As an expert with over 20 years in the Ghanaian banking sector, including senior roles in corporate governance and operations at institutions like Ecobank Ghana, I will address this question by drawing on practical applications aligned with the Banks and Specialized Deposit-Taking Institutions Act, 2016 (Act 930) and Bank of Ghana (BoG) directives, such as the Corporate Governance Directive 2018. Management in banking requires blending art (creative decision-making), science (data-driven processes), discipline (adherence to regulations), and profession (ethical standards). Below, I explain the sub-parts with real-world examples from Ghanaian banks post the 2017-2019 banking cleanup, which emphasized resilience and compliance.

(a) Explanation of “Managerial Skills” to Colleagues at the Workplace

Managerial skills refer to the abilities and competencies that managers need to effectively perform their roles in planning, organizing, leading, and controlling organizational resources to achieve goals. These skills are essential in banking for navigating regulatory demands and market volatility, as seen in the recapitalization efforts under BoG Notice No. BG/GOV/SEC/2023/05.

In simple terms, I would explain to colleagues that managerial skills fall into three main categories:

• Technical Skills: These involve specialized knowledge and proficiency in specific tasks, such as using banking software for risk assessment or complying with BoG’s Liquidity Risk Management Guidelines. For example, a branch manager at GCB Bank needs technical skills to analyze loan portfolios to prevent non-performing loans (NPLs), which spiked during the 2022-2024 Domestic Debt Exchange Programmed (DDEP).
• Human Skills: These are interpersonal abilities to work with people, including communication, motivation, and conflict resolution. In a team meeting, I’d highlight how a manager at Stanbic Bank Ghana uses human skills to motivate staff during high-pressure periods, like post-DDEP recovery, fostering a collaborative environment to reduce employee turnover.
• Conceptual Skills: This entail seeing the big picture, strategic thinking, and problem-solving. For instance, senior executives conceptualize how fintech integrations under the Payment Systems and Services Act, 2019 (Act 987) can enhance digital banking while mitigating cyber risks per BoG’s Cyber and Information Security Directive 2020.

These skills are hierarchical: lower-level managers rely more on technical skills, while top executives emphasize conceptual ones, ensuring overall bank efficiency and compliance.

(b) Three Managerial Roles to Improve Productivity of a Bank 

Managerial roles, as outlined by Henry Mintzberg, are the behaviors or actions managers undertake. To boost productivity in a bank—measured by metrics like return on assets (ROA) or operational efficiency—these roles help align operations with BoG standards and market demands. Here are three key roles a manager can practice:

1. Interpersonal Role (e.g., Figurehead or Leader): Acting as a leader to motivate and guide teams. For example, a manager at Access Bank Ghana can lead by example during staff training on sustainable banking principles, improving employee engagement and reducing errors in customer service, thus enhancing productivity.
2. Informational Role (e.g., Monitor or Disseminator): Gathering and sharing information to inform decisions. A manager can monitor market trends like inflation impacts post-DDEP and disseminate updates via internal memos, enabling quicker adaptations to BoG directives and optimizing resource allocation for higher productivity.
3. Decisional Role (e.g., Resource Allocator or Entrepreneur): Making decisions on resource distribution and innovation. For instance, allocating budgets for digital tools to streamline loan processing, as done in many Ghanaian banks to comply with Basel II/III principles, reduces processing time and increases transaction volumes productively.

Practicing these roles ensures regulatory compliance and operational agility, directly contributing to profitability.

(c) Five Challenges Commonly Faced by Bank Managers in the Banking Industry 

Bank managers in Ghana face multifaceted challenges, exacerbated by events like the 2017-2019 cleanup (which led to collapses of banks like UT Bank due to governance lapses) and ongoing economic pressures. These must be addressed through adherence to BoG regulations for resilience. Here are five common challenges, with practical explanations:

1. Regulatory Compliance and Changing Directives: Managers struggle with frequent updates from BoG, such as the Capital Requirements Directive (CRD) requiring higher minimum capital (e.g., GH¢400 million post-cleanup). Non-compliance risks penalties; for example, during DDEP, managers at affected banks had to recalibrate portfolios to meet liquidity ratios, diverting focus from core operations. Solution: Implement robust compliance frameworks with regular audits.
2. Cybersecurity and Digital Risks: With rising fintech adoption under Act 987, managers face threats like data breaches, as per the Cyber and Information Security Directive 2020. In Ghana, incidents at banks have led to losses; managers must invest in training and technology, but budget constraints post-DDEP make this challenging, impacting trust and efficiency.
3. Talent Management and Staff Retention: High turnover due to competitive salaries and stress from economic volatility (e.g., inflation at 25% in 2023). Managers at Ecobank Ghana deal with poaching by fintech firms, affecting productivity. Challenge lies in motivating staff amid governance demands; per Corporate Governance Directive 2018, ethical leadership is key, but implementing empowerment programs is resource intensive.
4. Credit Risk and Non-Performing Loans (NPLs): Economic downturns increase defaults, as seen in NPL ratios rising to 20% during DDEP. Managers must balance lending growth with risk assessment under Basel principles adapted for Ghana, but limited data on borrowers (e.g., via Ghana Card integration) complicates this, straining profitability.
5. Market Competition and Innovation Pressure: Intense rivalry from universal banks and fintech’s (e.g., MTN MoMo) forces managers to innovate, like adopting AI for customer service. However, outsourcing risks under BoG guidelines and capital constraints post-cleanup hinder this; managers at rural banks like Adiemra Rural Bank face additional challenges in digital transition, affecting competitiveness.

Addressing these requires strategic planning, ethical practices, and BoG alignment for sustainable banking.