SCB starts transformation's second phase
Four co-presidents set to lead overhaul
Siam Commercial Bank (SCB) will shake up its management structure by appointing four co-presidents as part of the bank's transformation into an agile organisation under the SCB Transformation programme's second phase.
According to a source in banking circles, the designated presidents are Arak Sutivong, senior executive vice-president, chief financial officer and chief strategy officer; Orapong Thien-Ngern, senior executive vice-president and chief digital transformation officer; Sarut Ruttanaporn, senior executive vice-president and head of the retail segment and branch network; and Apiphan Charoenanusorn, senior executive vice-president, head of retail lending products, head of retail payments and head of facility management.
SCB's changes in the high-ranking management structure will be on the same lines as those at arch rival Kasikornbank (KBank), which also has four co-presidents: Predee Daochai, Patchara Samalapa, Pipit Aneaknithi and Kattiya Indaravijaya.
Organisational restructuring is SCB's priority this year, said president and chief executive Arthid Nanthawithaya.
The bank wants to move from a hierarchy to an agile organisation and plans to replace solitary business units with squads based on customer demand.
All related parties, both business and support teams, will collaborate to help each business squad, focusing on four key elements: customer centricity, innovation, risk management and speed.
SCB, the country's second-largest lender by assets, expects half of its organisation to become agile this year, Mr Arthid said.
With the flat organisation, the working process will be shortened and the speed of business operations will become faster.
The bank expects work processes to be three times faster than in the past.
"The existing vertical management structure will be melted down and replaced by an agile structure," Mr Arthid said. "We'll officially announce the new structure next month."
The SCB Transformation programme, designed to sharpen its competitiveness in the face of rapid changes in the global business environment amid wide-scale disruption, will run through 2020.
Under the organisation transformation, workplaces will be reshaped to co-working spaces and eventually will also share space with other employees, Mr Arthid said.
His CEO role will also be adjusted to catch up with the changing environment, he said, adding that the existing wisdom and experience may not be appropriate for the changing business landscape in the digital era.
"An open attitude to decision-making and taking responsibility should be key characteristics of leadership in the changing world," he said.
SCB will also give more opportunities to the younger generation.
The bank has set up the SCB 10X team comprising new-generation staff to explore and adopt new financial service innovations. Apart from building new-generation teams, re-skilling of existing employees is another key to inspire them and bring forward the digital transition.
Mr Arthid said that despite the transformation the bank still faces banking disruption and will continue with the process.
He said the recent moves have improved business potential and there are brighter prospects under the transformation, which started in 2016.
SCB shares closed Friday on the Stock Exchange of Thailand at 128.50 baht, down eight baht, in trade worth 4.39 billion baht.