Professional Documents
Culture Documents
CONTENTS
1. BACKGROUND
a)
b)
c)
d)
Context
Ratisson Finance Strategic foundations
Ratisson Finance Corporate Direction
Business Scenarios (Country, Financial
Sector, Ratisson Finance
3. STRATEGY WORKINGS
BACKGROUND
RATISSON FINANCE STRATEGIC PLAN
BACKGROUND: CONTEXT
COMPETITIVENESS
+VE
Premier League
0
%
X
Relegation Zone
100
%
Failed State
Lagging Infrastructure development
Political Instability
201
6
Conflicting policy
Increasing rates of unemployment
201
5
201
5
Play-ofs
INTERNA
L
CONFLIC
T
Increased
FDI
Stable
government
Second Division
COMPETITIVENESS
-VE
International
acceptance
0%
INTERNA
L
HARMON
Y
MARKET +VE
Cash Cow
Star
Telecoms
2016
Retail
Funeral
Assurance
LOW
ECONOMI
C
GROWTH
Mining
(Precious
Minerals)
Tobacco
All Other
Insurance
Financial
Services
Mining (Non
Precious
Minerals)
Tourism
Manufacturing
Agro Based
Mineral Value Addition
2016
Potential
Crisis
MARKET -VE
HIGH
ECONOMI
C
GROWTH
BACKGROUND :
Taking account of the operating environment and the expectations of the shareholders,
Ratisson fi nance Board has defi ned a desired corporate direction for the company with
a clearly Focus Goal and deliverables to 2016.
AREA
Financials
Market share
Productivity
Human Capital
STRATEGIC CONTEXT:
Ratisson Finance has assessed its current positioning in each of these areas
Key Areas
Positives
Funding
Adequately capitalised.
Variety of funding internal and external
Working ICTS
N/A
Delivery channel
Challenges
50%
Funding is limited.
Regulatory challenge.
NGO have conditions they attach to funding so target market may not be our core
business and terms may not be conducive
No NGO backed funding on our book so far
10%
15%
No branch network.
No systems in place - CRM
Disbursement challenges in areas we do not have presence.
Manual systems with a lot of paper work.
No motor vehicles for client visits and for efficient service delivery
30%
60%
Collection arrangements.
Quick turnaround time.
Ambience of Head offices.
Product innovation
Commercial culture
Corporate governance
0%
60%
65%
MARKET
+VE
BancABC
..
Ima
li
FBC
Metbank FMC
KCI
WDSCU
Healthy
Ratisson
Yambukai
.
.
...
No
Profitability
Homelink
Zambuko
Out Patient
(Observation)
MicroKing
CBZ
Fidelity
untu
.
Intensive Care Unit
Sedco
High Dependency
Unit
MARKET
-VE
Profitabilit
y
10
11
MARKET
+VE
BancABC
Healthy
Ratisson
Yambukai
..
Ima
li
Ratisson
FBC
Metbank FMC
KCI
WDSCU
. .
.
.
...
No
Profitability
Out Patient
(Observation)
Homelink
Zambuko
40%
Care Unit
40%
MicroKing
CBZ
Fidelity
Profitabilit
y
.
20%Intensive
Sedco
High Dependency
Unit
MARKET
-VE
12
STRATEGIC CONTEXT:
In line with the set focus goal, Ratisson will need to do business in a certain way and as such a picture of the future business
model has been defined.
Description
Key
partners
Key
activities
Branch network
through (Real
estate agents)
Donor community
(Development
partners)
Brance
subsidiaries
Government
Agencies
Credit bureaus
Rating agencies
Apex bodies
(ZAMFI)
Skills development
Market
development
Product
development
After loan service
Financial literacy
programs.
Key
Working ICT systems
resources
Value
proposition
Smart lending with
speed which will be
defined by:
Quick turnaround.
Easy access
Competitive
Pricing.
Variety (innovation)
Service
Managed risk
Outreach
Technically equipped
and motivated
people with an
understanding of the
market.( individual
with minds of
bankers and hearts
of social workers)
Infrastructure(branch
es etc)
Support from
The key cost drivers being:
Consultant
1. Staff Costs
Appropriate funding.
2. ICT Costs
3. Marketing Costs (includes CSR)
4. Operating costs
5. Cost of funding
Cost structure
Customer
relationship
Channels
1.
2.
3.
4.
5.
1.
2.
3.
.
.
.
Long term
Intimate
Loyalty
Deep and broad
Mutually beneficial
Customers become
ambassadors of the
brand.
Customer
segments
1.
2.
3.
.
4.
5.
Middle and
upper levels of
informal sector.
