Samsung Group(2)
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By mani sajnani
SAMSUNG Innova Innovatio tion n is cruci crucial al to Samsun Samsung's g's busine business. ss. As new tec techno hnolog logies ies are are being being constantly introduced to the market, speed is essential for remain-ing competitive in
today's
digital
era,
and
new
markets
have
to
be
pioneered
continuously.Through the interplay of creative, imaginative people; people; a global global R&D network ; an organisation that encourages collaboration and cooperation among business partners all along the supply chain; and a strong commitment to ongoing investment,, Samsung has put R&D at the heart of everything we do. The Samsung investment Group (Korean (Korean:: 삼 성 그 룹 ) is the world's largest conglomerate by revenue, [3] headquarters in Samsung Town, Town, Seoul, Seoul, South Korea. Korea. It is South Korea's Korea's largest chaebol and composed composed of numerou numerouss internationa internationall affiliated affiliated businesses, businesses, most of them the m un united ited und under er the Samsun Samsung g brand, brand, includ including ing Samsung Samsung Electronic Electronicss, the the [4][5] [5][6] [6] world's largest electronics company, [4] Samsung Heavy Industries, Industries , the world's
second second largest largest shipbuilder[7] and Samsung Samsung C&T, C&T, a major major global global const construc ruction tion company. These three multinationals form the core of Samsung Group and reflect its name - the meaning of the Korean word Samsung is "tristar" or "three stars". Samsung Samsung has been the world's world's most popular consumer consumer electronic electronicss brand brand since since 2005 and is the best known South Korean brand in the world. [8] Samsung Group accounts for more than 20% of South Korea's total exports[9] and is the leader in many domestic industries, such as the financial, financial, chemical, chemical , retail and entertainment industries. The company's strong influence in South Korea is visible throughout the nation, which has been referred to as the "Republic of Samsung".
Samsung Group has reason to sing. The charbroil (family-controlled conglomerate) has surpassed its former archrival, the t he erstwhile Hyundai Group, to become the #1 business group in South Korea. Samsung's flagship unit is Samsung Electronics, which is the world's top maker of DRAMs and other memory chips, as well as a global heavyweight in all sorts of electronic gear, including LCD panels, DVD players, and wireless phones. Other affiliated
companies include credit-card unit Samsung Card, Samsung Life Insurance, Insurance, Samsung SDS (IT services), Samsung Securities, and trading arm Samsung C&T Corporation.
Welcome to Samsung for 70 years, Samsung has been dedicated to making a matt matter er thro throug ugh h dive divers rsee bu busi sine ness ss that that toda today y span span adva advanc nced ed tec techn hnol olog ogy, y, semiconduc semiconductors, tors, skyscrap skyscrapers ers and plant construc construction, tion, petrochem petrochemicals icals,, fashion, fashion, medicine medicine ,finance, ,finance, hotels hotels and more. more. Our flagship company, company, Samsung company company leads the global market in high tech electronics manufacturing and digital media.
Through innovative, reliable products and services talented people, a responsible approach to business and global citizenship and collaboration with our partners and customers, Samsung is taking the world in imaginative new directions.
Samsung India is the hub for Samsung's South West Asia Regional operations. The South West Asia Headquarters, under the leadership of Mr. J S Shin, President & CEO, looks after the Samsung business in Nepal, Sri Lanka, Bangladesh, Maldives and Bhutan besides India. Samsung India which commenced its operations in India in December 1995 enjoys a sales turnover of over US$ 1Bn in just a decade of operations in the country. Headquartered in New Delhi, Samsung India has widespread network of sales offices all over the country . The Samsung manufacturing complex housing manufacturing facilities for Color Televisions, Mobile phones, Refrigerators and Washing Machines is located at Noida, near Delhi. Samsung 'Made in India' products like Color Televisions, Mobile phones and Refrigerators are being exported to Middle East, CIS and SAARC countries from its Noida manufacturing complex. In November 2007, Samsung commenced the manufacture of Color televisions and LCD televisions at its state–of-the-art manufacturing facility at Sriperumbudur, Tamil Nadu. The Company is also manufacturing fully full y automatic front loading washing machines at its Sriperumbudur facility
Background Background
Samsung is the world's leading consumer electronics brand and one of the top twenty global brands.
View of the Samsung logo inside the Time Warner Center in New York City. Currently helmed by Lee Soo-bin, Soo-bin, CEO of Samsung Life Insurance, Insurance , it has been run by generations of one of the world's wealthiest families, formerly by chairman Lee Kun-Hee, Kun-Hee, the third son of the founder, Lee Byung-Chull. Samsung Group also owns the Sungkyunkwan University, University , a major private university in South Korea, with many of its graduates being employed by Samsung Group affiliates. Many major South Korean corporations such as CJ Corporation, Corporation, Hansol Group, Group, Shinsegae Group and Joong-Ang Ilbo daily newspaper were previously part of the Samsung Group. Though they are still controlled by ex-Chairman Lee Kun-hee's relatives, they are no longer officially Samsung affiliates. Some leading companies in South Korea, notably MP3 player manufacturer iriver and search engine portal Naver, Naver, were were estab establish lished ed by ex-Sam ex-Samsun sung g emplo employee yees. s. A large large number number of South South Korean firms, particularly those in the electronics industry, are dependent on Sam Samsun sung for for the the supp supply ly of vita vitall compo ompon nents ents or raw mater ateria ials ls such such as semiconductor chips or LCD panels. This has led to continued allegations of price fixing and monopolistic practices. Samsung Group accounts for more than 20% of South Korea's total exports [9] and in many domestic industries, Samsung Group is the sole monopoly dominating a single market, its revenue as large as some countries' total GDP. GDP. In 2006, Samsung Group would have been the 34th largest economy in the world if ranked, larger than that of Argentina. Argentina.[11] The company owns or has taken over so many mid to smal smalll size sized d bu busi sine ness sses es that that it is often often calle called d a 'col 'colon onia iall empi empire re'' or 'hun 'hungr gry y dinosaur'. The company has a powerful influence on the country's economic development, politics, media and culture, being a major driving force behind the Miracle on the Han River; River; many businesses today use its international success as a role model.
