[People人] Jung Young-chae, NH Securities CEO, Accelerates 'Digital Innovation' Shining in the Untact Era

Last Month, Approximately 300 Executives and Department Heads Nationwide Attended a Video Conference
Renowned as a Figure Who Personally Practices 'Pro-Digital' Approach
Abolished Key Performance Indicators (KPI) and Introduced 'Process Value'

Jung Young-chae, President of NH Investment & Securities

[Asia Economy Reporter Kum Boryeong] Jung Young-chae, CEO of NH Investment & Securities, has tightened his grip on 'digital innovation' and 'customer-centric management.' Jung was reappointed on March 25, marking the launch of the 'Jung Young-chae administration, Phase 2.' Having successfully led NH Investment & Securities for two years since March 2018, attention is focused on whether he can boldly overcome the market environment worsened by the 'COVID-19 shock.'

Over the past two years, Jung has led digital innovation, gaining attention not only within the company but also across the securities industry. In this year's New Year's address, he pointed out, "With technological innovation and the use of big data, the traditional low-margin, high-volume industry is being replaced by digital platforms," adding, "We have already witnessed the transformation where large supermarkets, once the most beloved retail channels, have turned to losses, and the market has split drastically into online shopping malls and premium offline channels." He continued, "The financial industry and capital markets are not exempt from this trend," emphasizing, "The simple brokerage market will largely be replaced by digital services in the near future. We need a more proactive response to digital channels, whose customer preference is steadily increasing."

First, a dedicated division to promote digital innovation was established within the organization. Representative examples include the Digital Strategy Headquarters to strengthen digital and IT competitiveness, the Digital Solutions Headquarters, and the Digital Sales Headquarters to support the WM business.

Last month, NH Investment & Securities attracted attention by holding a nationwide department head meeting via video conference, attended by about 300 executives and department heads nationwide. Instead of the traditional method of gathering in a large auditorium, 300 participants joined the meeting from their offices using personal computer monitors and microphones. NH Investment & Securities established an in-house messenger video conferencing system in 2018. Jung, reflecting employees' opinions, initiated it with "Let's give it a try," and this became even more valuable as the non-face-to-face (untact) culture surged due to the COVID-19 pandemic. Employees and executives have praised it as a "rational choice."

Among NH Investment & Securities employees, Jung is well known as a figure who personally practices being 'pro-digital.' He wears a smartwatch on his left wrist to check schedules and messages, carries a tablet PC and laptop in his bag, and works whenever and wherever necessary. Jung, who buys and uses new digital devices first, calls himself an 'early adopter.' One famous anecdote in Yeouido is that he distributed a tablet PC to each nationwide sales employee earlier this year for use during sales activities.

Since last year, NH Investment & Securities has been conducting industry-academic joint research with Korea University to develop robo-advisor algorithms, and earlier this year, it signed a 'Strategic Business Agreement (MOU) for Digital Innovation and AI Utilization' with Kakao Enterprise.

He also made headlines in the securities industry by abolishing performance-centered Key Performance Indicators (KPIs). Instead, he introduced 'process value.' Process value focuses on customer satisfaction and assigns value to all the preparation and execution processes that sales employees undertake before meeting customers. Last year, a customer satisfaction survey evaluating branches and sales employees was introduced, and the weight of customer satisfaction in sales employee evaluations increased from 30% last year to 40% this year.

To expand process value, a 'Customer Satisfaction Team' was newly created within the WM Business Division. The customer satisfaction survey will not end with a single instance but will be analyzed and used for future decision-making.

Ultimately, Jung believes that satisfying customers is directly linked to trust in the company and the personal growth of employees. During the volatile market caused by COVID-19, he said, "Now, when market uncertainties have increased, it is more necessary to explain the market and customers' asset situations to customers and to think together," adding, "When times are tough, standing by and thinking together will win customers' hearts."

Jung's efforts for process value can also be seen in an email he sent to employees last year. In the beginning of the email, reflecting on his first anniversary in office, he said, "Create many 'your customers' who trust and seek you," and added, "This is the best gift I can give you while serving as CEO." He urged, "Since the path we are on is the right direction, we can patiently wait for the speed. Let us move forward sincerely, step by step, until the day customers trust us and recognize us as partners."

Since Jung's appointment, NH Investment & Securities has also achieved remarkable performance. Last year, it recorded a pre-tax profit of 633.2 billion KRW and a net profit of 476.4 billion KRW, breaking its record for the second consecutive year following 2018. Especially, the Investment Banking (IB) division, which he led as head for 13 years, achieved balanced profits across sectors and recorded its highest-ever profit of 326 billion KRW.

This content was produced with the assistance of AI translation services.