKB Branches -Regional Office -YKB Investment -Law Departments # of users : 8000 2 Yapı Kredi Technology s Local Area Networks A-Building Backbone - Ethernet Cabling - UTP 5 Servers - NT Clients - Win 9 X # of users : 180

Yapı Kredi Technology BRANCH ARCHITECTURE System Software • IBM OS/2 Base Operating System • IBM Network Communications Server for OS/2 Warp Version 5. 00 • IBM OS/2 LAN Server • Netfinity Manager for OS/2 • IBM DB 2 Universal Database Personal Edition • FCP (Foundation for Coorperative Processing) • EDM (Enterprise Destop Manager) Application Software • FFS (Foundation for Financial Services) • Lan. DP Version 4. 0 • Netscape (Web Browser)

BRANCH ARCHITECTURE WAN Yapı Kredi Technology HOST Router SERVER IBM PC 330 NETBIOS & TCP/IP (TOKEN RING) ATM Client PC

Yapı Kredi Technology CALL CENTER Call Center provides to our customers the following services: • Balance Inquiry • Money Transfer/Electronic Funds Transfer • Foreign Exchange • Securities/Treasury • Repo (Repurchase Agreement) • Bill Payments • Automatic Payments • Credit Card Operations • Private Label Card Operations • Card Issues • Time Deposits/Demand Deposits

CALL CENTER / 444 0 444 One telephone number to reach all over TURKEY Yapı Kredi Technology İst. -Levent İst. -Kadıköy Kars Bursa Gebze Ankara İzmir Antalya Erzurum Adana Leased Line + MD 110 solution 20 cities Türk Telekom Orientation Service 60 cities Backup Oriented Leased Line

CALL CENTER DB (Oracle) Server NT PDC Print Server Host 3745 (FEP) NT SNA Server Right. Fax (BDC? ) Agent PCs and phones Application Link Server TT CTI Server (Genesys) LU 6. 2 APPC Switch (ERICSSON) Securities (MNKP) CIF (SGLP) Credit Cards (FBS) Tele 24 (ATMP) MD 110 Customer Call Center Interfac programs CICSADKP Tele İşlem (YTLP) Sesli Yanıt Sistemi (Inter. Voice) Individual Loans (NWBP)

ATM Yapı Kredi Technology • Tools used in the development of ATM applications: – NDC (NCR Direct Connect) – SSDS (Self Service Development System) • Application platform: OS/2 • Currently, NDC applications are replaced by SSDS applications. • Number of active ATM 1. 313 (NCR)

Yapı Kredi Technology ATM

POS Telephone Banking SHOW TV, etc Yapı Kredi Technology LIPMAN POS (22. 000) PSTN NT PNA Concentrator SCH POS (12. 500) Intellect POS (2. 500) Ingenico POS (1. 500) OS/2 PNA Concentrator wireless Mobicom Mobitex Lu Cics to Cics Lu POS Terminal X 25 Manager Mobitex Bank Gateway wireless Lu 6. 2 Lu Superonline Internet shopping Banking Gateway HALF SET (Pilot) MPOS + Gateway Number of active POS Lu Amway (AS/400) 66. 473 SWITCH

Yapı Kredi Technology SWIFT • YKB’s daily incoming & outgoing message quantity averages 4500 • SWIFT services are provided to customers through 29 centre

SWIFT Yapı Kredi Technology YKB Network SWIFT INTERNATIONAL PSTN Dial line RC BILTAM Regional Processor Dusseldorf Factoring YKB VTAM SNA Merva CICS X 25 Lu CIP Router Investment FX Operations Branches

Telephone Banking Yapı Kredi Technology IVR (Interactive Voice Response) • Current IVR applications – Teletel – Alobanka (17 cities) – KKMHB (Credit cards customer service department) • Hardware : Intervoice • Software : Invision & Iform with applications developed on OS/2 platform

General Overview Yapı Kredi Technology Architecture Application Architecture Technological Organization & Key Processes

Application Architecture - YKB Relationship Management Product Factory Delivery Services Yapı Kredi Technology ATM Portfolio Management POS Deposit (TD, DD) FBS Securities Promissory Notes FX Import / Export Teletel Loans&Credits NBS EFT Cheques Merchant Telerom Sales Support System CMS Treasury Payments YKB HR Teller (Branch) I N F O C E N T E R Corporate Tables DAL Internet Banking GL / Accounting Settlement Phone Banking Reporting Batch Operations Internet Shopping PCM Campaign Management Credit Risk Management & Control Productivity Information Delivery CIF

