A Smarter, Safer Future for Pension Funds
As pension funds modernize, the return on investment from cloud-native, SaaS-based administration platforms becomes clear: predictable costs, stronger security, faster implementations, and smarter automation.
Vitech’s V3locity platform delivers not only operational efficiency but also measurable financial and risk-based ROI through innovations like AI automation, ID.me integration, AI Driven Reporting and Analytics, Cutting-Edge Retirement Modeling Tools, Security+ capabilities, and Geo Location Security.
1. Lower Total Cost of Ownership (TCO)
By eliminating on-premises infrastructure and manual maintenance, funds cut operational costs by up to 77% compared to legacy systems (Gartner).
- No hardware refreshes or data center costs.
- Predictable SaaS subscription model replaces large capital expenses.
- Continuous updates and AI-powered regression testing reduce upgrade costs.
ROI Impact: Savings of $250K–$500K over 4 years for mid-sized funds; up to $2M annually for larger systems.
2. Faster, Lower Cost Implementations
With preconfigured industry frameworks and modern automation tools, V3locity accelerates go-lives by 30–40% while reducing dependency on vendor resources.
- AI-Powered Automated Regression Testing ensures each release is faster, safer, and less labor-intensive.
- Configurable rules engines decrease custom development and empower clients to make post-go-live changes themselves—no waiting on vendor schedules.
ROI Impact: Faster time-to-value, fewer delays, and millions saved in implementation and upgrade cycles.
3. Automation & Straight-Through Processing
AI-driven workflows and GenAI assistants can reduce manual reconciliation, accelerate eligibility validation, and automate QA for complex benefit calculations.
- Straight-through automation yields 20–35% operational savings annually (Deloitte).
- Digital self-service for members and employers increases transparency, deflects calls, and speeds issue resolution.
ROI Impact: $3–5M annual savings for funds with 100,000+ members.
4. AI-Driven Reporting & Analytics
V3locity’s AI-driven reporting and analytics eliminate the manual work of data extraction, validation, and analysis. Reports that once took days can now be generated in under a minute, speeding decision-making across operations, finance, actuarial, and executive teams.
McKinsey and IDC research shows knowledge workers spend 2.5 hours per day, nearly 30% of the workday, searching for and organizing information—time that could be redirected to higher-value tasks.
By automating these processes, V3locity reduces manual reporting, minimizes errors, and frees staff to focus on strategic decisions.
ROI Impact: Significant reduction in reporting workload, faster operational decisions, and substantial labor cost savings.
5. Security & Fraud Prevention
ID.me Integration
Trusted by the IRS and SSA, ID.me integrates out-of-the-box with V3locity to deliver secure, biometric identity verification across the member lifecycle, strengthening fraud prevention and enhancing the user experience.
Proven Results: Minnesota Teachers Retirement System Case Study
ID.me’s published results highlight the impact for pension populations:
- 96% of members verified entirely on their own—no staff intervention required.
- Median time to verify: 5.2 minutes, enabling fast, seamless access to online services.
These metrics directly reduce authentication-related help desk calls and eliminate identity-based friction for members logging into their self-service portal.
Benefits for Pension Funds
- Prevents account takeovers and payment diversion.
- Reduces call center volume by 30–60%, saving up to $3M annually.
- Supports retirees worldwide through secure, portable authentication.
ROI Impact: Reduces IT maintenance costs, minimizes onboarding time, and enhances compliance.
Security+ Framework
Delivers continuous enhancements and architectural maturity:
- Ad hoc security updates outside standard release cycles.
- Single Sign-On (SSO) for unified user access.
- Backward-compatible APIs supporting JWT and OAuth 2.0.
- Streamlined provisioning, faster data retrieval, and consistent governance.
- SCIM-based automated user provisioning, which synchronizes accounts and roles with identity providers like Azure AD / Entra to reduce manual administration and strengthen governance
ROI Impact: Stronger data protection, improved system reliability, and reduced maintenance burden.
Geo Location Security
Adds intelligent fraud detection and adaptive authentication:
- Detects anomalies in login location or IP behavior.
- Triggers 2FA when activity deviates from known patterns.
- Strengthens trust by preventing credential misuse.
ROI Impact: Avoidance of costly breaches, reduced fraud exposure, and improved member confidence.
6. Compliance & Governance Confidence
Built-in audit trails, dashboards, and real-time reporting ensure fiduciary oversight and transparency.
- Automated DOL, ERISA, and PBGC reporting.
- Reduced compliance labor and faster audits.
ROI Impact: 25% lower audit costs and hundreds of staff hours saved per year .
7. Quantifying the ROI
| Category | Annual ROI Impact |
| IT & Infrastructure Savings | $1–2M |
| Implementation & Upgrade Efficiencies | $1–2M |
| Automation & Operational Efficiency | $3–5M |
| Fraud Prevention (ID.me + Geo Security) | $2–3M |
| Compliance & Audit Savings | $250K–$500K |
| Total Annual ROI | $6–12M+ |
The Bigger Picture
Modernizing with V3locity delivers far more than financial returns:
- Security-first design through Security+, SCIM, and ID.me.
- Operational agility via automation, AI testing, and rapid provisioning.
- Enhanced user experience for trustees, administrators, employers, and members.
The ROI of modernization is clear — lower costs, higher security, and lasting confidence.
Sources: Gartner (2023), IDC (2022), Deloitte (2022), PwC (2023), FBI (2023), FTC (2023), ID.me (2024), McKinsey (2023), Microsoft (2024), NIST (2023), OWASP (2024), Everest Group (2024), Capgemini (2023).
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