New KB Kookmin CEO pledges sustainability

New KB Kookmin Bank CEO Hur Yin speaks during a press conference at the bank's headquarters on Yeouido, Seoul, Tuesday. / Courtesy of KB Kookmin Bank

By Nam Hyun-woo

New KB Kookmin Bank CEO Hur Yin said Tuesday he will serve as a bridge for the bank to continue pursuing its goal of being a more client-centric bank.

“I believe CEOs promising to achieve certain goals during their term can cause problems,” Hur said during a press conference at the bank’s headquarters on Yeouido, Seoul.

“My role should be to become a bridge so my successor can continue pursuing KB’s goal of becoming a more client-centric bank.”

Last month, KB Financial Group named the 55-year-old to lead its flagship unit for the next two years. He was appointed CEO during the group’s shareholders’ meeting a day earlier.

Hur’s remarks suggest he will seek strategies aimed at mid- and long-term growth, rather than striving for short-term improvements in profitability.

He said the bank has been pursuing a branch network transformation, in which its branches are grouped to provide integrated financial services catered to clients’ demands. He promised to accelerate the new grouping.

In order to do so, he asked KB employees to become “universal bankers” who can provide integrated financial services.

“The most important thing is each and every employee’s desire to become a universal banker,” he said. “This will improve KB to become more innovative and dynamic.”

Hur vowed to avoid mass restructuring, such as voluntary resignation under the excuse of increasing productivity.

“For the time being we are not considering productivity improvements through cost reduction,” Hur said. “We will raise productivity through stronger profitability, not by sacking employees. We are still short of talent for what we should pursue.”

Regarding overseas business, Hur said the bank should make enhanced efforts to catch up with global leaders. As part of these efforts, the bank will focus on corporate banking and investment banking in developed markets, while strengthening retail banking and microfinancing in emerging markets.

With Hur’s appointment, KB Financial has finished its leadership change of having Yoon Jong-kyoo as group chairman and Hur as bank CEO.

Yoon has led the bank and the group for the past three years. He received approval for his second term as chairman during the shareholders’ meeting.