SK Inno Acquired by Choi Jong-hyun's 'Big Picture'... Transformed by Chey Tae-won's 'Deep Change' (Comprehensive)

'Innovation Growth Story' Symposium
Chairman Choi Sendae Recognizes Refining Limits
Growing into an Integrated Energy Company
Facility Investment for Vertical Integration
Industry's First Technology Research Institute Established
Chairman Choi Innovates as an Energy Company
Diversifying Portfolio Including Batteries
Emphasizing ESG Management, Laying Growth Foundation

Professors from the Entrepreneurship Society are conducting a comprehensive Q&A and discussion after the morning session presentation on the 30th. Photo by SK Innovation

[Asia Economy Reporter Choi Seoyoon] SK Innovation (formerly Korea Petroleum Corporation and Yukong), acquired under the 'big picture' vision of the late Choi Jong-hyun, former chairman of SK Group, who achieved vertical integration from oil to textiles, has celebrated its 60th anniversary. Experts have analyzed that Chairman Chey Tae-won inherited the big-picture management of his predecessor Choi Jong-hyun and transformed SK Innovation into a global green energy company through a 'deep change.'

On the 30th, a symposium titled "SK Innovation's 60 Years of Innovative Growth Story," hosted and organized by SK Innovation and the Entrepreneurship Society, was held at the SK Seorin Building in Jongno-gu, Seoul. At the symposium, about ten professors from the Entrepreneurship Society presented a report that divided the company's growth points into ten themes, researched and analyzed over the past four months, in celebration of SK Innovation's 60th anniversary.

The core of the research results is that through two major innovations, the domestic refining company transformed first into a 'comprehensive energy company' and then into a 'global green energy leading company.' The first major innovation was the far-sighted 'big picture' management, and the second major innovation was the fundamental change called 'deep change' management.

Chairman Choi, who acquired Yukong in 1980, clearly recognized the limitations of growth through refining business alone and completed vertical integration. He transformed the company from a simple refining company into a comprehensive energy company covering everything from crude oil import, refining, petroleum product production, to textile manufacturing. To achieve vertical integration, he made bold facility investments and established the first technology research institute among refining companies to secure advanced new technology R&D capabilities.

Chairman Chey, building on his father's 'big picture' spirit, implemented 'deep change' management amid rapidly changing business environments and industry trends. The Entrepreneurship Society diagnosed that through this, SK Innovation transformed into an ESG (Environmental, Social, Governance)-based global green energy company. They explained that aiming for sustainable growth, the company diversified its non-refining business portfolio such as batteries and materials, emphasized ESG management, and laid the foundation to grow as a global green energy company centered on electrification and a circular economy.

Former SK Group Chairman Choi Jong-hyun (left) and Chairman Choi Tae-won. Photo by SK Group

Lee Chun-woo, chairman of the Entrepreneurship Society, said, "The innovative DNA of SK Innovation emphasized by the late Chairman Choi has reached its completion stage through Chairman Chey," adding, "Through 'big picture' and 'deep change,' the inherent innovative DNA of SK Innovation will play a pivotal role in the company's ultimate goal of evolving and developing into a 'green energy and materials company' and achieving net zero."

The ten growth points of SK Innovation identified by the Entrepreneurship Society are ▲ Seonkyung's entry into the oil business ▲ Resource-poor oil-producing country project ▲ Petrochemical big picture technique ▲ Korea-China's largest economic cooperation, JungHan Petrochemical ▲ Korea's first battery company ▲ Lubricant base oil business ▲ Growth foundation through gas and bio ▲ ESG leadership (advanced governance) ▲ Innovative labor-management culture ▲ Financial story management technique.

Professor Kim Sang-jun of Ewha Womans University, presenting on the topic of 'Petrochemical Big Picture Technique,' stated, "The establishment and successful operation of the Yukong Research Institute played a key role as a core source of SK's development," diagnosing that "The Yukong Research Institute continuously pursued process technology innovation and product technology innovation to strengthen the competitiveness of the core business, while establishing R&BD (Research and Business Development) as a research institute system with a 10 to 50-year outlook." He added, "This was also spread throughout Yukong, playing an important role in transforming Yukong into an innovator."

Professor Pyo Min-chan of the University of Seoul, who presented on 'Korea-China's Largest Economic Cooperation, JungHan Petrochemical,' evaluated, "SK and Sinopec, the number one petrochemical companies in Korea and China respectively, established a joint venture under the leadership of the Chinese government," adding, "It is becoming an important cooperation model that fosters China's chemical industry and completes the integration of chemical and petrochemical sectors."

Im Soo-gil, head of SK Innovation's Value Creation Center, said, "SK Innovation has received objective external evaluations and recognition that it has continuously grown and developed through the two major innovations of 'big picture' and 'deep change,'" and added, "In the next 60 years, we will actively pursue future growth through continuous innovation and the development of a differentiated technology-based eco-friendly portfolio."

Meanwhile, the Entrepreneurship Society, founded in November 2019, conducts academic research related to entrepreneurship theories, practices, systems, and policies.

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