It was recently announced that Lazaro Brandao, the long-serving chairman of Grupo Bradesco, will be stepping down for good in the next few weeks. While the news was not unexpected, there are still many who view the 91 year old chairman as being so instrumental to the fortunes of the company that, even at his advanced age, many are not pleased to see him go.
Slated to replace him is Luiz Carlos Trabuco, the inveterate CEO of the bank who has spent his entire career with the group. Trabuco is no novice either, having started as a bank teller with the firm in 1969, he has held nearly every job title that the company offers, ascending through the ranks the old fashioned way: through hard work and grit.
The End Of A Golden Era
For his part, Brandao has finally decided to call it quits for good. He has stated that he wants to be able to enjoy more time with his grand kids and allow new executives the chance to be promoted higher throughout the corporation according to folha.uol.com.br.
But his departure, even as the inveterate banker approaches the age of 92, has not been taken well by some of the corporation’s stakeholders. Brandao, more than anyone else in the bank’s history, has become a sort of mascot of the company’s success. He oversaw the greatest period of prosperity that Bradesco or any other bank in Brazilian history has enjoyed. Since 1990, when Brandao first became the company’s chairman, the stock price of the bank has increased by a factor of more than 300.
Read more on economia.estadao.com.br
And much of this has been attributed to Bradao’s vision and leadership. He was an early advocate of the adoption of technology, especially pertaining to the internet. In the mid -1990s, Bradesco became one of the first banks in Latin America to roll out a fully functional internet banking platform. It has continued to lead the way in technological development, increasing the portion of its customers that access online banking facilities from just a few percent in the early 2000s to well over half today.
But Brandao has also been a force behind the bank’s aggressive expansion. Early on, he saw that, in Brazilian banking, the best defense is a strong offense. This proved to be prophetic, as the Brazilian banking economy morphed into one of the most competitive in the world throughout the 1990s and 2000s, gobbling up almost any competitor that was too small to compete with the largest players. Bradesco got on the right side of this bet, quickly expanding through both acquisitions and organically growing its customer base.
All of these factors have given Brandao a level of respect and admiration that is truly rare for a non-founder of a company. In many ways, Brandao enjoys the same level of deference by his shareholders as Sam Walton or Warren Buffett have in their own respective firms. He is widely considered the driving genius behind Bradesco’s enormous success and someone that many feel the bank cannot safely do without.
However, Brandao has been explicit in his endorsement of Luiz Carlos Trabuco to take his place. He has repeatedly stated that Trabuco shares much of the same vision for the bank and the country as a whole with Brandao. And Trabuco has been a non-trivial player in the rise of the company himself, having taken three separate business units within the firm from obscurity to huge profitability as well as orchestrating one of the biggest coups in Brazilian business history, with the acquisition of HSBC Brazil.
All of this means the, under Trabuco’s board of directors, the bank’s future looks bright.
Search more about Luiz Carlos Trabuco: https://www.terra.com.br/economia/trabuco-assumira-presidencia-do-conselho-do-bradesco-banco-nomeara-novo-chefe-executivo-em-marco,9fb1d7fe927d7f26678a7543f82f02edw3u6oihm.html