Notes To Financial Statements - Jamaica National

General Manager’s ReportSoftware Oriented Architecture (SOA) Projectto improve efficiency in areas such as over-thecountertransactions.We also tightened our internal operations bystreamlining some processes under the Fixthe Basics Programme; and establishing anEnterprise Project Management Office (ePMO)to better coordinate and manage projectinitiatives. The Fix the Basics Programmeidentified inefficiencies throughout the Society’soperations and implemented cost-effectivesolutions, including computerising manualoperations.In an effort to increase market share and improveservice delivery, the Society implementeda sales strategy project – Sales CultureTransformation that resulted in the training ofsome 500 employees to adopt the “JN PreferredWay of Selling.” The aim is to provide a uniquemember experience that can only be deliveredby a mutual organisation.This new, achievable goal-planning systemempowers Customer Service and SalesRepresentatives to shift the marketing strategyfrom one of “product management” to focus on“relationship management.”Industry and RegulationDuring the past year, we maintainedcompliance with existing and new laws andregulatory requirements in all our operatingmarkets. The Society also coped with changesto the regulatory environment in respect ofaudit, treasury, compliance and improved riskmanagement initiatives.Jamaica National has aligned its treasuryoperations in keeping with government’simplementation of a Real Time Gross SettlementSystem (RTGS) for inter-bank settlements and anelectronic Central Securities Depository (CSD)for all fixed income Government of JamaicaSecurities issued in the local market. JamClear,an amalgamation of these two governmentsystems, is expected to improve efficiency inthe local financial market and reduce risksinherent in the physical movement of chequesand securities for large volume transactionsamong financial institutions, the Ministry ofFinance and the Public Service, and the Bankof Jamaica.From a compliance perspective, an independentreview of Jamaica National’s complianceinitiatives was conducted by Kroll &Associates from which there were a number ofrecommendations to improve and strengthencorporate governance. During the year we alsoexamined our business continuity managementcapability, and several areas for improvementwere identified, to enhance processes andreduce operational risk. The Risk ManagementUnit was also assessed and recommendationsmade by Ernst & Young. In addition, the Societybegan work to develop ICAAP, the InternalCapital Adequacy Assessment Process with aninternational consultancy firm.Subsidiaries HighlightsJN Finance Limited consolidated its loanprogrammes by bringing consumer loans intothe mainstream of financial activities.The remittance sector experienced an overalldecline during the year; albeit, JN MoneyServices Limited achieved marginal increase inits operations. In addition to the appointment ofa new General Manager, Miss Leesa Kow, thecompany also extended its global reach, nowoffering remittance services between the UnitedKingdom and Ghana.The name change process for NEM InsuranceCompany (Ja.) Limited is almost complete andwas preceded by the appointment of its newGeneral Manager, Mr. Chris Hind. NEM alsoupgrade its insurance platform SIRIUS, andestablished an internal processing centre forelectronic document management.The Jamaica Automobile Association(JAA), along with Management ControlSystems Limited, partnered with the MonaGeoInformatics Institute, which developed theGarmin GPS Navigational Unit, to market andretail the product. The JAA also launched theglobal initiative, Make Cars Green campaign,to educate drivers about more eco-friendlyand fuel-efficient driving techniques. It hasalso partnered with the National Road SafetyCouncil on local initiatives such as the Below300 project, which aims to lower the numberof road deaths below 300 by encouraging roadusers to, among other things: obey speed limits,ride motorcycles with helmets, wear seatbelts,and not to drink and drive.Micro financing through JN Small Business LoansLimited (JNSBL) continued to positively impactsmall and micro entrepreneurs through fundingmade available by the Tourism EnhancementFund and Development Bank of Jamaica.27