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| From left are Samsung Vice Chairman Lee Jae-yong, SK Chairman Chey Tae-won, Hyundai Motor Chairman Chung Euisun and LG Chairman Koo Kwang-mo. Courtesy of each firm |
By Kim Hyun-bin
This year, major conglomerates have been hit hard by the COVID-19 crisis and companies have been contemplating ways to better recover through their respective future growth engines.
Aside from the pandemic, there were several big issues that have impacted the industrial world this year: the passing away of Samsung Chairman Lee Kun-hee, Chung Euisun taking the helm of Hyundai Motor Group, and the separation of several LG Group affiliates. But many industry watchers believe that in 2021, the conglomerate chiefs will seek to simultaneously find stability and change within their groups.
These visions will be implied during their respective chairman's New Year addresses which are scheduled to be held online due to the continued spread of COVID-19.
According to industry sources, Samsung, Hyundai, SK and LG are seeking ways to embed the conglomerates' visions and management issues in their respective chiefs' New Year addresses.
In the case of Samsung, Lee Jae-yong, vice chairman of Samsung Electronics, is expected to make his first address marking the New Year and to emphasize why pursuing agility matters to the conglomerate and the importance of further solidifying its "core strengths" to better compete with rising competition in the industry.
The vice chairman officially took the helm of Samsung in May 2018, but did not give a New Year address last year because of ongoing legal issues. There is a possibility Lee will not give a speech this time also, but some industry watchers believe the vice chairman will make an address as his father passed away recently, and to encourage employees for the positive changes to come.
In early 2020, Samsung announced the establishment of a compliance committee, and Lee visited a semiconductor plant later that day and announced plans to abolish wrong practices and reform corporate culture.
After the vice chairman's chairman father was hospitalized back in 2015, Samsung stopped hosting New Year celebrations and the group's affiliates have held separate small-scale ceremonies. Samsung Electronics CEO Kim Ki-nam is expected to address the company's future vision and crisis recovery measures in addition to putting an emphasis on the impact of COVID-19 in the global market, as well as the company's traditions and the importance of securing future growth engines in the company's New Year address.
Hyundai Motor Group Chairman Chung Euisun, who will be making his first New Year address after he was appointed in October 2020, is set to announce his vision for the country's leading car manufacturer.
However, due to the pandemic, the company's New Year ceremony will not be held at the headquarters auditorium as in previous years but will likely be announced via the company's in-house broadcast service.
In his 2020 message, he emphasized the importance of horizontal communication by creating an innovative corporate culture and urged employees to foster a creative and innovation-based mindset similar to that of startup entrepreneurs. Chung also abolished the company's formal dress code.
Hyundai Motor Group is also expected to stress the significance of agility and core strengths as the company has been seeking to swiftly transition into the future mobility sector. Plus, Chung is expected to urge his employees to prepare and enhance the company's urban air mobility (UAM), fuel cells and robotics businesses.
The company has been speeding up enhancements in the electric vehicle sector but lately encountered some technical difficulties with its Kona-branded EVs. Chung would also highlight the importance of quality- and safety-driven initiatives in terms of expanding its footing in the world of EVs.
SK Group which has always held annual New Year ceremonies will likely cancel the forthcoming event due to the pandemic and instead SK Group Chairman Chey Tae-won is expected to make a New Year address through the in-house bulletin system and via employee email.
In the New Year, Chairman Chey is set to stress the importance of transitioning into environmental, social and corporate governance (ESG) management. Recently the company implemented an ESG incentive system that awards companies for creating ESG-related value in the private and public sectors.
Not surprisingly, LG Group is also set to hold its New Year ceremony online. LG Group Chairman Koo Kwang-mo's New Year address will be made into a video that can be streamed to all LG employees around the globe. LG officials said Koo will focus on creating customer value and enhancing future growth engines such as artificial intelligence (AI), robotics, next-generation displays and EV batteries. LG recently separated LG Chem's EV battery arm and established LG Energy Solution.
