The connector: how MTR’s Synthil Chetty is redefining the role of the risk manager

“The most fundamental part of being a risk manager is understanding the business,” says Synthil Chetty, chief enterprise risk manager for MTR, the major public transport network serving Hong Kong.

 

“You must understand the ambitions, goals and objectives of that business. When you know how a business functions, you can understand how to react when things go wrong. You can elevate discussions at an executive level based on that knowledge,” he says.

 

“All of this knowledge makes dialogue around risk so much easier.”

 

Considering that the MTR oversees five million daily passengers across 271 kilometres (or 168 miles) of rail with 167 stations, there is a lot to comprehend.

 

Chetty attributes his ability to do just that to becoming a diverse and well-rounded risk manager. Not one siloed into the risk and compliance beat, but rather one who is well-versed in both the technical and strategic aspects of risk management.

 

MINING FOR KNOWLEDGE

Much of this, he says, was learned during a 15-year stint at mining company AngloGold Ashanti. Chetty, a South African national, studied business information systems at the University of KwaZulu-Natal.

 

From there, he leaped straight into the world of risk. “I started working for Deloitte and went into the risk advisory part of the business, which at that time was called Enterprise Risk Services. I was working in consulting, so the focus was on clients and understanding what [they] need,” says Chetty.

 

“I then moved to AngloGold Ashanti as an auditor. At this time, in 2010, there was a lot of focus on Sarbanes–Oxley. This meant working closely on risk aspects, which gave me a better understanding.”

 

Chetty says that in the wake of the global financial crisis, there were a number of changes happening in multinational businesses and in how boards started looking at risk management.

 

“By the time I was ready for a head of risk position, I had known almost all the aspects of the business.”

“AngloGold Ashanti was certainly looking closely at risk management at that time, so that space became a natural landing for me. I had been supporting this risk work, but I also worked alongside engineers, which gave me deep insight into the technical and engineering aspects of mining.

 

“During this time, I benefited from reporting to different business leaders. With the head of strategy, I learned about business strategy, and then under the leadership of the CFO I learned about the financial aspects of the business, too.”

 

Chetty says many of these senior team members took him under their wing, mentoring him to better comprehend the business and the wider industry.

 

“By the time I was ready for a head of risk position, I had known almost all the aspects of the business. Not from one discipline, I had understood the risks of each different discipline. I felt that I had reached that important destination of understanding the business.”

 

BRINGING FRESH PERSPECTIVES

After 15 years in mining, Chetty moved into the logistics space, coming in as group risk executive for Imperial.

 

“The CFO made me an offer, and I said to him: ‘Are you sure you want to do this? I know nothing about logistics.’ I had been in mining for so long, but he said he wanted my ideas and that they needed someone who could provide insights into strategy and the wider business… a fresh perspective,” says Chetty.

 

“The role was a big step up as I had to oversee their risk and insurance business, which involved managing the insurance brokerage. I established an information security and data privacy function and also had to manage businesses that came onboard post mergers and acquisitions to support the growth drive into Africa.”

 

“They needed someone who could provide insights into strategy and the wider business… a fresh perspective,”

In February 2022, Dubai-based DP World wholly acquired Imperial. Chetty was moving to Dubai when the offer from MTR had him heading east to Hong Kong instead.

 

“I had not explored this part of the world before, so it was a completely different but exciting challenge for me. I saw the success of MTR and knew it was world class in what it did.”

 

ELEVATING THE CONVERSATION

For Chetty, the role of risk manager is about taking that deep knowledge of a business and ensuring that you have the all-round skills to make improvements wherever needed.

 

“I had returned to education in 2006 to attend the University of Cape Town and study management. When I look back, one of my biggest highlights is coming from being a management accountant and understanding the technical parts of businesses,” he recalls.

 

“This enables you to facilitate conversations and dialogues at that next strategic level. As a risk manager, you have to challenge the norms. You have to question things. With that comes the need for so skills and to talk with several diff erent teams and departments.

 

“You need to build relationships across an entire business. They then feel they can call you and say: ‘We have a problem here.’”

 

“You see so many people coming into the industry who are too focused on the compliance and regulatory part. They believe this is what makes a successful risk manager.”

Chetty believes this process involves building a story about what is on the horizon and becoming a trusted advisor to senior executives in the business. The role of a risk manager is then about matching up risk with the key processes of the company and linking it to strategy.

 

“You have to elevate the conversation and speak to the future aspects that the company is looking at. This enables you to help the business make better-informed decisions.

 

“You see so many people coming into the industry who are too focused on the compliance and regulatory part. They believe this is what makes a successful risk manager. However, it is about redefining the role of a risk manager to see how you can contribute value by improving processes and culture. All of that leads to better outcomes.”

 

Chetty said his journey has been driven by a focus on constantly evolving in terms of his understanding and ability to collaborate.

 

UNDERSTANDING THE REGION

After joining MTR, Chetty was encouraged by his predecessor to become a board member at PARIMA (the Pan-Asia Risk & Insurance Management Association), a role he has since assumed.

 

“For me, coming into an industry and being able to network with people who have more experience dealing with companies in Hong Kong and more knowledge of pan-Asian matters has given me so much insight,” he explains.

 

“There’s always some uniqueness about the way we think and the way we are approaching things. For me, coming from South Africa, a different continent, it was so good to network with peers who could explain how things work here. In terms of what I can contribute, I hope I bring some diversification of thought, too. And some practical solutions for unique challenges.”

 

WE NEED TO BE AGILE

In terms of what Chetty believes the future of risk will hold, he sees the world as dramatically different post-COVID, with geopolitical threats constantly evolving.

 

“How to navigate through those geopolitical risks is going to be with us for the next few years, at least, as the ramifications of all the change we are witnessing creates a turbulent situation for all businesses.

“We need to be predominantly concerned with how we evaluate and navigate through uncertainty to ensure continued business success”

 

“The volatility of markets and the velocity at which risks are occurring… means that we have to adapt. We have to become much more agile and swift in our response to many of these risks.”

 

Chetty also said the way businesses embrace technology, especially AI, will fundamentally change the way we work. “The next generation of people coming into the business, and their expectations, must be managed so we can understand how best to work together. How do we take such diverse thinking and make a business more resilient?

 

“We need to be predominantly concerned with how we evaluate and navigate through uncertainty to ensure continued business success,” he concludes.