The Story of Solution Sacco CEO Mr Daniel Marete; Successes and Future
Mr Daniel Marete, Solution Sacco Chief Executive Officer, is a man on a higher purpose. Despite the odds, his reputation for delivering on targets has earned him the moniker of risk-taker and a go-getter who stops at nothing but the best for his institution. His Sacco is a pacesetter with many firsts in providing innovative and convenient banking solutions.
Seated in an executive chair, in a modern office on the first floor of the magnificent Solution Sacco Plaza, in Meru Town, Mr Marete is immaculately dressed in a blue sharp suit, a crisp white shirt and a perfectly matching dotted tie. The Sacco Plaza is iconic and a landmark; atop the building, the view of Meru town is visible and apparent as Solution’s growth strategy.
Mr Marete sees far and is full of boundless energy and zest to run a top-ranking Sacco, fast-growing to a mammoth financial institution. His tireless energy led to his ascent to the helm.
“There is nothing that gives me satisfaction as seeing people transform out of what I do on daily basis. When I someone’s life is positively transformed, whether through speech, actions or any kind of assistance, this motivates me,” he says.
He is a man of humble beginnings. His parents were peasant farmers and wholly dependent on a co-operative to make ends meet. “Growing up, life was not easy, but thanks to a co-operative our family was able to improve our livelihood, which gives me a special attachment to the Co-operative movement,” Mr Marete says.
Co-operative is a way of life for him, and he seizes any opportune time to encourage others, especially the young people, to join Sacco to change their lives. “I always tell success stories of how the Sacco is transforming lives, using examples known by my subject, and this prompts some to join the Sacco,” he says.Â
Solution Sacco is not only a financial institution, he notes, but an investment avenue where one can invest and transform their livelihood socially and economically.Â
“We must save not when is convenient, but cultivate the habit of saving before we spend. It must be within our plan that we set aside something for investment,” he states. Â
In Mr Marete’s heart lies the burden of fulfilling Solution Sacco’s vision of championing members’ social and economic development. A herculean task he was well-prepared for since 1992 when he was employed by Nkuene Coffee Co-operative Society, shortly after graduating before joining the then Meru Teachers Sacco.
He started his career in the Sacco industry as a bookkeeper and was later promoted to an accounts clerk. Through determination and hard work, he rose through the ranks to the Chief Executive office.
“The Sacco leadership spotted my talent and assigned me to loans department as an assistant officer, a new role at the time. When the Sacco was opening common bond, I was in charge of introducing lending to non-teacher members that brought a lot of transformation to the Society,” he says.
It was not easy lending to non-salaried members, but Mr Marete, charged with the task, took the challenges head-on, developing strategies that would convince the Board of Directors it was a worth course if the Sacco had to accelerate its growth. He demonstrated the group lending model to the leadership, and they agreed.
In 2006, the Sacco started lending to business people and farmers, becoming among the first to diversify membership in the country. “Along the way, we have learnt a lot about charging property and other collateral, with positive results,” he says.
Mr Marete was Credit Manager for five years and Head of Marketing and Publicity Department for three years before being appointed as Finance Manager and Deputy CEO.
Five years ago, he became the CEO and started a transformation journey for the organization, and within no time, the asset base tripled to reach Ksh7.35 billion. Last year, the Sacco posted a 45% growth in members’ savings to hit Ksh 1.71 billion. In total, members’ deposits stood at Ksh4.9 billion as of December 31st, 2021.
Solution Sacco’s achievements in offering unique and quality financial solutions jut out. In 2002, it started FOSA operation to provide competitive and member-focused financial services for members’ empowerment. Having automated all processes, the Sacco focuses on offering value delivery and convenient banking solutions.
It is the first Sacco in Africa to own a worldwide connected ATM network, taking services at par with banks.
“We were the first in the content to join the bigger network for money transfer and debit cards. Interswitch provided us with Verve Card similar to Master and Visa cards. Our ATMs can be used by bank customers very conveniently and affordably, and our members can use Sacco ATM card in bank ATMs across the country,” he says.
The Society was also among the first to establish Agency Banking and Mobile Banking (Solution App and USSD). Members can also get guarantors online and have their loans approved, while businesspeople enjoy Lipa na Solution services, a merchant tailored payment service. These innovative solutions ensure that Sacco stays ahead of the curve.
Mr Marete attributes the Sacco’s success in providing unique financial solutions to the Board’s resilience, teamwork, and agility of the leadership and management to change with time, staff commitment, and loyal membership.
“I also believe God blessed us. The success we have enjoyed during my career has been driven most by the belief that the Sacco job has to provide customers with solutions that help them achieve their financial aspirations,” he says.
He has excelled at bringing others along with Sacco’s growth plan and executing disciplined communications for coordinated strategies. The Sacco sets its yearly targets early, with staff committing to realizing them.
“Everybody is aware of what is expected of them. We review policies among ourselves for everyone to understand why they have do things differently. Even our ambitious Strategic Plan was developed with little input from consultants,” Mr Marete explains.
Solution Sacco team works the journey together that the least in the hierarchy understands where the institution is going.
The Sacco has marshalled its philanthropic ventures, donating generously to several not-for-profits and charitable courses, including children’s homes schools and sponsoring needy students. The Sacco intends to establish a Foundation to support the education sector in a big way in collaboration with other partners.
It is banking on sustainability by redesigning its business model to tackle climate change through environmental conservation. So far, the Sacco has planted over 10,000 trees. “Environment is critical to business; we need fresh air and clean rivers. Polluted environment collapses business,” says Mr Marete.
The Society’s future is hinged on members’ empowerment. It focuses on creating wealth for members, such as buying land and building houses for them through Solution Housing and Investment Co-operative.
“We want people to remember us because we have transformed their life. There is nothing joyful as giving a person a dwelling,” says Mr Marete. Currently, the Sacco is selling land in Nanyuki.
The institution is also going big on Sacco Assurance under Suluhisho Letu Insurance Agency, offering various covers to members at affordable rates. Mr Marete stresses that it’s time people embrace insurance covers for their property and family.
“Innovation and market adaptation are key when you have clients under the influence of a digital revolution. We are focused on customer centricity. Good governance and a clear strategy on what we want to do, I believe is what defines Solution Sacco,” says Mr Marete.
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