Resilience in banking: lessons from the boxing ring
From the rooftop deck on the 9th floor of my office building on 2 Thorpe Road, Accra, the breeze carries the familiar scent of the sea—a smell I grew up with in Ussher Town. My eyes wander over the sprawling community I knew so well, from the Wharton Memorial Church to Opera, Wato to Salaga Market, Bukom to James Town, and beyond.
In these places, boxing wasn’t just a sport—it was a cultural cornerstone, a modern-day equivalent of our cherished asafo atswele – group fighting. I recall the contoured bodies of amateur boxers, training tirelessly with the mantra, “sweat is fat crying.”
The grunts of sparring, the sound of gloves striking Everlast punching bags—they’re etched in my memory. The community gave birth to national and world champions like D.K. Poison, Azumah Nelson and Ike Quartey. Their battles in the ring, along with the life lessons I learned growing up, have shaped my understanding of resilience.
They taught me discipline, focus, stamina, and the will to fight through adversity. These lessons resonate even more as I reflect on my role as Chief Risk Officer of a Domestic Systemically Important Bank, headquartered in the heart of the very community that shaped my early years.
Much like boxing, banking is a constant fight – a fight for wallet share, market share and investment portfolio share. A boxer anticipates punches, dodges or absorbs them, adapts strategies mid-fight, and needs to recover several times during a fight.
Similarly, banks must foresee challenges, absorb some risks, adapt to changes, and emerge stronger. In this article, I explore resilience in banking through the framework of anticipate, respond (absorb and adapt), and recover—lessons learned from the boxing ring.
Anticipate: Reading the opponent’s moves
In the ring, a boxer’s movements are often guided by the anticipation of his opponent’s next move. The most devastating punch is often the one you don’t see coming. For banks, anticipating risks is critical.
It begins with a robust risk management framework that clearly defines the bank’s approach to managing risks across the organization. This framework must be supported by continuous monitoring of both global and local trends—economic developments, competitor actions, regulatory shifts, and changes in customer behavior.
The insights gained should translate into proactive risk mitigation strategies, fortified with a culture of risk awareness and reinforced by expert consultations and transparent risk communication across the organization.
However, the real challenge isn’t in setting up a risk framework; it’s in executing it effectively. Walking the talk is essential. This means adhering to governance structures, investing in technology and infrastructure, implementing business continuity plans, and fostering ethical leadership at all levels. This is a lot of preparation, and so it must be.
As Muhammad Ali said, “The fight is won or lost far away from the witnesses, behind the lines, in the gym and out there on the road, long before I dance under those lights.” So, as the boxer anticipates and prepares for a punch, so must the banker anticipate risks and prepare for them, long before they materialise.
Respond: Absorb and Adapt Like a Champion
In life, challenges are inevitable. You hit. You get hit. As Mike Tyson wisely put it, “Everyone has a plan until they get punched in the face.” True champions absorb the hits, ride the punches, or adapt their strategies mid-fight to overcome setbacks.
Resilient banks learn to absorb external shocks—whether they are economic downturns, geopolitical instability, or systemic crises. They strengthen their capital reserves and liquidity buffers. Diversified portfolios and income streams, built on customer trust and stakeholder confidence, provide a solid foundation.
Equally important is the ability to adapt. Banks must reassess their strategies regularly, ensuring business units are agile, compliance functions are innovative, and risk management practices support business growth without compromising on fundamental principles. Leadership plays a crucial role in this adaptability.
Knowing when to focus on defense and when to launch an offense is not learned from a textbook. It is felt, often gleaned from teamwork, mentorship, and experience. In today’s environment, this means embracing technology such as AI for predictive risk analytics and committing to digital transformation. A resilient bank builds the strength to withstand the toughest punches and come back swinging.
Recover: Rising after the knockdown
Even when my back is to the ground, I look up and think, and dare say, “When I get up, I will beat you!” If you know, you know! It’s a reminder that it’s not about how hard you hit or get hit, but how quickly you get back up before you’re counted out. For banks, resilience isn’t just about surviving a crisis; it’s about bouncing back stronger.
During the 2008 financial crisis, I was working in an international bank in a more mature financial system, and I witnessed firsthand how institutions, battered by shocks, recovered with skill and determination. Recovery requires regaining stakeholder trust, strengthening governance, and embedding risk awareness deeply into the corporate culture. It’s about learning from other banks’ struggles and becoming better because of it.
Recovery also means giving the fans—investors, customers, and staff—something to rally behind. It may require rebuilding morale, rallying teams, and reinforcing the commitment to stability and excellence.
The resilient banker’s mindset: Lessons from the ring
Resilience is not a one-time effort—it’s a mindset that sustains you round after round, fight after fight. A boxing match is an ecosystem of opportunities to hit and score points, and risks of getting punched in the face. Fighters endure pain and pressure. The winners are often the disciplined and focused, and those capable of recovering between rounds.
In the same vein, the business of banking is essentially a risk management exercise, and every credible banker is a risk manager. For banks to thrive in a competitive and ever-evolving landscape, they must build both financial and operational resilience.
This involves embracing innovation, strengthening stakeholder relationships, and remaining agile in the face of climate change, cybersecurity risks, and beyond. The champions of the banking world will be those who can anticipate risks, respond to shocks, and recover swiftly from crises—just like the greatest boxers in the ring.