Jeff Tennenbaum, Staffing Strategy and Operations Leader at Treliant, is responsible for its Managed Solutions practice area. He is an accomplished financial services executive with over 20 years of experience providing business development, sales, corporate development, strategy, and financial leadership. As a business development leader, Jeff has built and cultivated…
- Source: americanbanker.com
The need for dramatic expense reduction in the banking industry is real, and Treliant’s Managed Solutions practice is ideally suited to help financial institutions of all sizes maintain key operational processes and customer experience at high levels with significantly improved and more variable economics.
The article, published on June 3, profiles small, regional, and money-center bank executives and their thoughts and plans around ‘no regrets’ cost cutting.
There are significant downward forces on topline growth, notably a contracting economy, fewer creditworthy consumers to lend to, and the impact of the Fed’s intervention on loan yields.
Further, supporting individual and small business customers through mortgage forbearance and the Paycheck Protection Program is taking a toll.
To reinvigorate their bottom-lines, banks need to focus on what they can control – namely, reducing their cost bases in some or all of the following ways:
- Layoffs – particularly at small and regional banks
- Pulling back from expensive marketing initiatives
- Divestitures to remove unnecessary overhead and raise additional cash to invest elsewhere
- Acquisitions to enable branch network rationalization and eliminate other redundancies
- Digitization to further reduce branch footprints and drive the ‘war on paper’