SINGAPORE – Tan Tiong Cheng will step down as executive chairman of Knight Frank Singapore on March 31 next year.
However, this will not mark the end of his career with the property consulting group, where he has been for the past 35 years. Mr Tan, 66, will assume a newly created role of president – Knight Frank Asia Pacific, helping the head, Kevin Coppel, to propel the group’s business across the region.
At the same time, Mr Tan will be an adviser to Knight Frank Singapore.
Danny Yeo, 63, will become chairman of Knight Frank Singapore on April 1 next year in addition to continuing in the current job of group managing director of the local office.
From the same date, Mr Tan will work part-time, which will leave him with time to pursue personal interests. He is currently an independent director of three companies – Heeton Holdings, The Straits Trading Company and UOL Group.
“I will also have more time for reading, listening to music, and travelling. I can visit my daughter and grandson in the States more often,” he said.
Mr Tan stressed that his continuing to serve Knight Frank on a part-time basis will not be “just for the sake of working”.
“It must have some positive impact on others.”
The company has more than 600 employees in its Singapore office; in addition, it has a pool of over 700 associates, who are property brokers remunerated on a commission basis only.
Knight Frank Singapore is 55 per cent owned by Cheong Hock Chye & Co, which in turn is fully owned by AF Global, a joint venture of Aspial Corporation and Fragrance Group.
The other 45 per cent is held by Knight Frank Asia Pacific, which in turn is owned 25 per cent by Knight Frank Singapore and 75 per cent by Knight Frank UK.
The Asia-Pacific operations cover Singapore, Malaysia, Indonesia, Thailand, Vietnam, Cambodia, India, Australia, New Zealand, Hong Kong, China, Taiwan and South Korea.
“We are looking to expand our presence to other places such as the Philippines and Myanmar,” said Mr Tan.
Mr Tan obtained a diploma in urban valuation from Auckland University in 1972 under a Colombo Plan scholarship. Upon his return to Singapore, he joined the property tax division of the Inland Revenue Department as a property valuer.
He was seconded to the Urban Redevelopment Authority in 1978 to help with valuation and land acquisition matters.
In 1980, he joined Cheong Hock Chye & Co as a director of valuation. In 1983, the firm merged with Knight Frank and was renamed to Knight Frank Cheong Hock Chye & Baillieu.
Two years later, Mr Tan was made deputy managing director when he was in his mid-thirties, before becoming managing director in 1987.
In 1996, the firm changed its name to Knight Frank Singapore. In 2009, Mr Tan became executive chairman and Mr Yeo, the group managing director.
Mr Yeo, the incoming chairman, said his priority will be on succession planning. “The goal is to develop a core team of leaders who will take ownership of the company’s direction.”
“We are very conscious of the changing market environment and development of technology. What we’re doing is to identify which are disruptive technologies and which are the enablers – and then harness the enablers to improve our operational efficiency and stay relevant in the evolving marketplace.
“My goal is to transform Knight Frank from being ‘good’ to being ‘great’,” he said.
Records filed with the Accounting and Corporate Regulatory Authority showed that Knight Frank Pte Ltd – the entity for the Singapore operations – saw its revenue decline to S$61.4 million in the latest financial year ended March 31, 2016, from S$67.2 million in the preceding year. Over the same period, net profit fell to S$2.8 million from S$4.1 million.
In the past, Knight Frank Singapore has overcome tough times through its practice of “common misery”, of not retrenching staff but instead introducing pay cuts – which were later restored – with bigger reductions for the senior staff and none for the most junior employees. The last time this was done was in 2008.
Mr Tan said the most important lesson learnt over the years is: “You must stay focused and fulfil your promise. At the end of the day, you must be trusted. Trust is a pre-requisite for being professional. It is also key to success.”
He also has some words of encouragement for those undergoing tough times. “In life, there are always ups and downs. The important thing is: do not give up. If you stay focused, at the end of the day, the bad times will pass.
“But if you’re a pessimist, it will take you a longer time to recover.”
Looking back at his more than three decades at Knight Frank, Mr Tan said: “I have been very blessed with an interesting and exciting worklife – seeing the ups and downs of the property cycle and bouncing back each time.
“To me, property is a fun business. A lot of people are interested in real estate in Singapore and we get to know a lot of interesting people along the way. It’s been quite a fulfilling and rewarding career for me, much more than I could have asked for. It came from all the great colleagues who believed in me, journeyed with me and clients who trusted us – many of whom are now our friends.
“I am very happy because Knight Frank Singapore is in safe hands.” kalpana@sph.com.sg
This article was first published on NOVEMBER 04, 2016.
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