Mr. Ricky Sim, Managing Director of Chesterton Suntec International Pte Ltd and newly appointed Council Member of the Singapore Institute of International Affairs (2009-2011 term), belongs to that category of people termed the self-made men and women of society: his success owes largely to his own effort and resourcefulness. He is not perfect; in fact as he more than readily admits, he is far from it. What shortcomings he possesses however, he more than makes up with his ability to connect with people. In his words, ‘networking is an art’, and in my brief conversation with him, I have come to realize that he is a deft and clever practitioner.
His office is a reflection of his personality and business and personal philosophy. Overlooking the fountain of wealth, the office is adorned with photographs of Mr. Sim with MM Lee Kuan Yew, President SR Nathan and other important people. Beside those photographs are those of Mr. Sim with his shareholders and the staff he leads. One particular photograph which caught my attention was Mr. Sim in scouting uniform. A large fish tank sits to the left of his desk. Rows of books lie on the black enamel tops of the shelves lining his office. If an office desk makes the man, then Mr. Sim’s desk shows him to be simple and stylish. The office is comfortable, but not extravagant; bright but tranquil. It is a place of reflection and focus. It epitomizes a man who understands the importance of his task, but it also tells of his love for it and the people he works with. More than not, it shows a man who knows how to enjoy life, without taking what he has for granted.
Here is the interview of the man himself about his views and philosophies on business, gardening, rearing fish, China, Singapore’s education system and his advice to ‘young people’ like me.
Tell us about yourself and how you ended up in this job.
I will be 56 years of age this year. I am an ex-civil servant. I was a civil servant for 18 years, in which I served in the diplomatic call in Hong Kong for 6 years and Thailand for 3 years. I left in 1994 to join the Suntec Group and I have been in my current job for the last 15 years.
Despite my 18 years in the civil service, I have always known that I would have liked to be in business and the private sector. There was no chance for me to enter the private sector in the early years until the right opportunity came along and I took it.
As for my education, I had the normal primary and secondary school education, and I only completed ‘A’ levels. I did not have a tertiary education because I did not make the grade. I knew I had to make up my shortcomings in terms of education. My success today is attributed to my ability to make up my shortcomings; you must have confidence in yourself, in what is in you to make it in your life and career.
So what is the secret to your success? How did you make up your shortcomings?
The way I made up my shortcomings and my success today in the private sector is through networking. I started networking when I was very young in my life. I networked in my church. I grew up in the church and that was my influence; that was the molding of my life. I have met people from many strata of society, many sectors; civil service, private sector, the lower end or the higher end.
Networking is meeting people, meeting people, meeting people. Today, my success derives from that. Networking is my forte. It is an art; it is an effort you have to put in but you have to enjoy it. Everyday I meet new people, and my success today is attributed to my vast network.
Meeting people moulds my character. When you network, you meet the best, and when you meet the best, it sharpens you. I don’t have paper qualifications, but what I have are the ‘people-skills’. You don’t need to go to business school to learn about management, you need ‘people-skills’ when you are managing people and that is where networking sharpens you.
Your experiences are very interesting in terms of how you navigated life obstacles. Do you think though that a young person today can take the same steps you took and be equally successful?
Yes. It is the make-up of a person’s personality. I have been trying to instill a lot of these values in young people who I come in contact with. First, the person must have the drive and enthusiasm; does the person want to succeed, or stay in his or her comfort zone. My drive and enthusiasm has led to where I am. It can be done, provided the person has the drive, the enthusiasm to succeed, and the amount of effort he or she is ready to put in. He or she cannot sit back and wait for opportunities.
The environment a person chooses is also important. Having the right mentor is also a very important factor. You need someone to give you a push, to give you a head-start. When I prepared myself in the civil service, I worked hard. But I also needed somebody to give me a push to go into the private sector. When somebody, one of my company shareholders identified me, he told me “you are not a civil servant, you are a businessman”, and he gave me the opportunity and put me in the Suntec Group.
Searching for opportunities are one thing but when given an opportunity, you must also be ready; if I was not ready, if I didn’t have the resources and the resourcefulness or the capability, I wouldn’t have made it. I was given the opportunity but if I didn’t ready myself, I would not have made the best of that opportunity.