Why change? Yapı Kredi Technology Before Change After Change Customer introduction on different systems One customer information file Difficulty in creating new products Different user interfaces for different environments Product factory Product based Customer Bank relation Consolidated customer data Product Based Standard graphical user interface Customer Based

Yapı Kredi Technology Benefits of change • Functional diversity, • Scenario based work, • Ability to reach and process accounts from different branches, • Parametric and flexible pricing, • Adaptation to Euro, • Integration with the electronic mailing system (Notes), • Possibility to analyse customer, portfolio, branch, field or region based efficiency and profitability, • Operational costs reflecting customer and portfolio profitability, • Different budgeting options on the system.

General Overview Yapı Kredi Technology Architecture Application Architecture Technological Organization & Key Processes

Technological Organization & Key Processes Operations Management & Organization Yapı Kredi Technology Service Management Change Management Security Management Project Management Quality Management Disaster Recovery

Yapı Kredi Technology Operations Management • Guaranties that the production environments are up and efficiently working, 7 x 24 hours a week, • Operation and maintenance of mainframe systems, • System support and problem solving for environments such as MVS, DB 2, CICS, VTAM, etc.

Yapı Kredi Technology Operations Management - Database Our database structure: • DB 2 (Banking operations) • VSAM (ATM, Credit Cards) • Oracle (Call Center) • Sybase (Securities)

Yapı Kredi Technology Operations Management - Storage Our storage media & capacity: • On disk for online data - 5 terabytes • On tape for archive data - 70 terabytes • Optic CD’s - 3, 5 terabytes Our storage hardware • 2 Storagetek 9310 Powderhorn tape library • IBM virtual tape server (VTS) • 2 Hitachi 7700 E disk • 2 IBM Ramac virtual array (RVA) • 2 IBM Optic library • 5 IBM RAMAC Disc

Yapı Kredi Technology Operations Management - Batch • Tool used: IBM OPC • Batch jobs run daily average 3500, this number peaks to 5000 at the end of the month/period. • Batch processes, backing up processes and maintenance ends by 09: 00 am. • File transfer, data control and support operations for our customers

Yapı Kredi Technology Operations Management - Online • Tool used: Omegamon • Daily Branch CICS transaction counts averages 2, 800, 000 • Daily Retail Banking CICS transaction counts averages 2, 000

Yapı Kredi Technology Service Management focuses on: • Ensuring that these services are meeting defined standards (Service Level Agreements) • Providing a liaison to users, developers, architects and vendors, • Monitoring the services which are provided to these groups,

Yapı Kredi Technology Service Management Developers/ Architects & Vendors Users Service Managing Planning Change Systems Management Service Management

Yapı Kredi Technology Change Management aims at: • To protect our production environment from all negative effects of change, • To realize each change at the required time interval and quality level, • To enhance productivity and efficiency 38

Yapı Kredi Technology Security Management • Security Management aims at protecting all YKB resources against unauthorized access • Our main security issues are: – – – Authentication (via user ID & password) Authorization (defining user level access) Access control (protection of resources) Account Management (via security rules) Audit (of user violations & critical resources) Availability (intruder detection, virus protection)

Yapı Kredi Technology Project Management • Yapı Kredi Technology is mainly a project based organization, • Our project office plans & tracks globally all the projects, • There are more than 40 ongoing projects, • 31 certified project managers (certified by PMI, the Project Management Institute)

Yapı Kredi Technology Quality Management • In November 2000, YKT were audited by the international auditors of the TUVRheiland, Germany and found eligible for an ISO-9001: 1994. • TUV also recommended that YKT can apply for the ISO-9001: 2000 upgrade anytime, since YKT’S custom quality system already incorporates the newest requirements of the new version which became available in January 2001.

Recovery Management Yapı Kredi Technology Our scope: Our objective: All the production assets of YKB To provide continuous production service Recovery planning strategies: • Outage Prevention (to build infrastructure such that outage never occurs) • Normal Recovery (To build procedures that enable to recover services as soon as possible if outage occurs) • Disaster Recovery (To recover service in a different location if uncontrollable event destroys the current location)