Ever wondered how to maintain the delicate balance between short-term and long-term goals in the face of an economic disruption? ASMPT CFO Katie Xu brings her vast expertise and unique insights to this discussion. With both the SMT and the semiconductor sectors being notoriously cyclical, Katie explains how ASMPT navigate the ups and downs of this vibrant sector. She also explains the importance of a strong financial strategy in the development of a market leading brand.
Our conversation doesn't stop at finance. We explore the equally crucial topic of diversity and inclusivity in the workplace as Katie shares her personal journey as a female executive in a traditionally male-dominated field. From feeling the loneliness of being the only woman in the room to becoming a catalyst for change in her own organization, Katie's narrative is nothing short of inspiring. Learn about the endeavors taken by her company to create an inclusive culture, and the importance of role modelling and mentorship in nurturing diverse talent. This conversation is a must-listen for anyone striving to create more inclusive work environments.
Like every episode of EMS@C-Level, this one was sponsored by global inspection leader Koh Young (https://www.kohyoung.com) and Adaptable Automation Specialist Launchpad.build (https://launchpad.build).
You can see video versions of all of the EMS@C-Level pods on our YouTube playlist.
Speaker 1:
Katie, thanks so much for taking the time to talk to me at Productronica Insanely busy show. You came to this industry from Honeywell, which is quite a different industry. Semiconductor industry is super cyclic, super unusual. The SMT industry has its own foibles. How has it been adjusting to a new industry?
Speaker 2:
It's very dynamic. I actually really enjoyed it as I was walking the job a year and a half ago. It was actually at the tail end of a super cycle. Everything was busy and exciting, and then we have come into this very prolonged downturn. Yet at the end of last year, chat GBT showed up, so that generative AI and high performance computing are becoming very exciting for us. So it's very dynamic.
Speaker 1:
There are certainly things like chat, gbt, like EVs, like a whole bunch of markets that are creating increased demand, but also technical challenges, which make the job even more interesting.
Speaker 2:
Exactly it's about for a company like us in the cyclical industry. It's about the future and it's very technology driven. It's about what the future is going to lead us to. Do we have a technology on that? Then, for finance, do we have the right investment to get there? So that makes the finance job even more exciting and impactful.
Speaker 1:
Yeah, and it makes it a little bit different, doesn't it? Because it may well be that in a cycle where sales aren't at the highest, that's where investments got to be at the highest in terms of R&D and other dynamics at play. As your two markets have different cycles, that must make your job really interesting, but also challenging.
Speaker 2:
Yes, definitely, but it's about the balance. For finance, I always believe it's about the balance. It's a short-term and long-term balance, for example, or the two segments, like what you said. They have experienced cycle differently and balance these two as well. So it's a lot of times it's about looking at the numbers, which is kind of the finance side of it, but working with our business leaders, make sure that we're business partners, we understand the business implications and look at the business cases, not just the numbers but looking at the future implications for the company again, making sure that we have the right technology for the future. So it makes this job really very exciting, challenging, but I think it's very impactful as well.
Speaker 1:
Yes, it certainly is, and a lot of the technology you're involved in is having an impact on people's everyday lives. We talk a lot about the numbers, the financial numbers around the business, but there are other numbers that are important in the SG world and diversity, and you're in a position where you're a role model for women in your business. You're at the C-suite. Tell me a bit about the journey there and the experience you've had as you've made your way to the top.
Speaker 2:
It's been a long way, I have to say. So I supported oil and gas, and especially chemicals or industrial automation and now semiconductor businesses. You think about these industries, right, there aren't so many females, let alone female leaders. So I have to say, unfortunately, I've been the only female in the room many times, and, especially as I progressed my career, then I became the only female leader that needs to speak up in those meetings, right? So I definitely understand this loneliness, and so, from the bottom of my heart, I actually want to drive diversity. I want to make sure that we bring a lot more female employees, female leaders, with me, right, I don't want to be in that room being the only female again. So diversity is very big for ASMPG. I think our leaders, the C-suite leaders, definitely truly understand it. We're driving that. Now it's a matter about how can we find the right things to do to execute it.
Speaker 1:
And as you look through the business, you know all the way through the hierarchy of the structure. What do you see in the current diversity mix and what areas do you think you need to focus most on to improve?
Speaker 2:
I think it's a grassroots, one-side right, because think about I mean, it's a cliche like there aren't so many girls in STEM, right, but there's some truth to it. When I look at our employee base, right, they're just that many female engineers, let alone female engineering leaders. So that's what the company is focusing on trying to make sure, at the grassroots level, we have enough intake of female, especially engineers or sales leaders, right? So that's a sales employee. So that's one thing. On the other side, it's kind of we cut different regions, probably different, right? I mean, the society's a different, norms are different. So we actually have Hong Kong, singapore and now trying to get one German women's chapters together and we will not mandate them to do the same thing, but looking at each office, right, trying to do something for that office and trying to cultivate the culture of driving diversity together with our male co-workers, actually right together to see what are the bad things that we can do for those female employees in these offices.
Speaker 1:
Yeah, it's really important to be sensitive to the diversity, but also culturally sensitive to the different regions. And actually, when you look at diversity, it is about culture as well as, as well as gender, and those cultures and genders add so much to what you're doing. After all, all the consumer products we produce are consumed by a very diverse group of people, so that should be reflected in the people designing, developing, building those products.
Speaker 2:
Yes, exactly, and you're right, it's not gender, right and age is nationalities, ethnic backgrounds, everything. And I have to say ASNPT is a very interesting company that way, because we have a very large business presence here in Europe, but then we have very large business presence in Asia, so it's a very nice of blend. And then we have offices in US right, it's truly global company. And how do we actually take advantage of that, with different cultural background, to put them all together? You know, I could sometimes call Singapore as a melting pod, right, and then the company itself should be like that too.
Speaker 1:
Yeah, it absolutely should. What I think is really interesting and really important is you know you talk about maybe not many engineers, but they need to see engineering leaders and know they can become engineering leaders. Those engineering leaders need to know that there's a place for them in management and those managers need to know there's a place for them in the C-suite and you're an example showing them that. But you need to build that all the way through the structure. Does that take a long time? Is that a slow, almost generational process, or can you accelerate it through positive discrimination and kind of activities that really push the boundaries?
Speaker 2:
Very good question. I think it's going to be a very long journey. But I think one thing I'm very excited about we have put out there the mandate that our board will set the tone right and at the very bottom. Also, like you were talking about female engineers, we are going to campus recruiting by bringing all female engineers as role models and just tell the kids or the graduates from the university that see they can do it and you can do it too. And join us right, do it together. So I'm hoping, from the top to bottom, we'll meet somewhere in the middle. But it's going to be a long process. That way we understand.
Speaker 1:
Yeah, and it's that combination of role model and mentor, and you're clearly doing both, so that's really powerful. Thanks so much for taking the time to talk to me. I know it's a busy schedule. Enjoy the rest of the show and hope we can chat again soon. Thank you.