German Bank: Why exactly John Cryan? – THE WORLD

John Cryan – the name was until Sunday afternoon largely unknown in Germany. Only once the Briton found in this country greater media attention. That was in spring 2014 when it was speculated Cryan is something like the logical Brick candidate for the head of Deutsche Bank. By this is meant the manager lingo a readily available replacement for an important leader, one that could be put on the post if the incumbent a brick should fall on your head -. Actually or figuratively

The second case is now entered at Deutsche Bank. Co-chief Anshu Jain is indeed nothing happened, but have lost something. The 52-year-old had lost confidence in the public and also among investors of the house to such an extent that he had to come to the conclusion not to be the right one for the top of the bank. And his successor will be in fact the alleged Brick candidate:. John Cryan

The choice falls to the British hitherto little known in Germany, says a lot. Just as the time of the change in leadership. Both allows supervisory board chief Paul Achleitner to achieve two seemingly contradictory objectives simultaneously: it can seek a real fresh start – without the same having to put everything into question, after which indeed still rated in the stock market with 38 billion euros German bank based

The most obvious advantage Cryans is because first of all, that the German bank did not show up in his resume before he was elected in 2013 to the Supervisory Board. In 1987 he was entered in Warburg into banking. In 1992 he joined the Swiss bank UBS, where he served as CFO part of leadership circle from 2008 to 2011. After Cryan was by 2014 Europe-governor of the State Fund Temasek from Singapore. The remaining contaminated sites at Deutsche Bank can address so someone unburdened.

Was the dual leadership a fundamental mistake?

2012 the commencement of Jain and Co CEO Jürgen Fitschen, the Bank had decided in some respects even for the reverse compromise. With the new dual leadership should be done differently than in the era Ackermann, in the fall and the sins of the financial crisis in the bank, although much. But should promote this change two managers who have had many years previously held senior positions at Deutsche Bank.

This proved to last as large mortgage, especially for Jain. Finally had a lot of scandals such as the manipulation of reference interest rates originated in Investementbanking, so the division, he had responsibility for many years. While there is still no hard evidence of a personal involvement Jains, but the nagging questions were he and the bank never going. As the overseer of the new leadership then also to have hindered the working up of the Libor scandal late April accused, it was about the moral credibility happen largely.

Once again, Achleitner now have to put the question of whether the 2012 chosen path was not from the beginning of the wrong – if not equal to unloaded for a real new beginning with the bank manager you could get from outside. But in the context of the Supervisory Board this view reaps vigorous shake of the head. Achleitner is today convinced that it was his time properly to bring Fitschen and especially Jain on the board top, it is said.

Finally, the Bank was Even then there was injured. Your equity position was not enough for the new regulatory requirements by far. Moreover, even then drew from that the legal treatment of the boom and bust years should pull billion penalties, even if the amount was not quite foreseeable. And in the leadership circles one was quite agree that in the coming years, only one division would be able to earn the money needed or to advertise among investors for corresponding capital increases: Investment Banking

This division in turn was sworn in to a leading figure, on Anshu Jain. But the bank would leave almost certainly, if he had not become chief executive – and then, the concern would be broken apart the entire investment banking at Deutsche Bank. Apart from the fact that Jain enjoyed an excellent reputation especially for investors if they were confident a, the German bank to lead to new successes, then him.

A revolution is not expected

Now is battered by three tough, characterized by cleaning up years of Nimbus. And at the same time, it is hoped, has the work of Jain and Fitschen at least causes in recent years that the Bank can now do without the capital market-Star with Indian roots. The management team in Investment Banking holds the Supervisory Board today apparently erected for wider than at the time.

In addition, the new strategy, Jain and Fitschen imagined the end of April have, for a certain clarity provided. At that time, the bank known, with the blessing of the entire Supervisory Board to continue to see their focus on wholesale banking. The investment bankers of “Anshu’s Army” so would not have to worry as the logic that the bank could be loaded in the 180-degree turn, as soon as their figurehead put ashore.

And the person John Cryan is that this strategic message even after the change of leadership still has a value. Because the 54-year-old, both a new beginning as well as a piece of continuity embodied. After all, he sits since 2013 Supervisory Board and is there as one of the assets. And he has supported the new strategy in this function. A revolution in the direction of the Bank is to be expected only once from someone like.

These are also the first utterances with which Cryan a Communication the bank can quote. “Our future depends on how well we implement our strategy, to convince our customers and reduce complexity.” According denominated expectations for him in supervisory circles. Cryan will conjure any brand new strategy from the sleeve, but characterize the many outstanding details of course in his spirit. Thus, the German bank has important targets for the coming years in many cases not yet estimated.

“The right person at the right time”

The fact that he can clean up and mucking, Cryan has proved in his time at UBS. As CFO he has his day slashed the balance sheet and done so decisively with the Bank of the crisis. And clean up there are still plenty in the twin towers of the Deutsche Bank, eventually remain the strategic challenges that Jain and Fitschen had to fight, first of all the same, even under Cryan. Supervisory Board Chairman Achleitner described the graduates of the elite University of Cambridge as “the right person at the right time”.

Especially as it also boasts a plus point, the Jain also lacked: Unlike its predecessor Cryan speaks German well, since he worked for several years at Warburg in Munich. That should make it easier in political Berlin employable. Senior officials are said to have not gotten used to this day because they can speak in German, at least one of the two German bank bosses do not.

And Cryans Requirements to win the German public rapidly profile so also are not bad.