Effecting culture change was &lsquo arguably the most challenging but also the most game-changing&rsquo , he says

DBS paid tribute to its outgoing chief executive and banking veteran Piyush Gupta as he prepares to retire this month after helming the bank for 15 years. 

 

As Gupta steps down at the conclusion of DBS&rsquo 26th annual general meeting on Mar 28, deputy group CEO Tan Su Shan will replace him as the bank&rsquo s new CEO. 

 

&ldquo Under his stewardship, DBS has evolved into one of Singapore&rsquo s most iconic institutions and a global financial powerhouse, with a (return on equity &ndash or ROE) that places us among the top-performing banks globally,&rdquo said DBS chairman Peter Seah in the bank&rsquo s annual report released on Thursday (Mar 6).

 

The lender&rsquo s ROE more than doubled to 18 per cent in 2024, from around 8 to 9 per cent when he first took over in 2009.

 

Seah said the bank&rsquo s strong performance reflects the structural changes Piyush has implemented over the past decade, especially the digital transformation and growth of high-ROE businesses such as wealth management, transaction services and treasury customer sales.

 

&ldquo He has built an enduring legacy through his visionary leadership, establishing the cornerstone for DBS to reach new heights in the years ahead,&rdquo said Seah.

 

Of Tan, Seah pointed to her track record and strong business acumen, adding: &ldquo We take pride that she is a homegrown talent, reflecting our commitment to developing a local talent pipeline.&rdquo

 

Reflecting on his time as CEO, Gupta recalls how the banking industry was in the &ldquo throes of the global financial crisis&rdquo when he joined DBS in 2009. 

 

Over the years, several factors made DBS&rsquo digital transformation successful, he said, noting that the bank transformed everything &ndash from the technological architecture at the back-end to customer interfaces at the front-end.

 

Of these measures, effecting culture change was &ldquo arguably the most challenging but also the most game-changing&rdquo , said the outgoing CEO.  

 

&ldquo While conventional wisdom is that it is difficult for a legacy company to transform at scale &ndash with some companies preferring to keep the old and new organisations separate &ndash we were committed to taking all our employees along in the journey,&rdquo Gupta said. 

 

&ldquo Instead of trying to change culture by diktat, we established a common vision and equipped our people with the frameworks and tools to embrace a new way of working &ndash creating &lsquo culture by design&rsquo ,&rdquo he added. &ldquo I saw clearly what Peter Drucker, the famed management guru, meant when he said, &lsquo Culture eats strategy for breakfast.&rsquo &rdquo

 

DBS&rsquo incoming CEO, Tan, previously said she intends to focus on growing businesses that provide a high ROE when she rises to the helm. 

 

The 57-year-old said in the annual report: &ldquo We will continue to face uncertainty in the macroeconomic environment and geopolitical landscape, with potential policy shifts that could disrupt supply chains and cause market volatility.

 

&ldquo We are proactively addressing these challenges. Internally, we have implemented rigorous stress tests across various risk parameters, as well as leveraged technology to automate processes and improve our agility in responding to changing conditions.&rdquo