Maybank’s corporate strategy of achieving sustained growth beyond 2025, M25+ will see the group driving its five key strategic thrusts and accelerating the development of key capabilities for sustainable long-term growth.
The banking group said the five strategic thrusts will build on the foundation laid by the previous M25 plan rolled out last year, focusing on intensifying customer centricity, accelerating digitalisation and technological modernisation, strengthening Maybank’s business presence and position beyond Malaysia, driving its leadership position in the sustainability agenda and becoming a global leader in Islamic Banking.
To enhancement will guide the organisation and its people to achieve these strategic outcomes, the refined strategy is anchored on a deeper purpose of “Becoming a Values-Driven Platform, Powered by a Bionic Workforce that Humanises Financial Services”.
Group President and CEO of Maybank, Dato’ Khairussaleh Ramli said M25+ sharpens the strategic outcomes expected in the five strategic thrusts by 2025 and creates firmer foundational capabilities for sustainable shareholder returns over the long term given the rapidly evolving banking landscape that has not only been impacted by the COVID-19 pandemic but persisting socio-economic changes sweeping across the globe.
“The decision to further refine the Group’s strategy was driven by the need for the organisation to remain Agile for continued growth and delivery of sustained returns beyond 2025 he said.
The refinement of the five strategic thrusts comes on the back of the many macro trends disrupting the banking sector at a phenomenal pace. These trends include economic conditions such as rising inflationary and looming recessionary pressures, increasing competition within the financial services space from non-bank players, the greater focus by customers and investors for sustainable practices, and the demand for transition solutions as more organisations migrate towards net zero carbon emission goals.
To support the intended outcomes of its five strategic thrusts, Maybank has identified 12 Strategic Programmes.
Maybank said it has commited to invest between RM3.5 billion and RM4.5 billion over the next three to five years to implement these programmes and build the new technological and people capabilities. About 77% of the total investments will be for technology, covering two main areas namely tech-for-tech which includes back-end integration of its banking infrastructure.
With the full realisation of the M25+ strategy by 2025, Maybank expects to see an acceleration in time-to-market of solutions by ~2-4x, increase in customer satisfaction by ~10-20%, digital customer penetration rate of >80% from 59% currently, employee engagement of >90%, and Next-Gen employees comprising 25-30% of the workforce.
Consequently, the group said the excersice is expected to drive loans growth by ~7% resulting in a return-on-equity (ROE) of 11-12% and cost-to-income ratio (CIR) of ~45% by 2025.
