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organization
WHAT'S News Issue 7 July 1996
Three is the number once again here:
Europe (including the Middle East and
Africa);
the Americas - both North and South;
Asia and Australia.
Regional focus is essential for serving local
corporates and clients. The importance of
local knowledge and expertise cannot be
underestimated. But the strategy also
emphasizes an ongoing
internationalization aimed at erasing
borders. 'We all know that future growth
for Rabobank International will come
from outside the Netherlands,' says
Arnold. 'If we are to achieve our strategie
goals, then we must internationalize our
mindset. All of our offices, including
Utrecht, are potential distribution
channels for approaching the customer.'
FUNCTIONAL SEPARATION
The reference to Utrecht here as an 'office'
is significant. During the whole
development process, the concept of
structure follows strategy has always been
propagated. One important adjustment to
the current structure will be the separation
of functions in Utrecht. 'The strategy
requires a distinction between 'head office'
functions and Utrecht as part of the
international network,' Arnold explains.
'At present, Henk van der Stelt is heading
up a working group to discover how this
can best be achieved and organized. If we
then look further afield, what the strategy
also requires is a more flexible
organizational structure to permit us to
create networks and networking.' Again,
the erasure of domestic boundaries is
crucial here. Team networking should not
be limited to one's own office. It must be
open and flexible so that we can generate
and mobilize the know-how that exists
within the whole Rabobank International
organization.
SHOWING RESPECT
'We have coined the slogan: A knowledge
driven network of customers for the vision
we have of the future,' Arnold confirms.
'We will score with our target customers
based on knowledge, adding value, by
being able to address tbeir challenges in
the most creative way. Besides a flexible,
open structure, short lines of command,
that requires respect for everyone who
plays a part in providing our service to
customers. I really think that is important.
If you show respect, you'11 get it back.
And if you show respect to colleagues and
project that sense as a team approaching
the market, then customers will respond
very positively.'
TEAM APPROACH
The team concept is based on the notion
that our internal structures must be
organized around the customer - their
needs, not ours. To achieve this we have to
think beyond our own backyards. 'We
hope people will begin to feel part of
Rabobank International, rather than
seeing themselves as belonging to this or
that division, this or that office,' says
Arnold. 'We have to be partners with our
clients, but also when it comes to
colleagues. We are all part of a team
serving the cliënt, whether your
specialization is corporate, investment or
private banking. This will mean producing
the cliënt lists we often find difficult to
share with others. But if we are to form
the customer teams, the cross-selling
opportunities we need for success, then we
must share information and work as a
team.'
MANAGING INTERNATIONALLY
The same concept has been carried
through into the so-called International
Management Teams. Five have been
created and they are located where
needed, rather than all in Utrecht. If the
bank is to be truly international, then
head office functions should not be limited
to the Netherlands. 'We've defined five
areas - strategy, control and audit, human
resources, communication, and global risk
management - which will continue to be
located in Utrecht. But we've also put in
place the so-called Group of 30 project
which has already started work on
planning and implementing the new
structure. The group will present its
recommendations in September. In the
future, the international management
teams will take ownership of the business.
Members of the international management
teams will not necessarily all be based in
Utrecht. They can be located anywhere in
the world. If we are to succeed in our
endeavours, we have to start managing
out business differently. This is the first
step.
DIVISION AL STRUCTURE
Of the five international management i
team activities, only one may look
unfamiliar. Four are commercially
oriented:
Corporate banking - F&A and Health
care;
Corporate banking - international
corporates;
Investment banking;
Private banking.
The fifth is 'Adininistration' and will
comprise both operations and IT. 'It will
actually look after the whole functioning
of our distribution channels, of all our
offices all over the world,' says Arnold.
STRENGTHS AND QUALITIES
Whether you watch the video presentation
or read the booklet, the message is clearly
'customer, customer and again customer'.
But there is also an equally strong
emphasis on globalization and
regionalization as a means to achieve a
strategy of customer focus based on
capital, both monetary and human,
knowledge and systems. 'Actually,' says
Arnold almost ruefully, 'we're in a luxury
position at present. We're so successful in
bringing in business, we're almost growing
too fast. That is why we have to make
choices, change the way we do business.
For example, we need more syndication,
more securitization to ensure we get the
best return on our use of capital. We can
achieve all of this because, as an
organization, we have a number of
strengths and qualities. One of those
strengths lies in how we behave as
Rabobank and Rabobankers. We are an
open organization, we communicate with^
each other. There are no hidden agendas.
This is what we have to communicate to
the customer. That we are here to
cooperate with him. In fact, that shouldn't
be too difficult. After all, cooperation is
our second nature.'
FOCUS STRATEGIE:
DE KLANT VAN
KROONPRINS TOT
KONING
Arthur Arnold geeft een overzicht van de
nieuwe focus strategie. Hij benadrukt dat
een teamaanpak de basis is. Nog meer
samenwerken om de klanten beter van
dienst te zijn. ledereen moet zicht bewust
zijn dat hij of zij deel uitmaakt van Rabo
bank International. Anderen behulpzaam
zijn en het delen van bijvoorbeeld klanten
lijsten is essentieel, zonder dat daar iets
tegenover staat. Ons motto moet zijn: 'Het is
beter te geven dan te nemen'.
