Area Credit Manager

Aditya Birla Group -
Maharashtra

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Job details

Freelance

Qualifications

Finance
Master's degree
Analysis skills
Presentation skills
Team management
MBA

Full job description

Designation:

Location: India Maharashtra MSR Capital, Pune

Organization: Financial Services

Job Description:

1) Job Purpose: Write the purpose for which the job exists (in 2-3 lines)

The purpose of this job is to execute risk and credit operations on assigned transactions in alignment with established frameworks and processes, ensuring effective and efficient loan underwriting across ABHFL service offerings for sound portfolio quality management. This role is expected to take approval decisions as per approval matrix after due creditworthiness and risk assessment ensuring process adherence, and coordinate with Sales, Operations and Technical team colleagues to ensure robust risk management operations

2) Dimensions: Mention quantitative or qualitative parameters that are relevant for the job and provide a better understanding of the scope and scale of the job.

Business Workforce Number
(Max 254 Characters)

Unit Workforce Number
(Max 254 Characters)

Approx.. 30

Function Workforce Number
(Max 254 Characters)

Approx.10

Department Workforce Number
(Max 254 Characters)

2-3 credit managres

Other Quantitative and Important Parameters for the job: Budgets/ Volumes/No. of Products/Geography/ Markets/ Customers or any other parameter

3) Job Context & Major Challenges: Write the specific aspects of the job that provide a challenge (internal and external) to the jobholder in the context of the Business/Unit/Function/Department/Section

Organizational Context

Key Aspects:

Part of the Aditya Birla Capital Ltd (ABC Ltd), Aditya Birla Housing Finance Limited (ABHFL) is registered with the National Housing Bank as a housing finance company under the National Housing Bank Act, 1987. The company offers a complete range of housing finance solutions such as home loans, home improvement and home construction loans, balance transfer and top-up loans, loans against property and construction finance. The company acquired its license on 9th July 2014 and has aggressive growth plans.
ABHFL has grown at a steady rate while reporting good asset quality despite challenges in the operating environment. While the industry is dominated by five large groups, there has been an emergence of segments like Affordable and self-employed borrowers, given the high potential in these segments. Despite increased focus by banks, HFCs have been able to maintain their share in the mortgage market. and is poised for rapid growth and plans to grow 5X (40,000 Cr) in the next 5 years. This shall take ABHFL within the top 5 percentile of HFCs in the country.

Job Context

Key Aspects:

The Risk team provides core underwriting services fundamental to the ABHFL business health, risk management and sustainability. Structured as a dual to the Sales/ Sourcing team, with positions mapped against corresponding Sales roles across the organization, the Risk team is responsible for necessary controls and process checks to ensure business performance and health.
While the core responsibility for this function is to control the business via robust underwriting and risk management, supporting business expansion via joint evaluation of different product/ market growth proposals with the Sales team is also an important contribution.
The Head – Risk plays a vital role in securing the organization against diverse risks in the course of business operations. This role is responsible for setting up requisite underwriting and risk management frameworks and processes for robust and efficient creditworthiness and risk assessment, and consequent inputs for business decisions (loan approval/ rejection, business expansion, etc.)

Key Challenges

While the ABFL Mortgages team also works with retail customers in the property space, the ABHFL business is exposed to the additional Construction Risk, i.e. risk from under construction projects not getting completed as planned. The Risk Team must factor for this when designing and executing control mechanisms and evaluating business proposals.
ABHFL is in its inception phase as a company and in the midst of rapid growth. The Risk function must therefore be able to balance priorities of risk management and business growth efficiently, without increasing sub-prime exposures or impacting business health and sustainability.
The housing space is characterized by state-wise norms and business practices, as well as varied interpretations of regulatory guidelines by different stakeholders. It is therefore essential for the Risk function to remain up to date on business practices/ norms across the country and work within regulatory guidelines in a manner that minimizes business risk and also supports growth objectives.

Enabling Skill Sets & Qualifications

Critical skill sets required to meet these challenges include strong business and commercial acumen, analytical skills, good stakeholder management and presentation skills, and team management and execution capabilities.
Education & experience required to fulfil this profile are a CA/ MBA – Finance with minimum 4—7 yrs of experience in a bank/ NBFC/ HFC, of which at least recent 2- 3 yrs experience should be in managing risk and underwriting in an HFC.

