Financial Services

Creation of a new business model for a major financial group

The key to creating a new business model is to completely adopt and think from the client's point of view. In the field of finance, many client needs still remain unmet. Roland Berger sifts out and organizes these needs, acting as a tractive force in the process of identifying hints for businesses. However, a rather frequent problem encountered here relates to the beliefs and old rules entrenched in financial institutions. In a certain financial group, we had repeatedly considered a new business model for dealing with small and medium-size corporations when the existence of unfilled but very sound funding needs became clear. Many of the companies with such needs were run by younger people who were, from a traditional banking viewpoint, the type of managers to avoid. At that point, the project turned to a discussion of whether or not to address these needs, and even revisited the fundamental question of a bank's role. The creation of a new business model is frequently no more than a point for discussion and does not move forward, and ends up involving changing the existing mentality.

Support for the restructuring of the financial industry

In negotiating with a predetermined specific party regarding partnering or M&A, it is best to receive assistance from an investment bank. However, when a company wants to consider M&A broadly in light of its strategy, it is best to hire a consulting company. Indeed, many consulting companies are involved behind the scenes of the restructuring activity in the financial industry. At Roland Berger, we not only identify and evaluate potential M&A partners, but also develop concrete partnering and negotiation game plans. Moreover, in recent years we have become increasingly involved in assisting with actual negotiations.

Ultimately, M&A is only one method for realizing strategy. Thus, there have been times when we have determined that, in light of our client’s strategy, it is inappropriate for that client to negotiate with a specific party and have recommended that the client terminate the negotiations. Furthermore, we do not always wait for a client to come to us with an M&A-related request, but sometimes approach them with a proposal. It is becoming necessary, particularly in the financial industry, to go beyond the borders of the existing industry, think out of the box and envision completely new partnerships.

Major project track record In negotiating with a predetermined specific party regarding partnering or M&A, it is best to receive assistance from an investment bank. However, when a company wants to consider M&A broadly in light of its strategy, it is best to hire a consulting company. Indeed, many consulting companies are involved behind the scenes of the restructuring activity in the financial industry. At Roland Berger, we not only identify and evaluate potential M&A partners, but also develop concrete partnering and negotiation game plans. Moreover, in recent years we have become increasingly involved in assisting with actual negotiations.

Ultimately, M&A is only one method for realizing strategy. Thus, there have been times when we have determined that, in light of our client’s strategy, it is inappropriate for that client to negotiate with a specific party and have recommended that the client terminate the negotiations. Furthermore, we do not always wait for a client to come to us with an M&A-related request, but sometimes approach them with a proposal. It is becoming necessary, particularly in the financial industry, to go beyond the borders of the existing industry, think out of the box and envision completely new partnerships.

Hisaji Yoneda
Partner
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Martin Tonko
Partner
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Takashi Watanabe
Principal
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Takeshi Hitomi
Principal
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