The result is that all of our products—from memory chips that help businesses A digital leader a responsible global citizen a multi faceted families of companies an ethical business samsung is all of these and more. At samsung group and samsung electronics our products our people and our approach to business are held to t o only the highest standards so that we can more effectively contribute to the better world.
The Samsung Philosophy At Samsung, we follow a simple business philosophy: to devote our talent and technology to creating superior products and services that contribute to a better global society. Every day, our people bring this philosophy to life. Our leaders search for the brightest talent from around the world, and give them the resources they need to be the best at what they dostore vital knowledge to mobile phones that connect people across continents— have the power to enrich lives. And that’s what making a better global society is all about.
Our Values We believe that living by strong values is the key to good business. At Samsung, a rigorous code of conduct and these core values are at the heart of every decision we make.
People Quite simply, a company is its people. At Samsung, we’re dedicated to giving our people a wealth of opportunities to reach their full potential.
Excellence Everything we do at Samsung is driven by an unyielding passion for excellence— and an unfaltering commitment to develop the best products and services on the market
Change In today’s fast-paced global economy, change is constant and innovation is critical to a company’s survival. As we have done for 70 years, we set our sights on the future, anticipating market needs and demands so we can steer our company toward long-term success.
Integrity Operating in an ethical way is the foundation of our business. Everything we do is guided by a moral compass that ensures fairness, respect for all stakeholders and complete transparency.
Co-prosperity A business cannot be successful unless it creates prosperity and opportunity for others. Samsung is dedicated to being a socially and environmentally responsible corporate citizen in every community where we operate around the globe.
VISION AMD MISSION Our Vision Samsung is guided by a singular vision: to lead the digital convergence movement.
We believe that through technology innovation today, we will find the solutions we need to address the challenges of tomorrow. From technology comes opportunity —for busines businesses ses to grow, grow, for citizens citizens in emerg emerging ing markets markets to prosper prosper by tapping tapping into the digital economy, and for people to invent new possibilities. It’s our aim to develop innovative technologies and efficient processes that create new markets, enrich people’s lives and continue to make Samsung a trusted market leader. Growing to be the best
Samsung India aims to be the 'Best Company' in India. 'Best Company' in terms of the internal workplace environment, our manpower, our products as well as our efforts to make our customers happy through our products and services. Samsung aims to grow in India by contributing to the Indian economy and making the lives of our consumers simpler, easier and richer ri cher through our superior quality products. "Our aim is to gain technological leadership in the Indian marketplace.
Our Mission Everything we do at Samsung is guided by our mission: to be the best “digital Company
Samsung grew into a global corporation by facing challenges directly. In the years ahead, our dedicated people will continue to embrace many challenges and come up with creative ideas to develop products and services that lead in their markets. Their ingenuity will continue to chart Samsung’s course as a profitable, responsible global corporation.
SAMSUNG PROFILE 2008
PERFORMANCE Wherever you are... in the hustle of the streets or the comfort of the home...Samsung is part of the fabric of your life. As a global leader we are at the forefront of change, anticipating today what our customers around the world will want tomorrow.
2007 Financial Overview (WON/DOLLARS/EUROS) (WON/DOLLARS/EUROS) 2007 Financial Overview AMOUNTS IN BILLIONS WON DOLLARS EUROS Net Sales* 161,847.4 174.2 127.2 Total Assets 284,165.5 30 302.9 205.7 Total Liabilities 180,833.2 192.7 130.9 Total Stockholder's Equity 103,332.3 110.1 74.8 Net Income* 12,873.7 13.9 10.1 [Amounts in billions] Won/U.S. dollar yearly average exchange rate: 929.20/1, Won/Euro: 1,272.72/1 Won/U.S. dollar as of the end of December 31, 2007: 938.20/1, Won/Euro: 1,381.26/1 Financial data includes Samsung affiliates ending their fiscal year at the end of March 2008, such as Samsung Life Insurance, Samsung Fire & Marine Insurance, Samsung Securities, Samsung Investment Trust Management. Management.
Markets
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Samsung is currently the world's No. 3 maker of compact cameras.
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Samsung is the world's largest producer of DRAM of DRAM,, SRAM and Flash Memory. Memory.
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Samsung is a leading manufacturer of computers such as the Q1 Ultra Mobile PC. PC.
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Samsung is the world's largest manufacturer of LCD of LCD displays.
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Samsung, the world’s number one manufacturer of CRT and TFT computer monitors.
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Samsung is the world's 4th-largest manufacturer of Hard of Hard disk drives.
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Samsung SDI Co., the world's second- largest maker of Lithium-ion batteries.
