The regulatory creation of the Intermediate Holding Company has ignited an evolution in the role of the IHC CEO. The emerging trend in the IHC CEO role is the transformation from an oversight and business development role towards a strong strategic and business management role. The primary driving forces of this evolution are being driven by the increased focus on the CEO due to:
- Federal Reserve oversight of the consolidated US entity as a result of the Dodd-Frank enhanced prudential standards for foreign banking organizations.
- Headquarters Senior Management’s new found ability to review the consolidated IHC financial performance and their demand for growth and profitability.
- Scarce resources constraints requiring U.S. centric decision making.
The Regulatory and Headquarters focus on the IHC’s financial performance is empowering CEOs to overcome the historical challenges of managing across a matrix organization and breaking down the silos of business dominant U.S. buildouts.
CEOs are beginning to demand the enhanced management information required to make strategic decisions that will drive increased profitability and scarce resource optimization.
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