TRAINING FOR BANKS
Train the Right People in the Right Process from the Right Perspective!
While just about everything I teach is related to your credit business, I offer a spectrum of subjects well beyond, say, financial statement analysis or credit structure. For example, issues like relationship management, or learning to leverage analysis to uncover new opportunities, have a significant impact on the success of your credit function and the contribution it makes to the overall profitability of the bank.
My clients find it helpful to sort out their training needs, and the solutions I offer, along the following "dimensions":
- People: who would be in the audience for this training, what job titles would be held by appropriate participants?
- Process: where in the credit process do staff apply the skill, knowledge, or behavior being trained?
- Perspective: do participants need to learn about this topic at a transaction level, or an organization level, a portfolio level or an industry level?
Let's look at each dimension – and typical training topics for each -- a little more closely.
The People Dimension
Who might be in the audience?
- Board of Directors: I often work with board members to build a common understanding of portfolio issues, risk management concerns, traits of good credit policy, and so on;
- Bank Management: in addition to portfolio and policy level issues, my team offers coaching in effective communication;
- Bankers: many "process" topics need to be addressed at a level that helps bankers evaluate and work with customers, to find the "sweet spot" between bringing in revenue and protecting the interests of the bank;
- Analysts: many banks have credit analyst specialists (and similar roles in audit/credit review) who need more in-depth coverage of analysis factors.
To see popular topics organized by audience, download this brief summary.
The Process Dimension
When most people think of "training topics" in credit, they are usually thinking at the level of the credit process, the sequence of steps and interactions that lie between the initial credit request and the final repayment or charge off.
Some typical topics organized along this dimension would be:
- Analysis: accounting basics for bankers, asset conversion cycle, financial statement analysis, credit analysis, industry analysis, cash flow analysis, tax returns and personal financial statements, etc.;
- Communication: additional information from borrowers, negotiation with borrowers, effective credit write ups, risk rating, compliance/liability issues;
- Credit Structure: agreements, covenants, guarantees, collateral, term and pricing considerations, monitoring;
- Problem Loans: early detection, rapid response options.
To see popular topics organized by the credit process, download this brief summary.
The Perspective Dimension
A credit portfolio is created through many, many individual transactions. Effective credit policy and process depend on a consistent culture across several levels and locations.
Since I have taught participants from every level of banking, I often provide different perspectives for difference audiences within the same institution. For instance:
- top management might attend my presentation on portfolio analysis tools, while …
- my team works with technical or administrative staff to guide them in better data management practices, to provide better input to the analysis, and …
- front line credit staff get more detailed training on consistent analysis and risk rating practices.
To walk through one or two examples of the role perspective plays in my course offerings, download this summary of the perspective dimension.
Leverage my Four Decades of Credit Experience
to Boost Results for Your Bank