Strategic Planning and Change Management for Central Banks

Transcription

1 The independent world forum for central bankers and financial supervisors Training course/seminar series 2011 Strategic Planning and Change Management for Central Banks 4-day intensive residential programme 4 7 April 2011 Cumberland Lodge, Windsor Course chairman: John Mendzela Managing Director Mendhurst Associates Series adviser: Charles Goodhart, CBE Professor Emeritus London School of Economics Financial Markets Group Hosted by Central Banking Publications

2 Dear Delegate, Central banking is changing. Central banks around the world are taking on explicit or implicit responsibility for financial stability. The preeminence of inflation targeting is being challenged. Dealing with the financial crisis has forced some central banks into operations that take on an increasingly quasi fiscal appearance, threatening independence and raising questions about governance arrangements. While there is much debate about the direction policies should take, central bankers are already drawing conclusions on how their institutions and they as a profession need to respond. Three stand out. First they must change to meet new policy roles and demands. Second they must be better equipped to change in the future. Third, at a time of increasing scrutiny on public finances, they must be and be seen to be exemplars in their use of public resources; both to guard independence and to ensure they stand tall in the eyes of their stakeholders. Central banks, as organisations, must therefore become skilled in managing external and internal change. Strategic planning is the tool of change. This seminar is designed to equip managers with tools for strategic planning, implementation, measurement and performance monitoring. It is designed to enable participants to identify how their institutions can organise themselves and channel their resources effectively and efficiently to best meet current and future challenges. Key sessions focus on: Effective models for strategic change Financial management and management information Developing a strategic vision Implementing strategic change Monitoring and measuring change outcomes This year we are delighted to welcome: Raed Charafeddine, First Vice Governor, Central Bank of Lebanon Pether Burvall, Controller and Senior Adviser, Sveriges Riksbank François Van Zyl, Head of Strategic Management, South African Reserve Bank Hazem Abdel-Hady, General Manager, Human Resources, Central Bank of Egypt Throughout the four days, participants will work together to examine the key elements and responsibilities of managers in strategic planning, and consider how all those involved can best perform their duties. The programme has been designed to be relevant to the full range of central banking environments by stressing both common core principles and key practical differences. All discussions are held in roundtable format to encourage participants to share their experiences and debate the pressing issues in their field. Each session allows participants opportunities to question an expert panel of speakers and to benchmark themselves against good practice internationally. This format, as more than 3,000 central bankers and regulators can attest, encourages delegates to quiz panellists, raise issues and discuss solutions to the specific challenges they face. I look forward to welcoming you to Windsor on 4 April. Yours sincerely, Robert Pringle Chairman Central Banking Publications A very useful seminar overall. I strongly recommend this to any central bank in the process of strategic change or thinking about change. Fazeel Najeeb, Governor, Maldives Monetary Authority

3 Strategic Planning and Change Management for Central Banks Spring 2011 Monday 4 April Strategic Planning in a Changing Central Bank World Re-evaluating functions: what should central banks do? Ian Plenderleith Former Deputy Governor, South African Reserve Bank (invited) This opening session will examine how the financial turmoil is reshaping the role of the modern central bank and the issues senior managers and leaders should be focused on post-crisis. Central banks face new demands and new responsibilities, notably in the area of financial stability and, in this session the speaker, who has held senior executive positions at two central banks, will outline what the central banks should ask when defining their functions and allocating scare resources. The group will be encouraged to identify the lessons in policymaking and institutional change that can be learned from this crisis in order to prepare for the next one. Managing central banks for tomorrow John Mendzela With by definition one per country, the very nature of central banking makes industry-type benchmarking exercises an awkward and often unsatisfactory undertaking. Yet, meaningful comparison is possible, using both quantitative and qualitative data. This session, drawing on the experiences of the chairman in working with central banks around the world will provide insights into management at both a strategic and day-to-day level to show central bankers have successfully changed their organisations. Mr Mendzela will make the case for management systems to focus on functions, not departments, and to define outcomes, outputs, metrics and costs rigorously. A series of case-study examples will be used to show, how in practice, this can be achieved. Time will be devoted to outlining typical problems and opportunities central banks face in achieving future-oriented management practices, and the speaker will suggest practical approaches to overcoming potential obstacles. Key issues for participants Workshop led by John Mendzela This session will examine how ideas discussed earlier in the day are affecting specific institutions. The chairman will encourage participants to talk about the steps they have taken to improve institutional management, the obstacles they encountered and the key objectives that they wish to achieve in the future. This discussion will enable later sessions to target specific concerns and areas of interest of participants. The course awarded me an opportunity to benchmark my institution practices and process against that of other institutions. A central bank delegate I have attended many workshops for central bankers. Those organised by Central Banking Publications are by far the best. A central bank delegate

