FBL Proposed Vision, Mission & Strategy

FBL Proposed Vision, Mission & Strategy

Federal Bank of Lebanon SAL
 
Our Vision
We aim to be the Bank that you trust, as the Federal Bank of Lebanon is not only our Bank; it is also your Bank. A Bank, where all solutions are tailor-made, with distinctive & personalized customer service.
 
Our Mission
In a world where tomorrow’s outcome is a product of today’s decisions, we make it our mission to continuously explore new frontiers and evolve in its expedition towards mutual growth & development.
 
Strategy
The bank’s efforts will be directed towards becoming an efficient, effective and profitable bank.
At the end of last year we have significantly re-organized the way we do our business, the result of a clearly articulated strategy to transform our Bank into a well structured and cost effective enterprise.
Implemented structural changes and undertook projects and initiatives designed to directly address each of these strategic imperatives.
Implementation and execution of our strategy has seen us put in place a number of initiatives designed ultimately to drive shareholder returns. We re-aligned business within the bank into four business units, organized along segment lines (Retail, Corporate, Treasury, and Private banking). Overall, the intent was to re-position our business in order to capitalize on our strengths. The new operating structure will be well focused and client driven across the board. The aim of “FBL” should provoke not only thoughts of trustworthy and dependable 60-year old bank but also of being “best in class” across a number of important metrics.
To reach these strategic targets, we conducted an in-depth analysis of our business to isolate the primary levers in our financial and operating performance, the results of which are five financial and five non-financial medium-term strategic priorities, which we will pursue relentlessly. We believe that by focusing on the five financial and five non-financial priorities, we will transform FBL into an institution that delights shareholders, clients, and employees.
 
 
Bank Strategy
 
Bank Non-Financial Priorities: Service Excellence, Credit Quality/ Process Excellence, Brand Transformation, Talent management, Performance.
 
Strategic Business Unit:
Corporate Banking: Lending at managed risk, improved penetration of mid-sized corporate
Retail Banking: Strong Affluent client acquisitions with continued deposit drive and credit expansion
Treasury: Margins and revalue differentiation from executing deals for retail, corporate HNWI& bank’s position.
 
Bank Financial Priorities: Fees, commissions & other income increase, Selective loans and advances creation, Pricing optimization, Low cost deposit mobilization, Overhead expenses Containment
 
 

Bank’s Non-Financial Priorities

Non-Financial Priorities

 

 

Service excellence

Fast & friendly service, without sacrificing processing quality or increasing transaction costs

Branch/client experience transformation, channel optimization and centralization processing

Credit quality/process excellence

Improve speed/quality of credit decisions and effectiveness of end-to-end credit process from origination to recovery

Deepen credit capabilities, run holistic process redesign, strengthen scoring models, enhance monitoring and workout

Brand transformation

Significantly enhance brand perceptions and drive business results via targeted areas

Targeted client acquisition and product usage/revenue-driven through proper channels

Talent management

Build Superior workforce by attracting, developing and retaining the best industry talent

Workforce planning/alignment and role grading system, capability building in critical areas, HR system/process alignment with different SBU

Performance management

Align individual incentives with enterprise/shareholder priorities and ensure accountability for commitments

Cross-selling/cooperation initiatives, focus on client satisfaction, open communication, adaptability to change, interpersonal skills

 
 

Bank’s Financial Priorities

Financial Priorities

 

 

Fees, commissions & other income increase

Significantly increase revenue from non-interest income sources

Boost cross-selling with client analytics, establish the e-banking, grow key product volumes (i.e. LCs, FX)

Selective loans and advances granting

Selectively and prudently grow loan portfolio in key sectors and shift mix towards assets with higher-risk adjusted total yield.

More small-medium transactions priced right, SME/client program lending and cards

Pricing optimization

Implement strong risk-based pricing regime and manage revenue leakage

Revise pricing tools and policies, manage concessions/leakages, implement short-term re-pricing to align with market

Low-cost deposit mobilization

Drive strong low-cost Non-resident & resident (KBI) deposit liability generation

General and targeted clients through key business introducers to attract deposits with low cost in order to reduce the average cost of funds

Overhead expenses containment

Contain overhead expenses growth rate at level sufficiently below revenue growth rate

Reduce cost through proper cutting to unnecessary expenses and enhance controllable cost discipline