Banking Careers and Workplace Skills

Banking & Finance

Bellringer

• Before you begin this chapter, see what you already know about banking by taking the chapter pretest.

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Biz Kid$ Video

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Executive Careers

• Describe the role and responsibilities of a chief executive officer.

• Explain the connection between the chief operating officer and the bank president.

• List the qualifications for a chief financial officer in the banking industry.

• Describe the difference between a chief technology officer and a chief information officer.

Chief Executive Officer• Appointed by a corporate board of directors• Accountable to the corporation’s stockholders, the public

it serves, and legal authorities for the actions of the bank.• Responsible for setting the strategic vision of the bank

and placing people into positions of authority to carry out that vision.

• Sits on the board of directors• May be chairperson of the board• Generally has at least 10 years of high-level leadership

experience/Bachelor degree in accounting or finance• Those serving: Master of Business Administration and

strong background in technology.

Chief Operating Officer and President

• Responsible for daily operations• Sometimes the president serves as COO or even CEO• Has ultimate responsibility for the bank’s operations and

performance• Responsible for the bank’s success or failure• Reports to CEO, providing critical operations information

that helps CEO make policy decisions• Department managers report to COO• Uses info from mgrs to track progress and verify success• Bachelor degree or MBA, strong personal skills

Chief Financial Officer

• Responsible for financial planning, control and record keeping for the bank.

• Supervises all accounting tasks, preparing and monitoring bank’s budget

• Report to the CEO, providing critical financial info that helps CEO make decisions involving bank’s finances

• Bachelor Degree/Masters; technical, legal, technological knowledge/Certified Public Accountant (CPA)

Chief Technology Officer and Chief Information Officer

• CTO: responsible for developing new technology for use by the bank.

• Sets long-term direction of the technology the bank will use

• Involved in technology bank currently uses and may be involved in resolving issues with implementing new technology

• Sometimes CIO serves this function• IT managers with more than 10 years experience,

MBA w/concentration in systems management

Checkpoint 12.1

1. To whom is the CEO responsible?2. What executive banking role is charged with

setting the strategic vision of the bank and placing individuals into positions of authority to carry out that vision?

3. How do the duties of the CEO differ from that of a COO?

4. Why is it necessary for a CFO to be a CPA?5. What previous career experience may help

someone become a CTO?

Research Activity

• Research an executive of a large bank.• What education, experience, and skills does

this person possess?• Write a 1-page report on how these things

contribute to their success• Format your report as provided in the FBLA

Format Guide (Google it)

Banking Administration Careers

• Discuss the role of a bank’s compliance officer in banking operations.

• Explain how financial advising is part of a trust officer’s duties.

• Describe the role a lending officer plays in the loan process.

• Explain the relationship between a real estate professional and a mortgage broker.

Q & A

• Know anyone who works in a bank?• What are the pros and cons of working in a

bank?

Compliance Officer

• Person who must ensure the bank follows all state and federal laws and regulations.

• Establishes how the bank will implement strategies for complying with laws and regulations and for completing the necessary reporting

• Ensure all bank employees understand their roles in complying with laws and regulations

• Often an attorney with a bachelor degree in finance or other business-related field

• Highly ethical and honest• Recent regulation lead to increase in responsibilities

Trust Officer• Responsible for providing customers with financial

products and trust services.• Trusts are established to help with the distribution

of a person’s assets after his/her death.• Provides financial advice to customers• Needs general knowledge of business• Must know about investing, estate planning, and tax

codes and laws . . . Especially probate laws– Pertain to settling the financial affairs of a person after

he/she has died.• Interpersonal/communication skills req’d/Bachelor

degree in Finance

Lending Officer (Loan Officer)

• Involved in evaluating applications for loans or lines of credit.

• General knowledge of business and the operation of the banking industry.

