3rd International
BANKSETA Conference
Johannesburg
October 2006
Phil Mnisi, CEO IOB
Education is the great engine to personal
development. It is through education that
the daughter of a peasant can become a
doctor; that the son of a mineworker can
become the head of a mine; that the child
of a farm worker can become the
President of a great nation. It is what we
make of what we have, not what we are
given, that separates one person from
another
Nelson Mandela
Setting the scene
• Training & education best practices
• Trends in banking training
• The IOB as a centre of excellence
Training & education best practices
 Grow talent
 Attract, nurture, develop and retain people
 Access to training and development initiatives
 Access to diverse training: soft and technical skills
 Accelerated learning programmes
 Career & performance counseling
Source: Corporate Research Foundation: the best companies to work for in SA 2006
Trends in banking training
• The financial service sector globally is becoming highly
complex, characterized by specialization and increasingly
regulated
• Consolidation is leading to major global players who have
significant scale and operate on a fine line balance of
centralized and decentralized processes and systems
• The increasing professionalism of banking has lead to banking
training and education becoming a highly competitive, high
growth area
• The model in training has shifted towards using industry
experts and practitioners to design and deliver education and
training
The Institute of Bankers
(IOB)
as a Centre of
Excellence
History of the IOB
• 102 years – rich history
• 5th oldest institute of bankers in
the world
• The banker and banking changed
• The education and regulatory
landscape and framework
changed
• Transform, change or die
Plans are only good intentions
unless they immediately
degenerate into hard work
Peter Drucker
Vision of the IOB
To be recognised as a Centre of
Excellence enhancing the
standards of professionalism,
skills and competencies for a
globally competitive financial
services sector
Mission of the IOB
To be the preferred professional body &
Centre of Excellence providing services
to the banking and finance profession
through:
– Education and training
– Continuous professional development
– Research and consultancy in banking and
finance
– Membership and networking forum
– Designations and status
Values of the IOB
• Collaboration and partnerships
• Customer-centric and excellence
• Professionalism and teamwork
• Innovation and flexibility
• Relevance
• Commitment to transformation
Key principles of the IOB
• Values driven
• Performance driven
• Customer focused
Focus areas of the IOB
1. Centre of excellence
2. Customer focused business
models
3. Banking & financial industry
intelligence
4. Professional body
1. Features of a centre of
excellence
• Strong focus & clear vision – a clear understanding of who
they are, what they do and why they do it. As largely self
funded organizations, they are focused on developing
specific competencies while continually searching for value
added business to grow profitability
• Engagement with stakeholders, especially their clients - they
view clients as knowledge partners. They involve
stakeholders in strategy-setting and align training to this
strategy
• Leadership, people and values – they maintain the right
leadership within the organization. Their leaders are well
qualified and exhibit vision and insight that the industry
respects
Features of a centre of
excellence (cont’d)
• Best-in-class in delivery infrastructure, quality and innovation – the
goal is to become a knowledge centre and make knowledge available
on an in need basis. Content is increasingly and largely delivered by
expert practitioners
• Lean, just in time and highly networked organizational structures is
key to sustainability
• Emphasis on targeted, substantial research
• Accountability and rigorous governance with continuous
improvement and critical internal review
• Results–focused management – proper and rigorous assessment of
learning programs and associated processes that include “after
training support” to ensure participants apply the learning
2. Customer focused business model
The Market
Banks, Micro Financiers, Central
