(21.05.2013)
The phrase “banking is people” is commonly used amongst bankers, clients and stakeholders to the financial industry. But how important is the relationship role in daily banking activities? Banks offer a complex product range and in some cases the products are similar independently from the bank that offers it to its corporate clients.
By: Henrik Røe
Is it really the case that if you maintain good relationships with your bankers it will have a positive impact on your daily banking activities?
Every industry has its different traits and different triggers for successful operation in the regional, national and global markets. Basic economic principles dictate that an investment is necessary to see a return and a profit. Whether your business is small or large many different events take place between that initial investment and the finished product or service that you can sell. The question is: Are you taking care of your investment from point A the acquisition of funds to point Z where you can see a profit on capital employed?
The option when you choose to finance your project, acquisition or expansion will directly impact the outcome of that process, and maybe you do not even have to finance it! Maybe there is enough capital within the organization but the capital is tied up in other processes. Your bankers should be able to help here.
Picture that you were to buy banking products over the counter, the products are all lined up on shelves and all you have to do is order the right one(s). Now picture your banker on the other side of the counter to process your order. One product alone maybe sufficient but in most cases a combination of products and services will create the best result for the organization. The art of knowing the customer hence offering the right advice, products and services or simply picking the right one(s) is in my opinion the most important task a banker has. This is why the relationship role is important, through long standing relationships and communication you and your team of bankers can find optimal solutions and create results!
This article is just one analysis of the expression “Banking is People” and you might have a different take, but the purpose of this article is to have you challenge the expression. How is your team?
