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Highlights
- Canadian financial institutions face mounting pressure, but true productivity comes from engagement and culture
- Fostering a culture of recognition, collaboration and purpose-driven work is key to boosting performance, low attrition and innovation
- The future of BFSI will be defined by institutions that embed engagement and culture into their DNA
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Culture beats clock
Why culture beats the clock in Canadian BFSI?
Canadian financial institutions are navigating a complex landscape with tight regulatory compliance, evolving customer expectations, and intense competition from both traditional players and fintech disruptors. In this environment, productivity is often viewed through the lens of time: longer hours, faster turnaround, and relentless delivery.
But the reality is clear: true performance isn’t about the clock. Rather, it’s about employee engagement, organizational culture, and alignment. Institutions that prioritize these elements consistently outperform those that focus solely on operational metrics. A strong culture doesn’t just boost morale; it drives measurable business outcomes, strengthens talent retention, and creates sustainable, high-performing environments across branches, corporate offices, and digital banking channels.
Productivity Paradox
The pressure to deliver results has never been greater. Expanding on the above, Canadian leaders in the BFSI space need to overcome several challenges including:
- Regulatory constraints: Compliance demands consume significant time and resources, leaving little room for innovation.
- Talent retention: Attrition rates are rising, and replacing skilled professionals is costly and disruptive.
- Fragmented work models: Hybrid and remote setups, while necessary, often dilute collaboration and engagement.
In response, many institutions have doubled down on hours worked, mistakenly equating time with output. This approach is unsustainable. It risks burnout, disengagement, and ultimately, diminished performance.
Building new culture
Building a new culture that drives productivity and engagement
When Canadian global financial institutions realize that longer hours aren’t translating into better results, they need to be asking a different question: What if the real driver of productivity was engagement?
Take Scotiabank, for instance. Instead of relying on traditional performance metrics, the bank doubled down on inclusion and belonging. Through its Employee Resource Groups (ERGs); grassroots communities that connect employees across geographies and identities; Scotiabank created a culture where people feel heard and valued. These ERGs didn’t just boost morale; they became engines of innovation and retention. Today, Scotiabank is consistently recognized among Canada’s Best Diversity Employers, proving that when employees bring their authentic selves to work, performance follows.
Globally, Mastercard offers another compelling example. Facing the challenge of bureaucracy and disengagement, the company launched a global coaching initiative called Coaching for Impact. This program equipped managers with feedback and coaching skills, transforming leadership behaviors and boosting engagement scores across the organization. The ripple effect was clear: stronger collaboration, higher productivity, and a culture where employees felt empowered to say “yes, if…” instead of “no.”
These stories share a common thread: Culture isn’t a soft metric. It’s a hard driver of business outcomes. Whether through recognition programs, inclusive networks, or innovation platforms, BFSI leaders are proving that engagement fuels performance more effectively than any timecard ever could.
Competitive advantage
Future outlook: Culture as the competitive advantage for Canadian BFSI
The future of Canadian BFSI isn’t about working harder. Rather, it’s about working smarter. Institutions that embed engagement into their DNA will unlock resilience and agility in an unpredictable market.
Consider RBC, which has invested heavily in its Leadership Development and Employee Experience programs. By focusing on continuous learning and career mobility, RBC is creating a workforce that feels empowered and future-ready. This cultural investment isn’t just about retention, it’s about building a talent pipeline that can adapt to digital disruption and evolving customer needs.
Globally, HSBC offers another blueprint for the future. Through its Future Skills initiative, HSBC is equipping employees with digital and sustainability-focused capabilities while fostering a culture of collaboration. This forward-thinking approach positions the bank to thrive in a world where technology and ESG priorities dominate the financial landscape.
The message is clear: culture isn’t a soft metric but a strategic lever. By prioritizing engagement, recognition, and collaboration, BFSI leaders can create environments where employees thrive, customers benefit, and performance scales sustainably. In the race to deliver results, remember: the clock measures time, but culture drives impact.