Senior Manager: Credit Risk Strategy (Home Loans)

This prominent South African financial institution is seeking a seasoned professional to lead and refine their credit risk strategies specifically within the home loans sector. This is a critical role that will shape how the organisation manages customer payments, collections, and recoveries, aiming to optimise performance while mitigating risk and ensuring a positive customer experience. The incumbent will be instrumental in developing and implementing cutting-edge strategies that ensure the home loans portfolio remains healthy and contributes positively to the company's financial objectives.

About the Role

At its core, this position involves the strategic management of all facets of collections risk within the home loans division. You will be responsible for conceptualising, building, and diligently monitoring strategies designed to maximise collections and recoveries. A key outcome will be ensuring these strategies consistently meet or exceed the set impairment rate targets, all while staying firmly within the defined risk appetite of the organisation. This requires a forward-thinking approach, leveraging advanced predictive techniques and modelling to maintain a competitive edge and foster sustained advantage in a dynamic market.

You will also play a vital role in optimising existing processes. This includes reviewing and refining forbearance strategies to ensure that while customer rehabilitation is supported, the maximum possible recoveries are achieved. Furthermore, you will contribute to the design and effectiveness of incentive programmes for both internal collections teams and external debt collectors, ensuring they are motivated to meet and exceed budgeted targets. The role also encompasses shaping strategies for payment solutions across various channels, such as DebiCheck and RMS, to enhance instalment collection performance.

The responsibilities for this Senior Manager role are broad and impact-driven, requiring a blend of strategic thinking, analytical prowess, and strong stakeholder engagement. Key accountabilities include:

• **Strategy Development and Implementation:**
• Lead the implementation of advanced payment and collection strategies for home loans.
• Develop and manage strategies for high-risk accounts, focusing on proactive measures to prevent customers from entering collections. This will involve utilising sophisticated scoring models and techniques.
• Design and optimise forbearance strategies to maximise recoveries while supporting customer rehabilitation.
• Contribute to the strategic design of collections operations and external debt collector incentive programmes.
• Influence the strategy and design of payment solutions across different types to improve instalment collection performance.
• Maintain comprehensive documentation for end-to-end credit collections strategies.
• Develop and execute tests to challenge and enhance current strategies.
• Analyse the interplay between the macro-economic environment and credit performance, adjusting strategies accordingly to navigate stressed events.

• **Performance Monitoring and Optimization:**
• Ensure robust Management Information (MI) systems are in place for monitoring strategy performance and adherence.
• Conduct quality checks on MI reports and present findings to relevant product committees.
• Oversee the completion of portfolio reviews, analyse results, and provide actionable recommendations to business leaders for performance improvement.
• Evaluate the suitability of systems used for implementing collections strategies and specify necessary enhancements.

• **Stakeholder Management and Collaboration:**
• Coordinate and communicate collections activities across various business units, risk, technology, and operations teams.
• Foster a collaborative and effective working relationship with Operations and Technology teams.
• Secure buy-in and support from key departments, including Risk, MI, Business, Finance, and HR, for the successful execution of collections programmes.
• Engage with business unit and management committee meetings to ensure a shared understanding of risk analytics and decision-making methodologies.
• Support business units in achieving impairment and loan loss rate targets through proactive analysis and guidance.
• Liaise with internal stakeholders, including Group Risk and IT, to gain support for strategy implementation.
• Report on strategy performance and trends to senior leadership and relevant committees.

• **Team Leadership and Culture:**
• Cultivate a high-performance culture aligned with the organisation's aspirational colleague and customer experience goals.
• Align direct reports' performance development plans with overarching business objectives.
• Foster a culture of performance development through effective management of the performance development process.
• Manage and develop team members on a project-by-project basis to achieve business goals.
• Identify development needs within the team and implement tailored development plans.
• Participate in talent acquisition processes to attract and retain skilled individuals.
• Develop succession plans for key roles within the team.
• Initiate disciplinary processes when necessary, in conjunction with HR.
• Lead team members effectively and ensure their contributions are recognised.
• Drive the execution of plans addressing employee-related issues, such as those identified in employee surveys.

What They're Looking For

To excel in this role, candidates will need a strong academic foundation complemented by substantial experience in the banking sector, specifically within credit risk and collections. An Honours degree in Mathematics, Statistics, or a related NQF level 8 qualification is preferred. This should be combined with at least three years of relevant banking experience, with a minimum of two years in a senior-level position, ideally within Retail Banking.

Beyond formal qualifications, the ideal candidate will possess a deep understanding of credit risk principles, particularly as they apply to home loans. Expertise in developing, implementing, and monitoring collections strategies is essential, as is a proven ability to use advanced analytical techniques and modelling. Strong stakeholder management skills are crucial, given the need to collaborate effectively across multiple departments and levels of seniority. Leadership capabilities, including the ability to motivate and develop a team, are also key requirements. An understanding of the South African regulatory environment and its impact on credit risk management would be highly advantageous.

In South Africa, senior roles in credit risk strategy, particularly within home loans, are typically well-compensated due to the specialised skills and significant responsibility involved. Such positions are commonly found within large banking groups and financial services providers. Career progression often leads to broader leadership roles within credit risk, portfolio management, or even divisional management.

Education and experience required

• Honours Degree in Mathematics and / or Statistics or equivalent NQF level 8 qualification. (Preferred)
• 3 years of relative banking experience of which 2 years should be in a senior role (preferably Retail Banking).
• Highly numerate and literate.
• Well-rounded credit professional with sufficient management experience.

Knowledge and skills:

• Knowledge of / in dealing with Retail Bank clients (Expert).
• Proven record of accomplishment in credit management & Sanctioning (Expert).
• Financial analysis and interpretation skills (Advanced).
• Stakeholder Management Skills (Advanced).
• Decision Management using predictive models (Expert).
• SAS Skills (Expert).

Competencies: (Maximum of 8 competencies)

 Problem Solving Leadership

• The ability to analyze and quickly grasp the implications of a situation, relating data from different sources, critically evaluating and integrating information / facts, and diagnosing a problem.

Results Orientation

• The ability to set ambitious goals, maintain a bias for action, drive delivery and take accountability for the outcome.

Customer Focus

• Extensive understanding of best practices for a customer focused culture and the management of customer experiences.

Business Acumen

• The ability to understand financial and economic concepts / drivers; to identify, create and / or exploit opportunities.

Innovation Leadership

• Demonstrates ingenuity and curiosity to do things better and fosters an environment of disruptive thinking and action.

Collaboration and Influencing

• Ability to build an extensive and collaborative network amongst different stakeholders within and externally of the organization (at the most senior levels) that supports the achievements of the business goals.

Strategic Capability

• The ability to continuously evaluate and redirect business strategy and value proposition thereby promoting the competitive viability of the organization.

Inspirational People Leadership

• The ability to build, inspire, and develop teams towards high performance.

Education

Bachelor Honours Degree: BMI - Business Management and Informatics, Bachelor Honours Degree: Statistics

Absa Bank Limited is an equal opportunity, affirmative action employer. In compliance with the Employment Equity Act 55 of 1998, preference will be given to suitable candidates from designated groups whose appointments will contribute towards achievement of equitable demographic representation of our workforce profile and add to the diversity of the Bank.

Absa Bank Limited reserves the right not to make an appointment to the post as advertised