Super Plus- Part 3

In this article, the conclusion to my series on Super Plus I consider the lessons that the financial sector should learn from its experience. The financial sector, as was Super Plus, was founded upon the idea that there were services that needed to be filled and a bank was the best opportunity to meet those needs. The banks would be set up in areas where the services were needed and customer service was a priority. The basis was that the bank needed the customers just as much as the customers needed the bank i.e. the customer was king.

Over the years and especially after FINSAC the financial sector came to be dominated by two major banks and insurance companies. As it was with Super Plus, the management decided that it no longer needed the customer it was the customer who needed them. They were now the dominant companies and the consumers would have no choice but to deal with them. They began to charge for services that were previously free, to lay off more staff and to take larger spreads all in an effort to drive the bottom line i.e. profit. Customer service became a thing of the past and the companies did not care how long it took you to complete your transactions with them. This mistake, as with Super Plus, led them to make the decision to hire more contract workers who had no loyalty to the company and to whom the company had no loyalty thus further worsening customer service.

Today these companies feel that they are untouchable but competition has started. There are many services that were once offered only by the banks but now other entities do e.g. foreign exchange, remittances, savings accounts and loans. These entities are providing superior service and are operating on smaller margins. In addition with globalization it is always possible that an overseas company can come to Jamaica to compete with the existing companies.

The bible tells us to beware when we think that we are strong less we fall. This is being played out by the collapse of the worldwide financial sector. The lessons are there to be learned but is anybody listening?

Feedback question: Do you think that the financial sector in Jamaica is strong and safe?