'Going through the mill helps make a good leader'

With a banking career spanning three decades, Sebastian Paredes, chief executive of DBS Bank (Hong Kong) Ltd, had gone through the mill.

He saw two of the worst and most dramatic economic meltdowns to grip the world this century - the 2008 global financial tsunami and the European debt crisis a year later. The crises have equipped him with the insight to find the right answers for the right problems.

But, what's the most critical element in a financial leader in overcoming a crisis? In his view, integrity is one of the great attributes of those at the very top.

"Integrity is paramount in a leader in the face of calamity. Integrity does not mean just honesty, but embodies the way a person thinks, interacts, perceives and treats customers and staff," asserts Paredes.

In his regard, how to deal with a crisis varies with time and region. But, the philosophy is the same, which is the respect for how a leader runs his team, how he sees his customers and employees, and how he communicates with them.

"The more crises you face, the more mature you're become and the better you can handle them. Always remember, the customer comes first."

Integrity is defined as "firm adherence to a code of especially moral or artistic values", meaning people who live with integrity are incorruptible and incapable of breaking the trust of those who have confided in them. But how to develop personal integrity lies in the word "balance".

"It's very important to strike a balance between short-term returns and long-term objectives," argues Paredes, referring to a leader's responsibility to weigh the cost and benefits of every decision, as long-term strategic decisions take time to reflect on financial results while short-term operational ones impact results in the short term.

He points out that, sometimes, a decision taken may improve profits in the short run, but may hurt a company's profitability in the long run; and sometimes a long-term decision may weaken short-term profitability.

"There's also the balance between risk and rewards, such as hiring the right talent for the right job. A leader needs to create an environment for his employees to reach their personal and professional goals, and to make them feel they're not at risk in doing the job."

Today's leaders, he stresses, have to acquire new technologies, such as digital technology and artificial intelligence, as robotics is advancing and technology is transforming the world.

"What my father told me a long time ago - something that has shaped my life - is that the more successful you are, the more humble you need to be. Life is about balance, between work and family, money and fulfillment. We need to learn how to find fulfillment at work."

cherrylin@chinadailyhk.com

(HK Edition 05/19/2017 page9)