SME
Special bias to
women
In urban and
rural areas
(agriculture)
Youth (15-35)
Agriculture
sector
Branch Network
Mobile banking
CABS
Business
Associations
(community based)
Mobile
branches(kiosk)
Interest Income
Pure grants
Non funded income:
Business advisory service.
Consultancy.
Commissions
Revenue streams
RATISSON FINANCE
STRATEGIC PLAN (2016)
Strategy Workings
PREPARED BY BRIAN KUFAHAKUTIZWI
14
RATISSONS STRATEGIC
OBJECTIVES - 2016
management
Securing lines of credit
Cost management
Portfolio growth
Activities
KPI
Corporate
Governance and
Risk
Management
Systems and
processes
Leadership and
Human capital
Products and
Market
Development
15
Corporate
communications
Develop and implement service level agreements for all outsourced services
IT, consultancy, payroll etc.
strategy
OBJECTIVE IMPLEMENTATION
PLAN :FUNDING
1
Focus Area
Objective Name
Accountability
Managing Director
Timings
Costs
Responsible
Support
Inform
Consult
On-going
TBA
MD
FM,OM,
Board
Financial
Partners
On-going
TBA
OM
FM,BDM, OM
MD
Financial
partners
On-going
TBA
FM
OM
MD
Board
Cost containment
On-going
TBA
FM
HODs
MD
Board
On-going
TBA
MD
FM, OM
Board
Monthly
TBA
MD
Board
Partners
Frequency of Measure
Unit of Measure
Target
Alarm
ROCE
Monthly
Cost of funding
Monthly
Monthly
16
Focus Area
Objective Name
Accountability
Managing Director
Timings
Costs
Responsible
Support
Inform
Consult
March
2016
TBA
Operations
Manager
MD
Risk and
Compliance
board
committee
Tech partners
June
2016
TBA
Operations
Manager
FM, MD
Risk and
Compliance
board
committee
Tech Partners
June
2016
TBA
Operations
Manager
FM, BDM.
MD
Tech partners
March
2016
TBA
MD
Operations
Manager
Board
Tech Partners
Dec 2016
TBA
Operations
Manager
FM, BDM
MD
Tech partners
Dec 2016
TBA
Operations
Manager
FM
MD
Tech Partners
Frequency of Measure
Unit of Measure
Target
Alarm
TBA
20%
25%
TBA
99.9%
98%
System uptime
17
Focus Area
Objective Name
Accountability
Managing Director
Timings
Costs
Responsible
Support
Inform
Consult
Decembe
r 2015
TBA
MD
HR Committee
Board
FM
Decembe
r 2015
TBA
HR
Committee
MD
Board
HODs, FM
Decembe
r 2015
TBA
MD
HR Committee,
HODs
Board
HODs
Decembe
r 2015
TBA
MD
HODs, MD HR
Committee,
Board
Consultants
Decembe
r 2015
TBA
HR
Committee
MD, HODs
Board
HODs,
Consultants
June
2016
TBA
MD
HODs
HR Committee
External
Consultants
Decembe
r 2016
TBA
MD
HR Committee
Board
HODs, BMs
On-going
TBA
MD
HODs
HR Committee
Consultants,
On-going
TBA
MD
HODs
HR Committee
FM
Target
Alarm
Frequency of Measure
Unit of Measure
18
Focus Area
Objective Name
Accountability
Managing Director
Timings
Costs
Responsible
Support
Inform
Consult
On-going
TBA
BDM
OM
MD
Marketing
consultants
Decembe
r 2016
TBA
BDM
OM
MD
Marketing
Consultants
On- going
TBA
BDM
FM, OM
MD
Legal advisors,
board
June
2016
TBA
MD
OM
Board
Shareholder
Septemb
er 2016
TBA
OM
BDM
MD
Marketing
consultants
Frequency of Measure
Unit of Measure
Target
Alarm
Market share
TBA
28%
20%
TBA
85%
70%
19
Focus Area
Objective Name
Delivery channels
Accountability
Managing Director
Timings
Costs
Responsib
le
Support
Inform
Consult
June 2016
TBA
BDM
FM, OM
MD
Board
June 2016
TBA
BDM
FM, OM
MD
Board
Ongoing
TBA
OM
BDM
MD
Associatio
ns
December 2016
TBA
OM
BDM
MD
Board
December 2015
TBA
BDM
OM
MD
Consultan
t
October 2015
TBA
BDM
OM
MD
FM
Feb 2016
TBA
OM
BDM
MD
Clients
Frequency of Measure
Unit of Measure
Target
Alarm
TBA
35%
20%
TBA
Number
150
200
Location coverage
TBA
70%
60%
20
Focus Area
Objective Name
Product Innovation
Accountability
Managing Director
Timings
Costs
Responsible
Support
Inform
Consult
Decembe
