Kim Jung-tae, Chairman of Hana Financial Group, "Establish Three Pillars of Growth Engine"

Financial Holding Company Management Strategy This Year ⑶ Hana Financial
Strategy Designed Around 3 Pillars
Building a Daily Life-Centered Platform
Accelerating Expansion of Asia-Centered Global Presence
Establishing ESG-Focused Management System

[Asia Economy Reporter Kangwook Cho] "For survival and sustainable growth, new strategies are needed rather than simply following existing methods."

Kim Jung-tae, Chairman of Hana Financial Group, stated this in his New Year's address this year, diagnosing that "a 'tsunami of change' is coming upon us now." Accordingly, Chairman Kim selected the three pillars of growth drivers for 2021 as 'platform finance,' 'global finance,' and 'social value finance.' This is to respond to the comprehensive environmental changes in the financial industry following the COVID-19 pandemic. Along with this, the group plans to strengthen customer-centric 'collaboration' and 'risk management.'

◆ Customer-Centric 'Platform Finance,' Asia-Centered 'Global Finance' = The emergence of numerous competitors due to the collapse of industry boundaries, saturation of the domestic market and intensified regulations, and the continuation of a low-interest-rate environment have already shown the limitations of growth based on interest income centered on banks. The financial offensive by big tech companies, beyond fintech, has already deeply penetrated everyday life.

Hana Financial believes that the digitalization trend, a major issue in the financial sector, has accelerated further through COVID-19, and consumer demand for untact (non-face-to-face) finance will increase in the future. Accordingly, the group decided to promote platform finance closely linked to customers' diverse daily lives. By building a platform business ecosystem, they plan to enhance financial convenience and continuously secure future growth engines for the group through various strategic investments and expansion of external partnerships.

Hana Financial also plans to accelerate overseas expansion, which had been sluggish due to COVID-19. In particular, to leap forward as a leading global financial group, they plan to strengthen market dominance in key Asian regions. The ultimate goal is to increase the global proportion, currently in the low 20% range, centered on the Asian market, to 50%, the level of major advanced financial companies.

To support this, Hana Financial plans to strengthen internal capabilities through the spread of the group's enterprise-wide global capabilities and expand global talent development programs to systematically enhance talent cultivation and management. In particular, synergy through cooperation among group affiliates such as Hana Bank, Hana Card, Hana Capital, and Hana Asset Management continues to be mentioned as a method to expand global capabilities.

◆ ESG-Centered 'Social Value Finance,' 'Collaboration' and 'Risk Management' = Worldwide, demands for corporate social responsibility centered on Environment, Social, and Governance (ESG) are expanding day by day.

Hana Financial Group aims to establish a sustainable growth and world-class ESG management system. In addition to the 'Social Value Management Committee,' attended by representatives of the group's affiliates, the group established the 'Group ESG Management Task Force Team (TFT)' last November to accelerate the practice of social finance based on ESG management. One of the major affiliates, Hana Bank, also established a dedicated ESG department through an organizational restructuring at the end of last year. The goal is to strengthen the ESG management system through the ESG planning section.

Along with this, the group is promoting co-growth of companies, society, and finance through K-New Deal customized financial support and venture capital supply. They are also continuously practicing inclusive finance by expanding support for financially marginalized and socially vulnerable groups who have suffered difficulties after COVID-19.

Hana Financial has set detailed strategies focusing on the three growth drivers, emphasizing customer-centric collaboration among all affiliates and risk management. In particular, they plan to strengthen the Hana One Q app as the group's representative platform to enhance customer convenience and advance personalized financial services based on data analysis. They also intend to continuously secure customer trust through proactive risk management and strengthened financial consumer protection after the pandemic.

Internally, the group plans to support the implementation of strategies by innovating work methods, fostering a horizontal corporate culture, and building an autonomous work environment to flexibly respond to rapidly changing market conditions. Chairman Kim emphasized, "Collaboration is most important to respond to change with new strategies," adding, "We must promote collaboration between departments within the company, among group companies, and if necessary, even with external parties including competitors."

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