Madison News – August 28
It is often said that culture is what people do when no-one is watching. In recent weeks, we have seen a slew of Corporate cultures that were once in the shadows get brought into the light of day. Global headlines of poor conduct and culture from companies such AMP, Rio Tinto and CBA highlight what happens when leaders make poor decisions and don’t hold themselves and their teams accountable for their actions. The fallout cascades far beyond falling share prices. These actions (or in some cases inaction) damage livelihoods, cause personal and professional reputational carnage and impact Australia’s economic future. So it constantly amazes me when I hear statements such as “typical behaviour from institutions, or x person resigned/was stood down, $$$ bonus/payout” and yet, those directly impacted (generally mum & dad Australia), may never recover from the financial or emotional loss caused by the actions of these companies.
I spent some time reading statements from the CEOs of the three companies in response to their recent ‘infractions’. Some common threads appeared:
Extract from the Rio Tinto Board review
‘The board review concluded that while Rio Tinto had obtained legal authority to impact the Juukan rockshelters, it fell short of the Standards and internal guidance that Rio Tinto sets for itself, over and above its legal obligations. The review found no single root cause or error that directly resulted in the destruction of the rockshelters. It was the result of a series of decisions, actions and omissions over an extended period, underpinned by flaws in systems, data sharing, engagement within the company and with the PKKP, and poor decision-making.’
Extract from the CBA response to the APRA remediation program
‘Leaders will also need to show that they reflect carefully on what they are doing, instead of just managing the day to day, and constructively challenge their colleagues instead of going along with the status quo. They’ll also need to demonstrate a crystal-clear understanding of what they’re accountable for.’
Extract from AMP results announcment
‘AMP will update its performance management system to include mandatory consideration of risk-management and conduct; impose a “client-first” mindset to “embed purposes and behaviours”; establish a board culture working group and create a taskforce, led by De Ferrari, with “diverse” representation from across the company.’
These words distilled, simply boil down to two things – actions and intentions.
Whilst intentions to be good ‘Corporate Citizens’ pervade beautifully branded websites, behind closed doors “when no-one is watching”, the actions tell a very different story.
Why did I choose to write about this you may be asking yourself? I believe there is a wide blue ocean out there for our community of leaders to set a cultural standard we not only expect of ourselves, but also for those we serve. And no-one needs to be watching…
Here are some of our intentions in action:
- We kicked off the first Adviser Panel meeting of our Service Model and Pricing Review. The questions raised and the insight provided by the Panel were valuable, considered, and professional. I came away from the meeting with the feeling we will create something meaningful and valuable for our community.
- This week’s Investment and Insurance Committee (MIIC) we tabled the allocation of AMP funds in our portfolios. The debate and discussion from committee members, the research team, portfolio manager and analysts was robust, tackled the issues of leadership conduct and culture underpinned by the foundational importance that we are all responsible for ‘other peoples’ money’. See Andrea’s article for more information.
- The Practice Efficiency Survey results are coming in. It’s clear there are areas where we can better support our practices. We’ve identified opportunities to collaborate across businesses to leverage skills and capabilities. If you haven’t completed the survey yet please take the time to do it. The more we understand about your practice needs, the better we can assist.
- This week we also welcome Madeleine Falkiner, our Practice Transition Manager. Another person joining our team to provide additional support to you and your business.
Exciting times ahead.
Sincerely,
Annick
In This Edition
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Special Offer for Madison Advisers
Returning to work post COVID-19 with Eva Timbs
Eva has organised discount codes for the Madison Community with the fashion brands Trenery and M.J. Bale. CLICK HERE for the codes and how and when to use them.
APL Update
Following the Madison Investment and Insurance Committee meeting held this week there has been three new additions to the APL. Please click below to review the new additions.
File Management Changes Underway
As you may have heard in our Good Governance session last week, Madison is introducing some new file management practices for all CAR’s and AR’s to implement in the coming months. The key requirements of this are Minimum Data Requirements, Record Keeping requirements and a new standardised file naming convention.
To access the briefing notes on the new requirements please click here
AMP Infrastructure Update
To access the latest report on the AMP infrastructure fund, please click here.
CPD Relief Update
On 25 June FASEA announced a 3-month extension for Advisers to meet their 30 June 2020 CPD requirements.