• Strong sales skills• May have to travel• Minimum of high school degree req’d• On-the-job training provided• Common for bachelor degree in finance, economics, or

related field

Mortgage Banker

• Similar to a lending officer, except he/she deals only with mortgage loans

• Spends a lot of time with real estate professions and person/business seeking the mortgage (outside of office)

• Excellent communication skills req’d• Must know how to conduct credit checks• Must keep up to date with all mortgage-backed

securities rules and regulations• Bachelor degree in finance, economics, or related field• Must be licensed (with continuing education credits)

Underwriter

• Reviews the loan application and approves or denies the loan

• Based on credit worthiness (software used to make decision)

• Work in an office• Travel may be required• Bachelor degree in finance, economics or

related field req’d

Checkpoint 12.2

1. What role does a compliance officer play in the banking industry?

2. In addition to a general knowledge of business, what else must a trust officer know to be a success?

3. Why is experience as a lending officer particularly helpful for someone who wants to move up in the banking industry?

4. Who do mortgage bankers most frequently deal with?

5. What criteria do underwriters use to determine if a loan is approved?

Small Group Activity—20 minutes

• The CEO provides vision for the future of the bank.• Banks, other businesses, and some nonprofit

institutions have vision statements. • Research different vision statements on the Internet

(each group member choose a different bank to expedite the process).

• On your butcher paper, write a few sentences on how your group thinks a banks vision affects its operations.

Activity—10 minutes

• Why do you think it is important for a chief information officer to be able to positively interact and communicate with individuals working in many different departments?

• Write a few paragraphs about the qualities that you perceive are most important to a CIO.

Managerial Careers

• Explain the role of a bank manager.• Describe the connection between workplace regulations

and a human resources manager’s duties.• Identify the specific qualification of an information

technology manager.• Explain the relationship between a real estate professional

and a mortgage broker.• Describe what interpersonal skills are required of a public

relations manager.• Identify the education required for an accounting manager

position.

Q & A

• On your index card, describe an encounter with a boss or supervisor, even if it wasn’t your own.

• Do you know anyone who supervises others?• What are their responsibilities?• Who are they accountable for?• What are they mainly concerned with?• How can they be successful at their jobs?

Branch Manager(Operations Manager)

• Oversees the day-to-day activities of one branch• Ensures activities of bank are completed• Must develop relationship with existing and potential

customers• Many start working as a teller or customer service

representative• Good communication and interpersonal skills• Attention to detail and ability to organize and plan• Bachelor degree in finance or related field or Master

degree in finance• Workweek reflects bank’s hours

Human Resources Manager

• Involved in employee relations for the bank• Recruits new employees• Ensures employees receive proper training• Enforces bank’s employment policies• Represents management to the employees and the

employees to the management• Implements regulations concerning employees• Bachelor degree in human resources management or

similar field• Minor in finance or econ preferred, masters preferred

Information Technology (IT) Manager

• Implements policies and procedures set by the chief technology officer or chief information officer

• Technical expertise in computer systems• Ability to set schedules and direct others is

essential• Long hours may be required• Bachelor degree in computer-related field• Masters may be preferred• Certification in specific computer technologies may

be preferred/required

Public Relations Manager• Responsible for creating a positive image of the bank• Designing and implementing promotions, coordinating bank’s

sponsorship of charitable activities, and providing information to journalists

• May have a staff or work alone (depends of size)• Works closely with executives and top management• Face of the bank• Must be pleasant and accommodating• Excellent communication skills• Ability to remain positive even when discussing problems• Long hours• Bachelor degree in public relations or journalism• Courses in advertising, public speaking, creative writing,

technical writing, and business administration will be beneficial

Accounting Manager

• Responsible for the functions of the accountants and auditors in the bank

• Makes sure bank’s financial information is correctly recorded

• May work closely with bank executives to develop new financial products for the bank

• Tax time . . . Add’l hours• Bachelor degree in accounting• Certified Public Accountant (CPA)• Responsible for filing reports with the Securities and

Exchange Commission

Checkpoint 12.3

1. What is another title for a branch manager?2. In what banking career would you recruit new

employees, ensure employees receive proper training, and enforce the bank’s employment policies?