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Samsung is the world's second- largest maker of multifunction printers
Device solutions business Currently, Samsung has sixteen products that have dominated the world’s market share, including: DRAM, DRAM, color cathode-ray tube TVs (CPT, CDT), SRAM, TFTLCD LCD glas glasss subs substr trat ates es,, TFTTFT-LC LCD, D, ST STNN-LC LCD, D, tune tuner, r, CDMA CDMA hand handse set, t, colo colorr television (CTV), monitor, flash memory, LCD Driver IC (LDI), PDP module, PCB for handheld (mobile phone plates), Flame Retardant ABS, and Dimethyl Formamide (DMF).
Plus in the Television market, Samsung and LG make the only screens for LCD TFT televisions and then later sell them on to the other companies. According to Interbrand and BusinessWeek, Samsung’s brand value ranked 43rd (USD 5.2billion) in 2000, 42nd (USD 6.4 billion) in 2001, 34th (USD 8.3 billion) in 2002, 25th (USD 10.8 billion) in 2003, 21st (USD 12.5 billion) in 2004, and 20th (14.9 billion) in 2005 among top global companies. In terms of export that directly contributes to the Korean economy, Samsung took up 18.1% of the all exports with USD 31.2 billion in 2000 and 20.7% with USD 52.7 52.7 bill billio ion n in 2004 2004.. In add ddit itio ion, n, Sam Samsung sung's 's tax tax paym paymen ents ts to the the Kore Korean an gove govern rnme ment nt in 2003 2003 was was KRW KRW 6.5 6.5 trill trillio ion, n, whic which h is abou aboutt 6.3% 6.3% of tota totall tax tax revenue. The market value of Samsung in 1997 reached KRW 7.3 trillion in 1997, which amounted to 10.3% of the Korean market but this figure increased to KRW 90.8 trillion taking up 22.4% in 2004. Moreover, the annual net profit of Samsung marked KRW 5.8 trillion in 2001, KRW 11.7 trillion in 2002, KRW 7.4 trillion in 2003, and KRW 15.7 trillion in 2004, showing forth a steady increase. In order to enhance the working environment and build a strong and trustworthy foundation, the semiconductor sector of Samsung Electronics has been conducting a ‘Great Workplace Program’ called GWP since 1998. Then, in 2003, GWP has spread spread thr throug oughou houtt the ent entire ire Samsun Samsung g Group Group as Samsun Samsung g Fire Fire and and Marin Marinee Insura Insurance nce,, Samsun Samsung g SDI, SDI, Samsun Samsung g Everl Everland and,, Samsun Samsung g Corpor Corporatio ation, n, Cheil Cheil Industries, Samsung Networks, and others started to apply its core principles. In 2006, 9 subsidiary companies of Samsung Electronics, 80 overseas branches, and 130 overseas business sectors have reported that they are actively applying the GWP. Dramatic surge in Net Profits starting in the late 90's: $2.2 billion (1999), $7.3 billion (2000), $8.9 billion (2002), $11.8 billion (2004).
Samsung's Brand Value conducted by Interbrand of the world's top 100 brands: $6.4 billion (2001), $8.3 billion (2002), $10.8 billion (2003), $12.5 billion (2004), $14.9 billion (2005). Market Capitalization (Ratio to the total market value of all Korean listed stocks): A dramatic increase from 7.3 trillion KRW, 10.3% of the total national listing value in 1997. At the end of 2004 national listing value in 22.4%. Samsung's Annual Profits Growth: $4.5 billion (2001), $8.9 billion (2002), $5.6 billion (2003), $11.8 billion (2004) and Debt-to-Equity Ratio Decrease: 104% (2000), 78% (2001), 68% (2002), 56% (2003), 51% (2004)
Affiliated companies Samsung is comprised of companies that are setting new standards in a wide range of businesses, from consumer electronics to petrochemicals, from advertising to life insurance. They share a commitment to creating innovative, high quality products that are relied on every day by millions of people and businesses around the world.
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Samsung SDI
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Samsung Corning Precision Glass
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Samsung SDS
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Samsung Networks Samsung Techwin
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Samsung Mobile Display
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Samsung Digital Imaging
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Samsung Heavy Industries
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Samsung Total Petrochemicals Petrochemicals
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Samsung Petrochemicals
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Samsung Fine Chemicals
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Samsung Life Insurance Insurance
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Samsung Fire & Marine Insurance
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Samsung Card
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Samsung Securities
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Samsung Investment Trust Management Management
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Samsung Venture Investment
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Samsung C&T Corporation
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Samsung Engineering
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Cheil Industries
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Samsung Everland
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The Shilla Hotels & Resorts
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Cheil Worldwide
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S1 Corporation
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Samsung Medical Centre
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Samsung Human Resources Development Centre
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Samsung Economics Research Institute
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Samsung Lions
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The Ho-Am Foundation
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Samsung Foundation of Culture
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Samsung Welfare Foundation
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Samsung Life Public Welfare Foundation
From stylish phones to the semiconductor, from DRAM to digital tvs, samsung encompases a variety of businesses that harness speed, creativity and efficiently to invent, develop and market the products that are defining how we live today. With more than a quarter of samsung employees engaged in research and development,
each of our businesses is focused on discovring new technologies,products and services that will open a new world of possobilities for the people who use them. Circular investment
The relatio relations ns of Samsun Samsung g compa companie niess are are very very complic complicate ated. d. Acco Accordi rding ng to the Financial Supervisory Service of South Korea, Samsung Everland owns 13.3% of Samsung Life Insurance; Samsung Life Insurance holds 34.5% of Samsung Card and 7.2% of Samsung Electronics, as well as more of other Samsung companies. Samsung Electronics in turns keeps 46.0% of Samsung Card and stocks of other Sams Samsun ung g comp compan anies ies;; and and fina finally lly,, Sams Samsun ung g Card Card hold holdss 25.6 25.6% % of Sams Samsun ung g Everland. The family of Lee Kun-hee owns 40% of Samsung Everland, whilst Samsung Card holds 25.6%, and related people have another 30%. Thus it is thought that Lee controls 95% of Samsung Everland. Control of one company, through the circular investment, enables the Lee family to control other Samsung companies despite having only relatively minor holdings.