As of 11 August 2020, any outstanding requirements were reflected on your Kaplan Ontrack dashboard. From this date you will receive weekly reminder emails from Kaplan (make sure to check your junk mail folder).
The extension period ends on 30 September 2020. This leaves you with four weeks to ensure you complete your outstanding CPD hours.
Once you have completed your requirements please let us know by emailing advice@madisonfg.com.au so we can get you started on your 2021 CPD plan.
To access a PDF Copy of this announcement please click here
Madison Induction for new advisers & employees
On Monday 7 & 8 September Madison will be running a virtual induction for new members for the Madison Community. Hosted by Megan Thomson and Kerry Fleming the Induction will cover the advice process, our policies and introduce our team.
Webinar’s with Megan
Megan Thomson our Advice Integrations Manager will be running a series of webinars in the coming months;
Tuesdays at 11.30am
01/09 – Data efficiencies in XPlan
08/09 – Data efficiencies in XPlan
15/09 – Data efficiencies in XPlan
22/09 – Data efficiencies in XPlan
29/09 – Data efficiencies in XPlan
https://zoom.us/meeting/register/tJMpd-moqT4qHtPCFTagVFnUGUTVqshe6MTl
Thursdays at 11.00am
03/09 – Advice Construction – Super/Invest/Risk
10/09 – Advice Construction – Retirement
17/09 – Review Process
24/09 – Terms of Engagement to SoA
01/10 – CALM Modelling for Client Meeting
https://zoom.us/meeting/register/tJctdOyspj0oHdTW-Dkg95l3lKbXEuQQOUwA
Kaplan News
To access the latest Kaplan announcement please click here.
Understanding the JobKeeper Package
CLICK HERE to view an infographic from ADP, to assist you in client conversations about the JobKeeper Package.
FASEA Exam
Please remember to email your Statement of Results through to adviserservices@madisonfg.com.au so we can update your records on ASIC.
Adviser Guide to Surviving in a Pandemic
CLICK HERE to read through the latest version of our guide to getting through the COVID-19 pandemic.
ASIC Updates
Please CLICK HERE to review the data ASIC is required to be updated on.
Helpful Information
We have updated our contact list to include our new email addresses.
Madison News – August 28
It is often said that culture is what people do when no-one is watching. In recent weeks, we have seen a slew of Corporate cultures that were once in the shadows get brought into the light of day. Global headlines of poor conduct and culture from companies such AMP, Rio Tinto and CBA highlight what happens when leaders make poor decisions and don’t hold themselves and their teams accountable for their actions. The fallout cascades far beyond falling share prices. These actions (or in some cases inaction) damage livelihoods, cause personal and professional reputational carnage and impact Australia’s economic future. So it constantly amazes me when I hear statements such as “typical behaviour from institutions, or x person resigned/was stood down, $$$ bonus/payout” and yet, those directly impacted (generally mum & dad Australia), may never recover from the financial or emotional loss caused by the actions of these companies.
I spent some time reading statements from the CEOs of the three companies in response to their recent ‘infractions’. Some common threads appeared:
Extract from the Rio Tinto Board review
‘The board review concluded that while Rio Tinto had obtained legal authority to impact the Juukan rockshelters, it fell short of the Standards and internal guidance that Rio Tinto sets for itself, over and above its legal obligations. The review found no single root cause or error that directly resulted in the destruction of the rockshelters. It was the result of a series of decisions, actions and omissions over an extended period, underpinned by flaws in systems, data sharing, engagement within the company and with the PKKP, and poor decision-making.’
Extract from the CBA response to the APRA remediation program
‘Leaders will also need to show that they reflect carefully on what they are doing, instead of just managing the day to day, and constructively challenge their colleagues instead of going along with the status quo. They’ll also need to demonstrate a crystal-clear understanding of what they’re accountable for.’
Extract from AMP results announcment
‘AMP will update its performance management system to include mandatory consideration of risk-management and conduct; impose a “client-first” mindset to “embed purposes and behaviours”; establish a board culture working group and create a taskforce, led by De Ferrari, with “diverse” representation from across the company.’
These words distilled, simply boil down to two things – actions and intentions.
Whilst intentions to be good ‘Corporate Citizens’ pervade beautifully branded websites, behind closed doors “when no-one is watching”, the actions tell a very different story.
