04-Oct-2023
2 mins read
In July ’23, HDFC Bank, one of India’s leading private lenders, announced a prominent restructuring of its top management post the completion of a significant merger with its parent company, HDFC Limited. This merger marks the second significant organisational change under the leadership of CEO Sashidhar Jagdishan, who took the reins in the bank in October 2020.
Geographical Split for Retail Branch Business
The bank will split the geographical management of the retail branch business under Parthasarthy, aiming to handle its expansion and product strategies more effectively. Ashish Parthasarthy, a seasoned veteran at HDFC Bank, has overseen the bank’s treasury operations since 2009 and will assume responsibility for the crucial retail branch business, which encompasses deposits and product distribution. This effort will be jointly led by Smita Bhagat and Sampath Kumar, two senior leaders within the bank. The bank has communicated these changes to its employees through a memo.
Furthermore, the information technology and digital functions, previously under the leadership of Ramesh Lakshminarayanan, have been brought directly under CEO Sashidhar Jagdishan.
Leadership Shifts to Promote Growth and Execution
CEO Sashi Jagdishan explained the rationale behind this restructuring, emphasising the bank’s prominent growth potential. He stated, “The runway for our growth is large. This change is being made to sharpen our focus on leveraging our existing strengths and enhancing execution. With the dedicated efforts and commitment of the organisation, I am confident that we will succeed. My best wishes to all of them in their new roles.”
Conclusion
This reorganisation had been in the planning stages since the merger was announced, with the intention of effectively dividing responsibilities to drive the bank’s growth. After the merger with HDFC Limited, the bank has grown significantly with respect to advances and net worth, more than tripling its size. Some of the changes are also aimed at recognising the contributions of long-serving employees, who will play supervisory roles as their teams drive the growth of specific business areas.