Thro Th roug ugh h inno innova vativ tivee tec techn hnol olog ogy, y, distin distinct ctiv ivee desi design gns, s, and and a du dual al focu focuss on conve convenie nience nce and and value value,, Samsun Samsung g has has remain remained ed at the forefro forefront nt of the digita digitall revo revolu luti tion on we help helped ed laun launch ch.. We lead lead the the globa loball digi digita tall marke arketp tpla lacce by contin continual ually ly launc launching hing new new produc products ts that that not only only meetmeet- but also also antici anticipat pateecustomers' demands. The Digital Media & Communications Business also encompasses world-leading, premium home appliances that are stylishly designed, equipped with convenient digital digital features, features, and environm environmentally entally friendly. Our lineup includes refrigerato refrigerators, rs, air conditioners, washers, ovens, vacuum cleaners and other appliances that are indispensible in today's households.
A
premium
brand
image
has
powered
Samsung's
growth
in
the
telecommunications category. We lead the global telecommunication industry with the the wides widestt rang rangee of mobil mobilee ph phon ones es on the the mark market et toda today y - incl includ udin ing g 3G and and multimedia phones - in addition to telecommunication systems. Our mobile phones, phones, admired admired by customer customerss around around the world, enhance enhance mobile lifestyles while meeting the diverse needs of the mobile marketplace. We've led the standardisation of next-generation mobile phone technologies t echnologies such as Mobile WiMAX WiMAX and and High-Sp High-Speed eed Downlin Downlink k Packet Packet Access Access (HS (HSDPA DPA)) to solidif solidify y our our alliances with phone carriers around the world. The busine business ss also also compri comprises ses per perso sonal nal comput computers ers and and MP3 MP3 player players, s, creat creating ing synerg synergies ies acros acrosss platfor platforms. ms. We merge merge the latest latest mobile mobile tec techn hnolo ology gy with with core core compu computing ting tec techno hnolog logy y for the PC bu busin siness ess,, while while mobile mobile tec techno hnolog logies ies - also also combine combine with our world-leadin world-leading g power power efficiency efficiency and design design to enhance enhance MP3 player capabilities. Our goal is to use our leadership in technological convergence to guide the industry as it takes mobility to the next level.
Everyday, Everyday, more than a quarter of all Samsung employees—40,000 people—engage in research and development to discover the next generation of powerhouse pro produ duccts that that will will take take ever everyd yday ay life life beyon eyond d the the ordi ordina nary ry—b —bey eyon ond d imagination. The company’s thrust on Product Innovation and R&D have given the company a competitive competitive edge in the marketplace. marketplace. Samsung Samsung has two Software development development centres - Samsung India Software Centre (SISC) and Samsung India Software operations
unit
(SISO)
at
Noida
and
Bangalore
respectively.
While the Samsung India Software Centre in developing software solutions in Samsung’s global software requirements for hi-end televisions like Plasma and LCD TVs and Digital Media Products, SISO is working on major projects for
Samsung Electronics in the area of telecom: wireless terminals and infrastructure, Networking, SoC (System on Chip) Digital Printing and other multimedia/digital media as well as application software. In addition to working on global R&D projects, SISO is also helping Samsung India’s Mobile business by focusing on product customisation for the Indian market. Samsung India currently employs around 2000 employees across its R&D Centres at Noida and Bangalore. Samsung India is also carrying out Hardware R&D at its Noida R&D Centre. The focus of the R&D Centre is to customise both Consumer Electronics and Home Applian Appliance ce produ products cts to bet better ter meet meet the nee needs ds of India Indian n consu consume mers. rs. From From Flat Flat televisions with 'Easy View' technology, Frost free refrigerators with Stabiliser free operations to Semi automatic washing machines with Silver Nano technology, the Samsung R&D Centres in India are helping the company to continuously innovate and introduce products customised for the Indian market.
R&D at Samsung People Onee of Sams On Samsun ung' g'ss stro strong nges estt asse assets ts is our our team team of talen talented ted rese resear arch cher erss and and engineers. More than a quarter of all Samsung employees—42,000 people—work everyday in research and development, and we expect that number to surpass 50,000 by 2010. At—and among—our 42 research facilities around the world, they collab collabora orate te on strate strategic gic tec techno hnolog logies ies for the fut future ure and and origin original al tec techno hnolog logies ies designed to forge new market trends t rends and set new standards for excellence.
Organisation Samsung's R&D organization has three layers. The Samsung Advanced Institute of Tech Technolog nology y (SAIT), (SAIT), Samsung's Samsung's technology technology competitive competitiveness ness in core core business business areas areas,, identif identifies ies growt growth h engine enginess for the futu future, re, and and overse oversees es the securi securing ng and and management management of technology. The R&D centres of each business focus f ocus on technology that is expected to deliver the most promising long-term results. Division product
development teams are responsible for commercialising products scheduled to hit the market within one or two years.
