STI » Topics » Business Highlights

This excerpt taken from the STI 10-K filed Feb 28, 2006.

Business Highlights

 

We further institutionalized our Company-wide sales culture. Today, the key components of a world-class sales organization are very much in place at SunTrust. This includes frequent sales meetings in all geographic banking regions and all business lines with specific sales and referral goals, tracking and measurement mechanisms, and most importantly, incentives that align employee, client, and shareholder interests. Our sales people increasingly take a “360 degree view” of each client’s needs and look across business lines to deliver the full range of SunTrust products and services. A visible result of this focus is significantly higher levels of referrals and cross-sales. One example of this: an emphasis on cross-selling home equity, deposit and other consumer products to mortgage clients resulted in over 100,000 of these products being sold to those clients, a substantial increase over 2004.

 

We are seeing the benefits of our merger with the former National Commerce Financial Corporation (“NCF”) in significant new business opportunities as well as operating efficiencies that exceeded our initial projections by almost a third. The merger was legally completed in late 2004 with the highly visible conversion of customer accounts and launch of the SunTrust brand into former NCF markets taking place in April 2005. By any standard, the conversion was smooth and successful, providing the latest example of SunTrust’s skill at merger integration.

 

To increase our market reach, we announced plans to expand into the demographically attractive Charleston, South Carolina area, where over the next three years we’ll open 16 traditional and in-store branches to complement our presence in other parts of the state. In early 2006, we signed a new strategic banking agreement with Wal-Mart that provides for enhancement of our partnership over the next three years. We also announced plans to acquire 11 in-store branches in Florida Wal-Mart Supercenter stores in a move that bolsters the highly successful partnership we have with Wal-Mart throughout our footprint.

 

We accelerated implementation of performance initiatives within our five key lines of business. Some examples include:

 

    In Retail Banking, in addition to enhancing our branch presence, we upgraded our online banking capabilities for small business clients, streamlined our deposit products, and improved turnaround times for home equity loans through a combination of technology and process improvements while lowering the cost per closed loan.

 

    In Commercial Banking, expanded use of sales management technology plus an increased emphasis on cross-sales resulted in solid growth in the Commercial and Industrial, and Real Estate loan portfolios and points to the success of our relationship management approach. Targeted investments in Treasury Management technology and commercial card products, coupled with a sales strategy focused on a wider range of payment solutions, resulted in increased sales volumes while also enhancing our competitive position in this high-potential core business segment.

 

    In Corporate and Investment Banking, we stepped-up cross-selling of capital markets products to the Corporate, Commercial, and Wealth and Investment Management client bases and enhanced our capital markets capabilities by investing in both new and existing products.

 

14          SUNTRUST 2005 ANNUAL REPORT     


 

    In Wealth and Investment Management, we introduced a new client management operating model in Private Wealth Management and consolidated our brokerage and investment units under one broker/dealer, SunTrust Investment Services, to improve efficiency and build on our demonstrated competencies. In the same vein, we streamlined administrative, recordkeeping and investment capabilities for institutional customers. Asset Management Advisors, SunTrust’s family office, added a location in Tampa and, late in the year, announced several key executive appointments to help position SunTrust for national leadership in this high-potential business.

 

    In Mortgage Banking, underscoring our national reach in this business line, we opened 51 new mortgage offices and increased the size of the sales force by almost 24 percent, moves that will allow us to grow market share and purchase-loan originations faster than our peers. We are proud that in 2005, the well-respected J.D. Power and Associates ranked SunTrust Mortgage “Highest in Customer Satisfaction among Mortgage Servicing Companies” and number two in overall customer satisfaction in the 2005 primary mortgage origination study.

 

We intensified our focus on talent management, a structured process that takes traditional succession planning to a higher level by explicitly aligning talent development with business strategies. Specifically, the capabilities of more than 5,600 key managers across the Company have been assessed in the context of defined leadership competencies, future potential and performance. The result is not only “bench strength” for top positions throughout the organization today, but meaningful development plans for an upcoming leadership generation. More broadly, our disciplined approach to talent management is reflected in an unusually high degree of success in hiring, retaining, and rewarding strong candidates in all areas of our organization—including the critical and evolving risk and compliance-related fields.

 

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki