[Manbo Jeongdam] "Just Using a Stepper Easily Achieves 5,000 Steps a Day... It Will Be a Guardian of Health and Happiness"

Semiconductor Expert Woonghwan Yoo, CEO of Korea Venture Investment
Equipped Stepper in Office to Walk 10,000 Steps a Day
Created IR Materials to Promote Korea Venture Investment
Listens to Employees' Concerns and Strives to Solve Them

'Shuk shuk shuk'

This is the sound coming from the office of Yoo Woong-hwan, CEO of Korea Venture Investment, located on the 5th floor of the Korea Venture Investment Building in Seocho-gu. It has become a familiar sound to employees who come to see the CEO for reports or meetings. At first, employees were surprised when they opened the door for document approvals and saw Yoo working on a stepper. Yoo installed a standing desk on one side of his office so he could work while walking. On the desk are two large monitors and a keyboard, and underneath is a stepper that simulates walking stairs. He said, "Just using the stepper has the effect of walking 5,000 steps a day."

Yu Woong-hwan, CEO of Korea Venture Investment, is working while using a stepper at the Korea Venture Investment office in Seocho-gu, Seoul. Photo by Jinhyung Kang aymsdream@

The Korea Venture Investment Building is located in Seocho-dong, the legal district number one. To the west is Montmartre Park, and to the north is Seoripul Park. Originally, they planned to walk together in Montmartre Park, but CEO Yoo suggested moving to the office instead. For him, real exercise is done whenever there is a chance. He sometimes uses the fitness center on the basement level and often walks in the rooftop garden by climbing the stairs. Within minutes of demonstrating the stepper in his office, Yoo wiped the sweat forming on his face.

CEO Yoo is inseparable from semiconductors. He earned a bachelor's degree in computer engineering from Kwangwoon University and a Ph.D. in electrical and electronic engineering from KAIST. He worked as an engineer at Intel in the U.S. and became a senior manager at the age of 35. After returning to Korea, he participated in developing mobile semiconductor systems at Samsung Electronics and became the youngest executive director in Samsung's semiconductor division at the time. He served as an executive at Hyundai Motor Company’s research institute, focusing on automotive electronic systems and future car development. He also led the ESG (Environmental, Social, and Governance) innovation group at SK Telecom.

He is an industry expert recognized by President Yoon Suk-yeol, former President Moon Jae-in, and People Power Party member Ahn Cheol-soo. Although he acquired U.S. citizenship while working in America, he gave it up in 2017 when recruited as a technology talent for Moon Jae-in’s campaign. Last year, upon Ahn’s recommendation, he joined the 20th Presidential Transition Committee’s Economic Subcommittee 2. In September of the same year, he was appointed CEO of Korea Venture Investment, the fund of funds management institution.

-Also called CHO along with CEO.

▲It has two meanings. Traditionally, CHO stood for Chief Happiness Officer, but nowadays it means Chief Health Officer. Recently, he has been dedicated to protecting employees' health and earned the nickname "Health Guardian." Representative programs include the Health Fund and the Smoking Cessation Fund. The Health Fund verifies whether participants achieve 12,000 steps three times a week through a step-counting app. The Smoking Cessation Fund checks success monthly via nicotine kit tests. When participants raise funds for specific purposes, the total fund amount is distributed to those who meet the goals.

Yu Woong-hwan, CEO of Korea Venture Investment, is walking in the rooftop garden after finishing lunch at Korea Venture Investment in Seocho-gu. Photo by Jin-hyung Kang aymsdream@

-He is also known as the 'Happiness Guardian' due to his sincerity in welfare.

▲He constantly thinks about how to expand employee welfare and acts on solutions, which employees appreciate. He established an in-house caf? that offers high-quality coffee for 1,000 won per cup, comparable to external caf?s. This time, five positions were open, but 505 applied, making the competition rate over 100 to 1. Even after entering with difficulty, salaries differ greatly from the income needed at different life stages. Due to total labor cost limits, salaries cannot be increased, so the in-house caf? was devised as a supplement. Employees respond positively. One said, "If you think of a cup of coffee as 5,000 won, you spend about 100,000 to 200,000 won a month on coffee, so this reduces that burden."

-Is there a particular reason for emphasizing health and happiness?

▲Korea Venture Investment is a public institution managing the fund of funds. Salaries and welfare differ significantly from private venture capital (VC) firms. In recent years, many employees have left for private companies, and many new hires were made. The organization became younger but needed revitalization. After taking office, I held one-on-one meetings with employees to hear their difficulties and concerns. The biggest concern was salary. We discussed with the Ministry of SMEs and Startups and agreed to increase incentives.

-Do you feel your sincerity is recognized?

▲Recently, on my first anniversary, I read letters from employees saying things like "You actively listen to and try to solve employees' difficulties like a guardian angel," "Despite your busy schedule, you communicated with employees whenever possible, which was impressive," and "Thank you for making this a great company to work for. Please stay with us for a long time." Seeing these words densely written on the board gives me strength and motivates me to work harder.

-Your thoughts on your first year as the fund of funds CEO.

