They currently have these major issues
1. (Less) Transparency in non-regulated segements.
2. Incompetent C-Suite
3. Corporate governance issues
4. Procedure, Processes, Control and IT stuck in 2000s
IndusInd Board should fire it's CEO to send a message (Doesn't matter if he is good or bad) and start working on these issues. However, I don't want them to become IDFC/HDFC either. IndusInd Bank has a separate identity and they were the turtles (slow, a bit dumb but always crossing the line) of banking from 2009-2019 (they saw exponential growth in this period). I want their IT to improve just a little bit but still have manual ways go get anything done after approvals and paperwork . I want their CEO to change but not someone like Axis' CEO just someone honest and still rooted in old banking ways.
Your post raises strong concerns about IndusInd Bank, but I’d like to dig deeper into your perspective. Let’s unpack this:
1. CEO Removal as a “Message”: You suggest firing the CEO regardless of merit to signal change. But if the C-suite is truly incompetent, wouldn’t the board need specific justification (beyond symbolism) to avoid worsening governance issues? How does removing a CEO—without evaluating their actual performance—align with improving governance? Could this risk further instability?
2. Regulatory Role: You highlight transparency gaps in “non-regulated segments” and governance failures. Why do you think the RBI hasn’t intervened if these issues are systemic? Are there specific lapses you’re referencing (e.g., disclosures, capital adequacy), or is this more about the bank’s internal culture?
3. Unregulated Segments: What exactly are these segments? IndusInd operates largely as a regulated entity under RBI oversight. Are you suggesting they’re operating in unregulated areas?
4. C-Suite Competency: How did you assess the executives’ incompetence? Is this about strategic missteps, ethical concerns, or something else?
Your critique has valid undertones, but hyperbole like “stuck in the 2000s” or symbolic CEO firings risks oversimplifying complex issues. IndusInd’s challenges likely demand structural reforms—not just leadership theatrics. What’s your vision for practical steps the board could take beyond a CEO shakeup?
Looking forward to your thoughts!
PS: If you have insider insights or documents pointing to these issues, sharing them (anonymously?) could spark a more actionable discussion.
PPS: I’m still pondering what you mean by “don't want them to become IDFC/HDFC either.”