One in Four Large Corporation Owners Does Not Serve as a Registered Executive

Leaders Index Analysis
Lee Jae-yong of Samsung, Kim Seung-yeon of Hanwha, and Others Manage Without Registered Executive Positions

Among the four owners of large business groups, one is participating in management without holding a registered executive position.

Photo by Asia Economy DB

On the 14th, Leaders Index, a corporate analysis research institute, investigated whether the heads of large business groups with assets exceeding 5 trillion won, where the same individual is a natural person, were registered as executives. As of last year, out of 78 heads, 20 (25.6%) did not hold registered executive positions.

This ratio has slightly decreased compared to 2023, when 26 out of 74 heads (35.1%) did not hold registered executive positions.

Last year, large companies whose heads were not registered executives included Samsung (Lee Jae-yong), Hanwha (Kim Seung-yeon), HD Hyundai (Chung Mong-joon), Shinsegae (Lee Myung-hee), CJ (Lee Jae-hyun), DL (Lee Hae-wook), Mirae Asset (Park Hyun-joo), Naver (Lee Hae-jin), Kumho Asiana (Park Sam-gu), and DB (Kim Joon-gi). Others include EcoPro (Lee Dong-chae), E-Land (Park Sung-soo), Hankook Tire (Cho Yang-rae), Taekwang (Lee Ho-jin), Samchully (Lee Man-deuk), Daebang Construction (Koo Kyo-woon), Eugene (Yoo Kyung-sun), BGF (Hong Seok-jo), HiteJinro (Park Moon-duk), and Paradise (Jeon Philip).

There is a difference in board participation between registered and non-registered executives. Registered executives are members of the corporate board, making key decisions and bearing legal responsibilities accordingly.

Booyoung, Kolon, Kumho Petrochemical, and Dongwon saw their heads newly registered as executives last year. Booyoung Group Chairman Lee Joong-geun and Kumho Petrochemical Group Chairman Park Chan-koo returned as registered executives after being pardoned on Liberation Day in 2023. Chairman Lee Joong-geun is also the head holding the most registered executive positions, serving as a registered executive in 15 places, including CEO of 9 affiliates and inside director of 6. Kolon (from Honorary Chairman Lee Woong-yeol to Vice Chairman Lee Kyu-ho) and Dongwon (from Honorary Chairman Kim Jae-chul to Chairman Kim Nam-jung) were newly listed as registered executives following changes in their heads.

The number of owner relatives registered as executives was 294 in 2023, but increased to 310 in 2024 as the total number of affiliates grew from 795 to 811. Leaders Index analyzed this as an effect of accelerated succession work in the business community.

The number of owner relatives serving as registered directors in two or more places was 147 in 2023 and 137 in 2024. Cases of holding concurrent positions in five or more affiliates decreased from 33 to 26.

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