As Part of Building a Flexible and Horizontal Organizational Culture
[Asia Economy Reporter Park Sun-mi] "Please call me KH, not President."
Kyung Kye-hyun, President of Samsung Electronics Semiconductor (DS) Division, suggested to employees to call him by his English name initials ‘KH’ instead of the title ‘President.’ This is interpreted as part of building a flexible and horizontal organizational culture amid a trend of major Korean companies breaking down ranks and titles.
According to Samsung Electronics on the 8th, President Kyung requested through the company bulletin board ‘Now’ to call him KH instead of CEO, President, or Division Head. He also proposed that other executives choose the names they want to be called by.
President Kyung said, "When meeting foreign clients, everyone calls me KH, and even when sending emails to me, they start with ‘Dear KH.’ I hope employees also call me KH-nim or Kyuhyun-nim." Employees responded positively to his suggestion, leaving comments starting with ‘Dear KH’ or ‘Kyuhyun-nim,’ praising it as a good idea. There is a sense of recent change in the previously rigid company culture.
Samsung Electronics announced an innovation plan for a ‘future-oriented HR system’ last November to improve organizational culture. The plan includes abolishing seniority-based HR systems, removing promotion periods by rank, and integrating vice president and professional ranks. The annual promotion announcement was also not held this year. These measures aim to rapidly spread a horizontal organizational culture and communication without hierarchy within the company.
The Samsung Electronics DS Division also conducts direct communication with employees every Wednesday through ‘WeTalk.’ This was first launched by President Kyung in December last year. Recently, not only executives such as the CEO, Chief Technology Officer (CTO), and division heads but also Monica, one of the participants of ‘Street Woman Fighter,’ joined, attracting attention.
Meanwhile, earlier this year, in a joint New Year’s message with Vice Chairman Han Jong-hee of the DX Division, President Kyung emphasized organizational culture change based on ‘customer experience.’ Vice Chairman Han and President Kyung stated, "We must boldly discard outdated business models, strategies, rigid processes, and cultures that do not fit the times," and urged, "Let’s transform into an agile culture where individual creativity is respected and everyone can focus on enhancing value."
They added, "A culture of inclusion and respect that tolerates failure and embraces diverse values must take root," and emphasized, "Let’s create a new culture starting with leaders who communicate with respectful language and open minds, allowing all employees to freely imagine and dream beyond product and organizational boundaries."
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