CEO Who Became a 'Pro YouTuber'... Vice Chairman Writing Comments on the Bulletin Board (Comprehensive)

Samsung Embraces Organizational Culture Change... Emphasizing Communication Over Authority
Influenced by Lee Jae-yong's Call for 'Communication Innovation'... Follow-up Actions to Be Taken

[Photo by Samsung Electronics Semiconductor YouTube capture]

[Asia Economy Reporter Han Yeju] The communication efforts of Kyung Kye-hyun, President of Samsung Electronics' DS (Semiconductor) Division, are drawing attention from the business community. Known among Samsung's executive team for emphasizing communication, he is analyzed to be playing a significant role in establishing a horizontal organizational culture. As communication with the MZ (Millennial + Generation Z) generation has become a key issue for companies, it seems that winds of change are blowing through Samsung's previously somewhat rigid organizational culture.

According to industry sources on the 25th, Samsung Electronics Semiconductor's YouTube recently released a video titled "A video you must watch if you only chase goals," featuring a lecture by President Kyung.

Since his appointment in December last year, President Kyung has been conducting a weekly internal communication channel called "WeTalk," aimed at expanding opportunities for DS division executives to directly communicate with department employees. He conveys topics such as organizational life, how to work well, and things leaders tend to overlook, showcasing his role as a "communication master."

President Kyung is known to have emphasized the importance of communication since his time as CEO of Samsung Electro-Mechanics. He is famous for lowering his authority and aiming for a horizontal relationship, suggesting employees call him by his English initials "KH" instead of his presidential title. Employees have responded enthusiastically to communication opportunities with the president, which were previously only available through conference calls or official events, and many follow President Kyung as he expands communication systems such as workshops and book discussion meetings.

Samsung Electronics Vice Chairman Lee Jae-yong is visiting the Samsung Engineering Global Engineering Center (GEC) in Sangil-dong, Gangdong-gu, Seoul on the 24th and taking photos with employees. Photo by Samsung Engineering employee SNS

Not only President Kyung but also recent Samsung Electronics executives are focusing on breaking down authoritarian culture and creating a horizontal organizational culture.

Han Jong-hee, Vice Chairman and Head of Samsung Electronics' DX (Device Experience) Division, holds a biannual employee event called "DX Connect" in the form of a town hall meeting. At this event, he requested to be called "JH" instead of Vice Chairman. Employees reportedly found this style different and unfamiliar compared to his previous demeanor.

Vice Chairman Han also holds a monthly "CEO One Table" event, where he sits around a round table with a small number of employees to have conversations. Recently, he has been actively communicating by recommending books suitable for the summer vacation season on the internal bulletin board "NOW" and replying daily to posts made by employees.

The CEOs' communication management is interpreted as influenced by Samsung Electronics Vice Chairman Lee Jae-yong's order for communication innovation to foster a horizontal and flexible culture. After returning from a European business trip in June, Lee said, "There is a lot of confusion, change, and uncertainty in the market, but what we need to do is bring in good people and create a flexible culture so our organization can adapt to predictable changes," signaling a change in organizational culture.

Since being reinstated by the special pardon on Liberation Day, Vice Chairman Lee has continued his on-site management activities, attending the groundbreaking ceremony for the semiconductor R&D complex at Samsung Electronics' Giheung Campus on the 19th and visiting Samsung Engineering five days later. He is expected to continue visiting major Samsung affiliates in sequence to check business status and maintain communication with employees.

Last year, Samsung Electronics established a new personnel system aiming for a flexible and horizontal organization modeled after Silicon Valley in the U.S., reflecting Vice Chairman Lee's strong will that the working culture must be changed to be future-oriented to leap forward as "New Samsung."

Samsung Electronics abolished the "standard tenure period" by rank and promotion points for a flexible and horizontal organization. Under the new criteria, personnel evaluations for next year's promotion candidates are expected to begin in earnest. The first promotions under the new personnel system are scheduled to be announced around March next year. Expectations are rising that even in large companies like Samsung Electronics, executives in their 30s and presidents in their 40s, similar to startups or IT companies, will emerge soon.

The business community predicts that Samsung will continue follow-up measures for organizational culture change. A business insider said, "Since Vice Chairman Lee promised to expand direct communication opportunities with employees, orders for internal communication innovation will continue," adding, "Organizational culture improvements that can enhance employees' sense of belonging and capabilities are expected."

This content was produced with the assistance of AI translation services.