Shin Dong-bin "Must Take New Challenges"... Emphasizes Investment in R&D and DT

"Thorough Preparation for an Uncertain Business Environment"

Shin Dong-bin, Chairman of Lotte Group. (Photo by Lotte Holdings)

Shin Dong-bin, Chairman of Lotte Group, stated on the 12th, "If we do not take on challenges for change and innovation, the future will not be much different from the past."

At the afternoon Value Creation Meeting (VCM, formerly the Executive Meeting) for the first half of the year, Chairman Shin said, "This year is an important time to prove the efforts we have prepared over the past few years for a leap forward."

Chairman Shin noted, "The past decade was marked by a stable management environment, but now we face an era of constant crisis," and urged management policies and the attitude of CEOs to overcome the anticipated external environment.

Regarding management goals, Chairman Shin said, "The goal is to become a company with global competitiveness and enhance corporate value," defining global competitiveness as securing a position as a world-leading company, and enhancing corporate value as generating sustainable growth and profits.

Chairman Shin emphasized, "To achieve management goals, a healthy business portfolio must be built," and requested that management resources be focused on nurturing core businesses to have global competitiveness. He particularly stressed continuous investment in talent, research and development (R&D), digital transformation (DT), and branding, which form the growth foundation of core businesses.

Chairman Shin urged CEOs to "actively take on challenges by turning crises into opportunities for future growth and thoroughly prepare for uncertain management environments." Referring to examples such as the BMS factory in Syracuse, USA, and Iljin Materials, which Lotte invested in last year, he explained, "We believed these investments were essential for achieving the vision of the group and the company, enabling bold and swift decision-making despite the large scale of the investments."

Chairman Shin concluded by saying, "Please communicate clearly and continuously with employees according to priorities for achieving the mid- to long-term vision, and make decisions that align with the interests of key stakeholders such as customers, shareholders, and employees."

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