KB Chairman Nominee Jae-Geun Lee: "Will Create New Financial Standards... Will Not Rest on First Place"

[Financial News] Jae-Geun Lee, Head of KB Financial Group’s Global Business Division and the designated candidate for the next Chairman of KB Financial Group, has signaled a 'change' based on stable performance. Division Head Lee presented a plan to create a decentralized organization that operates based on systems and processes, rather than a management style where authority is concentrated in the personal hands of the Chairman.
Division Head Lee met with reporters on his way to work at the KB Financial Group's new building in Yeongdeungpo District, Seoul, on the 14th and said, "I take being appointed as the next chairman candidate while KB Financial Group is achieving strong results as a message not to be complacent with being the number one financial group." This is his first public statement since being selected as the next chairman candidate on the 11th.
While noting that KB Financial Group recorded a net profit of approximately 3.9 trillion won in the first half of this year and its stock price hit an all-time high, Division Head Lee cited proactively responding to changes in the financial industry as the top priority.
He assessed, "The environment surrounding the financial industry is changing significantly due to artificial intelligence (AI), digital technology, money moves, and the aging population," adding, "There is even talk that the next three to five years will determine the fate of financial groups."
The division head plans to proactively respond to changes in the financial industry based on stable performance. While responding to the money move toward the capital market, the plan is to strengthen the financial group's social role, including productive finance and inclusive finance.
He emphasized, "Leading finance is not merely about being ahead in performance, but about leading changes in the financial industry and creating new standards," adding, "We must reflect on the meaning of being the number one financial group based on a well-established non-banking portfolio."
Division Head Lee presented 'systems' and 'decentralization' as the operational direction for the organization. He stated, "Rather than power being concentrated in the hands of a single chairman, larger organizations must operate through processes and systems," adding, "I will place emphasis on an organization based on systems and processes—rather than one driven by the individual skills of a specific person—and on a more decentralized and sustainable organization."
They stated that they are also considering ways to create an environment where employees can work happily and to foster dedication to the organization.
Regarding the year-end personnel changes, he stated the principle of prioritizing competence and expertise over age. However, regarding specific personnel plans, he emphasized that "it is not a matter for the Chairman to decide with sole authority, but rather one that must be discussed jointly with the affiliate CEO Candidate Recommendation Committees."
He added, "Generational change or 'Young KB' does not simply refer to age, but signifies an organization that makes decisions quickly and responsibly." This means that they intend to comprehensively assess competence, expertise, rapport with employees, and the ability to elicit organizational commitment, without being limited by age.
He also expressed his commitment to strengthening inclusive finance. KB Financial Group is pursuing a financial support plan totaling 110 trillion won, including 93 trillion won for productive finance and 17 trillion won for inclusive finance. "Making high profits solely through interest income is not what defines a leading financial institution," said the division head. "Growing together with customers, investors, and society, and establishing new standards in inclusive finance, is the true image of a leading financial institution."
He also emphasized management continuity. The division head stated that he would continue the stable growth foundation established by current Chairman Yang Jong-hee, saying, "I will ensure that the continuity of KB Financial's management, strategy, and business is not compromised."
He continued, "Upon official inauguration, I will carry a heavy sense of responsibility and deeply consider ways to further solidify the role of Korea's representative leading financial institution," adding, "I extend my respect and gratitude to Chairman Yang Jong-hee, who has placed KB Financial Group on solid ground and led its stable growth and development."
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