Confronting for all the right reasons! Getting to know Jeff Bresnahan & the genesis of DOC
Some fast talking earned Jeff Bresnahan his place in the industry as a teenager; his experience managing super administration and consulting firms, and his desire to meet the needs of employers, members and trustees, kept him there. He co-founded The Australian Superannuation Group in 1995 and in 2002 founded SuperRatings, an independent provider of advice to super funds. Jeff talks to Industry Moves about his formative years, his sporting talents, and the conference he created eight years ago to challenge the way we think and do business.
What prompted you to create the Day of Confrontation (DOC) conference?
After establishing SuperRatings in the early 2000's, I spent a lot of time frequenting industry conferences. The problem was that as an industry we spent most of our time listening to each other, which was hardly the way to garner new ideas. So, the concept of the DOC launch in 2008 was to challenge everything the industry knew and believed in by getting a full day of non-industry speakers to talk about their experiences in other industries and roles.
"The concept...was to challenge everything the industry knew and believed in..."
What makes the day unique?
The uniqueness was very much by having the non-industry speakers, most of whom had no prior exposure to financial services, but who were often able to relate their stories back to some type of industry challenge. Further, to eliminate those pesky snorers, we virtually banned presenters from using PowerPoint and we also banned the use of seat rows, preferring round tables throughout the venue. All presenters also participate in a Q&A session immediately at the end of their session, challenged by two of us on stage and also the audience. Basically we just wanted to do things differently. My personal view is that if a delegate walks out at the end of the day with just one new idea on how to do things, then we have been successful. Interestingly, it never ceases to amaze me how differently people view the same speakers.
How has the event changed over the years?
We have tempered the non-industry speaker thing slightly by introducing two industry specific sessions (out of seven or eight) in recent times. But again, we are careful to choose topics that most people are very passionate about but the industry may be afraid to confront. As an industry, we still have a multitude of issues to address. Unfortunately, until someone shakes the tree hard enough, it seems we all hold onto the status quo. The Day of Confrontation is our opportunity to challenge this and hopefully help people make better business decisions, which ultimately helps their clients, the everyday Australian.
What have been some of the confrontational highlights?
There have been plenty. The discussion two years ago about the disability chasing legal firms springs to mind. We put an injury lawyer up against a fund CEO and a TPD insurer and asked some hard questions. It turned out as we hoped. That is, we basically proved that around 80% of TPD claims lodged via a lawyer (who now lodge around 50% of all TPD claims) were valid claims anyway, but had never been lodged with the fund. So, I don't know about your maths, but in effect the lawyers are taking a 20-30% clip out of 40% of all TPD claims against super funds. We are talking about hundreds of millions of dollars being siphoned out of the super system when a few changes to legislation could protect the member and put tens of thousands of dollars back in their pockets.
Another time we put Venture Capitalist Mark Carnegie up and he tore strips off the fund managers for their salaries and fee structures. Parts of the room went pretty quiet when the holiday homes in Palm Beach and Sorrento came under attack.
...any disasters?
Plenty of them too! After all, if you try something different, you are going to get it wrong sometimes.
Two big disasters though. The first was when we got three marketing companies to put together ads to "sell the unsellable" super fund. The guy who did the "Bikie Super" ad (who is now a regular on the Gruen transfer) made sure the Day of Confrontation was etched in history by becoming the first (and hopefully last) conference to have the C-bomb dropped as part of a presentation. We are also still trying to forget that his ad featured, shall we say, disrobed persons on the giant screens. That was a very long session for us........ The second disaster was when we had a guy out of France talking about something that I can't remember, but a) it was completely off topic; and b) he spoke with such a heavy French accent you could only understand every fifth word. 35 of the longest minutes of my life. Needless to say we have taken on board the feedback on both!!
and more about Jeff...
"I always thought of myself as a handy footy player when I was younger. But apparently the selectors and coaches didn't agree!"
Where did you grow up?
I grew up in Chatswood in Sydney. In those days it was a middle class suburb where you could ride your bike on the road all day; race sticks down the stormwater drains; and hide your smokes in the local park, all without getting in trouble.
What was your very first job?
I remember this one - a chemist run when I was about ten. 60 cents per hour for delivering medicine to all the pensioners around the area. It was awesome fun getting paid to ride your bike - but I'm pretty sure the pharmacist made plenty out of us - the hourly rate never changed in the four years I worked there! Ah, the good old days...
What initially drew you to the financial services industry?
I fell into the industry in 1979 because of Dad. He organised an actuarial cadetship with Sun Alliance immediately I finished the HSC. Problem was, two months later, when the HSC results came out I needed around 480/500 to get into Macquarie Uni. Apparently I had a misprint on my HSC because it showed around half of that, so I was more than a couple of marks short. Anyway, after explaining what may have contributed to this result, Sun Alliance were good enough to keep me on staff, teach me all about Section 79 policies; the 30/20 rule; RBLs; PSTs; ADFs; Pre '83 components; ETPs; STPs; and any other acronym this industry can create, and there have been plenty! The rest pretty much is history.
"...I have learnt the most from watching how not to do business."
Who do you most admire and how have they influenced your life/work?
I admire Richard Branson as a true entrepreneur and reflect on his ability to back himself no matter what others might say. But I think I have learnt the most from watching how not to do business. Over 35 years I have seen so many cringe worthy moments, where you just say to yourself, don't ever do that to your own clients. Clients are not always right, but nor am I, so there is a real two way street. In short, its about having a go, about trying to put yourself in your client's shoes and then creating services. Quite often, as a result, you are actually "making a market" rather than competing in one.
Do you have a hidden talent/secret skill?
I always thought of myself as a handy footy player when I was younger. But apparently the selectors and coaches didn't agree! Go figure. Other than that, my only claim to fame is that I've managed to stay as a single figure golfer for quite a while now; have a stupid ability to remember numbers (particularly performance numbers) and an equally disturbing inability to remember names and faces!
"I really think there is a way we can integrate superannuation assets with social needs..."
Is there a particular cause or charity that you support?
I have supported various charities over the years, and continue to do so. I do love the work The Wayside Chapel does up in the Cross. I really think there is a way we can integrate superannuation assets with social needs, whilst still producing a commercial return. I actually got Rev Graham Long and the former CEO of Social Ventures Australia, Michael Trail, on a session for the DOC a few years ago. Michael proved it can be done, but it is a hard one. As an industry I think people will continue to prefer to deal with the easy decisions.
Industry Moves is a proud media supporter of the 2015 Day of Confrontation. Over the coming months we'll be talking to speakers, delegates and sponsors to give you a unique perspective of the DOC community.
This year's theme is The Age of Entitlement is Dead! Read all about it on the DOC15 website.
