[Asia Economy Reporter Dongwoo Lee] The late Lee Kun-hee, Chairman of Samsung Group, who passed away on the 25th, nurtured Samsung into a global top-tier company and left behind numerous sayings reflecting the values he pursued as a business leader.
In his inauguration speech as Chairman of Samsung Group in December 1987, the late Chairman Lee Kun-hee said, "Through future-oriented and challenging management, we will grow Samsung into a world-class top-tier company."
He emphasized, "We will further expand the advanced technology industry sector, accelerate the group's internationalization through the activation of overseas businesses, and educate talents needed by the nation and society, ensuring the best human relations and highest efficiency for them."
In a hotel in Frankfurt in 1993, he declared Samsung's New Management. Chairman Lee said, "If we don't change now, we might only reach second or 2.5-tier, at best 1.5-tier. But we will never be first-tier. Change everything except your wife and children," advocating reforms for corporate growth.
In his 1996 New Year's address, he reiterated Samsung's design philosophy: "Design should go beyond decorating and embellishing the product's appearance to embody the company's philosophy and culture."
In the 2000 New Year's address, he repeatedly emphasized brand image. He said, "Number one products must reach the world's highest level not only in quantitative market share but also in qualitative value, profitability, and brand image."
In the 10th anniversary speech of the New Management declaration in 2003, he encouraged, "I get chills thinking that without New Management, Samsung might have fallen to second or third tier or even collapsed. Let's spread the achievements of New Management to help overcome the difficult national economic crisis and improve people's lives."
Returning to the front lines of management in March 2010, the late Chairman Lee said, "This is the real crisis. Global top-tier companies are collapsing. Samsung could fall anytime. Most of the businesses and products representing Samsung will disappear within the next 10 years. We must start over. There is no time to hesitate. Let's move forward only."
In the 20th anniversary speech of New Management in 2013, he said, "We must fight the crisis of being number one and the crisis of complacency, and New Management must start anew for higher goals and ideals. We must complete creative management where fearless challenges, innovation, autonomy, and creativity breathe. Let's gather our creative capabilities with an open mind."
Below are key statements by Lee Kun-hee, Chairman of Samsung Group.
◆ "We are now living in a turbulent era filled with numerous trials and challenges both domestically and internationally. As the vanguard of 'Samsung's second founding,' we will devote all our efforts to fulfilling this mission. We will inherit and further develop the excellent traditions and the founder's will that Samsung has built so far, and through future-oriented and challenging management, we will grow Samsung into a world-class top-tier company." (Chairman Inauguration Speech, December 1, 1987, 10 a.m., Hoam Art Hall)
◆ "Our country now competes shoulder to shoulder while maintaining a cooperative relationship of coexistence and co-prosperity with advanced countries, and I take great pride and confidence in the fact that Samsung has played a pivotal role in this remarkable growth. By the 1990s, we will develop Samsung Group into a world-class top-tier company and establish a separate organization to carry out various social service projects and cultural promotion activities." (Second Founding Declaration, March 1988, Olympic Park Gymnastics Stadium)
◆ "Samsung's partner companies are also part of the Samsung family. I believe that treating them with dignity and providing active support so that the company and partner companies feel pride as one community and one family is also part of human-centered management." (New Year's Address, January 1989)
◆ "In the era of globalization, if we do not change, we will forever be second or 2.5-tier. At best, we are 1.5-tier now. Let's change everything except our wives and children." (Frankfurt Declaration, June 1993)
◆ "Design will become the most important thing in the world. It is moving toward individualization. Developing productization, design, and ergonomics of one's individuality... Performance and quality are now similar due to production technology. The future depends on how we handle individuality and design." (Regarding Design, June 1993, Frankfurt)
◆ "The next 10 years will bring changes in corporate management and developments in world history equivalent to the past 50 or 100 years." (New Year's Address, January 1994)
◆ "We are now standing at the starting line toward a thrilling future. Our goal is top-tier, our direction is one, our eyes are on the world, and our dreams are set on the future. Let's move forward vigorously." (Samsung Family One Heart Festival, 1994)