Investment A criti ritica call way way that that Sam Samsung sung respo espond ndss to the the high highly ly un unccerta ertain in bu busi sine ness ss envi enviro ronm nmen entt and and the the incr increa easi sing ngly ly comp competi etitiv tivee mark market etpl plac acee is thro throug ugh h our our commitment to R&D. Each year we invest at least 9% of our sales revenue in R&D activities. Samsung is committed to leading technology standardisation and securing intellectual property rights.
Global R&D Network Innova Innovatio tion n is a global global ent enterp erpris risee at Samsun Samsung. g. Our resear research ch and and develo developm pment ent network spans six Samsung centres in Korea and 18 more in nine other countries, including the United States, the United Kingdom, Russia, Israel, India, Japan and China, as well as other research centres and universities. Closely linked, these centres are tasked with hiring top-notch local talent, investigating the latest local technology trends, and bringing to life those technologies that offer the greatest benefits. R&D Areas and Centre Name Centre Name R&D Areas Sams Samsun ung g Info Inform rmat atio ion n Syst System emss Strategic egic parts America, Inc. (SISA) Dallas Telecom Laboratory (DTL) Sams Samsun ung g
Elec Electro troni nics cs
Institute (SERI) Moscow Samsung Centre (SRC) Samsung Electronics
Rese Resear arch ch
and
component ents,
core
technologies Technologies and products for next-generation telecommunications systems Mobile phones and digital TV software
Research Op Optic tics, s, softw softwar aree algo algorit rithm hmss and and othe otherr new new technologies India System software for digital products, protocols
Software Operations (SISO) for wired/wireless networks and handsets Samsung Telecom Research Israel Hebrew software for mobile phones (STRI)
R&D Areas and Centre Name Centre Name R&D Areas Beijing Samsung Mobile telecommunications standardisation and Telecommunication Telecommunication (BST) Samsu Samsung ng Semico Semicondu nducto ctorr R&D (SSCR) Samsung
commercialisation for China China China
Semiconductor packages and solutions
Electronics Softw Softwar are, e, digi digita tall TVs TVs and and MP3 MP3 play player erss for for
(China) R&D Centre (SCRC) China Sams Samsun ung g Yoko Yokoha hama ma Rese Resear arch ch Core next-gener next-generation ation parts parts and compone components, nts, Institute
digital technologies
Samsung’s state of the art, highly automated manufacturing facilities are located at the Company’s sprawling Complex at Noida and its recently inaugurated Sriperumbudur facility, near Chennai. Samsung India’s Noida CTV Plant enjoys the Number 1 position amongst all Samsung subsidiaries in terms of its Colour television productivity and has been ranked as the subsidiary with the ‘Best Quality System’. The manufacturing capacities of Samsung products manufactured at the t he Noida Facility are as follows: PRODUCT CTV Colour Monitor Refrigerator Washing Machine Mobile phones
DETAILS Flat TVs & LCD TVs CRT & TFT LCD Monitor Frost-free and Conventional Refrigerators Fully Automatic and Semi Automatic GSM Handsets
The highly advanced Chennai Facility that t hat has been inaugurated in November 2007 will help the Company respond better and faster to the growing demand for its products in the Southern part of the country. The Samsung manufacturing facility at Sriperumbudur is the Company's second manufacturing complex in the country.
Samsung India is working with and contributing to the development of the domestic component industry in the country. The Company is working with its partners to improve their product quality and processes. Thus, Samsung vendors are sent to different d ifferent Samsung subsidiaries to meet the Samsung overseas vendors in order to benchmark their own processes. Samsung is also training its vendors on eco-partnership so that the t he components manufactured by them are ‘eco friendly’ as per ROHS norms. Samsung products manufactured in India currently enjoy an average localisation level of over 50%.
Patent Innovations It is among the top innovators in the U.S. where Samsung topped the patent list with over 7,400 patents granted, nearly 1,000 more than IBM IBM.. Elsewhere, the situationquite different. Only one non-European firm (Samsung) made it into the top ten in Europe.
Ther There e are are many many ways ways in wh whic ich h Sams Samsun ung g act act as a Soci Social al Citizen Choose an area below to learn how Samsung is making a difference. •
Social Welfare
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Culture and Arts
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Volunteer Services
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Academics and Education
Social Welfare Samsung lends support to people and their communities in many different ways. Our current area of focus is on investing in teenagers’ futures, through support of scienc sciencee edu educa catio tion n and and creat creative ive thinkin thinking g that that enc encour ourage agess leader leadershi ship; p; assis assisting ting children children in low-income low-income families by supporting supporting educational educational infrastruc infrastructure, ture, and discoverin discovering g and supporting supporting outstanding outstanding students; students; and supporting supporting program programmes mes that encourage family well-being. We also carry out programmes in these areas at each of our eight volunteer centres.
Culture and Arts Samsung provides support for diverse artistic and cultural activities around the worl world. d. Over Over the the year years, s, Sams Samsun ung g has has cont contrib ribut uted ed exte extens nsiv ively ely to nu nume mero rous us museums, galleries and exhibits in Korea and in many countries, including the United States and France. The Samsung Museum of Modern Art collects preserves and exhibits modern and contemporary art from Korea and abroad, while the Samsung Children's Museum, the first of its kind in Korea, invites children have fun exploring the world they live in. Samsung also hosts and supports various cultural events for children and programmes that encourage their early artistic development.
