CEO Insights Magazine

The financial services industry in the Philippines has been a driving force behind the country's economic growth, fostering innovation, inclusivity, and resilience. At the heart of this dynamic sector are visionary leaders who steer organizations through everevolving market challenges, harnessing technology and strategies to deliver exceptional value to clients and stakeholders. These leaders not only shape the future of their respective companies but also contribute to the broader financial ecosystem, empowering businesses and individuals to thrive. Among these visionary leaders is Marlon D. Jaranilla, the esteemed President and COO of Rykom Finance. 

With a remarkable career characterized by strategic acumen and transformative leadership, Marlon has played an instrumental role in propelling Rykom Finance to new heights. Under his guidance, the company has strengthened its commitment to delivering innovative financial solutions tailored to meet the diverse needs of its clientele, further solidifying its position as a trusted name in the industry.

In this interview, Marlon talks about his career journey, leadership approach and insights into industry trends.

How have you built your career path so far? What are the milestones and challenges behind your emergence as a leader today? I began my banking career in 1994 as a loan processor at the Rural Bank of San Juan. My efficiency and initiative quickly earned recognition, leading to a promotion and training as a Branch Accountant. Although I excelled in this role, my passion for lending saw me return to the Loans Department, where I gained expertise in credit investigation and property appraisal. 

In 1996, I joined LBC Development Bank as head of branch lending, successfully managing consumer and business loans. My branch consistently hit targets while maintaining a low Past Due Ratio. A year later, I transitioned to Branch Operations, where I introduced semi-automated reporting, earning commendations for improving efficiency.

By 1998, I served as Officer-in-Charge for a branch, later returning to my original branch as Branch Controller. In 2002, I oversaw the relocation of two branches, after which I was appointed branch head of the relocated Balanga branch. Under my leadership, the branch became self-sustaining and ranked among the top five in deposit generation.

In 2005, I moved to the Head Office, leading the Branch Accounting Unit and implementing automated processes to streamline reporting. I later headed the Account Management Department, overseeing multiple units, including Credit Review, Collections, and Property Appraisal, until LBC Development Bank's closure in 2011.

These experiences prepared me for leadership roles in institutions like City Savings Bank, Agribusiness Rural bank, Tiaong Rural Bank, and UCPB Savings Bank. Currently, as President and COO of Rykom Finance, I continue to embrace challenges as opportunities for growth. As a leader, I prioritize developing my team, pushing them to excel while providing steadfast support. My career reflects a commitment to innovation, efficiency, and mentorship.

Please tell us about your leadership approach? As a leader, I adopt a dynamic approach tailored to the situation and the team I work with. I seamlessly transition between democratic, visionary, transactional, and transformational leadership styles, depending on the needs of the moment

To implement change and drive innovation, I focus on effectively communicating the vision and convincing stakeholders of the value these changes bring. By securing their buy-in, I ensure that innovative policies are embraced and lead to meaningful, positive outcomes for the company.

How do you utilize your expertise to build credit management procedures that increase the company’s revenue and continuity? Expertise alone doesn’t improve procedures, engaging officers and personnel is key to achieving excellence. Selling ideas through data and results helps gain organizational buy-in, fostering a mindset aligned with the leader’s vision. I emphasize efficiency in duties, cost-cutting, and encouraging departments to create incentive programs. As a credit professional, I stress the importance of accurate and complete credit evaluations. Properly investigated and documented credit ensures 50 percent collection success before repayment begins. Above all, I prioritize the 'quality' of loans over ‘quantity', as it forms the foundation of effective credit management.

How do you ensure the plan is tailored to the company’s needs and is aligned with the industry and customers? As a leader, we have a mandate from the Board of Directors on what needs to be accomplished for the given number of years. These instructions are our guide on what things need to be accomplished, like, for example, the vision of the Chairman and the Board to be a publicly listed company. The Vision was an instruction that we started laying the foundation for a year ago. To implement this project, the timeline is set between 6 to 7 years.

To ensure the company’s plan is aligned with the trends and customers' needs, we conduct a regular data review & analysis and semi-annual and annual review of the product trends. This review is also aligned with the re-visiting of the set budget and program to ensure that the plans and program proposed and approved are still acceptable to attain the objectives. 

How do you identify and analyze risk? What are the best practices you employ for a proactive credit risk mitigation plan? Risk is inherent in our business. Documents, such as Audited and Un-Audited Annual Financial Statement, sales revenues, client financial projections, and their plans (short-term and long-term) including succession planning and continuity are my primary basis for analyzing risk. There are a set of standards that I personally follow, however, data is very important for me before arriving at any conclusions about the risk involved. After identification of the risk involved and can be mitigated, I provide a recommendation including a step-by-step process on how to mitigate the risk. However, if the identified risk is too big to handle if something goes wrong, then I will let that opportunity pass.  Marlon D. Jaranilla, President & COO, Rykom Finance Marlon D. Jaranilla is a visionary leader and the driving force behind innovation and growth at Rykom Finance. With a strategic mindset and a passion for excellence, he has transformed the organization into a dynamic player in the finance industry, fostering sustainable success and inspiring his team to achieve greatness.