◆ "Partner companies are partners in New Management who are on the same boat with us. Only when the qualitative level of partner companies rises to world-class can we achieve our goal of world-class. I am confident that soft creativity such as design will be a valuable asset for companies and the final battleground of 21st-century corporate management." (New Year's Address, January 1996)
◆ "From now on, we can no longer lead the new era with conventional imitation and a hungry spirit alone. We must have autonomous and creative ownership. From now on, looking 10 years ahead, we must focus the group's management power on developing technologies and expanding intangible assets that can become global standards." (Emphasizing crisis awareness before the IMF crisis, January 1997 New Year's Address)
◆ "If women are disadvantaged in hiring or promotion because they are women, what will compensate for the loss of opportunities for the company, not to mention the frustration experienced by the individuals?" (Regarding Female Workforce, from Lee Kun-hee's essay 'Let's Think and Look at the World,' 1997)
◆ "The stronger the wind blows, the higher the kite can fly. What we need now is sweat, sacrifice, courage, and wisdom to turn crisis into a stepping stone for leap and recession into strengthening our constitution." (New Year's Address, January 1998)
◆ "Samsung must realize the image of a coexisting company as a corporate citizen living together with society. It is our responsibility as a leading company to turn our eyes to marginalized neighbors and create a healthy community flowing with warm affection and trust. By practicing upright management that is proud and confident to shareholders, customers, and the public, we must become a company that gains market trust and receives society's love and encouragement." (New Year's Address, January 2001)
◆ "When thinking about what to live on 5 to 10 years from now, cold sweat breaks out on my back. (April, Electronics affiliates presidents meeting) Even if profits decrease, it is most important to do things that contribute to society. (May, Finance affiliates presidents meeting) Let's reflect in the president evaluation criteria how many core talents have been recruited, how much the president cares to recruit them, and how much effort is made to develop the secured core talents. (May, Electronics presidents meeting)" (April-May 2002 affiliates presidents meetings)
◆ "I get chills thinking that without New Management, Samsung might have fallen to second or third tier or even collapsed. Let's spread the achievements of New Management to help overcome the difficult national economic crisis and improve people's lives. How we overcome this critical moment will determine whether we become a first-tier developed country or fall into a backward country. Now is the time for all citizens to work together to quickly grow the pie rather than seeking immediate shares, to enter the era of $10,000 per capita income." (10th Anniversary of New Management, June 5, 2003)
◆ "One genius supports 100,000 people." (Media interview, June 2003)
◆ "In the digital age, competitiveness will be determined by soft areas such as knowledge, brand, and design. Creating Samsung's unique soft assets that others cannot imitate is the shortcut to securing first-class competitiveness." (New Year's Address, January 2004)
◆ "When entering the semiconductor business, I boldly decided to invest because I thought the only way for our company to survive was the high-tech industry that uses brains." (30th Anniversary of Semiconductor, December 2004)
◆ "If we indulge in past success and settle for current comfort, the top spot will be taken by others." (New Year's Address, January 2006)
◆ "This is the real crisis. Global top-tier companies are collapsing. Samsung could fall anytime. Most of the businesses and products representing Samsung will disappear within the next 10 years. We must start over. There is no time to hesitate. Let's move forward only." (Return to management, March 24, 2010)
◆ "Governments worldwide are investing in green industries to solve environmental preservation and energy depletion issues. Also, businesses that improve human health and quality of life are corporate missions. When other global companies hesitate, we must boldly invest to seize opportunities and contribute to the national economy. Please recruit many young and talented people and make more efforts to reduce unemployment." (New business-related presidents meeting, May 10, 2010)
◆ "Although the global economy is uncertain and management conditions are expected to change drastically, increasing investment and recruiting more personnel during such times will bring growth opportunities to the group and help our economy grow." (Semiconductor Line 16 Groundbreaking Ceremony, May 17, 2010)
