Volume 2 Issue 38

1
Volume 2 Issue 38
September 26, 2005
CEO Message
Customers Drive Growth for LGE
A corporations activities should begin and end
with its customers. Customers are the basis of a
corporations survival and the driving force
behind continuous growth No organization can
survive if it forgets who its customers are.
Even the Blue Ocean strategy is only viable if
we can identify customer needs in advance.
From the September CEO Message
Vice Chairman and CEO LG Electronics
LGE Pride
Top Appliance Trade Magazine Praises LGE
Appliance, the top trade magazine in the U.S.
appliance industry, recently complimented LG
Electronics as being on the way to claiming the
top spot in the appliance market. The feature
article in the magazine, which introduced the DA
Companys design, RD, and innovation activities,
was based on a visit by magazine reporters to the
LG Electronics appliance factory in
Click to see the original Appliance article
Changwon. The article said that LG Electronics is
gaining the trust of customers and attention of
all consumers through its focus on becoming a
Great Company with Great People. It also
attributed the DA Companys great performance to
premium design, technological savvy, and
cost-cutting efforts in the manufacturing
process. Appliance has a readership of about
34,000 people, mostly appliance industry
analysts, engineers, and technicians.
.
It Looks Good in Red
In a further walk away from white-colored white
goods, LG Electronics introduced the new Red
Steam TROMM washing machine. LGE originally
introduced pink, blue, and black front-loading
washing machines in May, and based on their
popularity, LGE is now releasing a Wine Red
colored washing machine. It is priced at
approximately US1,400. Like the earlier models,
the red washers front panel can be changed to
different colors if desired. We wanted to take
the lead in attracting younger customers who like
the ability to express themselves differently,
said Washing Machine Division President, S.J.
Cho. Colored TROMM washing machines currently
make up 40 of those sold by LGE in Korea.
.
LGE WAY
LGE WAY Everyday
LGE WAY Everyday
Achieving Fast Growth in Australia
H
ave you ever wondered where LG Electronics
slogan Lifes Good came from? According to a
recent LG News Report, it came from Down Under!
When LGE was looking for a way to increase brand
presence in Australia in 1997, it started looking
for a slogan to
Click for LG News Report
match the Australian market. After looking at
hundreds of suggestions, the Australian
subsidiary, LGEAP, chose Lifes Good because it
so accurately matched the Australian lifestyle.
Now, that slogan enjoys 85 awareness in the
Australian market. Also, LGE has become the top
electronics company there and is No. 1 in seven
product categories. That includes 30 market
share in PDP TVs, 24 in LCD TVs, and 29 in
front-loading washing
machines. This market leadership began when LGE
launched a Fast Growth strategy (part of the
LGE WAY Growth Strategy) along with the Lifes
Good slogan in the 1990s. Premium products
quickly boosted sales to US240 million in 2000.
That tripled to US830 million in 2004, and sales
are currently on track to top US1.2 billion this
year. When LGE successfully implements Fast
Growth company-wide, we will achieve the Global
Top 3 by 2010.
.
This column has introduced examples of the LGE
WAY in action. Now it is your turn! You can
submit specific examples of how you, your group,
your division, or anyone around you has applied
the LGE WAY. Entries must be based on a
specific principle in the LGE WAY (click here
for a list). Submit to lgeway_at_lge.com. Your
picture and your biography will be included if
your entry is published. .
Change Challenge
Change Agents Guiding Change at the Group Level
A
s stated in the last issue of the LGE WAY
Worldwide, leaders play an important role in
guiding change inside their organizations. But
they cannot do it alone. Thus, leaders have
chosen some of their best employees as Change
Agents (CA) to help implement the LGE WAY. You
may have noticed them in your own workplace. They
may stand out because of their bright smiles,
energetic spirits, and determination to achieve
the
Global Top 3 by 2010. CAs are chosen for each
group inside Korea, and in each department in all
subsidiaries and most branches. They do all
different types of work but also dedicate part
of their time to creating the changes needed in
their group. Thus, CAs can appropriately apply
the LGE WAY in their group according to their
groups unique situation. Some CAs may need to
work on energizing and motivating their group.
Other CAs may have a motivated group, and instead
they can focus on improving communication or
increasing teamwork. At the end of the year, CAs
have part of their annual evaluation based on
their CA activities during that year. The best
CAs are also given awards during the GCGP
Festival in Korea each year. Future issues of the
Worldwide will introduce some of these CAs and
their activities. .
LGE WAY Knowledge Quiz
What part of Trust Leadership directs leaders to
delegate authority and give timely feedback?
Click Here For the Answer
Published by LG Electronics / Corporate Culture
Group Please refer questions, comments, and
suggestions on content to lgeway_at_lge.com