When trust is at risk… everything is at risk! This is especially true when it comes to reputation. The CBA’s CEO, Ian Narev said “It’s really important to look at reputational damage… in the long term” while being interviewed on Channel 9’s Financial Review Sunday (click here for the interview).
How consciously focused are you on the impact of your intentions, promises, actions and results on the reputation you have in your personal and business life?
When it comes to the Commonwealth Bank, Mr. Narev seems to be quite clear about his intention for their operational approach by saying “We’re approaching this with the customer in mind and in the best of faith.”
Following on from my recent post, as I watched Mr. Narev being interviewed, one of the key points he made was that some of the remediation being undertaken was based on financial advice issues dating back to 2003, and that since then there has been significant transformation of the business in management, systems and culture.
The platform principle of Intentionomics is that People Get Your Truth – over time, your intentions, promises, actions and results will either promote or expose you.
As I’ve posted previously, in business, the reputation of one major player can significantly impact the reputation of the entire industry or profession. How the other major Financial Planning institutions (whether Bank owned or not) respond in the immediate future in terms of clarifying to their existing and potential customers their intentions and promises, (and evidencing those intentions and promises through their intentional actions and results), will be imperative to ensuring the reputation of the financial planning industry is one that they and their customers can be proud of.
Mr. Narev pointed out during the interview that “Giving customers good affordable advice is a really critical part of what a financial institution ought to be able to do.” I certainly wholeheartedly agree. Far too many Australian’s do not have the knowledge (despite the potential capacity) or the level of trust, to seek advice on how to better manage their incomes in ways that will increase their overall wealth and potential to live more happy, flourishing and prosperous lives.
The banks here in Australia have the potential to significantly and positively impact the lives and lifestyle of their customers. Cynicism aside, that really is the potential opportunity. .. the question still to be answered over the short, medium and long term, is whether that truly is the intention of the Banks. The answer will come through an assessment by their customers and the compliance bodies as to whether their promises, actions and results deliver on that intention.