LG Group Changes Executive Personnel
Vice-Chairman Koo Bon Joon of LG Electronics is moving to LG Corporation to become the leader of a group that pushes for new growth businesses and lead LG Group’s future growth businesses and development of new driving forces. LG Group is speeding up its process of reorganizing business structure based on B2B such as car parts, energy and others. President Han Sang Bum of LG Display, after his appointment as president, was promoted to Vice-Chairman due to achievement of continuous business surplus and recognition of results on industrialization of OLED.
LG Corporation and its affiliates such as LG Electronics, LG Display, LG Innotec, LG Chemicals and others held a board meeting on the 26th and carried out personnel change of executives for year 2016.
The essentials of LG Group’s personnel change lies on focus of new growth businesses such as B2B and others. As automobiles, energy, B2B household appliances and others show positive signs even in the midst of global economy slump, LG Group is reorganizing its structure so that it can focus more and promote these areas.
Vice-Chairman Koo Bon Joon of LG Electronics is moving his position to become the leader of a group that pushes for new growth businesses. This group focuses on future growth businesses such as material parts, car parts, energy and others from LG Group’s perspective and on development of new driving forces. This can be seen as LG Group’s action to create more profit by expanding B2B business, which has been leading LG Electronics, to LG Corporation. Vice-Chairman Koo will also serve as the Chairman of LG Electronics’ board meeting.
“This change in personnel reflects the need for change in group’s businesses’ constitution considering situation of global economy and owner’s will to lead this change personally.” said high-ranking official from LG Group.
A fact that 5 people out of 7 executives that were promoted to LG Group’s presidents had worked with businesses related to B2B such as energy, cars and others support LG Group’s intention to strengthen B2B business.
LG Group also carried out movements of its affiliates’ CEOs to recover its poor performance and to renovate atmosphere within LG Group.
Biggest characteristic is introduction of individual representative system. Its characteristic is a change from current system of 1 CEO to responsibility management system per business. CFO President Jung Do Hyun, President Cho Joon Ho of MC Business Headquarters, and President Cho Sung Jin of H&A Business Headquarters established individual representative system. 4 business headquarters will be operated by responsibility management system under each business headquarters’ director. Each business’s domestic and foreign CEOs will be fulfilled by business headquarters’ director, and President Jung Do Hyun will establish and work as CFO and overseer of management support that is responsible for support and common matter of business headquarters.
Chief Technology Advisor (CTA) President Park Jong Seok of LG Electronics is returning back to front line of management in just 1 year by becoming CEO of LG Innotec. CEO Lee Woong Bum of LG Innotec was appointed as President of LG Chemicals’ Battery Business Headquarters.
Through this personnel change, LG produced more than 8 people who were promoted to presidents and strengthened its best management lineup. Executive Director Hong Soon Kook of LG Electronics’ Production Institute jumped 2 steps upwards was promoted to a president by selection. LG Corporation’s Business Development Team‘s Vice-President Baek Sang Yeop, who was promoted to a vice-president by selection a year ago, will take charge of synergy team and will strengthen synergy activities on group’s major businesses. Executive Director Lee Jung Ae of LG Healthy Life was promoted and became group’s first woman vice-president.
LG Chemicals’ Vice-Presidents Son Ok Dong and Kim Myung Hwan were promoted to presidents, and CFO Vice-President Jung Ho Young of LG Healthy Life was promoted to a president and will start for his new post as CFO. 3 executive directors, 13 directors and others in total of 19 personnel from LG Chemicals were promoted. 3 executive directors and 3 directors in total of 6 personnel from LG Innotec were promoted.
LG Group will finish up its change in personnel after going through board meetings with LG Uplus, LG CNS, and LG International Corp. on the 27th. President Kwon Young Soo of LG Chemicals will start for his new post as LG Uplus’ CEO.
Staff Reporter Kwon, Kunho | wingh1@etnews.com