Volunteer Services In 1995, Samsung launched the Social Contribution Corps to encourage employees to get involved in community service. The initiative has since expanded to eight volunteer centres across Korea, manned by social welfare experts who support the develo developm pment ent of employ employee ee volun volunteer teer progra programm mmes. es. Ou Ourr emplo employee yeess use the their ir expertise and skills to give back to local communities, and each employee donates an average of 10 hours to community-based projects
Academics and Education Strengthening the minds and fostering the creativity of young people is a primary focus of many of Samsung’s programmes. Samsung is a major supporter of the Kore Korea a Yout Youth h Scie Scienc ncee Olym Olympi piad ad,, the the coun countr try’ y’ss most most pres presti tigi giou ouss scie scienc ncee comp competi etitio tion n for for juni junior or,, middl middlee and and high high scho school olss and and the the Natio Nationa nall Stu Studen dents ts Creativity Olympiad, aimed at encouraging inventiveness among students from junior junior to high high school school levels. levels.
OLYMPIC SCHOLARSHIP PROGRAM FOR INDIAN ATHLETES Digital technology leader, Samsung India has announced a Samsung Scholarship Prog Progra ramm mmee to supp suppor ortt seve seven n top top India Indian n athl athlete etess as they they prep prepar aree for for the the forthcoming Beijing Olympics. The 'Samsung Olympic Ratnas' who have been identified
for
this
Scholarship
are:
- World Shooting Champion 2006, Rajiv Gandhi Khel Ratna Award Winner 2006 and and Sam Samsung sung Olym Olympi picc Br Bran and d Amba Ambass ssa ador dor : Mana Manavj vjit it Sing Singh h Sand Sandhu hu - Silver Medal Winner at the 2004 Athens Games and Rajiv Gandhi Khel Ratna Award
Winner
2004
:
Rajyavardhan
Singh
Rathore
- First Indian shooter to win a World Championship Gold in Zagreb in 2006 and Rajiv Gandhi Khel Ratna Award Winner in the Year 2001 : Abhinav Bindra - Silver Medal Winner at the Commonwealth Games 2006 and Rajiv Gandhi Khel Ratna
Award
Winner
2003
:
Anjali
Bhagwat
- Silver Medal Winner at the Commonwealth Games 2006 and 2007 National Games
:
Avneet
Kaur
Sidhu
- First Indian Archer to qualify for the Olympics and Gold Medal winner at the Archery
World
Cup
2007
:
Dola
Banerjee.
- 2007 National Boxing Champion and Silver Medal Winner at the SAF Games 2006
:
A
L
Lakra
Patterned on the Olympic Solidarity Fund, the Samsung Scholarship Programme will suppo support rt the training training expens expenses es of the these se player playerss for a perio period d of one one year, year, between October 2007 and September 2008. Samsung India has also become the 'Olympic Partner' for the Indian delegation to the 2008 2008 Beijin Beijing g Olympi Olympics. cs. Th Thee Compa Company ny will will be the Off Offici icial al Sponso Sponsorr in the category of Consumer Electronics, IT and Telecommunications. On the Samsung Olympic Scholarship Programme, states Mr. H B Lee, President & CEO, CEO, Samsun Samsung g South South We West st Asia Asia HQ HQ,, "Ou "Ourr Olymp Olympic ic progra programm mmee seeks seeks to support the training needs of these seven, high potential, high caliber athletes, who we hope can return from Beijing with Medals for the country. Hence, the term 'Samsung Olympic Ratna' for them." Samsung India's association with the t he Indian Olympic Association commenced with the 1998 Bangkok Asian Games and ever since the Company has supported the Indian Contingent to the Y2000 Sydney Olympics, Y2002 Busan Asian Games, the Y2004 Athens Olympics and now the 2008 Beijing Olympics
It has been our continuous endeavour to bring alive the pride and spirit of the Olym Olympi pics cs for for our our Indi Indian an cons consum umer ers. s. Over Over the the comi coming ng few mont months hs,, we will will continue to organise Olympic related events in India to build interest and support for the Olympics and the Indian team." states Mr Lee. Samsung Electronics, the parent Company of Samsung India, is the Proud Partner for the 2008 Olympic Torch Relay and is a Top Olympic Partner. This Year,
Samsung Electronics has also announced its support for the Olympic Movement over the next eight years, till the 2016 Olympic Games.
PRODUCTS IT business products Monitors Mobile Computing P3 Channel Partner Program Data Projectors
Printers & Multifunction •
Black and White Laser Printers
•
Color Laser Printers
•
Black and White Multifunction Printers
•
Color Multifunction Laser Printers
•
Supplies and Accessories
•
Printer Knowledge Center
Professional Displays •
Large Format LCD
•
Large Format Plasma
•
Home Theater Projectors
•
Knowledge Center
Telecommunication •
Business Telephone System
•
Mobile
•
Enterprise
•
Solution
•
Home
Set-top box
•
HDTV Tuners
•
Digital Video Recorder
•
Digital Satellite Receiver
•
Digital Terrestrial Receiver
•
Digital Cable Receiver
CCTV •
Camera Monitor
•
DVR
•
Network
•
Controller
•
EZ View
•
Housing & Mount
what's new Samsung Announces Announces Production of Next-gen Nonvolatile Memory—PRAM Samsung has begun producing 512-Mb PRAM memory - a new non-volatile memory technology that features high-performance and low power consumption. PRAM (phase change random access memory) is expected to usher in the next generation of non-volatile memory technology for mobile devices, particularly multimedia handsets and smartphones. More scalable than other memory architectures being researched, PRAM combines the speed of RAM for processing functions, with the non-volatile characteristics of flash memory for storage. Also, by using PRAM, the battery life of a handset can be extended over 20 percent.
