Finance & Banking
Programmes 2011/2012
Strategic
Management
in Banking
Executive Education
Expand your horizon. Make an impact.
Strategic Management in Banking 2011/2012
01
Strategic Management
in Banking
Developing a strategic mindset in the fast
changing environment of banking
Strategic Management in Banking is
addressed to senior bankers, including board
members, who want to re-assess the future of
banking and strategy in the context of a fast
changing environment: the outcome of the
global banking crisis, new Basel 3 regulations
on capital and liquidity, or opportunities/
threats given by information technology.
As the banking industry has its own needs,
the Strategic Management in Banking
programme has been developed to enhance
some key bank-specific management skills.
Three examples will illustrate the banking focus
of the programme:
— A special module on Asset and Liability
Management, i.e. profit and risk control
which is unique to the banking industry
— New technologies raise strategic issues for
the delivery of financial services: a module
on Customer Relationship Management
(CRM), is developed by a world expert in the
field
— The creation of synergies in universal
banks, with interest in commercial banking,
investment banking and insurance, and
the resolution of conflicts of interest are
addressed in a specific module.
Key benefits
— Gain expertise in strategic positioning,
including the choice of a bank model
(specialised or universal, domestic or
international)
— Develop new ideas to reach clients with
new technology and deepen your customer
relation
— Enhance, with the help of a simulation, your
skills in asset and liability management
Faculty
Programme Director
Jean Dermine
Professor of Banking and Finance
Founder of the Centre for International
Financial Services
Strategic Management in Banking 2011/2012
02
Programme content
The Strategic Management in Banking
programme draws on more than 25 years
of research organised by the Centre for
International Financial Services, a partnership
launched in 1987 between selected financial
institutions and INSEAD.
The programme develops your management
skills in the following areas:
Strategic analysis of the financial services
industry
— Competitive analysis of the banking industry
— Basel 3
The ALCO Challenge
The ALCO Challenge is a computer
simulation designed at INSEAD. It recreates
an international banking environment,
allowing you to perfect your skills in value
creation and risk control. Participants
perform the simulation in teams, each team
forming an Asset-Liability Committee. The
ALCO Challenge incorporates the latest
financial techniques in profitability and risk
management. It is entirely accurate, taking
into account the effects of taxation and BIS
capital regulations.
— Optimal corporate structure: specialisation
vs. universal banking
The educational objectives of the ALCO
Challenge are fivefold:
— Organic growth vs. acquisition
— Value Creation
Asset-liability management
— Value-based management
— Strategic Pricing
— Profit centre, performance evaluation and
rewards (RAROC, economic profit)
— Negotiation
— Risk Management
— Team Work.
— Control of credit and market risks
— Business portfolio and diversification
Strategy and marketing of financial services
— Customer Relationship Management (CRM)
— Product/client portfolio strategies
— New product acceptance
Technology
— Recent applications, such as direct banking
or banking on the Internet
— Competition between alternative delivery
systems
— Outsourcing
— Re-engineering
Asset management
— Product design and performance
— Private banking.
All the issues discussed in the programme
are illustrated with case studies on financial
institutions.
Participant profile
Strategic Management in Banking is
designed specifically for senior bankers,
including board members, responsible for
profit centres in retail, corporate and capital
markets.
They will have about 20 to 25 years’ working
experience in domestic or international
operations.
Strategic Management in Banking 2011/2012
Some of our past participants
have included
Senior Executive Deputy Head of Personal
Financial Services
HSBC
Hong Kong
03
Head of Strategic Analysis
Banco Espanol de Credito
Spain
Head Corporate Banking Credit Risk
Nedbank
South Africa
Manager Management Accounting
ING
The Netherlands
CEO
Westpac Banking Corporation
Australia
Senior Vice President
Santander
Brazil
Managing Director
Easy Asset Management
Bulgaria
Managing Director
Commerzbank
Germany
CFO and COO Group Treasury
Royal Bank of Scotland Group
The United Kingdom
Director Head of Operations Group
Commercial International Bank
Egypt
CFO
Scotiabank
Mexico
Head of Group Credit
Nordea Bank
Finland
Chairman of the Management Board
LHV Bank
Estonia
General Manager
Rothschild
Switzerland
Shareholder / Private Banker
Ahli Investment Group
Lebanon
Deputy General Manager
Skye Bank
Nigeria
President
Omran M. Al Omran Corporation
Saudi Arabia
Managing Executive
ABSA Bank
South Africa
“The increased understanding I gained of
the global financial services market and the
emerging trends has had a positive impact
on the way I run my business. The calibre of
the faculty at INSEAD is first rate. I also learnt
a great deal from working with the group of
bankers in attendance. It was a unique and
valuable learning experience.”
Vice President
Bangkok Bank
Thailand
Senior Vice President
Canadian Imperial Bank of Commerce, Canada
Global Head Trade and Commodity Finance
Rabobank International
The United Kingdom
“A truly refreshing experience. The course
provided a great opportunity to ventilate
one’s thoughts of the developments in the
international banking industry. I also made
new acquaintances with whom I still share
experiences.”
COO
Barclays Bank
France
Head of Debt Capital Markets
Nordea Bank, Finland
04
Strategic Management in Banking 2011/2012
Region
Africa
19%
Asia
3%
Eastern Europe
8%
Middle East
10%
Northern Europe
23%
Oceania Pacific
5%
Southern America
3%
Southern Europe
5%
Western Europe
24%
Industry
Function
Accounting & Control
4%
Business Consulting
4%
usiness Dev. &
B
Corporate Plan.
