Three-Way Race for DGB Financial Chairman... Traditional DGB Man vs. Commercial Bank Experience
Yuil Internal Personnel Hwang Byeong-woo Daegu Bank President
Expected to Contribute to Organizational Stabilization
Kwon Kwang-seok Former Woori Bank President, Experienced Across Banking Sector
Kim Ok-chan Former KB Financial Group President, From 'Leading Bank'
The final pool of candidates for the chairman of DGB Financial Group has been confirmed. The competition has been narrowed down to two candidates: an internal candidate represented by Hwang Byung-woo, president of DGB Daegu Bank, and two candidates with experience in commercial banks. As the subsidiary Daegu Bank is about to transition into a commercial bank, the Chairman Candidate Recommendation Committee (CCRC) is expected to recommend a candidate who can effectively address this immediate challenge.
According to DGB Financial Group on the 15th, the CCRC selected three final candidates for the next chairman. The candidate selection program, involving about 10 committee members and external experts, was conducted over four weeks. Based on detailed program results including in-depth interviews with financial experts, management competency evaluations, and behavioral interviews, former Woori Bank President Kwon Kwang-seok, former KB Financial Group President Kim Ok-chan, and DGB Daegu Bank President Hwang Byung-woo were chosen as the final candidates.
Among the three final candidates, the only internal candidate is Hwang Byung-woo, president of Daegu Bank. Since joining Daegu Bank in 1998, he has been active as a ‘DGB financial man.’ He was born in 1967 in Sangju, Gyeongbuk. He graduated from the Department of Economics at Kyungpook National University and earned both his master's and doctoral degrees from the same university’s graduate school. After serving as head of Daegu Bank’s Management Consulting Center in 2012, he held positions such as branch manager, secretary to the bank president, and executive director of DGB Financial Group. He was promoted to Daegu Bank president through the group’s CEO development program. During this two-year verification process consisting of 16 detailed programs, he received the highest evaluation.
As an internal candidate, his strength lies in contributing to organizational stabilization. The biggest task within DGB Financial is the transition of Daegu Bank into a commercial bank, which could be completed as early as next month. It is necessary to seek organizational stabilization simultaneously with the chairman’s election. Concurrent holding of the position is possible during the remaining term as bank president. Chairman Kim Tae-oh of DGB Financial Group concurrently served as Daegu Bank president for one year starting in 2018. Being a graduate of the group’s CEO development program, which Chairman Kim carefully established, is also advantageous. He has already undergone numerous verification procedures internally. Being from Gyeongbuk and understanding the characteristics of DGB Financial Group, which is based in Daegu and Gyeongbuk, is another advantage. However, a potential weakness is that during his tenure as president, Daegu Bank could face disciplinary action from financial authorities due to employees’ illegal securities account openings.
The external candidates, former Woori Bank President Kwon Kwang-seok and former KB Financial Group President Kim Ok-chan, have the advantage of having led larger commercial banks compared to DGB Daegu Bank and having experience in financial holding companies. However, neither is from Daegu or Gyeongbuk. Former President Kwon was born in 1963 in Ulsan and holds a bachelor's degree in Industrial Engineering from Konkuk University and completed an MBA program at Yonsei University’s Graduate School of Business. After joining Woori Bank in 1988, he served as CEO of Woori PE Asset Management in 2018, CEO of Saemaeul Geumgo Central Credit Guarantee in 2019, and became Woori Bank president in 2020. He later served as chairman of the Woori Miso Finance Foundation and was an advisor to Woori Financial Capital from 2022 until recently. His experience across various sectors including banking, holding companies, capital, and asset management is considered a unique strength. However, some opinions note that his one-year tenures as bank president and credit guarantee CEO are somewhat short to fully evaluate his performance.
Former KB Financial Group President Kim Ok-chan’s strength lies in his career mainly built at Kookmin Bank, a leading domestic bank. He served as acting president of Kookmin Bank in 2013, president of SGI Seoul Guarantee in 2014, and president of KB Financial Group in 2016. Notably, he also served as CEO of the retail company Home & Shopping starting in 2020. His leadership roles across various sectors beyond banking may be suitable for DGB Financial Group, which is considering new business ventures. However, a potential weakness is that while the home shopping industry benefited from the COVID-19 boom, Home & Shopping experienced poor performance during his tenure.
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The final candidates will participate in a ‘final candidate selection program’ over the next two weeks to comprehensively verify their management capabilities. The CCRC stated, “We will maintain independence, fairness, and objectivity throughout the remaining succession process and recommend the final candidate with the highest competence and expertise.”
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