Products Products Consumer Products •
Mobile phones - CDMA, GSM
•
Televisions - LED TV, LCD TV, Plasma TV, DLP TV
•
Audio/ Audio/Video - Blu-ray, Home theater, t heater, Home theater projectors, MP3 players, DVD players, Digital set top box
•
Cameras & Camcorders - Digital cameras, Camcorders Camcorders
•
Computers & Peripherals - Mobile computing, Desktop monitors, Data projectors, Digital photo frame, Hard disk drive, Optical disc drive
•
Printers & Multifunction - Monochrome laser printers ,Color laser printers, Monochrome laser multifunction printers & faxes, Color laser multifunction printers & faxes, Supplies & Accessories
•
Home appliances - Refrigerators, Washers & Dryers, Ranges, Dishwashers, Microwaves, Air conditioners, Vacuum cleaner
•
CCTV - Camera, Monitor, DVR, Network,Controller, EZ View, Housing & Mounts
•
Business Products - Mobile computing, LCD monitors, Data projector
•
TelecommunicationTelecommunication- Business telephone systems
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Set Top BoxBox - Digital video recorder, Digital satellite receiver, Digital terrestrial receiver, Digital cable receiver
New Business Area •
May 21, 2009 - Samsung enters wind turbine market [52]
•
Jul 5, 2009 - Samsung Engineering Wins $2.6 Billion Oil Refinery Project In Algeria[53]
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Jul 8, 2009 - Samsung wins $1.6 bln Saudi refinery order from Satorp(Joint Satorp(Joint venture set up by Saudi Arabia's state-run oil company Aramco and France's Total S.A.) S.A.)[54]
•
Jul 13, 2009 - Samsung partners with Coca-Cola on new vending machines[55]
•
Jul 14, 2009 - Samsung & Gallant Air Conditioning open the Air Conditioning Training School in Mansfield UK.
•
Jul 14, 2009 - Samsung-Bosch battery venture buys U.S. Cobasys from Chevron Corporation[56]
•
Jul 15, 2009 - Samsung to invest $389 million in biosimilars: biosimilars: report(Reuters)[57]
•
Jul 16, 2009 - Hyundai Motor, Motor, Samsung Join for Car Chips
•
Jul 20, 2009 - Samsung Electronics to Invest $4.3B in Green
[58]
Transformation : report(Reuters) [59] •
JUL 28, 2009 - Samsung Heavy Gets $5B Offshore LNG Facility Order From Royal Dutch Shell[60]
•
Jul 29, 2009 - Samsung, LG, and SK Telecom to jointly develop chips [61]
•
Aug 03, 2009 - BMW to use Bosch-Samsung Bosch-Samsung batteries for e-car; MUNICH; Germany — SB — SB LiMotive, a joint venture of Bosch and Samsung focused on the production of lithium ion batteries, has announced its first customer: BMW will use SB LiMotive batteries to power its electric cars.
Main competitors
•
Camcorder — Sony, — Sony, Panasonic
•
Laser printer — HP — HP,, Brother Industries, Industries, Xerox Corporation, Corporation , Epson
•
Laptop computer — HP — HP,, DELL, DELL, Acer Inc, Inc, Lenovo
•
Video projector — Epson — Epson
•
MP3 players — Apple — Apple Inc, Inc, Iriver
•
Home appliances — Whirlpool, Whirlpool, Electrolux (AEG), LG LG,, General Electric, Electric, Bosch-Siemens
•
Optical disc drives — LG, — LG, Toshiba
•
Home cinema — Sony, Sony, Philips, Philips, Panasonic, Panasonic, LG LG,, Onkyo, Onkyo, Yamaha, Yamaha, Denon, Kenwood Corporation
•
CCTV — Pelco — Pelco
•
Telecommunications Telecommunications equipment — Alcatel-Lucent — Alcatel-Lucent,, Nortel, Nortel, Ericsson
•
LED — LED — Nichia Nichia,, Osram
•
Shipbuilding — Hyunda Hyundaii Heavy Heavy Indus Industri tries es,, Daewo Daewoo o Shipbu Shipbuildi ilding ng & Marine Engineering
•
Photocopiers — Ricoh, Ricoh, Canon, Canon, Xerox, Xerox, Sharp Sharp Corpora Corporation tion,, Toshiba, Toshiba, Kyocera Mita, Mita, Panasonic
•
Fax — Xerox, Xerox, Sharp Sharp Corporatio Corporation n, Ricoh, Ricoh, Kyocer Kyocera a Mita Mita, Murata Machinery, Machinery, Toshiba, Panasonic
Chapter : 2
Introduction of organisational culture
Organisational Organisational culture
Introduction The intern internal al workin working g of every every organi organisat sation ion has has cer certain tain commo commonly nly per percei ceived ved psychological characteristics or traits which are collectively called its culture or mileu. These traits generally vary from organisation to organisation to organistion are relatively stable over the time and influence the behaviour of people in the organisation. Thus every organisation has its own unique culture.not only thiseven different departments of same organisation may have different cultures depending upon up on the the perc percep epti tion on of membe embers rs of the the depa depart rtme ment nts. s. Vari Variou ouss pers person onal al characteristics such as values,needs,attidutes,exceptions etc. determine the manner in which members are likely to perceive the various aspects of internal working.
“The culture of your organisation is the state of its health”. “A healthy healthy oragani oraganistio stion n is one one which which obviu obviuios ios eff effort ort made to get people people with different backgrounds,skills,and abilities to work together towards the goal of the oragnisation.”