4 Tuesday 5 April Tools and Methods Strategic planning emerging good practice Speaker to be confirmed Strategic planning, as a defined business discipline, emerged in the 1960s and 1970s and has now developed into a variety of strands or schools. At a time when central banks are considering operational and institutional change, strategic planning provides a useful framework with which to tackle questions and develop solutions. This session, led by an experienced private sector practitioner, will present the latest thinking on the key building blocks of the process: the strategic review, developing the strategic plan and business and operational planning. Group discussion will focus on where, how and when adapting strategic planning experience from the commercial sector can be rewarding in a central banking context. Linking outputs to objectives: effective models for strategic planning François Van Zyl Head, Strategic Management, South African Reserve Bank While a strategic vision of institutional objectives is critical, change occurs in the implementation, rather than the formulation, of strategy. Outputs must be linked to strategic goals. This requires a top-to-bottom realisation that departmental goals must serve strategic objectives. Senior management involvement and buy-in is of course integral to this process. The speaker will show how the strategic planning function can practically help management formulate, implement and evaluate strategy across the institution as a whole. He will also give guidance on how to organise the strategic function over a multi-year time horizon. Focusing on core functions Pether Burvall Controller and Senior Adviser, Sveriges Riksbank Increasingly, central banks are implementing change programmes aimed at improving efficiency and focusing on core activities. In recent years, the Riksbank has tried to refine its activities to focus on analytical work in the fields of monetary policy and financial stability. Staff numbers have fallen by more than 40% over ten years. Departments have been merged and new governance structures have been created to underline departmental responsibility for daily activities. Drawing on the Riksbank s experiences, this session explores some of the key prerequisites and techniques for successful refocusing towards core functions. Developing a strategic vision Workshop led by Raed Charafeddine First Vice Governor, Central Bank of Lebanon This session focuses on how to determine the direction and pace of change. Participants will be invited to talk about the steps they have taken to improve institutional management, the obstacles they encountered and the key objectives that they wish to achieve in the future. They will then be encouraged to consider their own institution s direction, focus and mission over the next decade, and how to best express this. The workshop will be led by Raed Charafeddine, who has held senior executive positions in both central and commercial banking.

5 Wednesday 6 April Achieving Sucessful Strategic Change Strategic Planning and Change Management for Central Banks Spring 2011 Implementing strategic change Isabel Morales Strategic Planning Manager, Bank of Mexico The Bank of Mexico is currently rolling out a strategic change programme. In this session, the speaker who has been involved in the programme since its inception will share with participants why the central bank decided to rethink its structure and management, and the tools and techniques it is using to facilitate this change. Particular attention will be paid to how the process relates to strategic planning and budgeting, including the identification of synergies and savings and the management of competing demands on resources. Participants will be invited to discuss how the lessons from that experience can be applied to other institutions and circumstances. Leadership in central banking Raed Charafeddine Strategic change is not a mechanical, emotionless process. Indeed organisational change can be stressful for the central banking staff, not least if the direction and goals are poorly communicated. This is the remit of the leader, who must not only lead the process but utilise soft skills in improving the morale and enthusiasm of the staff. The speaker, who has lectured at in strategic management, leadership, and leading change, will show how soft skills can make all the difference in enabling strategic planners to succeed. Monitoring and measuring change outcomes Pether Burvall Delivering change means monitoring and measuring outcomes, with clarity of responsibility and reporting vital. Yet in contrast to the commercial sector where goals can be set in terms of profit or market share, metrics for central banking are less clear. How then can central banks show the effectiveness of a change? How can they show that they are delivering value for money? In this session, the speaker will share and discuss the Riksbank s 2011 strategic review, which took a 360 view of the central bank s operational and institutional make-up. The speaker will also show the benefits of benchmarking with other central banks. About the course chairman John Mendzela uniquely combines deep specialism in central banking with wide commercial skills and experience. Mr Mendzela has more than 20 years of experience in central bank governance and management, working with central banks as an internal change leader, independent external adviser and official sector representative. His expertise draws on work with a diverse range of central banks in developed, developing and transition economies, and applies a global and multicultural strategic vision and a diverse technical background.

