INDONESIA ON THE MOVE
WHAT'S Nf.wS Issue 2 February 1998
investment banking
5
with trading in new markets can be
Émitigated with strategies that take info
^^ccount their higher fluctuations.
This is where you need your colleagues in
other global product areas?
Yes, when it comes to emerging markets
you must have a truly integrated approach
in this business. So we will effectively have
joint ventures, such as money market and
fixed income and we will create a global
emerging markets team where there will be
representatives front all these product
groups working together to build
opportunities for the whole network to use.
How are you going to deliver the products?
The relationship managers in each region
will have access to sales forces assigned to
cover that region. This will be the first
point of contact. It will be the
^^esponsihility of our sales people to
introducé the relationship managers to
product specialists.
These will be new sales people coming in?
Not necessarily. Some will be existing
personnel. As I mentioned before, there
was absolutely nothing wrong with the
organization that existed in the bank, it
was merely inadequate to the kind of
competition we will be facing in an
industry that is in continuous turmoil and
in feverish search of ever-better and ever-
higher returns. The vast majority of the
forex market is dominated by global
investor flows, a business that we still
have to develop on a world-wide scale.
This is where most of the new hires will be
concentrated, especially outside Holland -
^jhe US, the UK and Asia, which are the
^Phree largest markets where institutionals
are located and, of course, Tokyo down
the road.
What you are saying is that our relationship
manager wherever he or she may be located
will probably be dealing with familiar faces
who also know the core F&A and health care
businesses?
That's right. What we want to ensure is
that within the two distinct customer
bases - global investors and corporate
clients - there is a continuous cross
fertilization. Within F&A or any other
sector where large corporates operate, you
have the need to monitor continually and
understand the implications of
fluctuations in markets on your business.
And some of the issues facing investors
»aday are similar to those facing large
orporations. So real integration within
these distinct sales forces is very
important. There has to be a constant
exchange of information, ideas, so that we
piek up on any strategy applied in one
segment that can also perhaps apply to
another. We're looking for ways to benefit
the cliënt. And clients usually like to know
you are servicing more than their segment;
that you have expertise in others. They
want to know how other segments
perceive the markets, trends, etc.
So the only thing that is actually going to
change for our relationship manager is that
the range of products and the level of
expertise and knowledge to support them
will be much greater?
Yes, because he or she is part of a much
greater team. We believe that in the area
of corporate finance, there are tremendous
opportunities for us. Besides day-to-day
needs of a lot of these corporates are more
strategie needs. If a corporate today is
going to make a cross-border acquisition,
there are always currency and interest
exposures to take care of. One of our
goals is to create a group of specialized
advisors which can work very closely with
the corporate finance people to provide
additional expertise. This will ensure that
if Rabobank is mandated for an M&A
deal, we are covering it from all sides.
Is the new strategy going to make it all a lot
more challenging and exciting for existing
staff and new hires coming in?
Absolutely, there are two great
opportunities here that come to mind. We
will be able to expose people to a much
wider range of products. And a much
more diversified cliënt base than ever
before because we are moving from the
local trading concept towards the more
global universal approach which requires
coverage around the world. We will open
a much stronger line of communication
within all these centres. The kind of top
cliënt service we have in mind demands
great communication. There will be
regular seminars for our clients, there will
be internal conferences at off sites so our
people get to know each other and come
up with strategies that are tailor made for
specific customer groups. There will be
opportunities for people to move around
the network. We have already started by
offering people in Utrecht positions in
London, that's only the start. I am a great
advocate of training for sales and trading
people - and rotating staff around the
network. To ensure team spirit and an
integrated approach are maintained. This
is a people business, we have to have
people thinking cross-border.
The burning question now is: When?
We will spend the first half of 1998 on
completing the hiring and putting in place
the infrastructure, which is a priority for
me. Before attracting the right talent, we
have to have an infrastructure in place to
allow this increased level of professional
activity to flourish. The real test for us
will be 1999.
Rabobank Duta Indonesia and Rabo Finance Indonesia moved to a new office, which
was officially opened on 17 December last year. Although the new office is in the
same building (9th floor), a lot of work was involved to get everything organized.The
result is there: a modern and better organized office with room for future growth.
Dutch Minister of Economie Affairs Wijers doing the honours. On bis left
Mr. Muchtar Mandalapresident commissioner of RFI, behind him Chris Mol
and at bis right Mr Dorodjatun Kuntjoro-Jakti, president commissioner of RDI.
