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Absa strengthens executive team, refines operating model

Absa strengthens executive team, refines operating model
30-06-22 / Tau kaVodloza

Absa strengthens executive team, refines operating model

Johannesburg - Absa has today announced a number of new appointments into its Group Executive Committee (Exco), adding that it is embarking on a transformative journey that has also seen it launch a new operating model which will see it have a total of five business units, a shift from the current two.

The banking Group said, as part of its journey to enhancing market competitiveness and with due consideration to its transformation imperative, it has announced a strengthened Exco and a refined operating model, effective 1 July 2022.

Absa further stated that it embarked on a new strategy in 2018, and the strategy, which has been refreshed, has set it on a growth path and enabled it to build momentum, while also positioning it to intensify its efforts to compete.

“We are reconfiguring Group Exco to create an organisation that is closer to customers, shows superior commercial performance and is fuelled by functional excellence,”  said Arrie Rautenbach, Absa Group Chief Executive Officer.

“The inclusion of best-in-class commercial and revenue-generating skills from key customer segments will complement Absa Group’s existing high-calibre Exco team and give credence to Absa’s re-anchored strategy while allowing us to accelerate strategy execution,” he said.

Group Exco changes:

  • Given the elevated importance of both strategy and sustainability, and the integration of the two in the current environment, Punki Modise has been appointed Group Chief Strategy and Sustainability Officer, part of the Exco team.
  • Key leaders in the former Retail and Business Banking (RBB) business unit have been appointed to Exco roles. They are Faisal Mkhize, Cowyk Fox and Geoffrey Lee, responsible for Relationship Banking, Everyday Banking and the newly constituted Product Solutions Cluster, respectively.
  • In addition to his current responsibilities, Saviour Chibiya is now responsible for RBB ARO as Chief Executive: ARO and assumes full accountability for the RBB ARO business. ARO refers to Absa Regional Operations.
  • Thabo Mashaba was recently appointed as Interim Group Chief People Officer, also an Exco role.

The Group said these changes see it move from two commercial business units - Retail and Business Banking (RBB) and Corporate and Investment Banking (CIB) - to five business units.

These are:

  1. Everyday Banking
  2. Relationship Banking
  3. Product Solutions
  4. CIB Pan-Africa and
  5. RBB ARO.

CIB remains unchanged and will continue to be led by Charles Russon, who maintains accountability for CIB Pan-Africa.

“There are clear commercial benefits that will flow from the operating model changes and a more diverse leadership team, with further opportunities to strengthen our transformation profile,” said Rautenbach.

Progress is underway with regards to permanent appointments in the roles of Group Chief People Officer, Group Chief Information Technology Officer and Group Chief Brand and Marketing Officer, which will be announced in due course, said Absa.

It said the additions to the Exco structure complements its existing high-calibre executive team, adding further that, the new structure and operating model are intended to support its strategy, and increase the scope of its senior leadership, ultimately allowing the Group to harness greater talent and transformation from the internal pipeline.

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