Banks, Treasury Depts, Retailers
MEMBERS
Membership
and Alumni
IOB
STUDENTS
Education and
Training
Learning and education
Learning and
Education
FET
NQF Levels 2 –
5 (accredited
by BANKSETA)
HET (thru
UNISA)
NQF levels 5+
CPD
Presentation &
Workshops
Assessment &
RPL
Research and
Consultancy
3. Banking & financial industry
intelligence
IOB curriculum
IOB PROGRAMMES
BANKER
“FAMILY”
ROLES
CPD
SKILLS
PROGRAMMES
QUALIFICATIONS
FUNDAMENTAL
INTERMEDIATE
SKILLS
CLUSTERS
ADVANCED
Clusters of skills’ needs
FAIS (5&6)
COMPLIANCE
Fit and Proper
National Credit Act
Credit Risk
BANKING FUNDAMENTALS
(Levels I/ II/ III)
Banking Service areas e.g. home loans,
credit card, savings accounts
National Structures of banking
Legal/ Economic framework
CUSTOMER INTERFACE
FINANCIAL MARKETS
CENTRAL BANKING
PAYMENT SYSTEMS
Tellers
Treasury
International Markets
Forex
Monetary Policy
Financial Stability
Banking Supervision
INTERPERSONAL SKILLS
Operational Risk
LEGISLATIVE ENVIRONMENT
RISK
Delivery model of Learning &
education
LEVELS 1-5
Generic
CPD Workshops
HET
• Partnership with
UNISA
• Endorsed courses
• Developed &
delivered
• Needs assessment
• Needs assessment by
UNISA & IOB
• Needs assessment
• Curriculum design
• Monitoring &
evaluation
• Materials review IOB
& UNISA
• Monitoring &
evaluation
• Monitoring &
evaluation by IOB agreement with UNISA
Formal qualifications
Further
Education
National Certificate in Banking (level 2-4)
Financial Services Certificate – Banking
Financial Services Certificate – Banking Services Advise (FAIS)
Financial Services Diploma:
Higher
Education
•Credit
•Marketing
•Treasuring and International Banking
•Estate and Trust
•Financial Planning.
Financial Services Advanced Diploma:
•Credit
•Marketing
•Treasuring & International Banking
•Estate and Trust,
•Financial Planning
•Property
•Central Banking.
B Banking Degree
Support of the IOB
2003
2004
2005
Year
Members -Student
Members
Students
-
Total Members
non
13,758
7,940
7,717
6,897
12,960
13,788
20,655
20,900
21,495
The Institute organises and manages examinations for
Certificates and Diploma Courses in a total of 120 centres in
SA, Swaziland, Botswana, Lesotho, Namibia, Malawi, UK &
USA.
Support of the IOB
Examinations (scripts) entries for the past 5 years:
Year
2001 – 2005
Certificates
99 391
Diplomas
40 991
Adv Diplomas
21 533
Total
161 915
Students are largely drawn from the major banks, namely, ABSA,
First National Bank, Nedbank and Standard Bank.
Other corporate members who support the IOB are :
South African Reserve Bank; Banking Association; SASBO; Several
of the smaller banks, namely SASFIN, MEEG, Teba, Ithala,
Standard Chartered, majority of banks in Malawi, Namibia,
Swaziland, Lesotho, Botswana, Zimbabwe, etc
Short courses, workshops & major
projects
•
•
•
•
•
•
•
•
Project management
Money laundering
Call centre excellence
Managing conflict
Management control procedures
Introduction to Basel II
Image excellence
Business simulations
Short courses, workshops and major
projects (cont’d)
• Credit risk management
–
–
–
–
–
Fundamental accounting
Introduction to credit
Assessing company affordability
Advanced installment mathematics
Consumer credit
• Fundamentals of Forex Markets
• Fundamentals of the Bond Market
• Fundamentals of the Equity Market
Short courses, workshops and major
projects (cont’d)
Major Projects
•National Credit Act
•Learnerships
•Learning material development &
evaluation
•Surveys and research
4. Professional Body
• Status, designations, {CAIB (SA)}
• Publications – SA Banker
• Networking and events
• Access to learning and education
(CPD), lifelong learning
• Associations with other
professional bodies
• Alliance of African IOB
Conclusion
If money is your hope for
independence you will never
have it. The only real security
that a man will have in this
world is a reserve of
knowledge, experience, and
ability.
Henry Ford
Conclusion
Prof Hector Mackenzie, in his inaugural
address as the First President of the IOB (1904):
It will be the aim of our Institute to facilitate
and assist the study of those principles and
laws in banking, a knowledge of which
combined with integrity, prudence, tact and
knowledge that will lead to a successful banking
profession
Thank you !