Home Finance FITC: Bringing organizational transformation to the Nigerian mortgage industry

FITC: Bringing organizational transformation to the Nigerian mortgage industry

by Goddie Ofose
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FITC, the world-class, innovation-led, and technology-driven knowledge institution that provides learning, insights, advocacy as well as advisory services to the financial services sector and other sectors in Nigeria and across Africa, is set to support AG Mortgage Bank Plc in their organizational transformation journey, in an effort to further strengthen the organization’s capacity to deliver on their strategic plan to re-engineer the bank towards dynamism, innovation, and  market leadership and sustainable growth.

This announcement was made known during the signing of the Memorandum of Understanding (MoU) which held on Wednesday, August 10, 2022, at the Mortgage Bank’s office in Ikeja, Lagos.

Speaking at the event, the MD/CEO AG Mortgage Bank, Mr. Ngozi Onyemuwa Anyogu noted that AG Mortgage Bank Plc, the Nigerian premium primary mortgage institution, was established with the sole aim of providing premium mortgage solutions to the society at large, and the Board of the Bank had recently approved the 2020-2024 strategic plan, aimed at restructuring and repositioning the bank for accelerated growth, hence the engagement of FITC to handle and oversee the strategic process.

The Mortgage sector has witnessed a significant shift since the 2008 Global Financial Crisis which was mainly driven by the market turmoil from the securitization of sub-prime mortgages. In Nigeria, the sector continues to reel from very high interest rates and the absence of active primary, secondary and tertiary markets for products, despite the policy reforms implemented including the setting up of the Nigerian Mortgage Refinancing Company, (NMRC). However, the ever-evolving middle class in Nigeria and its appetite for home ownership keeps the sub sector highly relevant.

Shedding more light on the project, Anyogu stated that “AG Mortgage Bank Plc was incorporated on 21st July 2004 to carry on business as a Primary Mortgage Institution [PMI]. We were granted a mortgage banking license by the Central Bank of Nigeria in December 2004 and commenced full operations by 31st January 2005. We have since inception, developed innovative products that have received the approval of the Central Bank of Nigeria”

“We are also approved by the Central Bank of Nigeria and accredited by the Federal Mortgage Bank as a window through which customers can access the National Housing Fund. However, during this period, there had been developments in the operating environment, which created new opportunities and challenges to the institution. There is therefore the need to broaden the focus of the company’s operations in order to consolidate its standing in the mortgage finance industry, and to do this effectively, we recognize that there must be some strategic organizational and product audit. Therefore, we have turned to FITC, a company with the heritage, pedigree, and proficiency to handle this project and we are confident that they will deliver excellently” Anyogu stated.

On her part, the MD/CEO, FITC, Ms. Chizor Malize, noted “As AGMB journeys into its 20 years of operation, led by its visionary and transformational leader, MD/CEO, Ngozi Anyogu, its vision is to transform into a clear market leader. FITC, the world-class, innovation led, and technology driven knowledge institution, and primary partner to the Nigerian financial services sector, offering top notch and cutting-edge knowledge solutions through our capacity development and Advisory interventions, is the obvious partner of choice, and best poised to catalyze that vision to take AGMB to the next level’’ Malize said.

Speaking further, Malize noted that FITC, having recently undergone organizational transformation, shall be applying their game changing formula; the 6Ps (Programme, Platform, People, Process, Performance and Positioning) in redesigning and re-engineering AGMB towards dynamism, innovation, and longevity.

“We are indeed excited to be embarking on this new journey with AGMB and to be extending our impact in the Nigerian Financial services landscape and across all sub sectors therein. We are ready to serve!” She noted.

In Nigeria, the regulatory outlook continues to evolve, requiring players to be agile, innovative, and to play by the rules. Regulations and frameworks encouraging competitive markets are also a motivation to reposition for competitive advantage and outperform competitors. Organizations in this space must therefore seek to re-evaluate their structure, and products to ensure that they position strategically for growth and sustainability. AG Mortgage Bank is the foremost and premium bank that has shown such grit, backed with the appropriate actions to ensure they continue to remain the industry leader, and we are delighted to embark on this journey with them’’ Malize said.

The FITC/AG Mortgage Bank project which is set to commence this August will cover Organizational Restructuring including Board Assessment and Governance Evaluation gap analysis & benchmarking, Organizational Audit and Design, including People, Structure and Performance, as well as product, Channel Audit and Design.

The project will be delivered by the FITC Advisory Unit. FITC Advisory tailors’ unique industry and clients’ specific solutions to unlock value, transform organizations optimize talents for competitive advantage through their technology, HR & Talent Management, Governance & Board Strategy, and Data analytics services, which have been redesigned, refocused, and re-engineered for agility and innovation.

The FITC Advisory unit possesses the breadth and depth to provide strategic advice to help their clients achieve superior organizational performance, and have been recognized for the provision of top-notch, world-class, quality services. Their team of seasoned professionals bring a wealth of experience and deep analytical rigor in undertaking the comprehensive diagnosis of clients’ business challenges as basis for developing innovative technology driven solutions that convert opportunities to value, stimulate organizational growth and improve business performance. It would be recalled that the mortgage industry witnessed a resurgence of hope within the period following the revitalization of the Federal Mortgage Bank of Nigeria (FMBN) for the provision of long-term capital for both developments of housing stock via its Estate Development and Construction Finance Loans as well as on-lending to prospective house owners through the National Housing Fund (NHF) loans. With this deal, AG Mortgage Bank Plc is better poised for strategic growth and sustainability

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