Why did I choose to write about this you may be asking yourself? I believe there is a wide blue ocean out there for our community of leaders to set a cultural standard we not only expect of ourselves, but also for those we serve. And no-one needs to be watching…
Here are some of our intentions in action:
- We kicked off the first Adviser Panel meeting of our Service Model and Pricing Review. The questions raised and the insight provided by the Panel were valuable, considered, and professional. I came away from the meeting with the feeling we will create something meaningful and valuable for our community.
- This week’s Investment and Insurance Committee (MIIC) we tabled the allocation of AMP funds in our portfolios. The debate and discussion from committee members, the research team, portfolio manager and analysts was robust, tackled the issues of leadership conduct and culture underpinned by the foundational importance that we are all responsible for ‘other peoples’ money’. See Andrea’s article for more information.
- The Practice Efficiency Survey results are coming in. It’s clear there are areas where we can better support our practices. We’ve identified opportunities to collaborate across businesses to leverage skills and capabilities. If you haven’t completed the survey yet please take the time to do it. The more we understand about your practice needs, the better we can assist.
- This week we also welcome Madeleine Falkiner, our Practice Transition Manager. Another person joining our team to provide additional support to you and your business.
Exciting times ahead.
Sincerely,
Annick
In This Edition
|
|
|
Special Offer for Madison Advisers
Returning to work post COVID-19 with Eva Timbs
Eva has organised discount codes for the Madison Community with the fashion brands Trenery and M.J. Bale. CLICK HERE for the codes and how and when to use them.
APL Update
Following the Madison Investment and Insurance Committee meeting held this week there has been three new additions to the APL. Please click below to review the new additions.
File Management Changes Underway
As you may have heard in our Good Governance session last week, Madison is introducing some new file management practices for all CAR’s and AR’s to implement in the coming months. The key requirements of this are Minimum Data Requirements, Record Keeping requirements and a new standardised file naming convention.
To access the briefing notes on the new requirements please click here
AMP Infrastructure Update
To access the latest report on the AMP infrastructure fund, please click here.
CPD Relief Update
On 25 June FASEA announced a 3-month extension for Advisers to meet their 30 June 2020 CPD requirements.
As of 11 August 2020, any outstanding requirements were reflected on your Kaplan Ontrack dashboard. From this date you will receive weekly reminder emails from Kaplan (make sure to check your junk mail folder).
The extension period ends on 30 September 2020. This leaves you with four weeks to ensure you complete your outstanding CPD hours.
Once you have completed your requirements please let us know by emailing advice@madisonfg.com.au so we can get you started on your 2021 CPD plan.
To access a PDF Copy of this announcement please click here
Madison Induction for new advisers & employees
On Monday 7 & 8 September Madison will be running a virtual induction for new members for the Madison Community. Hosted by Megan Thomson and Kerry Fleming the Induction will cover the advice process, our policies and introduce our team.
Webinar’s with Megan
Megan Thomson our Advice Integrations Manager will be running a series of webinars in the coming months;
Tuesdays at 11.30am
01/09 – Data efficiencies in XPlan
08/09 – Data efficiencies in XPlan
15/09 – Data efficiencies in XPlan
22/09 – Data efficiencies in XPlan
29/09 – Data efficiencies in XPlan
https://zoom.us/meeting/register/tJMpd-moqT4qHtPCFTagVFnUGUTVqshe6MTl
Thursdays at 11.00am
03/09 – Advice Construction – Super/Invest/Risk
10/09 – Advice Construction – Retirement
17/09 – Review Process
24/09 – Terms of Engagement to SoA
01/10 – CALM Modelling for Client Meeting
https://zoom.us/meeting/register/tJctdOyspj0oHdTW-Dkg95l3lKbXEuQQOUwA
Kaplan News
To access the latest Kaplan announcement please click here.
Understanding the JobKeeper Package
CLICK HERE to view an infographic from ADP, to assist you in client conversations about the JobKeeper Package.
FASEA Exam
Please remember to email your Statement of Results through to adviserservices@madisonfg.com.au so we can update your records on ASIC.
Adviser Guide to Surviving in a Pandemic
CLICK HERE to read through the latest version of our guide to getting through the COVID-19 pandemic.
ASIC Updates
Please CLICK HERE to review the data ASIC is required to be updated on.
Helpful Information
We have updated our contact list to include our new email addresses.