LG Electronics streamlines overseas research organizations Number of overseas research organizations down to 22
Translated by Kim So-in 공개 2021-11-19 09:03:48
이 기사는 2021년 11월 19일 08:02 thebell 에 표출된 기사입니다.
South Korea’s LG Electronics has carried out a major reorganization of its research organizations this year.The company has streamlined research organizations under chief executive officer (CEO) as it discontinued operations of the mobile communications (MC) unit. It has also consolidated its overseas research institutes in the United States and China.
The company aims to cut costs through streamlining research organizations. LG Electronics spends more than 3 trillion won ($2.54 billion) on research and development (R&D) every year. The company plans to enhance the efficiency of managing researchers so that it could strengthen its ability to acquire patent rights and develop technologies.
The number of LG Electronics’ research organizations under its CEO has declined to 54 from 58 at the end of June, according to the company on Wednesday. The company’s Home Appliance & Air Solution (H&A) Control Research, Yantai MC Lab, MC North America R&D Lab, and LG Technology Center of America (LGTCA) have been consolidated.
The H&A Control Research has played a pivotal role in research on technologies such as artificial intelligence (AI) and adopting them into LG Electronics’ home appliances. It is said that the company has decided to consolidate the organization as its research on AI is on track and some of the roles in the H&A R&D unit are overlapped.
Changes were also made to the overseas research organization. The number of overseas research organizations has been reduced to 22 from 27 at the beginning of this year. The company has closed down LG Technology Center Moscow (LGTCM) in Russia and LG Technology Center Europe (LGTCE) in Germany, while opening up one in the Czech Republic.
After its decision to withdraw from the MC business, LG Electronics shut down its domestic MC research organizations and started a process to restructure Yantai and North American MC research organizations. China now has four research labs while there are only two left in North America.
LG Electronics is expected to reshape its remaining Latin American MC R&D team and European MC R&D team in the near future depending on the company’s overseas business strategy.
LG Electronics shut down its LG Electronics (Shanghai) Research and Development Center (LGCNC). LGCNC recorded total assets of 10.2 billion won and a net profit of 68 million won in the third quarter. The company has decided to exclude LGCNC from its consolidated financial statement in a move to enhance the efficiency of the operation of its research organizations. LG Electronics recognized a loss of 178 million won in the third quarter due to the liquidation of LGCNC.
Meanwhile, LG Innotek increased the number of research organizations to six in June from two. It newly established research organizations for each business unit, including optics solutions and substrate and materials.
There is a possibility of an additional restructuring as LG Group is expected to conduct a large-scale personnel reshuffle at the end of this year. (Reporting by Hyun-ji Sohn)
< 저작권자 ⓒ 자본시장 미디어 'thebell', 무단 전재, 재배포 및 AI학습 이용 금지 >
관련기사
best clicks
최신뉴스 in 전체기사
-
- 수출입은행, 상반기 출자사업에 14곳 출사표
- 카카오, 2억달러 교환사채 발행 '공식화'
- [Red & Blue]수급 몰리는 피제이메탈, 알루미늄 시세 급등 '수혜'
- 이에이트, 가천대·길병원과 '디지털 트윈 병원' 구축 MOU
- [멀티플렉스 재무 점검]베트남만 남은 롯데시네마 해외사업
- [뮤지컬 제작사 열전]EMK컴퍼니, 고속성장 비결은 '대기업과 10년 동맹'
- 모트롤 인수 추진하는 두산그룹, 3년 전과 달라진 건
- [LG화학의 변신]패착된 NCC 증설, 자산 유동화 '제값 받기' 관건
- [캐시플로 모니터]포스코인터 '조단위 투자' 거뜬한 현금창출력
- [항공사 기단 2.0]'공격 확대' 에어프레미아·이스타, 매출·리스 줄다리기