◆ "The growth of large corporations and small and medium-sized partner companies together is necessary not only for large corporations but also for the sound development of market economy and capitalism. In fact, for large corporations to become first-class, small and medium-sized enterprises must first become first-class." (Remarks at Presidential Business Luncheon, September 13, 2010)
◆ "The changes in the 21st century are faster and more severe than expected. Samsung has prepared for 21st-century changes over the past 10 years, but considering the imminent changes, it is far from enough. To prepare for the future, we must unite the entire group's strength and change people." (Group organization establishment, November 19, 2010)
◆ "A new decade begins. Unlike before, I think the 10 years of the 21st century will come quickly." (Proud Samsung Person Award Ceremony, December 1, 2010)
◆ "The next 10 years will be a period of challenge toward 100 years, and now Samsung must aim to be a company that leads the 21st century, grows steadily without shaking, and allows employees to work with peace of mind. The business structure must be virtuous, and most of the businesses and products representing Samsung now will disappear within 10 years, replaced by new businesses and products." (New Year's Address, January 3, 2011)
◆ "If we do not secure (soft technology, S-class talents, patents) right now for 5 or 10 years from now, it will not be possible. The competitiveness of soft technologies such as software, design, and service is becoming more important than anything else. We must tenaciously learn and secure the necessary technologies." (Visiting advanced product comparison exhibition, July 29, 2011)
◆ "Everyone says I did it all, but this was made possible by the people of the Republic of Korea. The Pyeongchang bid team worked hard. Especially, the President's presence lifted the overall atmosphere, and these combined to achieve this. I only played a small part." (After Pyeongchang's successful bid at the South Africa IOC General Assembly, July 6, 2011)
◆ "Female executives must become presidents. While they may not be able to fully demonstrate their capabilities as executives, once they become presidents, they can fully realize their intentions and capabilities, so they must become presidents." (Regular attendance - Female executives luncheon, August 23, 2011)
◆ "Samsung must devote all efforts to overcoming crises amid difficulties. Especially, developing the national economy and laying the foundation for sustainable growth is a given responsibility and duty. Unexpected changes will appear in the future. Existing businesses will stagnate, and the survival cycle of new businesses will shorten rapidly. We must break all existing frameworks and think only of new things. Failure is a privilege given to Samsung people; I urge you to challenge and challenge again." (2012 New Year's Address, January 2, 2012)
◆ "I really feel more tense because I think if we don't get our act together in the next few years or decades, we will quickly fall behind. We are following advanced countries, and we have some areas where we lead, but I think we must lead more. The slogan is to think faithfully about the future, use imagination and creativity, and move forward vigorously." (CES visit, January 12, 2012)
◆ "25 years ago, at this place, I pledged to create a new history for Samsung and set the goal of growing Samsung into a world-class top-tier company. We have devoted efforts to nurturing talent, securing technology, pioneering markets, and contributing to society. Let's once again stir the winds of innovation to enrich lives with Samsung's products and services and contribute to the progress of human society." (25th Anniversary of Inauguration Ceremony, November 30, 2012)
◆ "We must forget past successes and start anew. Our mission is to challenge and challenge again to pioneer new growth paths. Samsung must actively participate in investment and job creation to strengthen the national economy and give hope to our society. We must enhance the competitiveness of partner companies, support their growth, and share knowledge and know-how with small and medium-sized enterprises to invigorate the national economy." (New Year's Address, January 2, 2013)
◆ "We have run on one path with the grand dream of becoming a top-tier company. We must complete creative management where fearless challenges, innovation, autonomy, and creativity breathe." (20th Anniversary Dinner of New Management, October 28, 2013, video message)
◆ "Let's boldly discard business models, strategies, hardware processes, and cultures from 5 or 10 years ago. Let's shake off mindsets, systems, and practices that do not fit the times. You are the protagonists preparing for the future. Imagine freely and challenge boldly. Just as we achieved a qualitative transformation from quantity over the past 20 years, let's now raise the quality, dignity, and value of products, services, and businesses. Let's move forward vigorously toward our higher goals and ideals." (New Year's Address, January 2, 2014)
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