[People Met Through Books] "No First-Place Thinking, Even Heard That"… The Stubborn Introverted CEO Who Chose 'Jeongdo Management'

Interview with Jo Jun-ho, Former CEO of LG Corporation
From Employee in 1986 to CEO in 2009
Rising to the Top as a Salaryman
Focusing on 'Skill' over 'Survival Tactics'
Wants to Contemplate a Life Without Shortcuts with Like-minded Young People

After graduating from the Department of Economics at Seoul National University, he went to the United States and completed a Master of Business Administration (MBA) at the University of Chicago. In 1986, he joined LG Group, where he was in charge of overseas sales, strategic planning, and business innovation. Known as a leading strategist within the group, he was promoted at the youngest age and at a rapid pace. Thirteen years after joining, in 1999, he became an executive director at the age of 40, then served as Vice President of LG Electronics in 2001, and President & CEO of LG Corporation in 2009. Although he reached the highest position a corporate employee can attain, paradoxically, he has never been told that he is good at 'social skills.' As an introvert and individualist, he focused entirely on 'competence' rather than 'social maneuvering.' While he did put in effort, the energy consumption was too great, so he ultimately competed in his own way, and fortunately, his skills compensated for his lack of social skills, leading to achievements. Of course, there were trial and error moments. Every time his true self clashed with circumstances, someone was hurt or fell, so he adjusted himself at each moment of realization. As a result, he is recognized for successfully leading LG Group and returned to being a private individual, Junho Cho, in 2020. Having concluded over 40 years of his career, he now advises young people as follows: “Don’t force yourself to change your temperament; accept your true self and develop your own work attitude.” We asked former LG Corporation President & CEO Junho Cho about the process of such realizations.

Former CEO of LG Corporation, Joonho Cho, is working on robot coding. [Photo by Joonho Cho]

- You retired in 2020 after over 40 years of working life. How have you been spending your time since then?

▲ I go to exercise in the morning and then arrive at my studio around 10 a.m. I write and meet people, but mostly I spend time studying robotics as a hobby. I learned coding languages like Python and C++ and enhanced my deep learning skills. Now, my robot can scan spatial maps while moving around, recognize me, follow me, and wait for commands. It can even pick up a cola can when asked, though it succeeds about six times out of ten and fails four times. When coding and encountering problems, there are many resources for beginners, but as you advance, it becomes harder to get help. This may vary by field, but I think there needs to be more enthusiasts and hobbyists. When pioneering a new field, gathering and training people takes time. It’s better to have a broad base.

- In the past, it was said that Samsung recruits talent externally for new businesses, while LG develops internal talent. What do you think?

▲ That seems somewhat true. (laughs) LG has a reputation for sticking with people once they are hired. If someone doesn’t perform, they don’t quickly dismiss and look for replacements. Although not as much as Samsung, the proportion of scouting has increased significantly.

- As a large corporation’s leader, you often had to make political and administrative judgments, with associated legal risks. Did you face any crises?

▲ One of the missions I considered while leading LG Group’s control tower was ‘management with integrity.’ Corporate management is like standing on a boundary line. There are many temptations and pressures, and threats that if you offend those in power, you could be ruined. Nevertheless, during my tenure as president, we reduced entertainment, publicity, and negotiation expenses, driven by Chairman Koo Bon-moo’s strong will. People often said, ‘You don’t intend to be number one.’ I heard that previous chairmen had to be overseas during elections, but that wasn’t the case then. I have no memory of being hinted to use any shortcuts. I believed in paying all taxes due, so I was at ease. I was never called by the chairman on weekends.

- What was the most difficult thing?

▲ Being introverted and individualistic, I didn’t get along well with colleagues. I wasn’t entirely satisfied with my temperament. I wanted to enjoy drinking and golf and socialize well, but it didn’t work out. When I joined, the department head who drank the most tried to teach me to drink for a year but gave up. Eventually, I was assigned the role of treasurer who settles the bill after drinking sessions. (laughs) I tried to make up for it with ‘competence’ and worked harder, but it was very tough. I considered it part of the job and made efforts, and those around me thought I didn’t have major interpersonal problems. However, the energy consumption was high, so I often asked for understanding from those around me: “Sorry, I want to be alone in the evening.”

- You must have seen many talented people who work well. What common traits did they have?

▲ I can summarize them into three main points. First is responsibility: having a sense of responsibility for the work and the organization and fulfilling the mission. Second is ambition: people who want to do well at anything, even with small tasks, grow noticeably over a few months. This is more important than achievement motivation. Third is character: they must be consistent even when no one is watching. Few people meet all these criteria, but I tried to use people according to these standards.

