With a Spanish father, a Swedish mother and stints at educational institutions in the United States and France, Joaquín Laynez is a true polyglot—a reflection of the international viewpoint he brings to his chosen area of specialisation, the outsourcing of financial services. After a period of travelling backwards and forwards, Laynez relocated to South Africa from Spain in 2010 to head Accenture’s outsourcing sales in the financial services sector. He also looks after two of Accenture’s local financial services clients.
“South African financial institutions are way behind the curve when it comes to seeing the benefits of outsourcing,” Laynez says. “Globally, financial institutions have long bought into the concept of outsourcing as a way initially to drive costs down, and now as a way to gain the flexibility they need to launch new services or enter/leave markets.”
Laynez believes that a combination of factors may have been inhibiting the strong take-up of outsourcing evident elsewhere in the world’s financial firms. For one, the possibility of sending jobs offshore is politically sensitive in a country with rampant unemployment.
Other factors include the siloed structure of some banks, a structure that acts as a barrier to outsourcing, as well as the relatively high customer fees that South African banks charge as compared with other geographies, reducing the pressure to improve efficiency. Competition from new entrants into the market, not to mention investigation by the Competition Commission, could soon see the end of that era of high customer profitability.
“In addition, the general economic situation provides a big incentive to drive down costs,” adds Laynez. “One also must consider the fact that South Africa is relatively short of skills. Outsourcing to a global player like Accenture, with its large Global Delivery Network and deep pool of talent, is clearly a way to access scarce skills as needed.”
Like many executives, Laynez battles to balance work and personal life. His strategy is to be in the office early so as to clear the evenings for time with his wife and two young daughters. “If I have to work in the evening, it’s after the children have gone to bed,” he says. He’s a passionate off-piste skier who also enjoys sailing and scuba diving—outdoor sports are his counterbalance to a busy professional life.
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