Head Office Involvement in Financial Product Development

Abstract

A study of 16 constituent businesses of large UK banks, building societies and insurers shows that product development success is associated with particular styles of head office involvement. Apart from providing financial resources, effective head offices provide leadership in the agreement of objectives based on a wider vision of opportunities. This allows constituent businesses to capitalize more fully on entrepreneurial opportunities. Such head office support is particularly valuable when a business is complex and related to others in the corporate portfolio. Lesser performance was found to be associated with distinctly different styles of head office involvement. At the extreme it involved unnecessary meddling.

Citation

Johne, A. and Vermaak, L. (1993), "Head Office Involvement in Financial Product Development", International Journal of Bank Marketing, Vol. 11 No. 3, pp. 28-34. https://doi.org/10.1108/02652329310027666