Sachin Chaudhary: Navigating The Mortgage World With Expertise & Vision
Sachin Chaudhary
COO
Sachin Chaudhary is the Chief Operating Officer (COO) of Indiabulls Housing Finance (IHFL). With over 25 years of experience in the dynamic landscape of retail mortgages, home loans, and loans against properties, Sachin has not only witnessed the evolution of this sector but also has been an instrumental force in shaping its trajectory. In 2005-06, he was the 3rd employee to join Indiabulls Housing Finance and played a pivotal role in founding the company and leading it to achieve a remarkable balance sheet of Rs.1,25,000 Cr at its peak and creating employment for 8,000+ employees.
Below is an excerpt of Sachin Chaudhary’s exclusive interaction with CEO Insights magazine.
How has your professional journey been so far? What is the motivation that fuels your daily routines?
My journey in the financial world started with auditing in 1997. My affinity for mortgages emerged during summer training with HDFC and winter project with HUDCO, igniting a twenty five-year journey as a mortgage professional. I pursued an Executive MBA at Columbia and engaged in programs at INSEAD and Wharton to refine my managerial skills.
I have been one of the founder members of Indiabulls and associated with this brand for more than 18 years. In last 18 years, this organization has witnessed several ups & downs, but coming out of those challenges and regaining the status of India's second-largest private sector housing finance
company or acquiring Triple A-rating from agencies like ICRA or CARE, is a testament in itself to our dedication to excellence, that drives us daily. It gives me immense pleasure in disbursing Rs.2,36,000 Cr. value of loan in last 18 years and fulfilling dreams of 10Lacs+ customers in building their homes or their business. It feels motivated to scale up the business from scratch and creating employment for 8,000 employees in 275 branches across India. Hence motivation for me stems from the support of my team and the opportunity provided by management to excel.
How would you define Indiabulls as an organization and its current position in the market?
We are a single-product mortgage company, offering home loans, MSME loans, and commercial credit for corporates and developers, established in 2005. We meticulously carved our niche by making the mortgage finance available for the self-employed customers. With the thorough understanding of our customer needs, the business cycles and the cash flows, we were able to defy high delinquency stereotypes and pioneered in offering loans against property to our self-employed customers. During the 2018 NBFC crisis, we realigned basis the market dynamics, downsized to a leaner business model, repaid Rs.80,000 crores in net borrowings and embraced RBI’s co-lending initiative to survive through the crisis. Embracing RBI's co-lending initiative, we partnered with eight banks, facilitating about Rs.15,000 crores in co-lending transactions till now. Now, as an independent board-governed company, we aim to disburse nearly $2 billion annually, capitalizing on our strong bank partnerships and robust market presence.
Tell us about your leadership approach. What are the guidelines or methodologies you follow as a leader?
In our organization, there are no rigid guidelines or prescribed methodologies; instead, we emphasize on collaboration, teamwork & transparency. This philosophy extends across my leadership teams including me, all working towards a common organizational mission. We stand by the open environment, encouraging people to approach and discuss matters openly. Delegation of authority and responsibility is a cornerstone of our approach.
Collaboration is ingrained in our culture, with different teams having
Motivation for me stems from the support of my team & the opportunity provided by management to excel
How would you define Indiabulls as an organization and its current position in the market?
We are a single-product mortgage company, offering home loans, MSME loans, and commercial credit for corporates and developers, established in 2005. We meticulously carved our niche by making the mortgage finance available for the self-employed customers. With the thorough understanding of our customer needs, the business cycles and the cash flows, we were able to defy high delinquency stereotypes and pioneered in offering loans against property to our self-employed customers. During the 2018 NBFC crisis, we realigned basis the market dynamics, downsized to a leaner business model, repaid Rs.80,000 crores in net borrowings and embraced RBI’s co-lending initiative to survive through the crisis. Embracing RBI's co-lending initiative, we partnered with eight banks, facilitating about Rs.15,000 crores in co-lending transactions till now. Now, as an independent board-governed company, we aim to disburse nearly $2 billion annually, capitalizing on our strong bank partnerships and robust market presence.
Tell us about your leadership approach. What are the guidelines or methodologies you follow as a leader?
In our organization, there are no rigid guidelines or prescribed methodologies; instead, we emphasize on collaboration, teamwork & transparency. This philosophy extends across my leadership teams including me, all working towards a common organizational mission. We stand by the open environment, encouraging people to approach and discuss matters openly. Delegation of authority and responsibility is a cornerstone of our approach.
