Compliance and Leadership: An Interview with Julia Schnell

Broadgate recently had the pleasure of catching up with the insightful Julia Schnell, VP/Head of Compliance at AllianceBernstein, to discuss her journey into the industry, the challenges and opportunities of stepping into a PCF (Pre-Approved Control Function) role, and her commitment to inclusive leadership.

Check out the conversation in full below:

Q.    What first sparked your interest in Compliance, and what keeps you passionate about it today?

After seeing the impact the financial crisis had on people and understanding that this resulted broadly from conduct and governance-related issues, I became hooked on the topic. Compliance aligns very well with my personal values – integrity, ethics, and the courage to speak up.

Furthermore, I am involved with all teams across the organisation and it’s never boring as there are always changes/new projects.

Q.   Taking on a PCF (Pre-Approved Controlled Function) role is a big responsibility. What motivated you to make that leap, and how did you prepare yourself for it?

My main desire is to make an impact, create a great company culture and ensure the right conduct is applied throughout the organisation, which is much easier the higher up you are in an organisation. As I mentioned earlier, I’ve always fostered a mindset of curiosity, which continuously focuses me on asking the key questions and taking the next big steps.

Regarding the preparation, I have been studying various IOB courses and tried to get as much exposure as possible across various compliance-related topics through this study, active questioning and fostering strong relationships with people already involved at that level. 

Q.    Was there a pivotal moment or mentor who inspired you to step into leadership, or was it a more gradual decision?

As I am a curious person who loves to learn, it was probably a gradual career progression, along with many conversations along the way.

Career Growth and Ownership

Q.   As someone who has successfully stepped into a senior leadership role, what advice would you give to women looking to take ownership of their careers and accelerate their growth?

I think education and exposure are key, as well as having a plan in place on how to go about it. So learn as much as you can and ask your boss/colleagues if you can get involved in other tasks/projects/business areas.

A mentor who has already achieved what you want to achieve is also an accelerator. Additionally, focus, enjoying the journey, and consistency will bring you very far in a short period. 

Q.   How do you stay proactive in shaping your career path while balancing the demands of a PCF role?

I continue doing IOB courses (I always study something) and ensure I have great exposure. Once I notice I feel too comfortable, I look for situations/topics/projects which are out of my comfort zone because that`s where you grow.

Also, I ask for feedback if I don’t get it automatically. Taking ownership of your career and building close relationships along the way is extremely important.

Q.   How has seeking advice from people with different mindsets—risk-averse, risk-prone, or otherwise—helped you make key career decisions?

I have noticed that if you are unsure about your next career move, it’s important to check in with male and female friends/colleagues.

Women tend to be more risk-averse, and if you only listen to your female friends, you may be stuck for years in a role which you have long outgrown. I think both opinions are very valid and should be considered to get a balanced view.

Challenges and Resilience

Q.    What was the biggest challenge you faced early in your career, and how did overcoming it shape the leader you are today?

I did my masters in England and started there working in financial services, so I was challenging myself from the very start, learning and working through a second language.

I was very much used to the conduct expectations of the FCA (the CBI’s is very similar). Once back in Germany (I am German), I had to work in organisations which were very male-dominated and not in alignment with my personal values (or the CBI/FCA’s conduct expectations for this matter).

It was a difficult situation, and in the end, I decided to leave the country and work abroad. I believe it’s important to understand which work environment you can thrive in and which is unacceptable for you. Thankfully, I learned my lesson very early on. 

Q.   In stepping into your first PCF role, were there moments you felt underestimated or unsupported? How did you navigate these situations?

The biggest risk was to resign from my former job without knowing if the CBI had approved me for the Head of Compliance role. But I was willing to take that risk to further my career goals. Thankfully, I had and still have a very good support network around me. At the time, I was mentored by a fabulous woman as part of the 30% club, who was there and guided me. Also, the CEO of the Irish legal entity supported me well, which I appreciated greatly.

In general, all of my colleagues, in particular, senior management in the UK and the US, are very supportive, irrespective of this being my first PCF role. I suppose I was extremely lucky to get the first PCF role with this organisation, as the culture aligns very well with my personal values, which is an important metric for me.

 

Q.    A lack of DEIB in leadership can create invisible barriers. How have you addressed these, and what changes would you like to see to make the path smoother for others?

