Samsung, the CEO Academy

Those who used to work for Samsung are leading the information technology (IT) industry in Korea. For example, Information and Communication Minister Chin Dae-je and former Information and Communication Minister Nam Gong-suek have served as presidents of Samsung Electronics Co. and Samsung SDS respectively.

Lee Hae-jin, CEO of NHN, one of major companies listed on KOSDAQ, Yang Deok-joon, CEO of Reigncom, who is well known as a successful producer of MP3 players, and Kim Hong-sung, CEO of Secure Soft, which is a leading provider of information security systems, also have a history of working for Samsung under their belts

Foreign IT companies also are getting dominated by former Samsung men such as Lee Chae-wook (GE Korea CEO), Bang Il-suk (Olympus Korea CEO), Lee Myeong-woo (Sony Korea CEO), Yoon Jae-cheol (Korea Fujitsu CEO) and Kang Se-ho (Korea Unisys CEO)

Samsung men also are spotlighted in the financial sector. Hwang Young-key, who has been unofficially appointed as chairman of Woori Financial Group’s shareholder board, Hong Seong-il (CEO of Korea Investment & Securities Co., Ltd), Sin Eun-cheol (CEO of Korea Life Insurance Co., Ltd), and Park Hae-chun, who promised restoration of LG Card, all have experience working for Samsung.

On top of that, Goo Hak-seo (CEO of Shinsegae Co.) was moved to Shinsegae Co., which was branched out from Samsung. And increasing numbers of managers working for Samsung moving to new companies which are not related to Samsung; Lee Young-il, former CEO of Hotel Shilla, moved to the Paradise Hotel in Busan.

Why do they prefer Samsung men? First of all, both the quality and quantity of human resources in the IT sector, such as Samsung Electronics Co., Samsung Electro-Mechanics Co., Samsung SDI, and Samsung SDS, are overwhelming other companies in this sector. Besides, with Samsung Electronics Co. growing as an international company, they equipped themselves with the ability to predict high technology trends, to understand international management, and to pick the proper time to launch new investments. This is why Samsung has, compared with other companies, many CEOs as well as many management experts.

Goo Hoe-deuk, who is now operating Samsung OB. com and who used to work as a high-ranking officer in Samsung Heavy Industries Co. described the background of Samsung’s success as follows: “Management systems and thorough inside audits can be a reason.” Namely, cautious decision-making and clear-cut audits, in which any corruption is not permitted, have made it possible to raise capable mangers company owners can rely on. Competition without any networks, for example, by school, hometown and hard training systems before being chief managers, and the social capital accumulated working for Samsung spreading in Korean society are also answers to why Samsung’s human resources are so wealthy..

A bad side always follows a good side. Medium-scaled companies have lost many chief managers who had come from Samsung. “Samsung men who are trained under perfection-oriented, conservative conditions are likely to fail in business fields that require creative ideas and decisive power, a source from A companies said.

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