LG Electronics President Ryu Jae-cheol: Daily 1% Progress Creates 40-Fold Advantage

Ryu Jae-cheol, President of LG Electronics, emphasized the need to rebuild fundamental competitiveness in quality, cost, and delivery to win against rapidly advancing competitors.
 
On May 10, LG Electronics reported that Ryu made these remarks during his first town hall meeting with all employees at LG Science Park in Magok, Seoul. He urged, "Let’s focus on revealing problems and executing to create a top-tier LG Electronics that grows together with its employees."
 
During the meeting, Ryu redefined LG Electronics' unique working methods and organizational culture innovation campaign as 'Reinvent 2.0' and outlined the direction for change.
 
Having joined the company in 1989 as a researcher at Geumseong's home appliance research institute, Ryu shared his philosophy developed over 37 years, stating, "A daily 1% improvement may seem small, but after a year, it can create a gap of about 40 times. Conversely, a daily 1% decline can lead to a regression of about 1,480 times in a year."
 
He continued, "What we must always remember and practice is to accumulate 1% of change every day. The competitiveness we will build in the future starts with today's 1% improved actions. Let’s achieve small changes and innovations every day."
 
Since 2022, LG Electronics has been promoting the Reinvent campaign, encouraging employees to create enjoyable changes. The company aims to enhance the execution of core values such as growth and communication through the newly established 'Reinvent 2.0' this year, accelerating changes in working methods.
 
Ryu stated, "We need to think about ways to succeed rather than reasons for failure, and we need a new approach that can lead to significant innovations rather than small fixes. I will lead efforts to create an atmosphere where revealing problems is encouraged, starting from the management level."
 
He also discussed the company's performance in the first quarter and the business environment for the remaining quarters, emphasizing the importance of recognizing the realities the company faces from the perspective of revealing problems.
 
"Change is what we do best, and focusing on revealing problems and executing will accelerate the start of Reinvent 2.0," Ryu encouraged employees, adding, "Let’s believe in LG Electronics' innovative DNA and strength, and gather everyone's small changes to transform the future of LG Electronics."