We are all too aware of the affect of the banking crisis on the economy. But what of leaders within Financial Services institutions? How are they coping with the downturn and the loss of trust in their sector? Bath Consultancy Group has interviewed a number of senior leaders in financial institutions and is writing a report on leadership, strategy and culture in Financial Services. David Jarrett tells us more...

Although the news has been full of the fall of financial services institutions there has been scant reporting of the impact that leading an organisation through this economic turmoil is having within organisations, on their people and importantly on leaders themselves.

We have asked in-depth questions to a select group of senior financial services leaders to understand the pressures they are facing.

We have found that not only are the structures and strategies of banks changing but also there is a fundamental shift required in the culture and a new adaptive style of leadership that needs to emerge.

Financial Services firms have to move away from a short-term focus on profit to a value-added service. Leaders mentioned that ‘Banking is in the business of trust and relationships'. This requires a change in mind-set away from products and the availability of funds to an environment of sustainability. Perhaps we need to reinstate confidence in the profession of banking.

Along with this new banking culture there will be a requirement for different skills. Can current banking staff really deliver the new banking culture? And indeed, who will the banking industry attract now that it is state sponsored, heavily regulated and risk adverse environment.

There is pressure on the leaders themselves - to motivate and engage with their staff, and to keep their personal energy high to effect the rapid re-strategising and cultural shifts required.

Some leaders commented "motivating people when there is no vision is impossible". Another leader questioned, "What skills do leaders need to create a company culture that can be identified with and respected?"

And of support for leaders themselves? Well, this was the most disappointing finding. Although organisations are in severe cost-cutting mode, the challenges placed on leaders are also unparalleled. Yet, the vast majority of leaders had received no leadership development, personal coaching, change programme or strategy development, or relationship management training. Can systemic change really be implemented when the same people are viewing the same organisation from the inside in the same way?

For more information or to register your interest in receiving the report email Chris Preedy at This email address is being protected from spam bots, you need Javascript enabled to view it .