Area Credit Manager - Ahmedabad

Birla Carbon; Ahmedabad District; On-site; INR 1,200,000 - 1,800,000; Full time

Job summary

Aditya Birla Group's STSL unit in Ahmedabad seeks an Area Credit Manager – STSL to oversee credit proposals, ensure adherence to credit policy, assess creditworthiness, and lead a team of Credit Managers.

You will coordinate with sales, monitor MIS, improve approval turnaround times, and work with collections and legal to mitigate risk while driving business targets.

Qualifications

• Understanding of credit policy and risk assessment processes.
• Experience in credit approvals and portfolio management.
• Ability to mentor and manage a team of credit professionals.

Responsibilities

• Analyze credit proposals and assess risk based on policy and market data.
• Ensure adherence to credit approvals within delegated authority.
• Drive MIS reporting, monitor SLA turnaround times, and improve processes.
• Collaborate with sales, collections and legal to mitigate risk and ensure timely disbursement.
• Lead and develop the Regional / Area Credit Manager team for STSL.

Skills

Credit policy

Credit appraisal

People management

MIS reporting

Tools

MS Excel

Job description

At the Aditya Birla Group, our Corporate Vision is aligned and intricately woven with our People Vision.

Area Credit Manager – Ahmedabad

Designation: Area Credit Manager – STSL

Job Description

Function: Credit

Department: Retail

Job Purpose

• Responsible for ensuring sound understanding of credit policy across all relevant levels, in the team.
• Assessing potential customers' creditworthiness.
• Achieving Monthly Audit Targets.
• Managing a team of Credit Managers and mentor the team to achieve the business objectives.
• Collaborating with various stakeholders with an aim of achieving overall business targets.

Dimensions

Business Workforce Number: 50 workforces including both on role (34) and off role staff (16)

Budget (Cr) FY24E closing book: 2900

Volumes (no of files-logins) FY24E: 15000

No of products: 1 (STSL)

Geographies: 16

No of customers (FY24E): 8500

ATS (Lakhs) – FY 24E: 35

No of locations: 95

Early Mortality (0‑12 MOB) Cheque Bouncing not more than 9.00%

NPA% not more than 2.00%

GNPA (90 days for Secured Products)

TAT, Approval Rates 55%

Span (Nos) 4

Productivity (files per CM) 22

Job Context & Major Challenges

Function Context:

• Having focused traditionally on secured lending verticals and built a strong balance sheet on the same, ABFL has now ventured into Small Ticket Secured Lending (STSL) business segment to capitalize on its financial base with carefully managed exposures in this higher yield segment.
• Small Ticket Secured Lending (STSL) segment products line caters to funding medium to long-term working capital needs of small businesses and individuals, via a suite of customized medium and long tenured products primarily backed by collateral/security.
• Risk function is engaged in evaluating the creditworthiness of business entity/individual applicants by considering quantitative & qualitative factors such as client credibility, size of the client business, earnings, capital adequacy, liquidity and management quality.

Job Context:

• To ensure institutionalize the approval process for STSL proposals and ensure its seamless adoption by engaging with the sales teams to receive adequate documentation and information for review and analysis.
• To work towards continuous improvement of credit approval process in order to meet dynamic business and regulatory needs.
• To monitor key initiatives and MIS with the sales team and institute mechanisms for complete safety of financed amount and timely regularization of margin shortfall.
• To monitor team’s Turnaround Time and ensure it is as per the defined SLAs.

Technical:

The market is highly competitive with availability of solutions which provides data at a click of a second. We need to continuously explore bring technology up to the curve as the manual leg in underwriting on technology front is quite exhaustive.

Talent Retention:

Retaining key talent within the team can be difficult, especially if employees are seeking more. Compensation Packages from Rival companies.

Portfolio management in dynamic environment:

Portfolio management in continuously changing external environment and competition strategy can be very difficult to manage.

FTR Logins

• To ensure availability of data and information for exhaustive credit appraisals as each of the proposals has their respective structuring complexities as per the customer, product & regulatory requirements.
• Ensuring faster TATs for approval process.
• To ensure that credit and customer risk are mitigated while pending documentation is monitored and regularized.
• Proactive monitoring and identification of risks in a dynamic and fast paced business context and regularization of margin shortfalls.

