Standard Chartered restructure management team
(21 July 2015 – Global) Standard Chartered Group chief executive Bill Winters announced massive changes to the company’s management team as part of the simplification of its organisational structure.
The aim of the restructure, according to the bank is to improve accountability, speed up decision making, reduce bureaucracy and play a key part in delivering the previously announced US$1.8 billion (A$2.44 billion) of cost savings by the end of 2017.
There are two key elements to the reorganisation.
The Group will be overseen by a new 13 strong Management Team reporting to Bill Winters, and comprising the three Group executive directors, plus client and regional chief executives and functional heads.
The new Management Team will meet with immediate effect, with the appointments formalised on 1 October 2015.
The simplified organisational structure will be phased in from 1 October 2015, and will be fully in place by 1 January 2016.
The Group’s financial reporting will be based on the new structure from 1 January 2016.
Winters said the Group needs to kick-start performance, reduce its cost base and bureaucracy, improve accountability, and speed up decision making.
“The new structure will help achieve all of these critical objectives and will be in place as we communicate a comprehensive plan to address the Group’s performance by the year end.
“I am working with a talented and experienced Management Team to create a bank that delivers strong returns and sustainable profitability.”
The new Management Team will have primary responsibility for executing the Group’s strategy, and will work with the Group chief executive on a plan to address the Group’s performance challenges.
In line with the Group’s listing requirements, the Group is announcing that Winters will assume responsibility for all three client businesses from Mike Rees on 1 October, 2015.
Rees will work closely with Winters on the formulation and execution of strategy and will play a key role with our larger clients.
He will also assume responsibility for Brand and Marketing from 1 October 2015.
Andy Halford will assume responsibility for the Group Investor Relations function, Corporate Real Estate Services, and Global Sourcing from 1 October, 2015.
Winters, Andy Halford and Rees remain Group executive directors and PLC Board members.
The Group’s current structure of three client businesses supported by five product groups will be simplified, with each product now reporting into the client segment with which it has the most relevant connection:
Corporate & Institutional Banking C&IB will include Transaction Banking; Corporate Finance; and Financial Markets, and will be led by Mark Dowie.
Commercial & Private Banking will include Wealth Management and will be led by Anna Marrs.
Retail Banking will include Retail Products and will be led by Karen Fawcett.
C&IB will operate as a global business.
Retail Banking and Commercial Banking will be run on a country basis with regional oversight, with client and product strategy delivered by smaller and more efficient central teams under Fawcett and Marrs, respectively.
The Group’s new geographical structure will rationalise the eight existing regions into four new regional businesses, including; Greater China and North Asia, including Hong Kong, China, Korea, Japan and Taiwan, led by Ben Hung.
ASEAN and South Asia, which includes Singapore, Malaysia, Indonesia, India and Bangladesh, led by Ajay Kanwal.
Africa and Middle East, which includes Southern, West and East Africa, Pakistan and the UAE, led by Sunil Kaushal.
Europe and Americas, including the UK and the US, led by Tracy Clarke.
While there are many changes, Winters said he wanted to be clear about what isn’t going to change.
“We will continue to focus on Asia, Africa and the Middle East – this is our DNA.
“Here for good, our culture and our values all remain the fundamental core of the Bank and you, our people, are the foundation of this organisation.”
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