Rabobank - Simply the best
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3 International
activities during the 'Dairy year' and an em-
phasis on the need for a layered approach over
a number of years appeared to satisfy the
GMs. The grain and oil seed industries will be
the focus of 1995.
Inhouse seminars
Training was another focal point. There was
general agreement on the need for more
courses to introducé the food and agribusiness
sector to newly recruited staff. This need was
emphasized by the acceptance that this sector
requires a range of specific knowledge and few
new personnel ffom other areas of the bank
ing industry tend to have this know-how. A
suggestion to set up seminars using both ex-
ternal and interna! experts from autumn this
year was welcomed, although the notion of
an account manager's manual detailing basic
statistics and information on all agri-sectors
was not greeted with great enthusiasm. The
argument against publishing such a manual
was the danger of losing copies to the compe-
tition. On the other hand, the announcement
of indepth studies on general food companies
and food retail operations to be published this
year was applauded.
Condusions
Following four days of speeches, work groups
and presentations, notably from Niek Streef-
kerk's agri-project finance team outlining
their activities worldwide, Friday afternoon
was given over to conclusions. The standardiz-
ation of computer systems was recognized as
an essential move towards improving report-
ing and efficiency, and Atlas is seen as a step
in the right direction, with Sybase implement-
ed in all offices in 1995. At the beginning of the
week everyone knew the division as a whole
was behind budget. Further main points
were the imbalance in income. Great focus at
all the offices is needed to correct that balance,
so that the bank moves away from an as-
setdrives position towards a return-driven
organization. 'We are still a young organiz-
ation' Van Slingelandt says, 'so there are
growing pains, because a lot of our branches
have not yet achieved critical mass and are still
looking for equilibrium. But we are not man
agers for nothing, and as managers should be
out in our markets all the time. What we need
is an improvement in product/market com-
bination, as well as an awareness of our sol-
vency position. In other words, we need syn-
ergy and equilibrium so that we will simply be
the best - both literally and figuratively.' -<
ISSUE 30/27 JUNE 1994
Aithough 1994 results are currently lagging behind budget, there was still
an air of confidence at the annual general managers conference held in
early June. The reasons for the lag are primarily extremely tough targets
and an unstable situation in much of the world. But, as the GMs agree,
the year is not over yet and there is still time enough to catch up.
Return on solvability
>- The usual five-day meeting was crammed
into four this year as general managers took time
out to attend the bank's Annual Members
Meeting (see page 4). But the time available
was used to the full, especially for discussions
on improved return on solvability which is
seen as one way of achieving the international
division's tough targets. After division chief
Van Slingelandt's opening comments, the
GMs got straight down to working groups on
solvency, solvability and reporting before con-
solidating results of these discussions. The
bottom line was a need for more inventiveness
and creativity in the search for the balance re-
quired to function well and continue growing.
As Van Slingelandt pointed out: 'sometimes it
goes great, sometimes less great, but we're full
of confidence in the organization and are not
proposing policy or strategy changes'.
Learning processes
One of the highlights of the conference was
the presentations given by Germany's Albert
Sonntag on the ongoing reorganization of the
bank's operations there. Germany occupies
an exceptional position in the international
division's structure in that the operation was
acquired as a working retail bank. Over time,
it has moved gradually towards full wholesale
activities and this has meant a lot of changes
in organization. 'What we have done is in-
volve all staff in the shaping and thinking pro-
cess', says Sonntag. 'And I would say we've
achieved extremely positive results in develop-
ing wholesale-client orientation within our
offices. In fact, some of our middle-manage-
ment teams have proved even more aggressive
that I envisaged at the start. It really is a
good sign and I think other offices can learn
The now-traditional group portait
shows the division is growing
all the time.
from what we are doing. (This process is still
ongoing at the German offices and Raboband
International will bring a full report in the
autumn.)
Food Agribusiness
The presentation on food and agri developed
into a full-scale discussion. Cor Broekhuyse
outlined the current state of play within mar
kets worldwide, pointing out shifts in domi-
nance following GATT, NAFTA and other in
ternational agreements. In many sectors,
South-East Asia represents a major growth
market, which will mean New Zealand and
Australia are well-placed to service these mar
kets, both geographically and in terms of pro-
ducts, as there is a marked trend there towards
value-added and away from traditional bulk
products. Broekhuyse reiterated the leading
role of Rabobank in these markets. 'Very few
banks are involved in food and agribusiness
the way we are' he says. Worldwide, there are
only around 10 at most, so we are very well
positioned and we have a lot of room to grow.
In fact, we are growing. You just have to look
at the figures to see trade finance is well above
budget.'
Sector focus
The coordinated market approach introdu-
ced some years ago, whereby each year ac
count managers focus on increasing market
share in a specific area was questioned by
some GMs. Basically, the one-year period was
considered too short to make real inroads in
to a sector. However, a clear increase in dairy
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