r 2016
TBA
BDM
MD
OM
Consultants
Monthly
TBA
BDM
FM
MD, OM
Consultants,
Clients
Annually
TBA
BDM
MD
OM
Consultants
June
2016
TBA
BDM
OM
MD
-Consultant
Quarterly
TBA
BDM
OM
MD, Board
Clients,
Consultants
Frequency of Measure
Unit of Measure
Target
Alarm
TBA
38%
20%
Client retention
Quarterly
85%
70%
21
Focus Area
Objective Name
Commercial Culture
Accountability
Managing Director
Timings
Costs
Responsible
Support
Inform
Consult
On-going
TBA
MD
FM
HR Committee
Consultants
On-going
TBA
MD
HODs
HR Committee
Consultants
On-going
TBA
FM
BDM, OM
MD
Consultants
On-going
TBA
OM
FM
MD
Consultants
Decembe
r 2015
TBA
Incentive
and Awards
committee
HR Committee
MD
Consultants
On -going
TBA
OM
BDM
MD
FM
Frequency of Measure
Unit of Measure
Target
Alarm
TBA
80%
60%
TBA
60%
70%
22
Focus Area
Objective Name
Accountability
MD
Timings
Costs
Responsible
Support
Inform
Consult
On-going
TBA
OM
BDM
Regulators.
Partners, Board
MD,
Consultants
Decembe
r 2016
TBA
MD
Risk and
Compliance
committee, FM,
OM
Regulator
Board
June 2016
TBA
OM
Consultant,
MD
Risk and
Compliance
committee
Decembe
r 2015
TBA
OM
Consultant
MD
Risk and
compliance
Committee
Decembe
r 2015
TBA
OM
MD
Board
Risk and
compliance
Committee
Sept 2016
TBA
BDM
FM
MD
-Consultant
Risk and
compliance
Committee
Decembe
r 2016
TBA
BDM
Consultant
FM , Board
MD
On-going
TBA
MD
OM
FM, Board
External
recoveries
agents
On -going
TBA
FM
OM
Board , MD
Company
secretary, or
23
Activities
Customer focus
Respect
Fu
ade nding
e n s u q u a te c
a
re p
rofita pital an
d
bility
PURPOSE
To continually improve the livelihoods of the
communities we operate in through hassle free
access to credit and provision of customer
focused service
MISSION
To create and continuously increase
shareholder value through the provision of
excellent service and innovative products to its
customers and a conducive working environment
in which every employee is encouraged and
assisted to develop to their full potential.
FOCUS GOAL 2016
Penetrate the local market offering sustainable
and innovative microfinance solutions
Ens Deliv
e
u
and re app ry chan
ro
effic
n
ient priate, els
deli
rele
very
v
cha ant
nn e
ls
Ts
Key
Result
s
$767k loan book.
28% ROCE
17% Cost of
funding
$848k lines of
credit
Rais
e
S
ICT bust IC
king
ro
Wor nt and
va
rele
Pro Com
m
per ote a mercia
f
ma orman cultur l cultu
nag
e
r
c
em e and focus e
e nt
stra ed o
teg
n
ic c
os t
na
over
h
ate g ance wit ns
r
o
p
r
li
o
p
t
c
m
la
o
u io
ng
Stro 100% c rnal reg
e
e
t
r
x
Ensu al and e
n
inter
loy
Average profitability
of 35% per channel
150 Case load per
Loan officer
70% Location
coverage
S T R A T E G IncC
OBJECTIVES
e
on
ovati
ct inn
Produ table,
fi
an t
e p ro
relev
Provid riate and
p
appro ts
c
produ
Average product
profitability 38%
(Who are we, Where are we going and how will we get there?)
Dep
Activities
Ratisson Finance
Strategy@Work Summary
2015 - 2016
Sk
Attra ills and
effic ct and Reward
re
ient
s
skills tain hig
h
plac in the rig ly
es
ht
Key
Result
s
wth
t gro
arke adership r
m
t
e
Targ market le unities fo
for opport
e
iv
Thr xplore
e
and h
t
o
r
g w
Professionalism
2% market share.
24
1. Good leadership
2. System
3. Inadequate funding
4. Macroeconomic situation
5. Capacity to serve markets.(Skills, synergy development)
6. Product innovation
7. Daily trackers and performance monitoring.
8. Performance management
9. Delivery channels (brand awareness)
10.Customer service/seamless
11.Market penetration
12.Compliance to regulatory functions.
13.Advisory services
14.Transformation agenda/ Social Performance
25