6%
Finance
26%
General Management
21%
anufacturing &
M
Operations
4%
Sales & Marketing
11%
Other
24%
Banking
68%
Consulting
5%
Other Finance
18%
Other Services
5%
Other
4%
Strategic Management in Banking 2011/2012
05
Bank Valuation & Value-Based
Management: Deposit and Loan
Pricing, Performance Evaluation
and Risk Management
Jean Dermine
Published by McGraw-Hill,
NY, September 2009
To create value in banking, one needs to
understand first the drivers of value. A sound
and explicit bank valuation model is, as shown
in the book, a very powerful tool to evaluate
decisions that enhance shareholder value.
Anchored in the fields of economics and
finance, it provides not only useful tools to value
banks, but also an integrated framework to
discuss managerial issues such as: fund transfer
pricing, risk-adjusted performance evaluation,
deposit pricing, capital management, loan
pricing and provisioning, securitization, and
the measurement of interest rate and liquidity
risk. The US subprime crisis is unfolding with
spillover effects felt around the world. No need
anymore to raise the attention to the importance
of sound bank management skills.
Jean Dermine is Professor of Banking
and Finance at INSEAD, Fontainebleau.
Docteur es Sciences Economiques from the
Université Catholique de Louvain and MBA
from Cornell University, he was a Visiting
Professor at the Wharton School, New
York University, Dakar, Lausanne, Louvain,
Luxembourg, and the Stockholm School
of Economics.
As a consultant, he worked with international
banks, auditing and consulting firms, national
central banks, European Central Bank, Bank
for International Settlements, HM Treasury,
the OECD, the World Bank, the European
Commission, and the Mentor Forum for the
US Supreme Court and the European Court
of Justice. Jean Dermine is co-author of the
ALCO Challenge, a banking simulation used
on five continents.
06
Strategic Management in Banking 2011/2012
Campus Information
As one of the largest of the world’s leading
business schools – and certainly the most
international – INSEAD is well placed to make
an impact on your business. INSEAD is unique
in having a three-campus structure – in Europe,
Asia and Abu Dhabi. The campuses are equally
diverse and all have world-class faculty in
residence. Executive programmes run at
one, two or even across all three of our main
locations. Our Customised Programmes can
also be held anywhere in the world.
Europe Campus
Fontainebleau, the home of INSEAD’s Europe
Campus, is spread across 8 hectares. Nestled
in the vast forest of Fontainebleau, the modern
architecture of the campus blends harmoniously
with the green and leafy surroundings. Facilities
are of the highest standard and include
28 lecture theatres, 2 restaurants, a bar, a
bookshop, extensive library resources and a
fully equipped gym.
Asia Campus
The Asia Campus is situated in the greenery of
the Buona Vista area, the country’s ‘knowledge
hub’, and is just 25 minutes from the airport
and 10 minutes from the financial district.
It occupies a 2.8-hectare site and has 7
amphitheatres with a total capacity of 500 and
an 85-room residence.
Abu Dhabi Campus
Abu Dhabi is the home of INSEAD’s third
campus, which is just 25 minutes from the
airport and 10 minutes from the ‘Corniche’. This
new, 12-storey, 6,000 square-metre building,
purposely designed for Executive Education,
presents a whole new world of possibilities for
management education in the Middle East.
Europe Campus
Strategic Management in Banking 2011/2012
Asia Campus
Abu Dhabi Campus
07
Strategic Management in Banking 2011/2012
08
Practical information
Calendar 2011/2012
Programme
Date
Location
Length
Fee*
Strategic
Management
in Banking
6–16 March 2012
Fontainebleau
9 days
€11,700
Level
Board
C-Level
Experienced General
Manager
New General Manager
Senior Functional Manager
Application procedure
Tuition fees*
Places on the programmes are confirmed on
a first-come, first-served basis, taking into
consideration the applicant’s level, objectives
and the diversity of the classes.
The programme fee covers tuition, course
materials and lunches on working days as
well as the closing dinners. It does not include
travel, accommodation and other incidentals.
Participants will have to settle accommodation
expenses and other incidentals before the end
of the programme.
We recommend that you submit your completed
application form as early as possible,
preferably 6 weeks prior to programme
commencement. The Admissions Committee
will review your application and advise you on
the outcome as soon as possible. Please do not
hesitate to contact us if you have any questions
about which programme may best suit your
objectives or for any additional information.
Note: all our Open-enrolment Programmes are taught in
English and participants should be able to exchange complex
views, listen and learn through the medium of English.
*Fee subject to change. For programmes delivered in France,
VAT (19.6%) to be added for companies based in France, or for
European companies where no VAT number is supplied. For
programmes delivered in Singapore, GST (7%) to be added for
Singapore-registered companies.
Contact us
For further information on Strategic
Management in Banking programme, contact:
INSEAD Europe Campus
Clément Quessette
Tel: +33 (0)1 60 72 40 27
Fax: +33 (0)1 60 74 55 13
E-mail: SMB_Contact@insead.edu
Visit our website: http://executive.education.
insead.edu/strategic_banking/
INSEAD Europe Campus
Boulevard de Constance
77305 Fontainebleau Cedex, France
Tel: +33 (0)1 60 72 42 90
Fax: +33 (0)1 60 74 55 13
Email:execed.europe@insead.edu
INSEAD Asia Campus
1 Ayer Rajah Avenue
Singapore 138676
Tel: +65 6799 5288
Fax: +65 6799 5299
Email:execed.asia@insead.edu
INSEAD Abu Dhabi Campus
Muroor Road Street N°4, P.O Box 48049
Abu Dhabi, United Arab Emirates
Tel: +971 2 651 52 00
Fax: +971 2 443 94 61
Email:execed.mena@insead.edu
http://executive.education.insead.edu