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Samsung Company The Organization
Samsung organizational structure is divisional and the company is divided into three key divisions: IT & Mobile Communications (IM), Consumer Electronics (CE), and Device Solutions (DS). The rationale behind the choice of divisional organizational structure relates to Samsung’s large product portfolio and differences between products and services the company offers to the market.
Culture: Samsung’s corporate culture focuses on achieving a high degree of technological innovation involving human resource development strategies. In theory, a company’s organizational culture involves the customs, core values, and traditions.
• Types of Samsung organizational culture: 1. Development of opportunities for all employees 2. Passion for excellence 3. Constant change 4. Ethical foundation for integrity 5. Emphasis on prosperity for all
HRM: It examines the key elements of the HRM systems, such as employee selection, grading and promotion, performance appraisal and pay systems. It also describes the logic and direction of such changes.
HRM in practice: 1. Fair treatment of employees 2. Continuous professional development 3. Encouraging creativity and facing development
4. Labour-management consultation 5. Fair management without discrimination 6. Diverse channels for open communication
Profitability: Samsung Electronics has smashed its record for the highest profit in a single quarter, according to guidance issued by the company today. Samsung expects to have made 17.5 trillion won ($15.5 billion) in operating profit off 65 trillion won ($57.5 billion) in revenue in the third quarter of 2018, a 20 percent increase year on year and nearly 12 percent higher than the company’s previous record of 15.64 million won from the first quarter of this year.
Survival: Washington: A top Samsung executive reportedly said in a 2012 memo that was revealed in a court, that the company`s survival strategy solely depended on beating Apple in the mobile market. According to Cnet, during cross-examination of Dale Sohn, the former CEO of Samsung`s US mobile business, Apple attorney Bill Lee presented an internal Samsung document from April 2012 that said the company targeted Apple. Sohn said in the document that beating Apple is no longer merely an objective, adding that it is Samsung`s survival strategy, adding that Samsung must take consumers back from them and generate the type of brand loyalty that Apple currently enjoys. He added that the company`s top priority was the Galaxy Note phablet, which launched in October 2011. In his note, Sohn said that with that hybrid phone and tablet device, Samsung had the ability to outsell the iPhone and make the Note the most desired smartphone in the industry, the report added.
The Group Communication: John Burton says: In order to win back consumer confidence after the debacle of the Galaxy Note 7, Samsung Electronics needs to improve its communications strategy. If Samsung has been more open and transparent, it would have built up a reservoir of goodwill with the media that would serve it well during the bad times. But as the company's now faces the greatest crisis in its history, one can detect a measure of schadenfreude in the media reports of its woes. This communications failure is also reflected in the way Samsung has handled the recall of the Note 7, which threatens to turn into a huge PR disaster. Not only is Samsung to expect to suffer losses of $5.4 billion in profits through March 2017, but it could pay a greater cost in terms of reputational damage for the brand and marketing of its products. As you can see , communication is important aspect of company , in all meanings that it has(Communication between company workers and communication between company and society).
Leadership Samsung has seen a decline in their sales of the direct competitor for the iPhone, the Galaxy S9. Who announced it? Samsung. Not a person, but the company, Not one person but “executives” are quoted. What we are seeing is a difference in leadership, culture and branding. The leadership in Apple is visible. They are easy to find. They are also prepared to carry the can. If Apple makes a bad move, the shareholders will be gunning for people they can see. But they are also cheering and clapping those people when they make the right decisions, and Apple make more right than wrong moves. There are two types of leadership going on here. The visible, responsible, engaged, public leader that is Tim Cook, and the invisible and corporate leadership of Samsung. It can be explained by the mentality of Korean people. A company is not one person, but people working in it.
Power and politics: Samsung is known around the world for its smartphones. But in its home market of South Korea, the huge company is a whole lot more than just a tech brand. Its businesses reach deep into many parts of people's lives, from the cradle to the grave. Samsung plays an outsize role in the country's economic life. Samsung is one of South Korea's chaebols -- large, family-controlled conglomerates that have dominated
the country's economy for decades. Samsung's success at home and abroad -- it's the world's largest maker of smartphones -- has made it a key symbol of South Korea's economic transformation. The country went from one of the world's poorest countries after World War II to one of the richest in recent year.
The Individual It is the creativity and diversity of the people who work at Samsung that has made us one of the world’s most innovative companies, and our people continue to drive our innovation forward. We have a passion for what we do, and our work environment is open and collaborative which facilitates sharing of the unique knowledge and expertise that each individual brings. This is a place where you can work with great people and your ideas can be brought to life in new products and solutions that are shaping the future of how we live.
Diversity in organization: “We value and celebrate our current diverse workforce. It is embedded in all we do, and every employee plays a part. We embrace and value differences — whether race, ethnicity, gender, age, military status, religion, sexual orientation, or views — we are committed to building an inclusive culture”. In Samsung company we see that diversity in high-level.
Emotions and moods: Emotions and mood can affect temperament, personality, disposition, and motivation. They can affect a person's physical well-being, judgement, and perception. Emotions and mood can cloud judgment and reduce rationality in decision-making. Hiring employees with high emotional intelligence is important for companies such as Samsung, whose marketer have frequent social interactions with customers. In keeping with Samsung mission "to create superior products and services, thereby contributing to a better global society,” the company selects workers who relate well to customers. At Samsung, emotional intelligence plays an important role in job performance, as the company enjoys a loyal customer base and a reputation as one of the most admired companies in the world.
Motivation: Motivation is a key part of a satisfactory job. As we already know, motivation is the driving forces that help one to achieve their goals. Quite simply, if employees aren’t motivated, then they are not setting goals and their work will suffer. That is why it is important for managers to apply effective techniques in order to properly motivate their employees. At Samsung, managers take extra care to ensure their employees are highly motivated and working efficiently. In order to motivate its workers, Samsung applies McClelland’s Learned Needs Theory. The basis of this theory is that there are three factors that motivate an individual: affiliation, achievement and power. As far as affiliation goes, Samsung provides a suitable work environment and the employees seem to be content with working with one another. As for achievement, this is shown from the grand scale of success that Samsung as achieved as a whole. It is one of the world’s most renowned technology companies. Knowing that they’re providing goods and that their hard work has a purpose helps keep the employees motivated. Lastly, power comes to employees in the form of promotions. Samsung provides equal promotion opportunities to all its employees that work hard. When employees have a greater sense of power within their job, they will then feel more motivated. By applying McClelland’s Learned Needs Theory, Samsung maintains sufficient levels of employee motivation within its company.
Perception and decision making: Method which used by Samsung company
• Leader calls a meeting
• listens to the issues and ideas of innovation
• deliberated until he/she is sure of the decision
• decision is announced to the group
This method is employed by many businesses & government agencies.
Attitudes Attitudes follow behavior. Apple, in the smartphone market, is the market leader for several years, the
brand already has significant brand loyalty and positive consumer attitudes worldwide. Now we look at its main competitor Samsung, who has introduced the Note and Galaxy series in recent years. The goal for Samsung, of course, is to change the attitudes of Apple’s customers in order to replace Apple’s market leader position. In order to achieve this goal, Samsung has positioned its smartphones as better and more innovative and implying that Apple is losing market share. (Fix Station, 2013) In this case, Samsung, as the major competitor of Apple, by using the attitude strategy of changing beliefs about Apple, to claim that Samsung’s smartphones are better than Apple’s in order to change consumer’s attitude towards Apple. In addition, Samsung is good at building relationship with an admired group, for example, Samsung planned a famous selfie moment at the Oscars as a part of its sponsorship for the Oscars with ABC.