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[Alpha Biz=(Chicago) Reporter Paul Lee] LG Electronics, which is expected to perform well in the second quarter following the first quarter that exceeded market forecasts, will continue its "War-Room" system.
LG Electronics decided to maintain the War-Room system, which was operated in October last year, for the time being without a separate end. Good performance is expected in the first half of the year, but as its goal at the time of its launch was to "change the constitution for sustainable growth," not figures such as sales and operating profit, the company does not let go of tension until this is achieved.
War-Room is evaluated as a motivation for LG Electronics' solid turnaround in the first quarter of this year. LG Electronics also pointed to War-Room as the background for the surprise performance despite global economic uncertainties and the recession in the home appliance market.
In the fourth quarter of last year, when War-Room was just in operation, LG Electronics' profit was 65.5 billion won, down 91.2% from a year earlier. On the other hand, operating profit is expected to reach KRW 1.4974 trillion in the first quarter of this year. Company-wide efforts to carry out organizational tasks through War-Room have led to results.
The core mission of LG Electronics Warroom in the second quarter is to strengthen the physical strength of non-home appliances. Along with the growing battlefield and business-to-business (B2B) business, the company will focus on expanding its business portfolio that reduces its dependence on home appliance hardware (HW).
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
