Digital Fireside Chat with Mr Ong Chong Tee

Date: 5 August 2020, Wednesday

Mr Ong Chong Tee, Deputy Managing Director of Monetary Authority of Singapore (MAS) and a member of the Council for Board Diversity (CBD), spoke at a Digital ‘Fireside-Chat’ organized by CBD on 5 August 2020. The discussion was led by Ms Janet Ang, Independent Director of Singapore Press Holdings Limited and Chairman of NUS Institute of Systems Science.

Mr Ong shared his perspectives on navigating a “co-Covid” (living alongside covid19) world in the new normal, the importance of diversity (broader than just gender) and resilience in managing times of crisis as well as the significance of strong partnerships amongst stakeholders in businesses, the government, and society; and shared tips for existing and aspiring board directors.

Participants of the Digital Fireside Chat with Mr Ong Chong Tee. Photo by Council for Board Diversity.

Our key takeaways:

  1. Covid-19 has highlighted the importance of having more cognitive diversity* as it facilitates robust deliberations through different perspectives, thus enhancing long-term strategy (to create value) and risk oversight (to minimize risk that can destroy value).

* Cognitive diversity recognizes the importance of differences in perspectives and the way different people process information. This is predicted by a variety of factors not limited to gender, ethnicity, or age.

  1. During times of crisis like the covid19 pandemic we are experiencing, boards find themselves having the urgent need to focus more on strategy for resilience, risk management and stakeholder engagement so as to ensure that the business is best able to weather the crisis and be ready for growth in the future. Some matters to consider are:
    • Operational resilience – e.g. how to ensure that operations can continue without physical proximity whilst ensuring proper checks and balances are in place, what are the parameters to consider in sharing data, etc
    • Business resilience – in terms of dealing with customers, stakeholders, etc.
    • Human Capital resilience – continuous learning, mental and physical health and wellness, financial resilience, etc
  1. The regulator ensures resiliency of financial institutions in Singapore by requiring adequate resources to cover stress test scenarios under steep parameters which incorporates multiple negative impacts on the economy and business.
  1. Companies are challenged in their decision making to ensure inter-temporal consistencies i.e. decisions that are made today do not limit the choices for tomorrow, or put the organization at greater risk in the future. There are trade-offs to every decision and they must be carefully discussed at the board level and duly considered for short-term survival and longer-term sustainability.
  1. Some ideas on achieving greater cognitive diversity on the board:
    • Looking beyond the typical profile of candidates – be open to searching for candidates outside of the industry and perhaps consider those who can think through issues that are important to society (e.g. social / climate / technology / international relations).
    • Focusing not only on the skillsets, competencies and experiences they bring but also on the character and background of candidates – their cultural, social and educational backgrounds. Some traits of effective board directors may include:
      • Raising constructive questions
      • Having a desire to collaborate and build trust within the board
      • Not being judgmental of others
      • Empathy
      • Good judgement
  1. Tips for board directors or aspiring board directors:
    • Continually educate yourself about the firm, the business you are involved in, and other industries
    • Be aware of your fiduciary responsibilities as a board director
    • Seek out advice from mentors and experienced board directors

Speaker

Mr Ong Chong Tee is the Deputy Managing Director in charge of Financial Supervision at the MAS. He oversees the regulation and supervision of banking, insurance and capital markets entities licensed in Singapore, as well as entities that will come under the new Payment Services Act. The Financial Supervision functions include the oversight of financial institutions’ technology and money laundering risks as well as MAS’ Enforcement Department.

Moderator

Janet Ang is a retired IBM Vice President and former Managing Director of IBM Singapore. She is a veteran in the tech industry and has lived and worked in Japan and China for over a decade. Janet has a diverse background having managed IBM Services in Greater China, IBM Industry Solutions across Asia Pacific and Lenovo Desktop Operations globally.

She is an Independent Director at SPH Limited and chairs the boards of SISTIC.com, NUS Institute of Systems Science and Caritas Singapore Agape Fund. She also serves as deputy chair of the SBF Foundation and sits on the boards of Esplanade, HTX and Singapore Polytechnic.

Janet was awarded the NUS Business School Eminent Alumni Award in 2014, the NUS Distinguished Alumni Service Award in 2015 and the Singapore Computer Society – Hall of Fame Award in 2018. In 2019, Janet was awarded the Public Service Medal (PBM) by the Singapore Government.

Organisers

The Council for Board Diversity (CBD) is a 20-member Council comprising corporate leaders and professionals from the business, people and public sectors, formed to address the under-representation of women on boards of listed companies, statutory boards, and Institutions of a Public Character in Singapore. Mr Loh Boon Chye, CEO of SGX, and Mrs Mildred Tan, Chairman of National Volunteer Philanthropy Centre, are the current Co-Chairs.

CBD succeeds the Diversity Action Committee (“DAC”) which focused on increasing women’s participation on corporate boards. CBD aims to sustain DAC’s momentum by expanding its efforts into the people and public sectors during its two-year term from January 2019 to December 2020. For more information about CBD, visit www.councilforboarddiversity.sg.