JP Morgan Chase 2014 Annual Report Download - page 42

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manage to the needs of our critical
stakeholders – shareholders, clients,
customers and employees – given our
significance to worldwide markets
and the global economy. We continue
to respond to the changing regulatory
landscape, including requirements
for G-SIBs, and we are evaluating
the businesses we manage and the
products and services we oer in the
context of these new requirements.
As an example, we announced the
firm is targeting up to a $100 billion
reduction in non-operating wholesale
deposits. At a minimum, we are
committed to ensuring we remain
safely within the 4.5% G-SIB capital
surcharge bucket and are looking
at additional actions to potentially
reduce our surcharge by an incre-
mental 50 basis points.
Last year, we published Business
Principles, key themes around which
we want to drive the firm. These prin-
ciples are fundamental to our success
and provide guidance for our identity
as a company while informing our
firmwide strategic priorities.
We distributed the principles to
our employees and regulators and
followed up with a more extensive
“How We Do Business – The
Report,” which is available on our
public website.
We recently launched a firmwide
Culture and Conduct Program to
further reinforce the behavioral
standards implicit in these Business
Principles. The program is not about
reinventing our culture but recom-
mitting to it. It considers our culture,
business models, tone from senior
executives, governance and incen-
tive structures; how they influence
daily decision making at all levels;
and the impact of those decisions on
our clients, our reputation and the
integrity of the markets. Our objec-
tive is to instill in our employees a
strong sense of personal accountabil-
ity through broad, deep integration of
common standards across businesses
and geographies. In 2015, we will
develop a suite of metrics to enable
management to keep a pulse on how
we are doing in regard to our com-
pany culture and with respect to spe-
cific conduct risks. We have commit-
ted, in 2015, that each line of business
and function will implement a
Culture and Conduct Program aligned
to the firmwide framework.
Execution against our principles
requires us to be ever mindful of
new opportunities to reduce com-
plexity and improve eciency. As
part of our business simplification
strategy, we spun o One Equity
Partners, the firm’s private equity
Our firm has a rich, 200-year history
of serving its clients and customers
with integrity and establishing
relationships based on trust. It is
our responsibility to preserve and
build upon the solid values on
which this firm was founded. The
tone we set as stewards of the firm
is critical, and managing a culture
of excellence, as well as integrity,
requires us to have a sophisticated
and comprehensive infrastructure.
The Chief Operating Oce is central
to delivering operational excellence.
It is responsible for many of the
firm’s corporate utilities, including
Treasury, the Chief Investment
Oce, Global Technology, Operations,
Oversight & Control, Compliance,
Corporate Strategy, Global Real
Estate, Global Security & Military
Aairs and Regulatory Aairs,
among others. In 2014, we focused a
great deal on what it means to be a
Global Systemically Important Bank
(G-SIB) and how best to ensure we
Matt Zames
A Culture of Excellence
EXCEPTIONAL CLIENT SERVICE
OPERATIONAL EXCELLENCE
A GREAT TEAM AND WINNING CULTURE
A COMMITMENT TO INTEGRITY, FAIRNESS
AND RESPONSIBILITY