3. In addition to the ability to set schedules and others, what skill must an information technology manager have?

4. To create a positive image of the bank, what must a public relations manager do?

5. In what banking career would you supervise the accountants and auditors in the bank?

Research Activity• Log onto the Bureau of Labor Statistics website

(www.bls.gov) and find information regarding the earnings and expected job prospects for one of the careers described in this chapter.

• After reviewing the information, write a report (FBLA format guide) describing how this affected your interest in the career.

• Are you more or less interested in this career now?

• What qualities do you possess that would be helpful for a future in this career?

Miss an Assignment? Need Bonus?

• Can you think of a problem or issue in banking today?

• If you could create any innovation to improve banking, what would it be?

• Create a presentation about your new product or concept and present it to the class

• 20 dots!!

Operational-Support Careers

• Describe the function of credit analysts and loan processors in making loans.

• Describe the connection between those in loan processing roles and a bank’s profitability.

• Explain why tellers, customer service representatives, and public relations specialists are the key to how the bank is perceived by its customers and potential customers.

• Recognize how those in data processing careers manage increasing amounts of digital information.

• Describe the functions of accountants and auditors in the banking industry.

• Explain how the services provided by title researchers, examiners, and abstractors are important to banking operations.

Activity

• List customer service positions• What jobs can you think of (in a bank or

elsewhere) that require frequent interaction with customers?

Loan Origination

Without credit analysts and loan processors, no

one could ever get a loan.

Credit Analyst

• look at the credit worthiness of loan applicants.

• Projects future cash flow for individual or business and determines how financially sound they are

• Much time spent on phone investigating loan applicant

• Bachelor degree in accounting• On-the-job training usually provided

Loan Processor

• Works with lending officer to collect all required information from individual or business applying for loan

• Includes verifying information and performing a credit check

• Forwards information to underwriter (removes bias)• Works closely with lending officer• Minimum of high school required, certificate

recommended• Some banks prefer bachelor degree in accounting or

related field• Must be bonded

Loan Servicing

When a person’s debt exceeds his/her ability to repay it, the services

of a debt or credit counselor may come

into play.

Bill and Account Collector

• Responsible for getting customers to make overdue payments

• Repossession agents take possession of property when payments have not been made for a period of time and turn the property over to the bank.

• Excellent communication and interpersonal skills required• Can be stressful• High school diploma• Experience in a call center helpful• On-the-job training will provide instruction in complying

with the Fair Debt Collection Practices Act and appropriate state laws.

Debt Counselor (Credit Counselor)

• Provides advice to a client on how to manage and reduce debt

• May help clients develop financial plans for remaining debt free in the future

• Must be pleasant, positive, sympathetic toward client• Spends time researching client’s financial information

and resources that will assist client• Bachelor degree in finance, economics, or business• Many states require license or certification

Customer and Community Relationships

• Banking more competitive since Great Recession

• Increasing fees and decreasing perks—pressure!

• Positive image must be maintained to maintain and grow customer bases

Tellers

• Responsible for conducting transactions between the bank and the customer

• Assists with making deposits, cashing checks, paying property taxes, making account withdrawals

• Face of the bank• High school diploma, background check• On-the-job training provided• Can obtain Certified Bank Teller (CBT) certification

by demonstrating expertise on a standardized exam

Customer Service Representative (CSR)