Key Result Areas

Key Result Areas:

• Undertake analysis of the credit proposal based on pre-determined criteria and analyze market information, current macroeconomic scenario, current portfolio concentration, etc.
• Make decision proposals within delegated authority.
• Evaluate new credit proposals / review existing credit exposures with a view to bring out the industry, business, financial, management and facility structure risk.
• Highlight the other credit risks and mitigation actions to take decision / facilitate the approving authority to take decision on the credit proposal.
• Identify risks and suggest measures to mitigate risks to ensure workability of the loan proposals.
• Ensure prompt resolution/ explanation of queries raised by sanctioning authorities.
• Recommend delegation authority to RCMs/ACMs/CMs to ensure faster TAT for parameterized proposals.
• Work closely with the collection and legal to take action against defaulting parties.
• To monitor the STSL business portfolio performance by continuous analysis of fundamentals, review of the ratings, analysis of the covenant and evaluation of the industry performance in that sector.
• Review the covenant of loan proposals at frequent intervals and undertake action for serious deviations.
• Protect from potential loss on the credit portfolio by detecting early warning signals of deteriorating risks and advising these to the Relationship Managers, RSMs, NSMs and Senior Management.
• Formulate strategies to reduce exposures where the credit risk has enhanced including complete recovery before the credit deteriorates to non-performing category.
• Process Improvements.
• Provide inputs and suggest amendments for various lending norms like Risk Matrix, Interest Rate Policy, Credit Authorization Matrix, Risk Universe, Processes keeping the current regulatory and compliance environment in mind.
• Undertake improvements in approval notes and other processes to meet dynamic market environment and needs of new customer segments.
• Deploy effective processes and mechanisms to ensure high quality TATs for validating lending proposals & share the same with all concerned stakeholders.
• Business Growth / Cross Functional Coordination / Stakeholder Management.
• Support sales team in maintaining partner relationships with DSAs and Channel Partners and regular visits and trainings to meet business results.
• Communicate the expected credit standards by engaging with the channel partners, sales teams and other distributors in understanding the proposals submitted and extracting the relevant supporting information and co-coordinating for smooth disbursement.
• Discussing through the door login trend and educating the business team on wastages and corrective actions.
• Deliver, Stay and growth.
• Deliver - Ensure that business and portfolio related targets are met within given timeframe.
• Stay – Ensure controlled attrition by way of continuous training and development, thus resulting into internal growth to team members.
• Growth - Understanding of the requirement of workforce to ensure that the right environment is created for people to grow.
• Cross Functional Coordination.
• Communicate the expected credit standards by engaging with the channel partners, sales teams and other distributors in understanding the proposals submitted and extracting the relevant supporting information.
• Oversee communication cascades to the sales teams on the broad parameters for validating lending proposals, provide regular trainings to RMs for the same.
• Ensure document execution from RMs and the files are up to date.
• Reporting, Review & MIS.
• Regularly Review & Monitor the Portfolio performance, OTC & PDD movement and Compliance related matters.
• Regularly Review & Monitor Vendor Management and closure of Audit queries.
• Review the delegation of authority exercised by RCMs.
• Team Management.
• Provide the team with best-in-class knowledge on selection norms, new ways of proposal analysis and concepts.
• Ensure that the team stays abreast with all the latest developments in the secured lending space.
• Nominate teams for product, behavioral & negotiation trainings and work on self-development initiatives.
• Credit Projects.
• Taking up projects with an aim of improving processes / portfolio hygiene from time to time with overall objective of improving ROA and / or cost control.

Job Purpose of Direct Reports

Regional / Area Credit Manager - STSL

• Set up and lead the team of Regional / Area Credit managers for managing day to day credit approvals under STSL Loans Vertical, drive towards assessing credit worthiness of the borrower by using data points available along with adherence to the defined credit policy checks.
• Ensure audit compliance like concurrent, PAR & external, regulatory procedures, and governance are responded across locations on time.
• Work closely with the collection and legal to act against defaulting parties.
• Develop strong internal and external relationship, portfolio performance.
• Leading, mentoring and monitoring the performance of the team members to ensure efficiency in processes.

Relationships

Relationship Type

Frequency

Nature

Internal

Zonal / Regional Sales Manager

Sales team

Risk team

Operations team

Other functions

NSM/ Business Head

Daily

Daily

Monthly

Need based

Need Based

Business MIS, proposal reviews, new initiatives and branch updates

Business MIS, proposal discussions, NPA reviews, updates on initiatives

Proposal approvals, interest rate approval, providing market intelligence, MIS on deviations in client accounts

Client servicing issues, pricing matrix

Business discussions for smooth operations

Portfolio reviews and credit approval

External

Existing and Potential Customers

Fortnightly

Need Based

Monthly

Customer relationship management (CRM) & understanding the market pulse

CRM, commission updates & understanding the market pulse of new initiatives etc.

To assess the quality and TAT and provide course corrections.

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.