Based on what you have just said, do you think the Singapore education system cultivates these values that are so critical for success?
You have indeed asked the right question. Let me share with you, about a month ago, I heard on the radio that we are now no longer going to have an examination system for primary one and two. I thought this was excellent and very good. This should be the way because Singapore’s system is an imperial examination system where the top 5 president scholars are picked for top positions in the civil service.
Our education system is not all that bad. The system has its usefulness. But it has placed too much emphasis on academic results. The problem faced by a lot of our children today is a mental problem: too much emphasis is placed on IQ. In the near future, at least 20-30% of our employment force will have to be out of Singapore. This means we will have to interact with people outside. When you have to deal with people outside of Singapore, you cannot just have the IQ: you better have the people management skills, the people skills. Interaction, reading minds, body language, understanding relationships, PR, all these things are critical, not just education.
The education system is good in ways, but it has already served its purpose. We must now move on. The world has changed. If Singapore continues to persist in focusing on IQ alone, we will have a problem. If we want to change the whole system on how the economy works, in time to come, we will have to meet many people outside of Singapore. If you do not have the requisite skills for meeting these people, you will be at a disadvantage. If you for example went to China, you cannot insist on doing things your way, by your system.
So there must be some sort of flexibility?
Yes. But it’s more than that. Let me give you an example: when you go to any talk, during a question and answer session, most of the people who ask are Europeans and Indians. How many Singaporeans do you see asking questions? Few Singaporeans are outspoken as a result of our education system; we are taught to receive.
I think you must not over do emphasis on any aspect. Balance is important. Our emphasis is placed too much on paper qualifications. If there is some balance, our education system will be fantastic. This is why I am happy when they scrapped examinations for primary one and two. It changes the way parents think. In playschool when kids are supposed to play, parents want their kids to excel. In primary school, parents want their kids to be first. This is because of the environment; it’s the system.
We must have a system that moulds an individual in totality. You cannot neglect the development of a person’s character. Part of my success today is because of the manner in which my character was developed through church and scouting. We need all rounded individuals with character and personality. We cannot have someone who is a bookworm but does not participate in games.
Whatever it is, I think that Singapore has done well, but we will have to fine-tune. We have become too competitive in terms of education.
As the CEO of Suntec Investment Group and Managing Director of Chesterton Suntec International, how do you ensure that you remain competitive in the economic crisis?
Chesterton is a property consultancy business. We have to be competitive, irregardless of financial crisis, against our competitors. Our business is about service, reliability, credibility and the accuracy when it comes to the value of property. We have to provide an accurate assessment of a property’s value, irregardless of who the client is. We must also maintain competitive and fair fees. In business or the private sector, competitiveness is all about having the cutting edge; the value-add that you can provide. If you want to compete there must be value-add: something that makes you stand out from your competitors. Another area in which we try to keep in check is our overhead expenses. If our overhead expenses are too high, we cannot be competitive. So, I attribute staying competitive to two things: providing value-add, and keeping costs down.
Do you think remaining competitive as a business is as much the same as a government keeping a country competitive in a global recession?
The element of value-add in relation to competitiveness is very important, whether it is keeping a business, or a country competitive. Singapore must consider what it can offer that its competitors cannot. Singapore can for example offer security, good governance, rule of law and efficiency. A country can have geographic strengths. Hong Kong can for example offer proximity to China, something which Singapore cannot. So how can Singapore compete with Hong Kong? We play to our strengths through value-adding again. We can for example say that property here is half what it is in Hong Kong, and this saves cost.
With regards to competitiveness, it is also important that you compete with the best. We should use New York, Tokyo, London and Shanghai as our benchmarks. Having said this however, being pragmatic and keeping in view the realities of the situation is important in managing a country, just as it is with running a business. As a small country, we must be mindful that we lose out in terms of volume and resources. That is why to compete we have to get more companies to register here. We cannot for example compete with Shanghai, at least not at the moment. They have got 1.3 billion people and we have 4 million. Shanghai will eventually beat Hong Kong because of the sheer volume of Chinese companies setting up there. Of course by saying this I am not saying that Singapore should not aim high; it should! I am emphasizing that we have to play to our strengths to improve.
