Change Leadership Watch
14.9K views | +0 today
Follow
Change Leadership Watch
How change happens and who is leading it.  For the BEST of the BEST curated news SUBSCRIBE to our monthly newsletter via  Reveln.com/Tools/ (We never SPAM!)
Your new post is loading...
Your new post is loading...
Scooped by Deb Nystrom, REVELN
Scoop.it!

Smart profits, smart values and sustainability from a bank boss who dares to be different

Smart profits, smart values and sustainability from a bank boss who dares to be different | Change Leadership Watch | Scoop.it

Anders Bouvin is the boss of the most successful bank you've probably never heard of. And he, like the bank he runs, will challenge your preconceptions.   

    

For starters, this African-born, Swedish chief executive of Handelsbanken's growing UK operation doesn't receive an annual bonus, ...[and] has been with the Swedish bank for 28 years.

    

Most surprisingly, the 55-year-old supports west London's Queens Park Rangers Football Club with a passion intriguing for a Swede who spent the first 10 years of his life growing up in Zimbabwe.

   

….Anders Bouvin…was thrilled to be offered a job…in a company "whose values coincided completely with my own".

    

Those values - long-term-ism, and a philosophy of de-centralization encapsulated in the slogan "the branch is the bank" - seem almost too good to be true in a current banking era of fines, debt crises and outsourced customer service.

  

Big banks, according to the popular narrative, were the primary causers of the global debt crisis thanks to their reckless investment in high-risk mortgage-backed bonds.

    

Handelsbanken says its branches, such as this one in Aberdeen, come first


But Handelsbanken remained above the fray, emerging with a balance sheet strong enough to make European banking regulators purr with delight.


…next to no marketing keeps overheads down and return on equity up.

     

At Handelsbanken returning a share of the profits to long-term staff is also key. If the bank exceeds the average profitability rate of its peers, then surplus profits are put into a fund and distributed to all the staff.

    

Handelsbanken
*  Founded in 1871
*  Has no sales or market-share targets
*  Staff get flat salaries without bonuses
*  Claims to have achieved higher profitability than the average of its rivals for 41 years in a row


...Handelsbanken, headquarter[ed] in London, is expanding to meet increased demand while some of its larger rivals get smaller.


"Many banks are having to absorb huge losses and have had to shrink to repair their balance sheets... and there are clear indications that SMEs [small and medium-sized businesses] are bearing the brunt of this. It's very sad."


All in all, Anders Bouvin appears the least likely candidate for executive burnout you'll ever meet.

Related tools & posts by Deb:

     

    

  • Stay in touch with Best of the Best news, taken from Deb's  NINE multi-gold award winning curation streams from @Deb Nystrom, REVELN delivered once a month via email, available for free here, via REVELN Tools.

 

Deb Nystrom, REVELN's insight:

This is yet another positive example of how smart, people-centered values, with decision-making driven down the chain and low hierarchy, can drive profitability and sustainability, even in one of the most traditional industries. More information on comparisons with other business models to follow. ~ Deb


more...
Deb Nystrom, REVELN's curator insight, February 26, 2014 3:02 PM

This is yet another positive example of how smart, people-centered values, with decision-making driven down the chain and low hierarchy, can drive profitability and sustainability, even in one of the most traditional industries. ~ Deb

Scooped by Deb Nystrom, REVELN
Scoop.it!

New Approaches on the Fed Fast Track: Did Charles Evans Save the Recovery?

New Approaches on the Fed Fast Track: Did Charles Evans Save the Recovery? | Change Leadership Watch | Scoop.it
Chicago Fed president Charles Evans has gone from dissenter to intellectual leader in just a year. The future of the recovery might be at stake
Deb Nystrom, REVELN's insight:

When a post features statements like this, " just a year later, the Fed has fully embraced the so-called Evans rule by linking interest rates to the unemployment rate." - it's time to take notice of what captured minds, as well as hearts and the hands on the wheel of interest rates change."  ~  D

more...
No comment yet.