6 Thursday 7 April Effective Lasting Implementation HR s role in strategic change Hazem Abdel-Hady General Manager Human Resources, Central Bank of Egypt A central bank s main resource is people and human resource management specialists are key in getting central bank staff on board of institutional transition. The speaker will demonstrate how those in charge of strategic planning can achieve effective dialogue with human resources specialists to align human resources strategy to the overall corporate strategy of the central bank for effective implementation. The speaker will discuss how his human resources department is managing change at the Central Bank of Egypt, drawing out lessons that can be applied in other contexts. Financial management and management information John Mendzela Facing increased accountability pressures, central banks are now required to keep a closer eye on the institution s budget and overall expenditure. Effective and efficient use of resources, and the ability and willingness to demonstrate these, is crucial in preserving credibility and trust. Moreover, optimal resources allocation is closely entwined with successful strategic planning and the operational plan. The overall budget is then the financial summary of the central bank s operational plan. A comprehensive management information system needs to include not only financial accounting and reporting but also resource costing and output measurement. This session will look at how central banks can improve their understanding of how they allocate and consume resources and, in doing so, also improve their management of the resources. Participant issues and action plans Workshop led by John Mendzela This final session will emphasise confidential peer interaction and maximise the practical benefit of the week s key themes and issues. The chairman will ask participants to identify and discuss how the experiences and ideas from earlier sessions could be specifically applied to their own institution s challenges and priorities. Other CBP training course/seminar series, Spring 2011: New Developments in Banknote and Currency Management Financial Stability: Designing and Implementing Macroprudential Policy Central Bank Governance: the Role of the Board Current Challenges and the Future of Central Bank Statistics Effective Internal Audit for Central Banks How to Implement a Risk-Based Framework to AML and CFT For detailed programmes and a fax-back registration form for each of these key courses, please visit:

7 Booking details Course fee: 3,000 (VAT at 0% for delegates employed by government in furtherance of its sovereign activities) 4-day (3 nights) residential course Course fee includes: en-suite accommodation, meals, refreshments, course documentation and a complimentary copy of the most recent issue of the Central Banking journal. Substitute delegates can be accepted should the registered delegate be unable to attend; please let us know prior to the event. How to book Please complete and return the registration form overleaf to: Central Banking Publications Ltd. Incisive Media Haymarket House Haymarket London SW1Y 4RX UK telephone: +44 (0) fax: +44 (0) conference@centralbanking.com website: The venue Cumberland Lodge is one of the Royal Houses in The Great Park at Windsor and was formerly used by members of the Royal family and their households. Occupying a superb position, it provides a unique setting for conferences where participants find they can work easily in tranquil and gracious surroundings. Most bedrooms are spacious and each has its own en-suite bathroom. About Central Banking Publications Central Banking Publications events division is the leading independent organiser of public policy seminars/training courses for the official sector. Since 1997, CBP has hosted roundtable seminars and training courses for over 3,000 senior policymakers from central banks, ministries of finance and financial regulatory agencies around the world. Senior officials from more than 120 countries have attended these meetings over the past ten years.

8 Registration for Strategic Planning and Change Management for Central Banks 1. Delegate details: PLEASE WRITE IN CAPITALS Mr/Mrs/Ms: Surname/Family name: First name: Job title: Organisation: Address: Postcode: Telephone: Facsimile: 1: 2: Please provide us with the direct address of the delegate and an additional address if possible. This is very important because all correspondence with delegates is by . Course fee: 3,000 (VAT at 0% for delegates employed by government in furtherance of its sovereign activities) 2. Payment details: Bank transfer: The Royal Bank of Scotland, 62/63 Threadneedle Street, London, EC2R 8LA, UK A/c No: Sort Code: IBAN: GB89 RBOS Swift code: RBOSGB2L Please pay the course fee net of all bank charges and send us the copy of the transfer details Credit card: please charge to my Visa Mastercard American Express Card No: Cardholder name: Cardholder address (if different from above): Security Code: Expiry date: Signature: Cheque: I enclose a cheque for Date: payable to Central Banking Publications Ltd. I will require accommodation from I have read and agree to the terms and conditions below. to Signature: Date: Terms & Conditions: A refund (less 10% administration fee) will be made if notice of cancellation is received in writing three weeks before the conference. Regrettably, no refunds will be available for cancellations received less than three weeks before the event start date. If you do not attend the event or notify us of your intention to cancel, the full fee will still be payable. A substitute delegate is welcome but the organiser must be notified in advance of the conference to avoid incurring a charge. Substitutions may not be made at the conference. Payment must be received before the event start date. If we have not received payment in full by the event start date, you will be required to provide a credit card guarantee on the day to gain entry. The programme may change due to unforeseen circumstances, and Incisive Media reserves the right to alter the venue and/or speakers. Incisive Media accepts no responsibility for any loss or damage to property belonging to, nor for any personal injury incurred by, attendees at our conferences, whether within the conference venue or otherwise. Data Protection: By registering for a Central Banking training course you will receive further information relating to this event. In addition we will send you information about our other relevant products and services which we believe will be of interest to you. If you do not wish to receive other relevant information from Incisive Media via a particular medium please click the following relevant boxes: mail phone fax . Incisive Media will also allow carefully selected third parties to contact you about their products and services. If you do not wish to receive information from third parties via any of the following media please tick the relevant boxes: mail phone. Please tick if you are happy to receive relevant information from carefully selected third parties by and fax. Registered Office Haymarket House, Haymarket, London, SW1Y 4RX UK. Registered in England and Wales number VAT No. GB P.