/ 6 bis - central bankers'speeches another key attribute for me is to be forward looking. while always true, in today's uncertain environment it is increasingly so. anticipating trends, and looking to the future – both in terms of growth and risks – should be a key part of a director's contribution to the collective direction of the company's affairs. lastly i think it is important that directors are risk - based, in terms of identifying the most material issues and risks for your organisation, considering at a board level you can only cover so much. combining all these attributes directors need to bring a unique and independent perspective to table, given the importance of broad experience, backgrounds and thinking being contributed to the collective. they also need to bring their people with them – to truly embed good governance, risk management and culture throughout their organisation. conclusion to conclude, i congratulate you all in completing this worthwhile programme. i hope in line with the iod's purpose it will help you to lead successfully, thereby increasing the trust in your organisations. as i have said, the role of senior leaders, directors and boards has never been more important – which i hope means interesting, fulfilling and impactful years ahead for you in your careers. in those years ahead, i hope you become stewards of good governance, culture and risk management in your future roles – doing the right thing for the benefit of your organisations, consumers, the economy and society as a whole. thank you 1 iod our purpose : https : / / www. iodireland. ie / about - iod 2 there is also a wide literature on empirical evidence of this : see for example bhagat and bolton corporate governance and firm performance june 2008, or shaukat and trojanowksi board governance and corporate performance august 2017 3 see donnery " innovation and trust – regulating in the interests of us all " february 4 see standards for the board, iod 5 see lane 2018 6 see directors'handbook, fifth edition, iod, mccann fitzgerald 5 / 6 bis - central bankers'speeches 6 / 6 bis - central bankers'speeches

to the market the idea of a single and consolidated project, of a concentration arrangement equivalent to a merger, of an entity prepared to harness in practice all the synergies and all the management improvements made possible by an ips structure. to do this a proactive strategy should be adopted, geared to securing the economies of scale characteristic of a merger and to reducing overheads, including unit wage costs, which is imperative in the current economic circumstances. any sign of wavering should be avoided, since this would be seen as an excuse to question the group ’ s cohesiveness, which is an unacceptable risk at present. i stated in the introduction that any new product has to be prepared to overcome a fourth and final trial and evaluation step : it must prove its capacity for future development. this is a particularly pertinent demand for the financial system, since what is involved is a nimble and dynamic sector. ipss are a structure that must prove to be of use in providing lasting banking services. but it is also true that legislation, specifically royal decree - law 11 / 2010 of 9 july 2010, has opened up new means for savings banks to pursue their activity, offering a range of possibilities. in particular, it is provided for that savings banks participating in an ips can convert in the future, de facto or de jure, into savings banks with “ indirect activity ”, or into foundations, which focus on attending to and developing their welfare fund assets. in this connection they will transfer in full the assets assigned to their banking activity to the central credit institution, in exchange for shares, and they will collaborate efficiently in the management and control of the activity pursued by this bank. making use of this possibility is a decision incumbent upon the managers of ipss, and one which should be considered without delay, if funding markets so demand. or if this should be so required by the even more demanding capital market, to which access will prove vital. in adopting investment decisions, this will call for a high level of certainty in projects and in business structures. to access bond markets and cover maturities, it may suffice, along with the full sharing of profits and losses and the cross solvency guarantee, to transfer to the central entity a portion of the group ’ s assets and liabilities ( normally that associated with wholesale businesses and branches located in territories in which it does not operate exclusively ). we shall find out if this is sufficient from january 2011, when significant volumes of external financing will have