• Link between customers and the bank• Assists customer in resolving issues• Friendly, positive attitude required• Patience and ability to remain calm to resolve

situations• High school diploma• Many banks require Bachelor degree in

finance, economics, or related field

Public Relations Specialist• Carries out policies and procedures outlined by the

public relations manager• Initiates promotions, coordinating the bank’s

sponsorship of charitable activities, and providing information to journalists

• Pleasant and cooperative at all times• Excellent communication skills, and ability to

remain positive when discussing problems• Bachelor degree in public relations or journalism• Courses in advertising, public speaking, creative

writing, and business administration beneficial

Data Processing

• Deals with the management of digital information

• Some require only high school diploma

• Some require bachelor degree in accounting, computer science, or related field

• Some cases, master degree or certificate program

• Software engineer• Database administrator• Computer security specialist• Computer operator• Data entry• Computer support specialist• Computer programmer• Computer systems analyst• Network and computer systems

administrator• Network systems and data

communication analyst• Computer security specialist

Accountant and Auditor

Accountant• Responsible for creating and

maintaining accurate financial records for the bank

• Includes transactions bank completes, paying taxes and fees for bank, and maintaining required public records

• Work with accounting clerks and report to the accounting manager

Auditor• Verifies bank’s processes

and procedures, checking for errors, mismanagement, and fraud

• Certify various reports the bank produces (quarterly and annual reports)

• Report to accounting manager

Bachelor degree in accounting required, CPA

Title Researcher, Examiner, and Abstractor

• Searches real-estate records for details related to an assigned task

• Titles, legal documents, and insurance documents may also be searched

• i.e. list of contracts, legal documents, and mortgages

• Work with computerized-database systems• High school diploma required• Knowledge of court system is a plus

Checkpoint 12.4

1. What aspect of a bill and account collector’s job can make it stressful?

2. What interpersonal skills must a credit counselor have?

3. What banking career is often thought of as the face of the bank?

4. In what banking career would you put your excellent communication skills to work to represent the bank in a positive way to the community?

5. What kind of work does a title researcher do?

Individual – Group Activity

• Create an organizational chart of banking careers from a bank teller to a CEO.

• Make sure you include at least 5 levels.• Compare your charts in small groups and

discuss how these careers build on each other.• Why is it possible for you to draw different

career paths with the same end result?

Employability Skills

• Explain the role interpersonal skills play in employee success

• Identify the role sales skills play for banking employees at all levels

• Explain how creative problem solving is an important skill in both daily life and the workplace

• Describe how an employee or job seeker can conduct themselves in a professional manner

• Explain how ergonomics can prevent workplace injury

Activity

• What are the traits of a good employee?• In your table groups on the butcher paper,

make a list of the qualities you think a good employee should possess.

• Let’s discuss.

Interpersonal Skills

• Communication skills– Verbal– Nonverbal

• Teamwork skills• Leadership skills

Analytical, Synthesis, andCreativity Skills

• Decision-making• Problem solving

Positive Workplace Practices

• Appropriate Dress Code• Personal Grooming• Punctuality• Time Management and

Organization

Safe Workplace

Ergonomicsscience of adapting the workstation to the needs of the worker and lessen the chance of injury

Checkpoint 12.51. What three interpersonal skills are necessary for

success in the workplace?2. What the two basic forms of communication?3. Making decisions that help an organization or others

achieve a goal is an example of what important interpersonal skill?

4. Wearing blue jeans, a tee shirt, and unlaced athletic shoes to work at a bank is an example of violation of which positive workplace practice?

5. Being on time for work and returning promptly from lunch and breaks is an example of what essential skill?

TRAITS OF EFFECTIVE LEADERS

•Help individual team members resolve problems and differences of opinion•Guide the team to overcome hurdles in reaching the team goals•Work with the team to make changes happen•Take responsibility for their actions and the actions of the team•Be inspiring, flexible, and creative

Can you think of any other traits of effective leaders? Brainstorm in small groups and present your thoughts to the class.

Colin Powell’s Leadership Primer

Chapter 12 Test PacketDue Tomorrow.

Bellringer

How are the qualifications for a COO different from

that of a CEO?

Bellringer

What is the role of a compliance officer?

Bellringer

What is the primary responsibility of a public

relations manager?

Bellringer

How does a credit analyst determine the

creditworthiness of an applicant?

Bellringer

What are the keys to effective workplace

communication?