Management Risk Assessment: Branch And Regional Management Has Become Akin To ‘Walking The Plank’

A couple of headlines have crossed the wires as of late noting continued shifts in branch management as well as regional management structures. Moving actual geographies as well as position shifts and title changes.

One question we’ve pondered, does anyone actually covet branch management positions anymore? Given the regulatory and compliance risk, as well as ever shrinking pay packages, you’d think most would run from the specter of increased decision making yet increased risk?

As a manager you could just as well be fired for someone else’s mistake as opposed to your own. Is that really worth an extra 100k a year as a producing manager? Probably not.

And what about branch and regional managers that aren’t producers? Talk about a career path fraught with risk. While their value is obvious in larger metro areas, the smaller city management career path is scary.

Take a look at an example at Morgan Stanley (again):

“The shift continues a whirlwind of branch management changes in the wirehouse’s south Florida market, where broker exits have been accelerating, according to headhunters.”“Byrnes did not return a call for comment on his new role. His remit will be in central Pennsylvania, a Morgan Stanley spokeswoman confirmed.”

“His Florida post will be filled on an interim basis by Michael Higgins, Morgan Stanley’s North Palm Beach/Boca East manager, the sources said. The complex also includes offices in West Palm Beach, Stuart, Melbourne, Palm Beach Gardens and Vero Beach.”

“Byrnes had been running the complex since January 2017, after he stepped down from overseeing the Southeast region as part of a reorganization.”

In other words, job security is minimal, and you can be picked up and shipped off to a new geography at a moments notice. And be careful, that new hire advisor could slip up and cost you your job. Management in the world of financial advisors is a risky, risky game.