என்ன‌வென்று சொல்வ‌த‌ம்மா...

இல்லாத‌ யாவும் உண்டென‌ ஆத‌ல் - க‌ட‌வுள்
உள்ள‌ யாவும் இல்லாது போத‌ல் - காத‌ல்!

வார்த்தைக‌ளின் ச‌த்த‌ம் - க‌விதை
மௌன‌த்தின் முத்த‌ம் - காத‌ல்!

மூச்சுட‌ன் உயிர்த‌ரித்த‌ல் - வாழ்க்கை
மூர்ச்சையுட‌ன் உயிர்த‌ரித்த‌ல் - காத‌ல்!

My tryst with Credit!

Having been a banker involved in the credit process(to Corporates) for the past six months or so, there have been innumerable occasions where I have appreciated, accused and questioned the system, its implementation and its efficacy. These may well be rantings of a newb who has still not come to terms with what is accepted as a way of life in credit but what else to do but pour them out (pretty well knowing most it may not make sense when I wake up and read these tomorrow morning)!!!
Here are 3 areas which I think need to be focused on to make credit appraisal more than just a formality and much more meaningful!
Banks as knowledge repositories
This may sound heights of vanity to corporates, especially large ones who have more than a thing or two to offer to B-schools and peers in the form of successful formulations of strategies. Yet at the cost of sounding too biased, I would like to say the success of any strategy is finally accounted for only in terms of financial performance and who better to get the hang of those numbers than banks, which not only provide a fresh third person’s perspective (unbridled by common assumptions and constraints plaguing so-called industry experts and consultants) but also are a great source of data on industry performance based on breadth of their portfolio. It is also key to note that a banker’s analysis is free from all this accounting jugglery that is typical of many others! True no banker is as specialized in each domain as the industry expert but the breadth of a banker’s repertoire can indeed provide valuable insights based on his experiences with similar units.
Second, a bank is not a production unit churning out products of financial innovation guaranteeing abnormal rents that Corporates look for all the time, but it is a great university to learn financial discipline from. It is not innovation that carries companies across good and bad times but discipline which has been proved time and again with each of the recessions that have been witnessed. Banks that came up with financial structures that were supposed to be credit risk saviors only ended up using them as instruments of speculation..not to mention gambles taken by corporates too…point one for greed! If this doesn’t underline how relevant financial discipline is, I have no idea what will!! A caveat though: My intention is not to state that banks should shut doors on innovation…it is only to ensure that innovations are only put to use the way they were intended to be!
All this because the moment a bank makes an advance, it is not only to be viewed as a creditor but also as a strategic investor by the corporate. The value addition may be near nothing in terms of strategy or operations, but any bank worth its salt definitely can ensure that funds are put to the most optimum use, not only in its own interests but also to the ultimate benefit of the corporate. Shareholder wealth maximization is an unintended though undeniable output of good banking relations and am sure there are enough corporates to vouch for this statement! Even if this were to be proved false, I can state categorically that shareholder wealth erosion in 9 cases out of 10 is only on account of inadequate or neglected banking relations and supervision (far too obvious to say after all these scams that these can be intentional too!)
Based on the above, there needs to be a change in mindset of the corporate to involve the banker in all significant decisions and in the banker to stop being a pawnbroker advancing against collateral security and actively involving in the decision making process of the corporate!
First step towards breaking the creditor-borrower wall and building a strategic mutually beneficial partnership!
Now that this has gone far too long for my liking (and obviously given my flow of thoughts incoherent and incomplete too!), I defer the other 2 areas for my next post!! :D

காத‌லின் கால‌ச்ச‌க்க‌ர‌ம்!

எங்கே அவ‌ள் - தேட‌ல்
க‌ண்ட‌வுட‌ன் - பாட‌ல்
க‌ண்விட்டுப்போக‌ - வாட‌ல்
இருந்தும் இல்லாத‌ - ஊட‌ல்
இல்லாதும் இருந்தாய் - காத‌ல்!
இனி என்ன‌?
இன்ப‌மாய் உயிருருக‌ச் சாத‌ல்!

தேவ‌தை வ‌ம்ச‌ம் நீயோ!!

நாத்திக‌ன‌டி நான்
ம‌ந்தியோ ம‌னித‌னோ அல்ல‌ ம‌ன‌ம் மாற‌
அன்றி அர‌சிய‌லிலும் அல்ல‌ அறிவ‌ற்றுப்போக‌

ஆயினும் தேவ‌தை க‌ண்டேன்..தேவி க‌ண்டேன்
ஆவி போகிலும் கொள்கை வில‌கேன்
ஏற்ப‌தெப்ப‌டி..........
க‌ண்டேன்!!

நான் க‌ட‌வுள்!!!!!!