LG ELECTRONICS ANNOUNCES ORGANIZATIONAL RESTRUCTURING FOR FUTURE GROWTH

Rhea-AI Summary

LG Electronics (LG) announced organizational changes to achieve the Future Vision 2030, establishing the Overseas Sales and Marketing Company to strengthen global brand power. The company aims to create customer value, enhance executive capabilities, and accelerate the advancement of platform-based businesses and innovative D2C business models.

Company Aims for Further Growth and Changes to Enhance Customer Value in Rapidly Changing Global Market

SEOUL, South Korea, Nov. 23, 2023 /PRNewswire/ -- LG Electronics (LG) today announced organizational changes to take another leap forward towards achieving the Future Vision 2030 announced in July. The changes are being implemented to strengthen organizational capabilities and business competitiveness to realize the vision of transforming into a Smart Life Solution Company that connects and expands various spaces and experiences of customers beyond home appliances.

A key piece of the forward-thinking strategy is the newly-established Overseas Sales and Marketing Company, which will report directly to LG CEO William Cho. The company will be led by Thomas Yoon, who previously served as the president and CEO of LG Electronics North America.

The Overseas Sales and Marketing Company will play a crucial role in accelerating change and growth as well as enhancing LG's global brand power by discovering and developing opportunities to create customer value. The new organization will manage overseas sales subsidiaries in North America, Europe, the Middle East and Africa, Latin America and Asia; Global Marketing Group; and the Direct-to-Consumer (D2C) Sales Business Group.

The company will not only seek to strengthen executive capabilities in the overseas operations of strategically critical businesses including B2B operations, but also provide necessary support to bolster qualitative growth of all other business units by aiding the development of overseas sales expertise as well as accelerating the advancement of platform-based businesses and innovative D2C business models. The D2C Business Sales Group will take on the role of expanding customer contact points by strengthening Online Brand Shop (OBS) activities and customer data-based digital marketing capabilities.

While maintaining its agile and responsive decision-making system across all four business units, LG will aim to spur further development of original technologies in each business unit and support the company's business transformation.

The Home Appliance & Air Solution (H&A) Company will establish an engineering sales division under the Air Solution Business to enhance the engineering capabilities to maximize business synergy in heating, ventilation and air conditioning (HVAC), its core B2B business area. In addition, the Home Beauty Business will be transferred from the Home Entertainment Company to the H&A Company to create synergy with existing strong product lineups in 'Home' spaces.

The Home Entertainment (HE) Company is set to further accelerate its transition to become a media and entertainment powerhouse. To strengthen the smart TV operating system webOS, the webOS SW Development Group will be established for direct reporting to Park Hyoung-sei, president of the HE Company. Also, the eXtended Reality (XR) Business Division will be established directly under the headquarters.

Leading the company since 2019, president Park has been promoted in recognition of his contribution to upgrading the company's business portfolio, improving profitability of premium product lineups and growing the webOS platform while solidifying the company's position in the global OLED TV market.

The Vehicle component Solutions (VS) Company will set up the Global Customer Strategy Division directly under its headquarters to establish an integrated strategy for order and sales management and strengthen marketing functions to accelerate the growth of the business.

The Business Solutions (BS) Company will expand sales and business operations in major regions such as North America, Europe, the Middle East and Africa, Latin America and Asia. The current B2B India Business Department will be upgraded into the B2B India Business Division to maintain continuous growth in the country.  

All appointments are effective Dec. 1 with promotions going into effect on the first day of the new year.

About LG Electronics, Inc.

LG Electronics is a global innovator in technology and consumer electronics with a presence in almost every country and an international workforce of more than 74,000. LG's four companies – Home Appliance & Air Solution, Home Entertainment, Vehicle component Solutions and Business Solutions – combined for global revenue of over KRW 80 trillion in 2022. LG is a leading manufacturer of consumer and commercial products ranging from TVs, home appliances, air solutions, monitors, service robots, automotive components and its premium LG SIGNATURE and intelligent LG ThinQ brands are familiar names world over. Visit www.LGnewsroom.com for the latest news.

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SOURCE LG-One Korea

FAQ

What organizational changes did LG Electronics announce?

LG Electronics announced the establishment of the Overseas Sales and Marketing Company to strengthen organizational capabilities and business competitiveness.

Who will lead the newly-established Overseas Sales and Marketing Company?

Thomas Yoon, who previously served as the president and CEO of LG Electronics North America, will lead the newly-established Overseas Sales and Marketing Company.

What is the role of the Overseas Sales and Marketing Company?

The Overseas Sales and Marketing Company will play a crucial role in accelerating change and growth, enhancing LG's global brand power, and discovering and developing opportunities to create customer value.

What changes will be made to the Home Appliance & Air Solution (H&A) Company?

The Home Appliance & Air Solution (H&A) Company will establish an engineering sales division under the Air Solution Business to enhance engineering capabilities and transfer the Home Beauty Business to create synergy with existing strong product lineups.

How will the Home Entertainment (HE) Company transition?

The Home Entertainment (HE) Company will further accelerate its transition to become a media and entertainment powerhouse, strengthening the smart TV operating system webOS and establishing the eXtended Reality (XR) Business Division.

What changes are planned for the Vehicle component Solutions (VS) Company?

The Vehicle component Solutions (VS) Company will set up the Global Customer Strategy Division directly under its headquarters to establish an integrated strategy for order and sales management and strengthen marketing functions.

What expansion is expected from the Business Solutions (BS) Company?

The Business Solutions (BS) Company will expand sales and business operations in major regions and upgrade the B2B India Business Department into the B2B India Business Division.