▲After taking office, I realized Korea Venture Investment has many achievements but is not well known. I prepared investor relations (IR) materials assuming we were seeking investments from overseas limited partners (LPs). I explained to several lawmakers and presidential office officials, and now people are gradually understanding what Korea Venture Investment is. Currently, we focus on overseas VC investments in domestic companies and domestic investments abroad. This has had an effect. The UK Investment Minister, Saudi Arabia ICT Minister, and company representatives have requested meetings. Two to three teams visit weekly, and since discussions go well, they want to meet repeatedly. Mostly, they propose long-term partnerships and discuss joint investment projects.

-How do you evaluate the achievements of the past year?

▲The fund of funds has acted as a catalyst for attracting private capital, increasing private venture capital inflow. The multiplier effect of private capital attraction by the fund of funds rose from 1.58 times in 2019 to a record 1.98 times in 2022. Companies that attracted venture investment saw a 40.5% increase in employment, more than 12 times the 3.3% increase in total employment insurance subscribers. The seven-year survival rate of startups after investment reached 65.4%. Recently, we established the ‘Super-gap Fund’ focusing on ten super-gap fields such as semiconductors, aerospace, marine, and next-generation nuclear power, and deep tech startups, and the ‘Venture Secondary Private Equity Fund’ to activate mid-term exits. As part of responding to low birthrates and aging, we also consecutively created ‘Regional Innovation Venture Funds.’ We completed raising 315.5 billion won for regional innovation master funds and 342.1 billion won for sub-funds in five regions: Chungcheong, Busan, Southeast (Ulsan, Gyeongnam), Daegu, Jeju, Gwangju, Jeonbuk, and Gangwon. Our goal is 410 billion won for master funds and 606 billion won for sub-funds by 2025.

A memo board containing letters from employees is placed in the office of Wooonghwan Yoo, CEO of Korea Venture Investment Corp. Photo by Jinhyung Kang aymsdream@

-Why did you deliver coffee while meeting dozens of VCs?

▲True partnership is needed between Korea Venture Investment and VCs. It’s not a superior-subordinate relationship but a win-win one. We needed to increase skinship. I decided to meet representatives directly to hear about the venture investment industry status and policy suggestions for the fund of funds. I have already visited more than twenty firms selected for the first and second regular fund of funds investment projects this year. I always bring coffee with both hands when I visit. The response is good, and they seem to think, ‘Something might change now.’ I learned a lot about their requests and will work on improvements next year.

-You emphasize ESG (Environmental, Social, and Governance) among the four core growth strategies.

▲The four core growth strategies are advancing fund of funds management, activating private master funds, globalizing the venture investment ecosystem, and spreading ESG. We plan to officially announce ESG research soon. As a government agency with a significant focus on intangible value, we have considered how to measure and monetize this value. We will report how much government money was invested, the policy value achieved, and the financial value derived. Our goal is to achieve policy objectives while generating more financial returns to create sustainable venture finance. Since these are intangible, we want to concretely calculate and show things like job creation.

-You are working to revive investment sentiment in bio companies.

▲Together with the Ministry of Health and Welfare, we are investing 35 billion won to create a 150 billion won venture fund. The main investment area has expanded to cover the entire bio-health sector, including pharmaceuticals, medical devices, and digital therapeutics, allowing broader investment. We reduced the burden on fund managers and lowered financial risks for private investors. Formation of venture investment associations and new technology business investment associations is also permitted. Joint investment with other policy institutions is notable. Upon final selection, the fund of funds budget of 35 billion won can be supplemented by an additional 25 billion won from the Korea Development Bank and Industrial Bank of Korea, supporting 40% of the fund formation target. The Ministry of Health and Welfare and policy financial institutions will work together to ensure timely and sufficient investment for growth of bio-health SMEs and ventures.

Yu Woong-hwan, CEO of Korea Venture Investment, is using the stairs to move to his office. CEO Yu is known not only for himself but also within the company as a health keeper and happiness keeper. Photo by Kang Jin-hyung aymsdream@

-You recently published a book titled 'Semiconductor Passion.'

▲It is a tribute to my late father, Yoo Je-wan, who devoted his life to the development of Korea’s semiconductor industry, and also contains the most practical and direct advice for the industry’s advancement. The title ‘Passion’ has multiple meanings: ‘hot war’ (熱戰), ‘biography’ (列傳), and ‘martyr’s story’ (烈傳). My father foresaw semiconductors as the future growth engine in the 1980s and made early investments in Samsung Semiconductor. Although Samsung Electronics now boasts a global semiconductor status, I sometimes think that if my father’s opinions had been more reflected during the merger, even better results might have been achieved.

-How should we envision the future of semiconductors?

▲In the semiconductor war, large corporations and politicians must become more desperate. I hope they strongly feel why a healthy ‘semiconductor ecosystem’ is necessary. Only then can sustainable semiconductor growth and Korea’s sustainable development be possible in the long term. Otherwise, in the global semiconductor war, Korea might ultimately lose everything, including its semiconductor industry and future.