Samsung Electronics’ Reshuffle

Samsung Electronics’ 44-story headquarters building in Samsung Town, Seocho-gu, Seoul, South Korea. (Photo courtesy of Oskar Alexanderson/Wikimedia Commons)
Samsung Electronics’ 44-story headquarters building in Samsung Town, Seocho-gu, Seoul, South Korea. (Photo courtesy of Oskar Alexanderson/Wikimedia Commons)

 

Samsung Electronics has reshuffled its operation for next year based on the two key words of “stability” and “substance.” The reshuffling is interpreted as the strategy to solidly respond to market changes while maintaining the three core business units of IT and Mobile (IM), Consumer Electronics (CE), and Device Solutions (DS). The IM division operates the business for handsets and network products, and the DS division covers electronic components including semiconductors.

Samsung Electronics announced on December 11 that it will maintain its current three business divisions next year but rearrange some units as part of securing synergy effects.

The current heads of each business unit, Yoon Boo-keun, Shin Jong-kyun, and Kwon Oh-hyun will continue to lead the IM, the CE, and the DS, respectively.

Samsung said its digital imaging business unit will be put under the IM division, aiming at maximizing synergy between smart devices and digital camera technology.

The company also will set up a center that nurtures big data-related businesses. Korea’s big data technology currently lags behind that of global tech companies such as Google and Amazon.

Samsung’s revenue amounted to 59.08 trillion won (US$56 million) in Q3 this year, up 13.2 percent from a year earlier. Its operating profit jumped 26 percent to a record 10.16 trillion won (US$9.6 billion). Its net profit hit a record 8.24 trillion won (US$7.83 billion), up 26 percent from a year ago, largely due to robust shipments of smartphones and soaring chip prices.

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