- Among those who work well, only a few become executives. Do they have common traits?

▲ There are two extremes for becoming an executive: either they produce results at all costs or they get along well with superiors. Companies look for people they can trust and delegate to, but loyalty can be risky. I hope people don’t say, ‘I will bury my bones in this company.’ I hope more people who do their jobs well come forward.

- Is there a difference between the type of talent required in the past and now?

▲ In the past, LG aimed to develop talent that worked well only within our company. The idea was that if we developed talent specialized in our culture, they would do their best. But now, that approach has reached its limit. We need to utilize people with diverse backgrounds and ways of thinking. In that regard, LG’s culture is quite good. The corporate culture is strong, but it doesn’t reject those who aren’t LG employees.

- Even with many talented people, many organizations suffer from talent shortages. Why is that?

▲ When promoting and assigning work, people unconsciously compare newcomers to existing employees who have years of experience. Compared to those, newcomers naturally seem inexperienced. You shouldn’t compare, but it’s not easy. Sometimes you need to retire people and bring change, but hesitation occurs because current people seem fine. There are many reasons, but often it’s because the person in charge of personnel is anxious.

- LG is famous for humble marketing, and users often promote products themselves. Is that influenced by corporate culture?

▲ I think so. (laughs) LG has an internal culture that avoids talk without substance. Creating and researching real products is highly valued. While making a lot of money by selling well is praised, LG rather recognizes those who make good products. Since management is composed mainly of such people, I think it naturally influences the culture.

- What motivated you to achieve results in your younger days?

▲ I set strict discipline and pushed myself hard. My wife called it obsession. I had rigid rules like going to the field several times a week and doing certain tasks, and I kept them. Back then, I hated showing weakness. I tried to appear knowledgeable and worked hard to understand things. I lived like that until my mid-40s. Some colleagues said working with me was suffocating, as if pricking me wouldn’t draw a drop of blood. I think so too. I didn’t drink, and when asked something, I looked straight into their eyes... I thought that was how to succeed.

- You were deeply involved in the mobile phone business, including the G5. It must be disappointing that LG withdrew from the phone business.

▲ It is regrettable. In the early 2000s, we formed a task force to expand the domestic mobile phone business overseas. We achieved some rewarding results and established a good position in the U.S. But it was too late. We should have entered earlier but hesitated too much. Products need to gain know-how by solving various market situations one by one, but competitors were 3-4 years ahead while LG only researched in the lab. At that time, smartphones were slow and incomplete, and the infrastructure was not yet sufficient. Competitors gained know-how through criticism and compensation and launched proper products, and only then did LG enter the market. Despite various attempts, we couldn’t surpass Apple and Samsung, who already held 90% of the market. We put great effort into the G5, but ultimately it was unsuccessful, and maintaining it lost significance.

- That must have been a bitter failure experience.

▲ Sometimes you can’t ignore the first-mover advantage. On the other hand, LG was 3-4 years ahead in electric vehicles. We passed the demanding GM verification and secured all initial European orders. Latecomers probably had a hard time. You can make everything in the lab, but it’s difficult when you apply real situations. I think there was an implicit consensus about the smartphone failure behind the scenes.

- You stayed with LG your entire career and then retired. Did you ever consider independence or changing jobs?

▲ I was in charge of so many fields that when I was young, I was really overwhelmed. I was assigned to defend in fierce competition, and if I failed, to sell the business well, and later to revive failed businesses, so I had no time to think about other things.

- The point about relieving work stress through work is interesting. You said other methods only make you forget the stress.

▲ Work stress should be relieved through work. My method is to first identify the bottom line. In my words, it’s ‘knowing where the Nakdong River front line is.’ When things get worse, I assume the worst. Even if anxiety and low mood last for days, I endure. When I reach the Nakdong River, I let everything go and push forward. Then, I start to hear the surrounding sounds that I couldn’t hear before. This may vary by person. When I became an executive director in my 40s, a test showed my aggressiveness was in the top 3%. It wasn’t outward violence but a type that responds aggressively rather than withdrawing when stimulated.

- What goals do you have after retirement?

▲ I want to help earnest young people deal well with the realistic problems they face in social life. I will likely take charge of the university department at my church starting next year. I want to tell them that being earnest and achieving results doesn’t necessarily mean being rigid is bad. There are definitely people watching closely around them. I want to think together about how to avoid shortcuts. (laughs) That’s also why I wrote a book.

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