National Australia Bank Limited (NAB) has announced changes to its executive leadership team as it refocuses on becoming a “simpler, more customer-focused bank”.
Under the changes, which are expected to come into effect on 1 October 2018 (subject to regulatory approval), former NSW Premier Mike Baird (who joined NAB last year) will become chief customer officer, consumer banking.
In his new role, Mr Baird will lead NAB’s retail banking business including broker partnerships, more than 700 branches, 7,000 bankers, direct banking and the digital bank UBank.
Mr Baird will also take a lead in the setting of NAB’s “reputation agenda”.
The major bank has also announced that Andrew Hagger will leave NAB after 10 years.
Mr Hagger, who was most recently NAB’s chief customer officer, consumer banking and wealth management, has also formerly been the CEO of NAB’s wealth business MLC and headed up the corporate affairs, marketing and people divisions.
The NAB executive has been in the spotlight recently, after appearing before the financial services royal commission over alleged misconduct in the superannuation area. He was summoned to the commission last month over allegations that NAB failed to provide ASIC with up-to-date information about its “fees for no service” compensation program as the regulator was compiling an industry-wide report on the topic.
He had previously appeared before the royal commission in April, when he gave evidence about the “widespread” practise of false witnessing by NAB financial advisers.
Mr Hagger was also in the media when NAB announced last year that it had fired 20 bankers in NSW and Victoria, disciplined 32 people and begun remediation for customers following the discovery that more than 2,000 home loans were submitted with inaccurate information.
Speaking of his departure, Mr Hagger said: “It has always been a privilege to serve our customers and play a role in a number of achievements, including the Break-Up campaign which attracted one million new NAB customers and core improvements in our consumer bank and UBank.”
He added: “I take accountability for what has occurred on my watch, and accept that alongside successes were failures, including instances where we did not act with the pace required. I leave NAB with confidence that we are creating a better bank.”
New customer experience division
NAB has also announced that it will change its customer products and services division to “customer experience”, which will be focused on “building advocacy and loyalty through the design and delivery of a leading banking experience”.
The new division will include customer experience, marketing, digital, products, NAB Labs and NAB Ventures and will be headed up by Rachel Slade in the new role of chief customer experience officer.
Ms Slade was previously the executive general manager, deposits and transaction services, at NAB.
Other changes include NAB group Treasurer Shaun Dooley becoming chief risk officer, while the former occupant of that role, David Gall, moves to the role of chief customer officer, corporate and institutional banking (which was formerly held by Mike Baird).
Speaking of the changes, NAB chief executive officer Andrew Thorburn said: “We have a clear plan to transform NAB and create a sustainable business that puts customers first, and we are executing on that plan.
“Now is the right time to make these changes as we work to create a better bank and earn the trust of our customers.”
In relation to the personnel changes, Mr Thorburn said: “Rachel, Mike, David and Shaun are outstanding leaders who think customers first and bring terrific authenticity and values to NAB every day. These appointments also demonstrate the depth of talent we have inside NAB, and I am particularly delighted to promote Rachel and Shaun to the executive leadership team.”
Speaking of Mr Hagger’s departure, the NAB CEO added: “With the recent bringing together of the wealth businesses under new MLC CEO Geoff Lloyd to prepare for separation from NAB, Andrew Hagger believes now is the right time to leave.
“We have been colleagues for a decade at NAB, I have valued his long-term contribution and I wish him and his family well as he pursues new opportunities.”
Should the changes gain regulatory approval, the NAB executive leadership team will be:
- chief executive officer, Andrew Thorburn
- chief customer officer, consumer banking, Mike Baird
- chief customer officer, business and private banking, Anthony Healy
- chief customer officer, corporate and institutional banking, David Gall
- chief customer experience officer, Rachel Slade
- chief technology and operations officer, Patrick Wright
- chief financial officer, Gary Lennon
- chief legal and commercial counsel, Sharon Cook
- chief risk officer, Shaun Dooley
- chief people officer, Lorraine Murphy
- managing director and CEO of BNZ, Angela Mentis
[Related: PM applauds NAB’s rate inaction]
Annie Kane is the editor of The Adviser and Mortgage Business.
As well as writing about the Australian broking industry, the mortgage market, financial regulation, fintechs and the wider lending landscape – Annie is also the host of the Elite Broker and In Focus podcasts and The Adviser Live webcasts.