AllianceBernstein has quite a few women in very senior positions, which is crucial as women need to see that there is female representation. That being said, I believe there is always room for improvement.

I would always look at the board composition and ask questions in the interview process on female senior management representation.

At AB, I have joined the internal EMEA Synergy Leadership group, which encourages female mentorship and the facilitation of networking opportunities. This is a fantastic opportunity to bring people (both genders) together who are at different career stages. Outside of AB, I am a member of ‘100 Women in Finance’ and a mentor of their fabulous mentorship programme. 

Representation and Organisational Culture

Q.    There’s progress in representation, but the gender gap in senior leadership roles persists. What do you think are the most significant barriers, and how can organisations address them?

I think women have a decent chance of getting a senior role in the UK/Ireland. However, I believe support from senior management is crucial if women want to make it to the top. Support could mean mentoring, coaching or structured learning sessions for females and their managers on how to progress their careers.

Q.  How does having more women in senior roles like PCF positions positively impact workplace culture and decision-making?

In general, women are better at collaboration, empathy, and bringing people together. Women think more from various perspectives and include other people’s opinions. Research from HBR suggests that diversity results in more openness, change and risk aversiveness.

As women tend to be more caring and kind, they have a very positive impact on the company culture as well as a keen eye for figures and detail.

Q.    From your perspective, what’s the difference between representation and real inclusion, and how can companies bridge that gap?

I believe it can be more difficult for women if only one woman is at the table. However, if there are three or more women, it feels more normal to everyone at that table, and hence they integrate faster and, as a consequence, feel more included.

Awareness training provided by an external coach specialised in gender behaviour could also help to shine a light on those issues and the consequences if not managed well.

It’s important to always include men in the conversation around female leadership, as they are usually the ones making the decisions. Hence, having them as an ally would increase the chance of success.

The Role of Mentorship and Allies

Q.    Who has been a key mentor or ally in your career, and how did their support shape your journey?

Thankfully, I had quite a few ‘unofficial’ mentors along the way, and they were all important at the particular stage in my life, as they all pushed me forward. I believe if I hadn’t had all of them, I wouldn’t be here right now. I am immensely grateful for that.

Q.    How important is it for women in leadership to mentor the next generation, and what do you prioritise in your mentoring relationships?

Every woman has to make her own decision. Personally, I see it as a very enjoyable ‘duty’ as opposed to a competition. For me, it’s important to support other women and pay it forward, and I always try to have an abundant mindset. I prioritise what the mentee wants to prioritise. I am there to help the mentee, and all mentees are different, thus have different priorities.

Challenges Unique to PCF Roles

Q.    Heads of Compliance often walk a fine line between managing risk and supporting business growth. How do you balance these priorities effectively?

Usually, companies have a risk appetite which is approved by the board. If the risk appetite is low, you would be more conservative anyway. At my company,  things are generally being discussed with various stakeholders and Legal & Compliance and Risk have a strong voice at the table.

Q.    Stepping into a PCF role involves personal accountability. How do you navigate that pressure while building trust with your team and stakeholders?

I try to be a good role model, speak up when I think something is off and ask lots of questions so people have to think. I always reiterate that colleagues should come if they have questions, which is why it’s really important to create a culture in which people feel good and valued. Additionally, you want to have good frameworks, processes and controls in place. However, the culture is more important as you cannot think of everything, and you want people to come to you if they are unsure or before something goes wrong.

Inspiring Action and Change

Q.    If you could implement one initiative to accelerate gender parity in senior leadership, what would it be?

I would implement coaching for all women in the organisation on confidence, business rules, and how to manage their careers. I believe it’s important to start from within and not from the outside. I believe that if women had better support and networks, then we would see many more great women at the top.

Q.    What do you hope to leave as your legacy in Compliance leadership, particularly for women entering the field?

I aim to be known for a conscious leadership style, which is not necessarily compliance-related but which has a continuous positive impact on culture and conduct in general. I am focused on creating an environment where people feel free to come and chat through issues with me, and I aim to be as open as possible to new challenges that I actively seek out.

A big thank you to Julia for sharing your insights and experiences with the team at Broadgate. You can learn more about AllianceBernstein here.

If you’d like to feature in our spotlight series, learn more about the trends and challenges in the Irish talent market, or chat about all things compliance, please get in touch with Darren Hogan at Darren.hogan@broadgatesearch.com; we’d love to hear from you.