Samsung Group Chairman Lee Kun-hee asked his executive members to change the group once again, including business strategies, hardware processes, and corporate culture. The Chairman asked something similar 21 years ago. His remarks this time are to better cope with the rapid change in the business environment as of late and ensure greater global competitiveness.
On January 2, the Samsung Group held a kick-off meeting for 2014 at the Shilla Hotel located in Jangchung-dong, Seoul. It was attended by the more than 1,800 top management members of the company.
“Last year, we had to struggle to compete with global leaders and deal with a series of patent lawsuits while the low growth trend continued to shrink our markets,” he said, adding, “Nevertheless, we stepped up our investment and focused on technological development to further sharpen our competitive edge and come up with better business results.” He continued, “However, during the 20 years of our New Management, some of the subsidiaries have topped the global markets, but the others could not, and the former are in the face of cut-throat competition while the time is ticking for the latter.”
The Chairman went on to say, “This means that we have to renovate ourselves yet again, because the business models and strategies, hardware processes and corporate culture of five and 10 years ago do not work any longer. Let’s get rid of old-fashioned ways of thinking, systems, and practices. We need to break technological and market limitations in order to take the initiative amid prevalent uncertainties. I would like to ask all of you to be more immersed in technological innovation, business structural innovation, and systemic innovation for us to remain a global leader preparing for the future.”
He also mentioned that an economic recession brings more opportunities. “We need to create new technologies and new markets with a long-term view oriented toward industrial and technological convergence while keeping our rivals at bay,” he added.