The Challenge
As all European Banks, Greek systemic banks had also to deal with the significant issue of the huge Non Performing Exposures (NPEs) accumulating in their Balance Sheets, harming their key financial ratios and threatening their viability as a result of the global financial crisis of the late 2000s.
Our client decided to implement an ambitious NPE off-loading programme moving NPEs out of its own balance sheet and at the same time engaging in a major organizational and operational transformation as a result of this action.
The Approach
We have worked first in collaboration with one of the leading international strategy firms to define the perimeter and the high level approach of the transformation.
Subsequently, we primarily engaged in the following activities:
- We provided resources to the bank in order to manage, monitor and act upon issues related to the implementation of the transformation programme
- We undertook specific actions that were part of the transformation programme such as the design of policies and procedures as well as the detailed description of organizational structures affected or created by the transformation inside the bank or the subsidiary the undertook the NPE management.
Results & Impact
Resolving decisively the NPE impact for a major Greek Systemic Bank
The Bank implemented a very successful transformation programme and at the same time became the first Greek bank to improve dramatically its financial position and gain quicker than other banks its independence from the strict scrutiny of the regulatory authorities for that matter.