As a businessman who has done business in Hong Kong and China, what are your views on doing business in China? Is it true that a lack of regulation is a problem?
Twenty years ago when the Chinese economy first opened up, it was so much more chaotic and lacking in regulation than today. This has to evolve over time. China is improving everyday. Already, the Chinese government has adopted a very tough stance on corruption; the penalty for corruption is death in China! My point is that China needs time. Give Shanghai 40 years and it has the potential to be the world number one economy with the right framework and proper governance. Look at what China has achieved since the days of Deng Xiao Ping in 1975 till present. Similarly in the case of Singapore, we inherited a British system that we built upon and improved with time. China’s potential is great; just one year ago, they put a man in space. That couldn’t have happened 50 years ago, but everyone knew that it was inevitable because China’s rise is inevitable.
Is China’s rise really inevitable?
The US will not be as dominant an economic power in the future as it has been for the past few years. Already the Chinese are losing confidence in the American dollar as a reserve currency; recently, Hu Jintao even went as far as to ask the US to guarantee the value of its dollar reserves. This sparked concern in the Chinese business community with investments in US dollars. Do you see how much just one statement from the Chinese President can affect the US? In the past, American dollars were considered as ‘Mei Jin’ or ‘American gold’. Today, the American dollar is less stable, and the Renminbi is on the rise.
It is even clearer when you compare how China has overtaken Hong Kong. When I first visited China in 1986, foreign exchange certificates in Guangzhou and Shenzhen were in Hong Kong dollars; the Renminbi was definitely not held in high regard. Today, everyone doing business in China and Hong Kong wants to use Renminbi. Without the Chinese, I think Hong Kong property prices would not have risen to the levels they are at now.
Enough about the serious stuff. Tell us about some of your hobbies.
I like to read biographies of great people. I also like to collect books from the places that I have traveled to. I have books on Moscow, St. Petersburg, Rosenberg, Nuremberg, Brussels; I have traveled to many places so I have many books. I have a library at home of 5000 over books. I first got interested in collecting books eight years ago. I also like books about famous philosophers, military commanders etc.
This coincides with my love for traveling. I love to travel, especially in Europe. I try to go to as many cities as I can in one visit. When I am there, I also like to take long walks in the countryside. I love the scenery. These things excite me. I love Scotland for the open fields. I also like to experience the various cultures and lifestyles. I love to see the castles and have coffee in Edinburgh.
My other hobbies include gardening. I started with one pot of plant 18 years ago and today I have lost count. Some of my plants which were so small are now giant trees. When I move houses, my plants come with me. I have to use cranes to move my plants because some of them are huge and a pot can weigh up to 3 tonnes. I also like to rear fishes. You can see them in my garden. I have guppies and I used to rear koi.
Are you looking forward to retirement so you can enjoy your hobbies?
I don’t think I will ever retire. I will semi-retire and do something I like. I hope in five years my daughter will want to study music in Europe. I would go with her. I want to relax, travel and read books. I would carry on with consultancy work but maintain an enjoyable lifestyle. You must not stop work because the day you stop work is the day you begin to deteriorate. Work keeps your mind alert and useful. A person has to find means to keep themselves occupied and remain useful. If not, he will deteriorate both mentally and physically. I have been with the group for 15 years, so I give myself a few more years. Actually, the company must still find you useful as well, and you must still be fit to do it.
Do you see any parallels between gardening or rearing fish and running a business?
Oh yes, definitely. I can forget about all problems when I do my gardening or taking care of my fish. But this is like running a business; you must be wholly focused and whole-hearted. For both, you must do your best; you cannot say I don’t care if the plant or fish survives; this will be replicated in the way you do business.
