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The Honolulu Advertiser
Posted on: Monday, May 24, 2004

LEADERSHIP CORNER
Bank executive works to take care of employees

Interviewed by Debbie Sokei
Advertiser Staff Writer

Corbett Kalama

Age: 48
Title: Executive vice president and region manager
Organization: First Hawaiian Bank; manages loans and assets totaling more than $3 billion, and supervises 32 O'ahu branches and more than 400 employees.

Personal profile

High school: Kailua High School

College: Oregon College of Education (now called Western Oregon College)

Breakthrough job: Started working at the bank 23 years ago as a management trainee after he was turned down by other financial institutions because "I was overqualified."

Little-known fact: "Three years ago, one of my sons asked me if his friend Kai could live with us. At the time Kai lived in the skateboard park and his father was an alcoholic. We took him (Kai) in, and he lives with us like he is one of our own children. I paid for him to go to Windward College, and now he's attending Chicago Art Institute. He's doing exceptionally well. When we go to functions, he's there. I introduce him to everybody like he's part of the family. I also raised my niece as my hanai daughter since she was 2."

Life-changing event: "When I was in the fourth grade, the Marine Corps Base Hawai'i had a Christmas program where the Marines would adopt a child for the day. I was privileged enough to have one of the enlisted guys select me. He was about 18. He gave me a football uniform. I realized he didn't know me from Adam and what he did was pretty special. He made that day a special day and he didn't expect anything from me in return other than to see the joy in my face. In retrospect, when I think about that day and what he did, it causes me to want to do the same thing."

• • •

Q. How did you get involved in banking?

A. "I majored in economics and I studied banking. I don't think there is any one reason other than when I was out of school, I was looking for a place to work."

Q. You manage 32 branches on O'ahu and have more than 400 employees working under you. What is the biggest challenge in your job?

A. "I want to make sure that I continue to encourage my employees. I have to be a coach, mentor, and at the same time have some compassion. I have to be sensitive to the fact that a large number of the bank's employees have families and are here to support their families.

"It's very important for me to take care of my employees, who are my customers. I try to make sure that they get the proper training, and I'll look for opportunities for them to move ahead. It's not uncommon for me to read an employee's evaluation, learn about their aspirations and goals, and talk to them about their future at the bank. I think if managers expect their employees to be sensitive to customers, then we have to be sensitive to their needs. What is more powerful than letting your employees know you understand and share in their aspirations and support them?"

Q. What are some of the qualifications you look for when you hire an employee?

A. "I really don't care what color, race or gender they are. All I want to know is if they can do the work and have passion for what they do. They have already exhibited discipline when they got their degree. I'll look at their grades, but that's not indicative of everything. I want to find out if they volunteer and do community service, because that shows me that that person is caring and has compassion. It tells me they are willing to give their time when there is no compensation. You cannot be motivated by money, and community service is one way to test that."

Q. When Walter Dods resigns as chairman of First Hawaiian Bank at the end of the year, what kinds of changes do you think his successor Don Horner will bring to the bank?

A. "With respect to Don Horner, I don't see large-scale changes. But there will be some enhancements. Don has put together his own management team. You will see the bank continue to grow in the direction that Walter has set."

Q. Are you part of the new management team?

A. "I am and I'm taking on more responsibility. I'll be directly involved in developing the vision and marketing plan for the bank."

Q. The City Bank and Central Pacific Bank merger will bring increased competition for bank customers among the local banks. How are you preparing your employees for that?

A. "When the merger is finalized the banks will be a strong competitor. We are telling our employees to stay close to their customers. There has to be a concerted effort on the part of the employees to do that. We need to stay close to the basics."

Q. Since the Internet is making it easier for customers to do their banking these days, has First Hawaiian seen a decline in branch banking?

A. "Some time ago, there were a number of studies that were done by consultants which encouraged banks to do away with branch banking and open smaller branches in supermarkets. The consultants said the customers were changing. We fought it. We realized people loved to come to the branches because it's personal. People don't bank with institutions. People bank with people.

"Today, there are articles reporting that branch banking is important. The best example of why branch banking is still important is, when banks merge the first thing that will happen is there will be a proliferation of smaller banks. That's because people bank with people. People love the personal touch.

"But, with that said, I do see a change in customer habits. Our online banking numbers are continuing to grow. But it hasn't replaced branch banking. We actually (have) added more branches. I also see a slowdown in people ordering checks and a higher use of the debit card. So what we try to do is we try to maximize the customer's time in the bank. We try to make them aware of all the services we offer. Especially if that is the only time they are coming to the bank.

Q. Would you like to someday be the CEO of the bank?

A. "Ideally, I would like to someday run the bank. I think we expect from everybody at my level to aspire to want that. I'm being humble but I'm being realistic. Should I get there, terrific. If I don't, I know I gave it my best shot."

Q. You're probably one of a few Hawaiians to be in an executive-level banking position. Why do you think there aren't more Hawaiians in the industry?

A. "I'm not sure if it's because there aren't other people who share the same aspirations that I have. I was the first one in the entire Kalama family to go to college, too. But the reason why I was hired at the bank wasn't because I'm Hawaiian, but because I was qualified."