Mortgage Industry Trends

We’ve all been there – domestic bosses and clients that excel at “kissing up and kicking down.”  Yet some of us have been fortunate to experience those select mortgage individuals who placed a greater emphasis on people and relationships than making themselves look good.  So what was the difference?  Is there a particular experience that allowed one to build a high-performance, goal-driven team, while others simply surround themselves with individuals that just agree with them?

After reviewing the results of a very recent publication by executive search firm Heidrick & Struggles, I was reminded of a critical differentiator – less than one-third of US led firms have executives that have worked internationally for more than one year which is less than half of non-US based firms.  This statistic was strikingly odd yet explainable given our history, geographies, and corporate cultures.  Whereas international experience does not guarantee success or satisfaction, from personal experience with several hundred firms I believe this documented finding represents a hidden and needed characteristic for mortgage and finance firms.

For an industry that has yet to reach the bottom, what is clear for mortgage management teams is that the global demands and challenges will be accelerating once the new market equilibrium is achieved.  This will be seen with new global alliances, diversified product offerings, end-to-end automation, international workforces (both internal and outsourced), and even with foreign investors.  For those “teams” who lack a clear understanding of their new roles in culturally diverse entities, their awaking will be unanticipated and most likely unpleasant. 

With world economies no longer being tightly coupled and the foreign exchange markets unlikely to revive the failing US dollar, the days of the domestic mortgage manager and team are drawing to a close.  Someone stated to me a month ago that they had extensive foreign leadership.  I took the bait and asked for their disclosure – “I’ve been to India five different times for 10 days each over four years.”  I smiled pleasantly and stated “perhaps you should rethink your international experience strategy for something a little more robust.”