Plants, fish and businesses are very similar: they must have the right conditions to thrive; things like the soil, the watering, the fertilizers, the exposure to weather, the way you nurture a plant all contribute to the right conditions for a healthy plant. For fish, water conditions, food, water temperature etc. are important; fish can only survive if the ecosystem is right. Similarly, a business must have the right conditions and nurturing for it to be able to grow; is there a market for the product, how much should I invest in this, where should I base my business? Having the right people, capital, expenditure, overhead costs all contribute to a healthy business. Not every business is the same; different businesses require different conditions to succeed just like some plants require more water and some plants require more fertilizer. You must also consider the circumstances and economic conditions that you are setting up your business in; not every plant can survive in a dessert or tropical climate, and there are freshwater and saltwater fish.
Plants and fishes are living things like human beings. If you tear the leaves off a plant, you are injuring it and stressing it. The plant will not be healthy as a result. If you use a rope to tie a plant you will injure it. You must use cloth and gentle tie it, so as to guide it and ensures it growths up straight. If you suddenly uproot a plant and transfer it to another place, it will die the next day due to the shock it receives in the new environment. Instead, you must carefully take it out, ensuring that the roots are all intact and then transplant it. If you just pour water over plants thinking that they need water, they will die. For rearing fish, if you change all the water at one go, the fish will die. You have to put in used water with fresh water. This is the same as managing people. You must nurture your people just as you nurture a plant; don’t injure them, gently guide them, give them adequate motivation, but not too much. Like rearing fish, you cannot change the conditions too drastically because people are sensitive to change.
You must also have the right temperament to do gardening as you must have to do business. Gardening requires a lot of patience and critical thinking. That is why I treat is as a form of exercise. It trains my patience and powers of analysis. I started gardening with a sick plant and nursed it back to health. I started with one pot of plant and now I have many. It gives me excitement to see the number of plants increasing and keeping them healthy makes me happy. Similarly for rearing fish, I started in Hong Kong with a small tank. Today, I have a seven foot fish tank. Initially all my fish died. But today, I have learnt how to keep them healthy. This is the same as business. It makes me happy to see my business expand and I want to keep every business healthy. Business is just like gardening and rearing fish: you need passion and love for the job. If you keep a business just to pass time, it will not grow. A lot of it is trial and error. Of course you won’t immediately succeed. But you must have patience and passion: study why you fail initially and you will eventually keep healthy plants, fishes and businesses.
Finally, gardening and rearing fish reminds me that things are not always perfect. Sometimes plants and fish do fall sick. You must just accept and work to solve the problem. This is just like the current economic crisis. You cannot control certain circumstances, but you can work toward keeping your business stable and profitable.
We have discussed a bit about your business philosophy. How about your life philosophy?
My philosophy is very simple. You can be ambitious and determined, but you must also understand and know yourself. You must know your strengths and your shortcomings and improve yourself. I knew I was good with people and I belonged in the field, not in writing papers. You must know your ability and capability and move from there, but never above. You can stretch, but don’t overstretch. Secondly, you must know how to enjoy life. You only live once. Thirdly, maximize your life. I am involved in many organizations, SIIA being one of them. I am also a scout 42 years ago and I serve in the association council today as the secretary. Scouting has really molded my life and I enjoy it. Most importantly, you must not be afraid to fail. I have made many mistakes and experienced a lot of failure in my life, but I reflect and learn from them. Finally, to succeed, you must have energy and drive. If you want to lead a company, you must have energy. If you want to fight political battles, you must have energy like Lee Kuan Yew. You must have that fire.
One final question for you. If you had a chance to rewind your life, what would you choose to be?
I would have been a scientist or an astronomer. I love to study the sky and the stars. When I semi-retire, I plan to go to England or the US and volunteer to take care of their telescopes so I can constantly see the sky. The sense of awe at the size of the universe excites me. I would also probably choose a job that allows me to be close to nature. I love the walks, nature, scenary and the countryside.
This interview was conducted in 2009 by Ray HONG. Ray is currently reading law (LLB) in the National University of Singapore. He was previously a Eric Teo Fellow at the Singapore Institute of International Affairs in 2009. Ray graduated from the University of Melbourne in 2008 with a Bachelor of Arts, majoring in History and Philosophy. Prior to that, he was a Naval Officer in the Republic of Singapore Navy.
Posted on October 20, 2009
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