IT as an Engine of Global Expansion for African
Organisations
Digital Jewels: Information Value Chain Breakfast Forum
8 July, 2009
Tunde Coker, Group CIO, Access Bank PLC
13/07/20092
Our Philosophy
To go beyond the ordinary,
to deliver the perceived impossible,
in the Quest for Excellence
To transform our bank
into a world-class financial
services provider.
The Quest For Excellence
M I SS I O NV I S I O N
BRAND DRIVER
2
13/07/20093
Our Values
3
Contents
Introduction ……. about Access Bank
IT and business alignment
Critical success factors
Creating the right global model
Challenges
13/07/20094
Access Bank - Our Evolution…
The Beginning
1989-2001
• Established Feb. 1989
Commenced operations May
1989
• As at 03/2001, shareholders
fund was N919mm with
25branches across the
country.
• Opportunity created for
injection of capital by new
investors
2002-2004
Transform &
Reposition
• Appointment of new
management
• Embarked on
transformation agenda
that moved the Bank from
65th to 15th position
• Return to profitability
(N1.01bn PBT) from
N17.9mm loss
Recapitalise and
Acquire
2004-2005
• IPO in October 2004 raising
N13.5bn with 133%
oversubscription
• Acquired Capital Bank
International and Marina
International Bank via merger by
absorption
• Achieved integration in a record
time of 60 days
• Received USD$15m equity
investment from FMO, 3rd largest
shareholder
• Met CBN N25bn recapitalisation
requirement
2006-2007
Consolidate and
Grow
2007-2012
Expansion
Phase
• Retail strategy assisted by ING
Bank
• Most Improved Bank in Nig. Award
from Thisday Newspapers in Feb.
2006
• Commenced Pan African
expansion in Gambia and S/Leone
• Selected to manage foreign reserve
in partnership with ABN AMRO by
CBN
• Ranked 8th Bank in Nig. by balance
sheet size
• Received $30 m convertible loan
from various foreign Fin. Inst.- IFC,
BIO, FIN fund 5 Y
ea
r S
tra
teg
ic O
bje
cti
ve
s
Defining Factors for Success
GovernanceRisk
Management
Skills and
competenciesCapital
Our Awards
Best Annual Report
Award 2006
(Fortune Magazine Award)
Best Telecom
Financing Bank of the
Year Award (Nigeria Telecoms Award)
Innovative Trade
Structures Award Int’l Finance Corp (IFC)
Most Innovative Bank Award
2007(African Banker Magazine)
Customer Service Excellence Award (KPMG Nigerian Banking Industry Customer
Satisfaction Survey Award)
Most Effective Website | Most Captivating Site in Customer Experience | Most Attractive
Site (Aesthetics) (Philips Consulting 2007 Web Jurist Competition)
United Kingdom
OECD
GDP
$39,680bn
• Controlled expansion in Africa driven by
► Existing customers expansion outside Nigeria
► Increasing regional trade finance
► Underbanked markets with attractive opportunities
► Synergies and cost efficiencies– leverage off existing
business in Nigeria
► Risk diversification and enhanced risk profile
• Choice of countries driven by:
► Size and profitability of market
► Macro-economic fundamentals
► Availability of human capital
Evolving international strategy
The importance of aligning IT to business goals
Creating a country view when the organisation is going global constrains the organisation
Critical factors for success
Ensure IT strategy reflects international goals and scale of ambition
Create a scalable enterprise architecture as an engine for growth
Create the right organisation that reflects the business
Build an effective global infrastructure with practical innovation
Create a strategy for common infrastructure with flexibility and governance for local
idiosyncrasies
Align with global business units and then country units
Creating a single view of the enterprise for clients
13/07/20099
The global perspective
Reg
ion
s
Co
un
trie
s
Growth Strategy
Globe
Continents
Creating the global growth strategy
Global Infrastructure Components
Data Centre Infrastructure
Global Connectivity
Global Mail
Unified Communications
Global / Local Customer Markets and Relationships
Global Application Frameworks
Customer Relationship Management
Enterprise Data Warehouse & Master Data
Collaboration and Knowledge Management
Global Applications
Peo
ple
an
d P
rocesses
Bu
sin
ess S
trate
gy &
En
terp
rise A
rch
itectu
re
Country
Focus
Country
Focus
Country
focus
Role of IT ……
13/07/200912
Role in Business Strategy
Role: Custodian Role: Agent
Role: Provider Role: Partner
Support
Factory Strategic
Turnaround
• Operational / back room
• Low expectations
• Key to business change
• Project delivery essential
• Integrated with business
• Essential, high impact
• Zero defect IT
• Essential to business day to
day operations
Opera
tio
nal Im
pact
Source: Gartner
Various models exist for structuring IT as engine for growth
Infr.
Services
Apps
CIO
Infr.
Services
Apps
CIO
Infr.
Services
Apps
CIO
Gro
up
/ G
lob
al
CIO
MD MD MD
Gro
up
MD
1. De-Central
Services
Apps
CIO
Services
Apps
CIO
Services
Apps
CIO
Gro
up
/ G
lob
al
CIO
MD MD MD
Gro
up
MD
Infrastructure
2. Part De-Central
CIO CIO CIO
Gro
up
/ G
lob
al
CIO
MD MD MDG
rou
p M
D
Infrastructure
Services
Applications
3. Shared Services / Capability
Corporate Examples
1. Virgin Group
2. BP
3. Access Bank
Challenges to creating the strong engine for expansion
Setting the right global context
Creating the global enterprise architecture
Moving from local to region to continent to global
People, processes and infrastructure
Culture: keeping your core culture, accommodating local cultures
Risk management and regulatory differences
Growing your people from local country perspective to global
Grappling with the various organisation and technology models
Managing the need and cost or travelling
Conclusion
IT can be an engine for global expansion
It can also be a constraint to global expansion
IT strategy must be aligned to the enterprise global strategy
Pace of growth and change must be aligned to business appetite and markets
Appropriate delivery models should be adopted
IT must innovate to overcome infrastructure constraints in Africa and elsewhere
The CIO plays a central role in the success and effectiveness of IT
as an engine for global growth
Thank You