Samsung Announces Management Shake-Up

A lot has been happening to Samsung in the last few months. For instance, one of its top officials was sentenced to five years in prison for bribery and...

A lot has been happening to Samsung in the last few months. For instance, one of its top officials was sentenced to five years in prison for bribery and corruption charges. On Tuesday this week, the South Korean company announced that it was changing its management in an effort to boost the reputation of the company. These changes will take place even in the highest ranks. Other than making smartphones, Samsung has built a reputation for making microchips that are used on a number of electronics. Other than the jailing of one of its former executives, a prominent patriarch from the ruling family has been in a comma for the last three years. Things got worse about three weeks ago when a senior executive in the company decided to resign abruptly. The resigning executive is regarded as one of the leading executives who had played a huge role in implementing the company’s business model. However, it’s important to realize that the bad reputation has not diminished the innovativeness of the company. At the same time, the electronic giant has remained very profitable. As a matter of fact, the company announced the second highest profits in single quarter on Tuesday. The newly appointed managers will play a huge role in ensuring that the company remains profitable and competitive. Most of these managers have been drawn from the deep ranks of the professional management that the company maintains.

Some of the three executives include Kim Kinam. He will be in charge of the lucrative components of the business. The other executive will be H.S.Kim, and he will be in charge of consumer electronics as the chief. Finally, the last executive will be D.J. Koh who will be responsible for the mobile-device division. At the same time, they will serve as co-executives in the company once they are appointed to the board. However, for this to happen, each will require the approval of the shareholders. The first executive Kim Kinam will replace Kwon Oh-hyun who has been credited as the mastermind behind the successful and profitable components business. This is the branch that is responsible for producing a number of chips that have many customers from around the globe. Mr. Kwon is the executive who retired without notice. In his resignation letter, he said that Samsung needs a new leadership as it had been confronted by an unprecedented crisis. Mr. Lee, on the hand, was promoted to become the chairman of the board.

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