Retail & Business Banking Experience
A top five US bank: Developed a five-year strategic plan and presented it to the Board
Oliver Wyman worked with the CEO and executive management team, business line heads and corporate strategy group of a top-five US bank to develop a five-year strategic plan and present it to the Board for approval. The Bank had sizable US and foreign businesses across consumer, commercial and corporate banking and was looking for prioritized consumer initiatives to maximize shareholder value. Our findings prioritized the consumer businesses relative to each other, the highest return initiatives in each business, and expected financial impacts. We continue to work with the bank in implementing a number of the suggested initiatives.
A top five mortgage bank: Developed business diversification options
For the strategic planner and CEO of a top-five mortgage bank, Oliver Wyman conducted a comprehensive review of options for diversifying our client’s operating business portfolio. For this project, our team considered literally every asset-business available in the US market, and narrowed the list based on opportunity size, risk-adjusted returns, and our client’s ability to compete as an advantaged player. We also conducted a thorough review of issues related to our client’s valuation to generate a comprehensive strategy for evolving the operating business portfolio.
A large payment and transaction services provider: Demonstrated that the client’s check business warranted a higher valuation
A large payments and transaction services provider engaged our firm to perform a strategy review and evaluation of future growth prospects while the company was under close market scrutiny. Equity analysts had downplayed potential growth prospects for our client based on a perceived decline in check volumes in their check authorization/guarantee business. Through evaluation of check volumes, fraud dynamics, outsourcing trends among large retailers, and customer propensity to use guarantee services, we demonstrated that there were significant growth prospects left in the client’s check business and that the company overall warranted a higher valuation.
A major European bank: Transformed front-line culture and increased sales value by 38 percent
With an efficiency ratio of approximately 50 percent and an aggressive sales culture, the CEO of a major European bank expressed concern about the need to sharpen the bank’s focus on delivery. He also wanted to address “fractures” between various lines of business in the branch. The Retail and Business Banking Practice worked with the bank to pilot a new model for distribution management, based on the principle of local empowerment and the provision of incentives across the local market units. By the third quarter of the pilot, the branches participating in the pilot program had increased sales value by 38 percent compared with the rest of the network, and showed strong improvements in customer satisfaction and retention.
A European bank: Launched a consumer finance division
Like many European banks, our client was keen to exploit the growing profit pool in consumer lending in overseas markets. They recognized the unique skills needed to operate successfully in this space. Our firm helped define their business design and proposition, as well as “hot-housing” the skills needed to establish the business. This includes interim management to create the structure, processes and skills associated with best practice lenders.
