LG chairman stresses action at CEO meeting

LG Group chairman Koo Bon-moo has urged employees to execute plans and bring about concrete results amid heightened challenges in the fast-changing business environment.

“In order to accelerate the group’s performance, what we’ve discussed should not just be thought of as ideas but as action plans,” Koo said during an executive workshop held Wednesday and Thursday.

“I ask the top management to take the lead in the change.”

During the workshop, the shale gas revolution, the U.S. economic recovery and China’s urbanization trends were mentioned as challenging issues in the global market, the group said in a statement.

As for future growth engines, the executives pledged to gain a competitive edge in the materials industry, renewable energy development and environmentally friendly vehicles.

“Company CEOs have formed a consensus on increasing their response to the changing market and creating business opportunities, while gaining competitiveness in parts and materials R&D,” the group said.

This week’s workshop was held to mark the group’s 20th anniversary since it changed its name from Lucky-Goldstar Group to LG Group in 1995.

In those 20 years, LG has grown into a global corporation with 150 trillion won ($139 billion) in domestic sales and 100 trillion won in overseas sales. The figures are a fivefold and 10-fold jump from 1994, respectively.

The company’s success is largely attributed to Koo, who was named chairman in February 1995.

Since his appointment, he has focused on three main businesses ― electronics, chemicals and communication services ― while promoting energy and materials as fledging businesses.

LG Electronics, one of the group’s major affiliates, is the world’s second-largest TV manufacturer and the leader in “second-tier” smartphones. LG’s product portfolio does not overlap with those of first-tier producers such as Samsung and Apple in key markets.

By Suk Gee-hyun (monicasuk@heraldcorp.com)