Instead of following the bigger players in the banking industry, Sasfin is creating its own path, based largely on the mindset that bigger isn’t always better. Michael Sassoon unpacks the thinking behind staying agile as well as building products and offering solutions that meet customer needs.
1 Have a long-term vision
Although Sasfin is a listed business, the Sassoon family still owns 40% of the company, and the recent succession of Michael Sassoon to CEO means the bank’s leadership has also remained in the family. The appointment had to be approved by both Sasfin’s board and the Reserve Bank, and so it wasn’t a foregone conclusion, but it does mean that there is a high degree of continuity between founder Roland Sassoon’s vision and his son’s continuation as CEO.
“It comes down to the agency theory question,” says Michael. “Because of reward structures that focus on short-term gains, professional managers can tend towards short-term orientations and decisions. This could mean they invest less in the short-term for long-term projects or goals.
“We’ve always taken a different approach. The strategic benefits of ownership mean that we are not only focused on what this business looks like tomorrow. We are far more interested in what the business looks like in 20 years’ time.
“Many of the decisions that this business has taken in the past only reaped results and bore fruit ten years later. It’s an important distinction. Without those decisions this would be a completely different business today.
“We’ve had cash cows that weren’t part of our long-term vision. Instead of investing more in those for short-term gains, we went into a different spread of activities. If we had a short-term view only, the importance of a banking license may have not been as significant then and the long term gains would not have been realised. Even entering transactional banking four years ago against some very large and established players is the result of a future-forward view.”
2 Make decisions based on your competitive space, not what you think you should be doing
Diese Geschichte stammt aus der August 2018-Ausgabe von Entrepreneur Magazine South Africa.
Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.
Bereits Abonnent ? Anmelden
Diese Geschichte stammt aus der August 2018-Ausgabe von Entrepreneur Magazine South Africa.
Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.
Bereits Abonnent? Anmelden
Prepare For The Worst
The stronger your business is, the more you stand to lose. Here’s how to spot hidden weaknesses within your operation and steel yourself for unexpected battles.
Start Planning Today For Future Wealth
Q&A Budgeting is by far the biggest threat to wealth planning, says wealth coach Nelisiwe Masango. If you’re part of the majority of people who don’t have a monthly budget or who have one, but don’t adjust it regularly, you could be hindering your financial progress.
Beyond Banal Business Travel
Twenty-five-year-old South African automotive drivetrain repair company Rex Diff and Gearbox found a perfect match for its business travel needs when it joined kulula work’s client base, and never looked back. Dennis McLachlan of RDG’s Consumer Affairs and Marketing division explains why.
The Next Level Beckons
Rudolf Goosen is an ex-professional rugby player, entrepreneur, author, TV presenter and motivational speaker. Entrepreneur recently spoke to him about his new book, Taking Your Life to the Next Level.
Diversity Drives Board Performance
The composition of your board of directors can help you drive your company value and increase shareholder and other stakeholder returns.
Invest And Save 100% Of Your Tax Payable To SARS
Section 12J funds were created in response to the South African Government offering tax incentives for private investors to support funds that support SME growth in South Africa. Three experts unpack the benefits of investing in 12J funds — particularly for high net worth individuals.
Following Your Dreams? Nailed It!
Sorbet franchisee Kate Holahan went from corporate employee in 2015 to owning two franchise locations in just over two years. By September 2017, she had launched a new location, acquired new clients and was learning something new every day. It took a few learning curves and partnering with the right bank to lead her to successfully running her Sorbet and Sorbet Man stores at Benmore Shopping Centre in Sandton.
How To Build A Community Around Your Brand
There’s a way to build your market without spending a fortune on advertising and marketing — and it’s called community building. Here’s why this should be the cornerstone of your growth strategy.
Sealing The Deal
If you want to close more sales, you need to understand the three phases of the customer buying cycle.
No Limits
When Offlimit Communications faced its first downturn after ten profitable years in business, its leadership team didn’t even question that they would turn things around and make them better. With resilience and determination, they analysed the business, made some tough choices and took action. Within six months they took the business from massive losses back to profitability, and a year later doubled their pre-losses turnover — all in the middle of a recession.Here’s how Lisa Cohen, Jerome Cohen and Garon Bloom took lemons and made lemonade, building a R130-million sustainable business in the process.
