LG reorganizes its management and business structure to boost its growth

The Korean multinational LG Electronics has presented the changes of the organization, with new management teams and business areas to strengthen its position in the market and improve the value and experience for its users.

A key piece in this reorganization strategy of LG Electronics, whose incorporations will be effective next 1 December, while the promotions will take effect on 1 January 2023, is the creation of Corporate customer experience center (CX Center – Corporate Customer Experience Center), who will report directly to the board of directors of the multinational.

The new CX Center is led by the executive vice president Lee Chul-bae, former director of Corporate design management center (in the image above), with the goal of creating an expanded and fluid user experience. Besides, will develop strategies and initiatives to reinforce innovation in each phase of the relationship with the user, from product planning and customer service to new future business models.

Besides, This center will also include the company's customer strategy division. (CX strategy division), Responsible for discovering and promoting global company objectives and basic tasks, as well as the Customer Research Center (LSR customer research center), formerly called Life soft research lab (LSR).

The Business Platform Center (Platform business center) of the company will have a new role within the integration and organization of the LG ThinQ services, responsibilities until now distributed among several departments.

Since its opening in July 2021, the Platform business center has managed the creation of a data-driven fan community. From now on, This center will be led by the vice president of LG, Ki-hyun Jing Jing Ki-hyun, who joined the company in September of this year.

To 2023, and according to the official statement, LG will continue to focus on improving its supply chain management (SCM) and deepen its digital transformation (DX). For this purpose, the until now Procurement and SCM management center of the company has been renamed as Global operation center (Global Operations Center).

Specifically, This center now incorporates the functions of the production planning division, that have been transferred from Production engineering research institute (Production Engineering Research Institute), in order to create synergies between key operations of the company, like production, purchasing and SCM, through improvements based on digital technologies.

Besides, and to reinforce growth with a more efficient organization, LG will improve the agility of its decision-making systems in its four main business units.

Lyu Jae-cheol (in the top left image), director of household products division Home Appliance & Air solution (H&A), has been promoted to president, in recognition of their success in the results of the same, after working in different areas of the home products business since 1989, including development and production departments.

For your part, Eun Seok Hyun (in the attached right image), division director Vehicle component solutions (VS), has been promoted to vice president. Under your responsibility, This business area has achieved operational stability, improving its benefits and building a consolidated portfolio that encompasses key technologies for the future of mobility.

The company has also announced that, within the division of H&A, the teams Living appliance business y Kitchen appliance business will be renamed Living solution business y Kitchen solution business, respectively, aligning with LG's renewed focus on customer experience innovation and promoting the expansion of content and services.

Audio and video division Home entertainment (HE) will increase your ability to create value for the user, for which it has a new R&D team in Indonesia within the division, and in this way improve the global collaboration of this area and the different manufacturing centers in the world.