Two Absa heavyweights now steering Nedbank

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This interview was originally aired on RSG Geldsake (in English, with an Afrikaans introduction that has been translated here).

RYK VAN NIEKERK: Yesterday Nedbank announced that it had appointed Jason Quinn as its new CEO, and he will take the reins from Mike Brown in May next year, when Brown steps down after a 30-year career at the bank.

It is an interesting appointment that has raised some eyebrows – as Quinn was until yesterday the chief financial officer at Absa. He was also an interim CEO of Absa in 2021, after Daniel Mminele left Absa as the CEO.

We are speaking to Daniel Mminele now, not as a former CEO of Absa, but as Nedbank’s current chairman. Daniel, thank you so much for your time. It’s an interesting appointment indeed. Did you have something to do with luring Jason to Nedbank?

DANIEL MMINELE: [Chuckle] Thank you very much for the opportunity, and good afternoon to our listeners.

The previous working relationship that Jason and I had neither advantaged him nor disadvantaged him in the process. This was a collective board process, a very rigorous process based on very clearly defined criteria of who we thought would be the most suitable candidate to succeed Mike Brown when he retires.

That is not an appointment that the chair is making, but it’s a collective board process.

Having said that, of course the board and I are very delighted that we have secured the services of an experienced leader of the calibre of Jason Quinn, who has a proven track record in banking, extensive financial services experience, leadership qualities and trusted relationships within the industry; well regarded. But no, it has nothing to do with me having lured him over.

We employed an international search firm, a very reputable international search firm, which has got a strong base in South Africa; discussed with them our CEO success profile that the board had put together to guide it in its search to say: ‘Look, what is it; what are the attributes that we need? What is it that the individual needs to bring along in terms of being able to drive our strategic priorities? What is the [candidate’s] experience, background and all of that?’.

It was a domestic and global search and, as part of that process, they went around and solicited people they thought could be suitable for the role – to be looked at, interviewed, assessed. And Jason Quinn happened to be one of them.

RYK VAN NIEKERK: So he didn’t apply for the job. He was head-hunted in many ways as part of the process.

DANIEL MMINELE: As part of the process. He was identified through the processes of the recruitment firm that was assisting us in the process. There was no job advert that people could apply to.

RYK VAN NIEKERK: Many banks typically develop their own talent to lead the institution, and Mfundo Nkuhlu is the chief operating officer. He has been in that position since 2015. Was he on the shortlist, because it seems interesting that somebody from the outside would come to a bank if you have an established internal team which seems to be very, very capable?

DANIEL MMINELE: In fact you are correct in that Nedbank has actually a very proud tradition of succession planning and succession management and has over the years been exemplary in growing its own timber.

And as part of the lineup of the candidates that we looked at, as indicated earlier, [the search] was both internal and external.

That lineup included internal candidates that were assessed, along with the external candidates. I’m not at liberty to disclose the names of those internal candidates, but certainly the board considered both internal and external candidates.

RYK VAN NIEKERK: There was also talk that Kuben Naidoo, a former deputy president of the Reserve Bank, could be on the list or lined up for this position. Was he on the list?

DANIEL MMINELE: As I say, I can’t discuss individuals who were on the list, but I did see the speculation in the media myself.

RYK VAN NIEKERK: Jason has big shoes to fill. Mike Brown was at Nedbank for 30 years – most of those as the CEO. He must be a loss for the group.

DANIEL MMINELE: Mike Brown has been an outstanding leader for the Nedbank Group. And when he leaves, as you said after a period of 30 years, he will leave an indelible imprint on the history of the group. He’s still around until he steps down in May. But he has been very, very successful in his tenure.

In the statements that we issued, I reminded people of only a few of his many achievements, the most recent one of course being named the Sunday Times Business Leader of the Year in 2020, which was honouring his leadership during the Covid crisis. That was an award based on the outcome of the votes of the CEOs of the Top 100 companies listed on the JSE.

He championed over the years the group’s purpose of using his financial expertise to do good, and he positively shaped the culture of Nedbank by fostering diversity and inclusion and has been very passionate and supportive of various social and environmental causes supported by Nedbank.

He played a key role in the CEO Initiative. He’s the deputy president of Business Leadership and was previously chairman of The Banking Association. So he has accolades to his name and has led this business admirably over many years.

RYK VAN NIEKERK: Yes, he has been an absolute stalwart – not only a very good CEO of Nedbank, but probably one of the best bankers this country has ever seen. But just lastly, it seems ironic that two ex-Absa people are going to lead Nedbank. Do you see the irony in that?

DANIEL MMINELE: I don’t actually. It just happens to be the way the outcome came about.

Certainly nobody went out there and said, look, at the end of the day we need to have two Absa people – or ex-Absa people in these roles. It’s a pure coincidence.

I do obviously know Jason Quinn well, having worked well with him, and certainly can attest to the qualities that he brings along to add to the strength of our team here at Nedbank.

So yes, at the board level and the exco level we look forward to welcoming him to the Nedbank family and working with him when he gets here.

RYK VAN NIEKERK: Daniel, thank you so much for your time. That was Danie Mminele, the chairman of Nedbank.