Volume 2 Issue 41

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Volume 2 Issue 41
October 17, 2005
CEO Message
Turn Failures Into Future Success
The very experience of failure will become the
cornerstone for future success.From the long
term perspective, the act of failure is not
usually damaging to the company and is not
something to be ashamed of. Most failures are
simply mistakes that occur when plans are not
well-organized or not carried out correctly.
Failure is the mirror of success and lines the
path to get there. If we can learn from our
failures, then they will become precious company
assets for the future.
From the Oct. 2005 CEO Message
Vice Chairman and CEO LG Electronics
LGE Pride
Winning the Hearts of Iranian Women
Iranians have only been able to legally purchase
imported electronics since 2001, but in that
short 4 years, LG Electronics has become the top
appliance seller there. LGE currently holds a
commanding 45 share in air conditioners, 35
market share in washing machines, and 30 market
share in microwave ovens.
LGE has used many different techniques to
advertise to consumers, one of the most
successful being the LGE Cooking School. This
education course teaches customers how to cook
various dishes with a microwave oven. This type
of activity combined with advertising has helped
LGE attain have a premium, high-quality brand
image in Iran. .
Ice Powerhouses to Compete in LG Hockey Game
On Oct. 6, LG Electronics signed a sponsorship
for an ice hockey tournament between Russia,
Finland, Sweden, and Czech Republic, the four
strongest ice hockey teams in Europe. The LG
Hockey Game sponsorship, signed by LGEs
European HQ President, J.E. Kim, Sweden
Subsidiary President J.H. Do, and Sweden Hockey
Association
Click to Read Full Story
President, Christer Englund, will also feature
various uses of the LG Logo. This will help raise
brand awareness as the game is viewed by an
estimated 10 million viewers in the four
participating countries. The contract will take
effect for the 2006 tournament held next April,
and will run through 2008. The event, which
originated in 1991, was previously called the
Sweden Hockey Game.
.
LGE WAY
Making a Faster, More Responsive Military Force
L
G Electronics can learn to apply Fast Execution
from various organizations. The U.S. military has
shown how to apply Fast
Execution to create good results. Since the end
of the Cold War (military buildup between the
former U.S.S.R. and the U.S.A.), the U.S.
military has
had to rethink the way it operates in order to
succeed in a new war environment. The U.S. no
longer needs large amounts of brute force, but
rather must use smaller fighting units which move
quicker and respond to smaller threats, such as
terrorist attacks. For the U.S. Military, a
specific example of these changes is the
adjustment of troop deployment in South Korea.
Traditionally, the U.S. stationed a lot of troops
close to the DMZ (DeMilitarized Zone), which
divides the Koreas. But now they have pulled all
troops off of the DMZ and are closing all large
bases in and north of Seoul, as well as reducing
overall troop numbers in Korea. Thus they have
changed from a large opposing force, to a more
mobile reactionary force. In this way, they can
respond quickly to threats, choosing where to
send forces to best fight respond. The final
result provides a less costly operation and a
faster reaction time. The electronics market has
changed in the same way. More and more consumers
expect customized products to match diverse
needs. Instead of choosing one product and
manufacturing massive quantities, LGE has started
customizing to match these needs and quickly
respond to market trends. Through this use of
Fast Execution, LGE can achieve GCGP. .
Fast
e ecution

• 30 Faster Speed
• 30 More Performance
• 30 Lower Costs

Change Challenge
Changing to Become No. 1 in Indonesia
I
n Indonesia, LG Electronics has set the goal of
becoming the top electronics company. To help
achieve this, LGEDI in Indonesia has a
fulltime LGE WAY Group. The group has been
conducting a culture change TDR for the past year
to create some great results. They have based
activities for change on four different areas
willingness, competency, execution, and
motivation. To help carry out these changes under
the
leadership of subsidiary president K.J. Lee, the
LGE WAY Group selected and trained 25 Change
Agents. They then conducted some of the following
activities to achieve LGE WAY culture changes.
Production leaders stood in a line to say thank
you to line workers every day as workers went
home. As a result, the workers feel more value in
what they do. Some CAs asked their group leaders
to send
birthday e-mails to each employee. In some RD
groups, the CA made a schedule in which two
employees are sent home early at 410 p.m. Each
day, the employees who go home early have
compliments from group members written on a note
and posted on their desk. Also, some CAs set up a
service program which helped renovate two schools
near the LGEDI factory. They repainted walls,
donated computers, and built a computer room for
the schools. These and other activities have
created a happier, more motivated workforce at
LGEDI. Employees there now welcome the changes in
the LGE WAY and are executing towards the
Global Top 3 by 2010. .
LGE WAY Knowledge Quiz
What was LG Electronics (as Goldstar) first
overseas subsidiary?
Click Here For the Answer
Published by LG Electronics / Corporate Culture
Group Please refer questions, comments, and
suggestions on content to lgeway_at_lge.com