Collaboration is ingrained in our culture, with different teams having
diverse targets and KPIs, yet collectively aiming for the organization's best interests.
Indiabulls stands out due to the exceptional camaraderie and tight-knit bond within our employees. Many senior employees, nearly 500, have been with us for around 15 years or more, demonstrating their unwavering commitment and sense of ownership. As one of the most senior members, I take pride in my contributions, bearing responsibility for delivering results.
What is the future destination you are headed towards?
Over the next five years, our organization is poised to continue along the path we've meticulously charted in the last three to four years. Our vision is to emerge as a prominent retail mortgage lender in the market, forging partnerships with multiple banks and diversifying our product offerings in Asset Light Model under Co Lending Model. This strategic approach positions us to be an integral part of the market, allowing us to seize opportunities as they arise, unrestricted by the limitations of generated liabilities to build a balance sheet focused on AUM growth.
Currently, our partner banks facilitate co-lending in the range of Rs.1000 to Rs.2000 crores monthly. With an impressive order book of nearly $2 billion per annum, we're gearing up to match that level of capability. In the next five years, we envision to grow tenfold in terms of assets and expand our balance sheet size by 3 times. We're committed and well-prepared for this exciting journey ahead.
In light of your strong experience within the industry, what advice would you give to budding industry leaders?
In the expansive and collaborative landscape of the mortgage industry, my counsel to fellow industry peers is straightforward: hone in on your niche. Resist the temptation to scatter your efforts across various domains, as the funding pool is finite, while market prospects are expansive. Diluting your focus can lead to greater losses and expenses, rather than establishing expertise in a specific area. Instead, channel your energy into becoming an authority in a particular facet of the business and elevate your game. While opportunities abounds us all, the key lies in specialization and focused growth to truly excel in this dynamic industry.
Sachin Chaudhary, COO, Indiabulls
Sachin Chaudhary, COO at Indiabulls, is a seasoned finance professional with a postgraduate degree in Finance from the Centre for Management Development (CMD) (1995- 1997)& Executive MBA from Columbia. With over 25 years of experience, including pivotal roles at HDFC, ICICI Bank, GE Money, and Indiabulls, he is a visionary leader in mortgage finance and business development.
Indiabulls stands out due to the exceptional camaraderie and tight-knit bond within our employees. Many senior employees, nearly 500, have been with us for around 15 years or more, demonstrating their unwavering commitment and sense of ownership. As one of the most senior members, I take pride in my contributions, bearing responsibility for delivering results.
What is the future destination you are headed towards?
Over the next five years, our organization is poised to continue along the path we've meticulously charted in the last three to four years. Our vision is to emerge as a prominent retail mortgage lender in the market, forging partnerships with multiple banks and diversifying our product offerings in Asset Light Model under Co Lending Model. This strategic approach positions us to be an integral part of the market, allowing us to seize opportunities as they arise, unrestricted by the limitations of generated liabilities to build a balance sheet focused on AUM growth.
Currently, our partner banks facilitate co-lending in the range of Rs.1000 to Rs.2000 crores monthly. With an impressive order book of nearly $2 billion per annum, we're gearing up to match that level of capability. In the next five years, we envision to grow tenfold in terms of assets and expand our balance sheet size by 3 times. We're committed and well-prepared for this exciting journey ahead.
In light of your strong experience within the industry, what advice would you give to budding industry leaders?
In the expansive and collaborative landscape of the mortgage industry, my counsel to fellow industry peers is straightforward: hone in on your niche. Resist the temptation to scatter your efforts across various domains, as the funding pool is finite, while market prospects are expansive. Diluting your focus can lead to greater losses and expenses, rather than establishing expertise in a specific area. Instead, channel your energy into becoming an authority in a particular facet of the business and elevate your game. While opportunities abounds us all, the key lies in specialization and focused growth to truly excel in this dynamic industry.
Sachin Chaudhary, COO, Indiabulls
Sachin Chaudhary, COO at Indiabulls, is a seasoned finance professional with a postgraduate degree in Finance from the Centre for Management Development (CMD) (1995- 1997)& Executive MBA from Columbia. With over 25 years of experience, including pivotal roles at HDFC, ICICI Bank, GE Money, and Indiabulls, he is a visionary leader in mortgage finance and business development.