Duty of care
Rabobank 2010 programme: pilot started at five banks
How is Rabobank giving optimum support to its clients' ambitions in coming years?
Rabobank near-by its clients
The food agri sector generally showed favourable market conditions in 2007. Lending to
this sector grew, and the number of farming and horticultural businesses declined by 3% to
approximately 76,500, while the scaling-up process in both agriculture and horticulture
continued. These conditions invited the interest from competitors, who are attempting to
gain market share by offering highly competitive rates.
To Rabobank, our clients' interests and our relationship with our clients come first.
We pursue long-term relationships with our clients. In the context of duty of care, much has
happened in the areas of transparency and appropriate advice in recent years. Rabobank is
and remains aware of its duty of care. To Rabobank, the ongoing duty of care is an integral
part of how it does business with its clients.
To Rabobank, a central element is that its clients get products that suit them. A survey by
The Dutch Central Bank and the Netherlands Authority for the Financial Markets indicated
that consumers might not always be fully aware of the operation and the risks of
investment-based mortgages. Accordingly, Rabobank took the initiative in 2006 to invite
all its clients with investment-based mortgages for face-to-face discussions in order to
explain the operation and the risks of this product to them again, starting from the client's
personal situation.
Clients indicate that they value this focus on their personal situation. Nevertheless, the
OpMaat Hypotheek was highlighted in the TROS Radar consumer show and by the Stichting
Woekerpolis Claim in the fourth quarter of 2007. Rabobank maintains that the best way for
client dialogue is through face-to-face discussions in which tailor-made products are offered.
Clearly, Rabobank's aim for the future is to remain the market leader in many areas and to
fulfil its cooperative duties. In that context, market leadership gives Rabobank a key role in
the market, providing financial strength for innovations and an adequate scale for cost-
effective operations. However, continued market leadership in a new virtual era of banking
requires considerable innovation and improvement in customer service, and at substantially
lower costs. Customers visit their local banks less and less in person. Instead, they
communicate via the Internet, (mobile) telephone, e-mail and chat sessions. The latest
innovations in banking tend to quickly become the standard. Clients expect Rabobank to
remain in the forefront of this trend. They expect to have access to their banking services
through different channels and that these channels can be used interchangeably and
dovetail seamlessly. In addition, clients increasingly perform transactions themselves
through the different virtual channels, expecting transparent and optimum support for their
actions - which is possible under strictly organised processes and related computer systems
for all channels. Optimisation and standardisation in handling and managing ensure that
both quality and speed are improved and costs are reduced.
For that reason, five local Rabobanks, in conjunction with Rabobank Nederland, embarked on
the Rabobank 2010 programme in 2007. The programme's targets are an even better service to
clients, increased commercial effectiveness and optimisation of the main processes. The findings
of these local Rabobanks will be further analysed in detail in 2008, following which
improvement proposals will be defined and implemented in five areas: processes, back office,
management support functions, commercial control and procurement. In 2008, the analyses
and improvement proposals will be completed and, gradually, more and more local Rabobanks
will start their transformation journey.
The local Rabobanks try to be and remain near-by their clients. Be that as it may, the number
of actual client visits to the bank's offices is declining. Consequently, Rabobank is investing
a great deal in other ways of reaching its customers, such as via www.rabobank.nl, Rabo
Mobiel and Rabo TV. Television is gaining importance as a channel of communication and is
increasingly incorporated into the Internet. That is why Rabobank is pioneering
enthusiastically in television. Examples include the daily Rabo BeleggersJournaal on
www.rabobank.nl and RaboSport TV.
