In December, LS Industrial Systems was named one of the world’s 100 most innovative companies by financial information provider Thomson Reuters for last year.
Based on such accomplishments, LS plans to actively run open innovation activities with top companies in the Silicon Valley.
KH: You have chosen “green business” as LS Group’s next-generation growth engine. What kind of vision do you have on green business and what is LS doing to make this a strong opportunity for growth?
Koo: This is a time of fundamental paradigm change in industrial environment with rapid changes in green and smart technologies as well as the fast rise of emerging markets.
We are thoroughly preparing ourselves as now is the chance for LS.
LS is aggressively investing in smart grid, renewable energy, electric car parts and resource recycling businesses, which will lead the group’s future growth.
I have been exchanging views on the global trends in smart grid technology and the direction of related industries with our researchers through lunch meetings called the “smart grid club.”
KH: Please explain about LS Group’s strategies in these emerging economies and advanced markets such as the U.S. and Europe.
Koo: As our major business area is related to infrastructure, we see plenty of business opportunities in China and other emerging economies that are speeding up growth.
We sort the markets by region and product, and draw up specified strategies for each market.
In China, we plan to concentrate on high-end power cables such as submarine cables and high-voltage, direct current transmission systems, and smart grid businesses. We are also seeking partnership opportunities with Chinese companies to take part in electric car charging infrastructure projects as well as development and supply of electric car parts.
In India and Southeast Asia, LS is looking for business opportunities in upgrading the power infrastructure by applying the smart grid concept and enhancing energy efficiency.
We are pushing for business cooperation with partners including Tata Group, one of the largest conglomerates in India that has a similar management philosophy and business areas with LS .
I visited India in January and met with Tata chairman Ratan Tata, who was truly a magnificent and admirable person.
LS is actively searching for partnership chances with local companies in Southeast Asia. South America will be highly important for LS too in the future.
KH: How does LS explore new technologies and new businesses?
Koo: To quickly grasp the latest industrial and technological trends, and develop promising business models, LS is fattening investment in the Silicon Valley.
We decided to invest in Silicon Valley’s clean tech fund and through this, we plan to chalk up technological or business partnerships in smart grid, electric vehicles, recycling and renewable energy.
By combining our business with U.S. funds, which are good in exploring and managing new technologies, we will tap into the high-growth clean tech market.
KH: Please describe the global talents LS needs and how the group fosters such human resources.
Koo: With subsidiaries and branch offices in some 100 cities across 20 countries, LS is making progress as it bumps shoulders with global corporations.
LSpartnership applies in global management as well; the spirit of trust, respect and consideration from a global point of view is what we need.
We need talented people that can put LSpartnership into practice, or create a bigger value through working together.
We pursue capable people with positive and bright energy, creativity who aim to become the top experts in their fields. The group’s training institute called the LS Future Center and each of our affiliates cooperate to systematically foster such talents from fresh recruits to executive-level.
By Kim So-hyun (email@example.com