4) Key Result Areas: Write the key results expected from the job and the supporting actions for each of these key result areas (For a majority of jobs typically there could be 4- 7 key result areas)

Key Result Areas

Supporting Actions

Underwriting and Portfolio Quality Management

Execute risk and credit operations for assigned transactions in adherence with defined frameworks and principles across ABHFL business lines
Evaluate and approve proposals as per defined approval matrix, seeking guidance from seniors and assisting peers on specific cases as required
Liaise with relevant Legal, Technical and other verification vendors for Legal-Technical evaluations and clarifications in complex cases, as required
Monitor the bounce rates as per threshold limits.

Process Efficiency

Execute risk operations efficiently and in a manner that enables business performance while ensuring risk management imperatives
Coordinate seamlessly with Credit Processing Analysts and Credit Analysts to ensure files are logged appropriately and analyzed thoroughly
Work as per process-driven coordination mechanisms with Sales and Operations teams for effective decision making and problem solving in line with business and risk management needs; escalate to RCM as required
Effectively managing external vendors to ensure quality of reports & TAT
Efficiently track Cost and ensure they are within budgeted levels.
Ensure accurate data capture in LOS and maintain high quality of documentation.
Ensure collection of Post disbursal documents within assigned time frame.

Risk Compliance & Control

Ensure compliance with established risk management principles and norms; compile periodic and need based MIS, reports, escalation case documents, etc.
Conduct local risk operations in line with defined ‘Maker – Checker’ mechanism with Sales and Operations teams in a systematic manner, across key aspects such as exception approvals, collateral valuation, PDD completion, cheque bounce collections, etc.
Ensure minimal critical observations in Audit and also to ensure all observations are resolved within specified TAT’s.

Collection Efficiency

Work in alignment with process-driven mechanisms for coordination with the Collections/ Operations team on tracking delinquency cases and driving collections efficiently and effectively
Escalate specific/ complex cases, as required, to RCM for recovery and delinquency/ NPA avoidance
Monitoring of delinquent portfolios. Liaison with key delinquent customers and support collections team for resolutions of all cases
Report fraud cases to Risk monitoring team and Regional/Zonal Risk Head.

Business Growth and Sustainability

Work in partnership with Sales and Operations colleagues on case-based decision making for effective support on business growth and sustainability

Self-Development & Internal Stakeholder Coordination

Seek development to execute better risk assessment and loan underwriting via technical skill-up (e.g. proficiency on legal & technical documents, property business practices & norms, etc.) and role clarity
Maintain relationships with internal stakeholders for smooth coordination on complex/ escalation/ exception cases

5) Job Purpose of Direct Reports: Describe the job purpose of the direct report/s to the job (in 2-3 lines for each report)

NIL

6) Relationships: Describe the nature and purpose of most important contacts or relationship (except superior/team members) with individuals, departments, organizations inside and outside of the organization, that job is required to interact with in order to deliver the job objectives

Relationship Type

Frequency

Nature

Internal

Regional Credit Manager

Credit Managers

Credit Processing Analysts

Sales, Operations, Technical

Risk Monitoring Team

Daily/ Need Based

Daily / Ongoing

Daily / Need Based

Daily / Need based

Periodic reporting risk/ credit trends & performance; escalation/ exception approvals. Inputs on structuring complex cases.

Inputs on structuring complex cases.

Coordinate and guide to ensure case files are analyzed appropriately

Periodic updates, need based coordination on specific cases

Inputs on Legal-Technical reports/ evaluations

Coordinate with the Monitoring Team to update the status of cases and resolve their queries

External

Business Forums/ Networking Platforms

Customers

Vendors

Half Yearly

Daily / Need Based

Quarterly / Need Based

Periodic interfaces to upgrade know-how and awareness on risk/ credit management mechanisms

Meeting customers to conduct Personal Discussion as a part of the underwriting process

Interacting with the various vendors (Lawyers, Valuation agencies, verification agencies) for reports and monitoring their TAT

7) Organizational Relationships: Provide the structure for a level above and below the position for which this job description is written. Use position titles in the structured and indicate all the reports of the position.

SIGN-OFF: Provide the name of the Manager and the jobholder. Signature needed for the hard copy of the JD. Hard copy to be maintained in the organizational record.

Job Holder

Reports to – Manager

Name

Date of Entry / Approval

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