RBS 2012 Annual Report Download - page 33

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RBS GROUP 2012
Group Finance
Group Finance is responsible for the external
reporting of the Group’s performance and
financial position, including regulatory and
central bank reporting. We manage the
Group’s capital, ensure compliance with tax
regulations and support executive decision
making through financial analysis. Our external
reporting is highly rated by stakeholders.
The Treasury function drives efficient and
prudent management of our balance
sheet resources, playing a central role in the
Group’s participation in the UK Government’s
Funding for Lending Scheme in 2012.
Our Strategy and Corporate Finance function
helps ensure RBS has the right portfolio of
businesses, developing the Group’s strategy
and executing acquisitions and disposals.
The team was instrumental in the successful
Initial Public Offering of Direct Line Group.
Risk Management
Risk Management underpins the Group's
reputation, performance and future success.
We delivered risk appetite frameworks and the
tool-kits to help staff implement them.
These have helped embed the risk appetite
statements agreed with the board in 2011.
They help further to reduce the balance
sheet and ensure that all divisions work within
their agreed risk appetite.
Effectively embedding the risk appetite
frameworks was central to convincing the
Financial Services Authority and HM Treasury
that we were strong enough to exit the Asset
Protection Scheme.
Risk continued to influence the pay and reward
process at senior levels through input to
objective setting and performance feedback.
There is risk assessment of incentive schemes
and bonus pools, 360 degree feedback and
performance management. This helps drive
behavioural change. Our conduct risk policy
will focus on behaviours and the “how” part
of the way we do things.
Human Resources
During 2012, we recognised that if RBS is to
become a really good bank, one that serves
customers well, we would need to be much
clearer to our people about our purpose, vision
and values. Human Resources has led this
work. While we have some way to travel, the
pace of activity has been intense. By the
end of 2012, 200 of our top leaders had
participated in sessions to help establish what
they will do to embed a culture that meets our
aspiration of putting customers first.
Human Resources supported the
implementation of the Group’s strategic
plan, including the disposal of Non-Core
businesses that are part of the wind down to
make our balance sheet risk safe.
We simplified human resources policies in
2012. They are clearer and more accessible to
our managers, who now know better what we
expect of them.
Legal, Secretariat and Group Regulatory Affairs
Our Legal, Secretariat and Group Regulatory
Affairs functions help to set the framework
within which the Group can deliver sustainable
returns. They operate commercially but
retain their independence and professional
judgement so they can drive a culture of
legal and regulatory compliance and good
governance to protect the Group's franchise.
Group Communications
Communications manages our relationships
with external stakeholders and makes sure
we keep our employees informed about
developments in the business. RBS wants to
be open to stakeholders and, during the year,
Communications helped elected officials,
commentators and others gain a better
understanding of our business and our plans.
Bruce Van Saun
Group Finance Director
Watch or listen to Bruce Van Saun
www.rbs.com/AnnualReview
Nathan Bostock
Head of Restructuring and Risk
Watch or listen to Nathan Bostock
www.rbs.com/AnnualReview
Elaine Arden
Group Human Resources Director
Central
Functions