Ahead of the General Meeting, Samsung Electronics to Prepare Future Capabilities Such as Big Data and AI for the Post-Corona Era

Vice Chairman Kim Ki-nam and Board Chairman Park Jae-wan Send Shareholder Letter
Commitment to Compliance and Safety Management as Foundation for Building a Trusted 100-Year Company

Kim Ki-nam, Vice Chairman and CEO of Samsung Electronics, is speaking at last year's shareholders' meeting. [Image source=Yonhap News]

[Asia Economy Reporter Kim Heung-soon] "We will steadily prepare for the future by acquiring capabilities one by one, such as big data and artificial intelligence (AI), Internet of Things (IoT), cloud, and security."

It was confirmed on the 4th that Samsung Electronics Vice Chairman Kim Ki-nam and Board Chairman Park Jae-wan sent a letter to shareholders ahead of the shareholders' meeting scheduled for the 17th, presenting this blueprint related to this year's business plan. They expressed their determination to focus more on the business marked as the company's future, saying, "2021 is an important time when a new order post-COVID-19 begins."

Samsung Electronics has already put this plan into action. At the end of last year, through an organizational restructuring, they established organizations responsible for new businesses such as the Big Data Center and the Robot Commercialization Task Force (TF) directly under the CEO. Vice Chairman Kim and Chairman Park evaluated this as "a step for Samsung Electronics to leap forward amid the wave of change" and "the first step in preparing for the future."

The letter also included a commitment to compliance and safety management. Vice Chairman Kim and Chairman Park emphasized, "We will establish an autonomous and proactive compliance culture centered on the field and actively respond to social demands such as industrial accident prevention to lay the foundation for a trusted 100-year company." Earlier, in February last year, the Compliance Committee, an independent external compliance monitoring body of Samsung, was launched and operated for a year, and internally, the Compliance Team was elevated directly under the CEO to support important decision-making of the board.

Additionally, to strengthen sustainable management, the Sustainable Management Office was upgraded to the Sustainable Management Promotion Center directly under the CEO, and dedicated organizations were established in business divisions. The company-wide consultative body discussing sustainable management strategies, the Sustainable Management Council, is chaired by the Chief Financial Officer (CFO) to empower decision-making. Vice Chairman Kim and Chairman Park pledged, "We will continue to communicate with stakeholders to ensure sustainability is well reflected throughout the company's business and strive to grow together."

Meanwhile, at this year's shareholders' meeting, Samsung Electronics will approve the payment of a settlement dividend amounting to 13.1 trillion KRW based on a special dividend of 1,578 KRW per share, and decide on the reappointment and new appointment of internal and external directors whose terms are expiring. For the first time, the meeting will be broadcast online to increase interest and encourage participation from the rapidly growing number of small shareholders, which has surged to over 2.14 million. Vice Chairman Kim and Chairman Park requested, "Attendance at the shareholders' meeting is expected to be difficult due to COVID-19. Please exercise your voting rights using electronic voting introduced last year, and make good use of the online broadcast."