Philosophy and Visions of the Samsung Group - Case Study Example

 Philosophy and Visions of the Samsung Group The Samsung Group is an outstanding South Korean Multinational Company(Youtube,2011) having its headquarters at Samsung Town, Seoul. It has a wide range of subsidiaries like Samsung Electronics, Samsung Heavy industries, Samsung Engineering and Samsung C & T. One fifth of South Korea’s exports are accounted for by Samsung and its revenues exceed the GDP of several countries. It is the driving force behind the “miracle on the Han River” which refers to the tremendous economic growth rate of South Korea leading to its economic prosperity. This company was founded in the year 1938 by Lee Byung-Chull. Lee Kun-hee is the current President and the CEO of the Samsung Group while Lee Soo-bin is the president(and CEO) of Samsung Life Insurance. The Samsung Group covers a wide range of diversified products and services ranging from Electronics and Engineering commodities to services like advertisement The reputation and viability of any institution or company is associated with a set of values and principles that define its basic standards in relation to its performance and its movement in to the future. The Samsung Group is not an exception to this tenet. The inner philosophy of the institution strives to strengthen its goals and visions providing the basic pedestal supporting its functioning. Samsung follows a robust but a magically simple philosophy that blends the pragmatic features of the industry and the society in general with the aesthetic values of service and dedication. Creation of a better global society is a bottom-line principle associated with the Company policies. There is a continuous effort to bring the best talents to this end so that they may work towards the welfare of mankind through the dedicated efforts of the industry in its aims and objectives. Connecting people all over the globe through a variety of products and services is an overarching point with the Samsung group so that all concerned in the process get enriched and benefited in every conceivable manner consistent with the industry. Welfare of the employees and their prosperity is one of the primary objectives with the robust enterprise of the Samsung Group. The moral adherence and the allegiance of the staff/personnel of Samsung, just like any other prosperous company, is possibly one of its biggest assets. Industry is just not a bunch of technologies at work but a conglomeration of human efforts and the sincere participation several people involving the psychological aspects of human participants working within the framework of company strategies. A company cannot stand in isolation from the broader aspects of the human society, its aspirations and its problems. The Samsung philosophy takes care of this in a remarkable manner through its visions and guidelines. The basic values practiced by Samsung may be summarized under the following headings: People: An effort to provide prosperity to employees and other people involved with the industry Excellence: Passion for excellence in every area concerned. Change: Adaptation to fast changes in the global economy Integrity : Maintaining proper ethical standard and ensuring fairness and transparency. Co-Prosperity: Creating opportunity for others---proving itself to be a responsible corporate citizen. The Samsung Global Code of Conduct (Samsung, 2011) laid officially by the Samsung Electronics is in full conformity with the best standards one can think of. This Code of Conduct lies at the heart of the industry and it throbs vibrantly in the discharge of all its activities across the Globe.. What Samsung has to say abut its standards has been illustrated in the diagram below: The Samsung Global code of conduct aims at making it a world leader in the corporate area. There are seven clearly defined factors to be identified with the world leading Samsung: 1. Dream, Vision and Goal of the industry in its forward movement into the future. 2. Creativity and Challenge as important aspects of the company policies. 3. Insight and good sense in all formulations in relation to the industry. 4. Technology and Innovation to ensure greater benefits to the customers ensuring wealth and prosperity. 5. Trust and credibility guiding the industry in its interaction with the clientele. 6. Speed and velocity ensuring rapid response to speedy changes in the business environment. 7. Change and innovation needed for adaptation to global trends. Some basic points in the official code of conduct of Samsung electronics have been delineated below: 1. Compliance with Laws and Ethical Standards 2. Maintenance of clean organization culture 3. Respect for customers ,shareholders and employees 4. Caring for environment ,health and safety 5. Presenting itself as a socially responsible corporate citizen Samsung Electronics has the vision: , "Inspire the World, Create the Future.". Other companies of the Samsung Group have always shared this vision through their activities and achievements. The three key issues highlighted by the company are: “New Technology,” “Innovative Products,” and “Creative Solutions.” . They are designed towards promoting new values for Samsung's core networks ----Industry, Partners and Employees. Samsung, for the implementation of its visions, has charted out a targeted plan of reaching $400 billion in revenue and securing a confirmed position among the world’s top five brands by 2020. The strategic aspects of “Creativity,” “Partnership,” and “Talent.” in relation to their management approach is expected to be a vital factor in this ambitious program. Since the first quarter of 2012, Samsung Electronics has overtaken Nokia in the manufacture and the sale of mobile phones. There is also a plan with Samsung to convert half of its Austin chip to a more profitable one. That would involve a spending of three to four million dollars and the conversion process is expected to start by early 2013. Samsung strategies have been depicted in the figure below: Samsung looks forward to building up its future on its past accomplishments---an optimistically envisaged future encompassing diversification and proliferation into new territories like health medicine and biotechnology. A commitment towards a responsible and a creative leadership in the rapidly growing global market is one of the core issues in their venture. This venture combines harmoniously the visions of the Industry, the Partner Groups and the overall interests of the employees.  The achievements of the Samsung Group are in step with its philosophy and visions. What started as a small trading company in 1938 with only forty employees is now a giant organization unrivalled in power , motivation and its endless striving for excellence. The rise of Samsung in the 1990 s was marked by its construction branch being awarded the contract to build one of the two Petronas towers, Teipei 101 and the Burj Khalifa in the Arab Emirates. In 1992 it became the second largest chip maker after Intel and in 1995 Samsung launched its first liquid-crystal display screen. Later in ten years time it became the world’s largest liquid crystal display screen manufacturer. In the year 2006 it went into collaboration with Sony in the S-LCD joint-venture. Incidentally in the year 2006 Samsung had acquired the Sungkyunkwan University foundation. Such success of this industrial group speaks volumes for its robust philosophy. The success of Samsung is an example of perfect implementation of theory and philosophical principles in the practical aspects of an organization striving to rise above mere commercial gains ----an effort to gain an involvement in the broader spectrum of human activities and concerns. One may easily predict its safe and successful voyage into the future. Works Cited Samsung Electronics Co., Ltd , Global Code of Conduct, Mar 2011, Web. 5th Dec,2012. Evenechad, Youtube,7th November 2011. Web. 5th December,2012. ,  Read More