Doing your homework
What's NewS IssueS. May 1997
working relations
Rabobank International's ambitious plans for development around the world seem
a far cry from the initial extremely modest network of rep offices launched 15 years
ago. At the time, the policy for international expansion was based on the so-called
'international serves national' concept. Much has changed in the meantime, but not
our commitment to serve the domestic organization. How can we continue our
crucial role as the bankers' bank within our new strategy and what does the
member bank organization want from us. What's NewS talks to Henk van der Stelt
who is responsible for coordination with the domestic organization and Bert
Mertens of the retail banking operation, which includes SMEs.
Henk van der Stelt:
'Not enougb
information filtering
through to our
grass-roots
organization.
The question of just how effective RI's
service to member banks is came up
pointedly at the beginning of the year when
WNs did a special on the member bank in
Harderwijk. The local director there, Jan
Gardenbroek, was critical of RI in the sense
that he feit there had been a real lack of
communication on the development of the
bank's international operation. 'When we
had nothing or very little outside the
Netherlands,' he remarked, 'we were
continually invited to presentations on
international expansion. Now we have a
whole network, you never hear from them.'
Reason enough to go asking what the
situation is for what is a major - and
essentially captive - cliënt group.
GRASS-ROOTS COMMUNICATION
'I think we all agree on the communicat
ion part,' says Henk van der Stelt without
hesitation. 'There hasn't been enough
information on our development filtering
through to the grass-roots organization.
And we certainly need to change that. But
it doesn't mean we've lost sight of just
how important this cliënt group is for RI
and especially Utrecht branch. In fact,
Hans Megens and Wouter Kolf have just
done an extensive presentation to the
policy preparation committee, one of
organization's most influential advisory
bodies, on our strategy and future plans.'
BANKERS' BANK
Bert Mertens welcomes the presentation
because it provided insight into how RI
expects to work in the future. 'I think
what had become clear over time was that
our international offices were not always
in a position to service especially the
smaller clients of member banks,' he says.
'We had the idea that the international
operation had been developing along its
own lines in recent years. Your new
strategy is very much oriented to your
own goals and ambitions to become a
global player in F&A. The relationship
with Utrecht is, of course, rather different
in that you act as the bankers' bank for
the whole organization. There is also the
fact that RI handles the top corporates in
the Netherlands, those companies that are
too big for either the middle-market teams
or for the member banks themselves.'
WELCOME MOVE
The regional middle-market teams set up
with assistance from RI in 1995 provide
effective service to that group of
companies. But, according to Mertens, it
appeared no provision had been made to
take care of those companies still handled
by member banks. 'And that is why we
welcomed Hans Megens' presentation on
the proposed branch structure for
Utrecht,' he says, 'and on the other ideas
you have for servicing this group.' At the
presentation, Megens announced the
creation of a dedicated unit in Utrecht
branch to ensure we have access to the
skills and expertise there.
HUISWERK MAKEN
De lokale banken in
Nederland hebben grote
behoefte aan duidelijkheid
over wat ze wel en niet van het
internationale netwerk mogen verwachten.
Henk van der Stelt, binnen de Managing
Board van RI verantwoordelijk voor de
coördinatie tussen RI en de lokale banken in
Nederland en Bert Mertens van de directie
van Rabobank Nederland geven uitleg.
Bert
Mertens
ai
O.
O
O
O-
TRANSPARENT ORGANIZATION
In fact, the ink was still wet on Megens'
presentation, but it is clear real provision
is made within Utrecht branch from a
'bankers' bank' focal segement. Mertens
hopes this will also result in transparency
for people in the member banks on where
they should go and who they need for
specific services. 'As the international
operation has grown, member banks seem
to have lost their way to the services that
are available to them,' he says. 'I think
that will change now.' Another point on
the agenda for member banks at present is
European support and service. 'Just how
Utrecht branch will work in future is all
fairly straight forward,' Mertens confirms,
'but service in Europe is certainly an issue
that needs a solution.'
TAILORED SOLUTIONS
The Dutch, a quintessential trading
nation, rank among the world's top 10
exporters, with Germany, France and the
other Benelux countries among its biggest
markets. 'Obviously,' says Mertens, 'this
kind of intense economie activity requires
more than the odd L/C. If you look at the
locations of RI offices in Europe, then you
could think - and I'm sure a lot of our
member banks do think - that these
would be the ideal places to seek service
and support.' The reality, of course, is that
a corporate and investment-oriented
operation, for example in Frankfurt, is not
really much use if you're a small
components manufacturer with a
customer in Saxony, a region in the former
East Germany.
CLOSER STRATEGIC TIES
'What we need,' Mertens confirms, 'is
access to a network on the ground. The
suggestion now is that rather than looking
to Rabobank International for services and
support they are not equipped to provide,
we should be tightening our ties with
(cooperative) strategie alliance partners. It
would seem an appropriate and efficiënt
response because these banks can offer a
fine-meshed network throughout their
specific domestic markets. This can work
extremely well. Our experience with Banco
Popular in Spain is just one example of the
potential of this kind of cooperation.'