An effective,culturally diverse organisation is one whose culture is inclusive of all of the varying groups and constituencies it intends to serve. The organisation’s values,vision,mission,policies,procedures and norms constitute a culture thjat is manifested in multiple perspectives and adaptability to varying values,beliefs and communication styles.
For many many compa companie niess the prop proper er implem implementa entation tion of an organ organisa isation tional al cultur culturee survey can prpvide valueable information that can be usedto guide and increase its success. However, Companies that choose to implement a survey must be prepared to respond to both positive and negative results, and work with employees to make improvements in the wprk environment. Failure to respond to employee feedback can ultimately increase the number number of workorce workorce problems problems experience experienced d within organisation.
Defining Culture Perception about an organisational goals and decisions that a manager should take to achieve these goals come not only from the formal control system but also through the informal organisation. Both informal and formal structure combine to create what ia called organisational culture.
It influences morale and the attitude of the individuals towards his work and his environment. Organisation culture has been a popular concept in the theory and research for sometime and has received a great deal of attention in the past 25yrs.
Organisational culture is a system of shared beliefs and attitudes that develop within an organisation and guides the behaviour of its member. It is also also kn know own n as “cor “corpo pora rate te cult cultur ure: e:,, and and has has a major ajor impa impact ct on the the performance of organisation and specially the quality of work life experienced by the employ employees ees.. Organi Organisat sation ional al cultur culturee “ consis consists ts
of the norms norms,, values values and
unwri un written tten rules rules of conduc conductt ofan ofan organi organisat sation ion as well well as manage manageme ment nt styles styles,, priorities, beliefs and inter personal behaviours that prevail.
Concept of organisational culture.
•
Cultu Culture re impl implies ies a patte pattern rn of belie beliefs fs and and beha behavio viour ur.. It is culti cultiva vate ted d behaviour in the sense that it is learnt from the members of the society.
•
Organisatio Organisational nal culture culture is the totality of beliefs, beliefs, customs, customs, traditions, traditions, and valu values es sha shared by the the membe emberrs of the the orga rganisa nisati tio on. The cult cultu ure characteristics of an organisation are relatively enduring over time and relatively static in their prosperity to change .
•
Tog Togethe etherr they they create eate a clim limate ate tha that infl influ uenc ences how well ell peo people communicate ,plan and make decisions.
•
Strong values let people know that is expected of them. There are clear guid guideli eline ness as to how how empl employ oyees ees are are to beha behave ve gene genera rally lly with within in the the organisation an their expected code of conduct outside the organisation.
Nature of organisational culture The features of organisational culture are as under :
•
Like an individual every organisation has its own personality.
•
The personality of the organisation defines the internal environment of an organisation.
•
It differentiates an organisation from the others.
•
It relatively enduring or stable over the time.
•
It is perceived by the members and outsiders.
•
It exer exerci cise sess a sign signifi ifica cant nt influ influen ence ce on the the attit attitud udes es,, beha behavio viour ur and and performance performance of organisational members.
Sche Schein in
obser observe ved d that that atlea atleast st six six popu popula larr mean meanin ings gs coul could d be ascr ascribe ibed d to
organisational culture. These are :
•
The observed behavioural behavioural regularitie regularitiess in the interactions interactions,, language language and rituals of the organisation members.
•
The norms which evolve over a period of time in working groups.
•
The philosophy which guides the decisions and policies of an orgaisation.
•
Thee rules Th rules of the the game game one must must lear learn n in order order to be acce accept pted ed in the the organisation.
•
The domina dominant nt values values which which are expose exposed d by the organ organisa isatio tion(o n(orr by the dominant members of the organisation).
•
The climate that pervades and gets conveyed in the day to day functioning of the organisation.
Components of organisational culture It can be difficult to identify the large number number of organisational culture areas that exists. Recent research has identified over 460 different types of work environment
characteristics that have been measured. Many of these characteristics can be classified into the following major areas : jobs, roles, leader, organisation and workg workgrou roup. p. In many many compan companies ies the there re are are particu particular lar areas areas where where employ employee ee feedback would be useful.
The basis of organisational culture lies in the following :
•
Individual autonomy : i.e the degree to which employees are free to manage themselves or not accountable to others.
•
Position structure : i.e the extend of formalisation, centralisation and direct supervision.
•
Reward orientation : i.e the extend to which rewards are related to performance performance and the t he required system of behaviour in the organisation.
•
Consideration : i.e the extend to which the people in the organisation offer social emotional support to each other and work as a team. Whether the supervision is production oriented or people oriented?
•
of differences differences present present between individua individuals ls and Conflict : i.e the extend of departments and the way which they are resolved.
•
Risk taking : i.e the degree o freedom to experiment with new ideas, take risks and commit honest mistakes without fear of punishment.
•
Communic Communicatio ation n pattern patternss : the the deg degree ree to whic which h orga organi nisa sati tion onal al communications are restricted to the formal hierarchy of authority.
•
degree to which which manage managemen mentt focuse focusess on Outcome Outcome orientation orientation : the degree results or outcomes rather than on the techniques and processes used to achieve these outcomes.
Types of organisational culture
Authoritarian Authoritarian and participative participative cultures : In this type of culture. There is centralisation of power with the leader and obedience to orders and discipline are stressed. Any disobedience is punished severely to state an example to others. The basic assumption is that the leader knows what is good for an organisation and he always acts in its interests. Participative culture tends to emerge where most of the organisational members see themselves is equals and take t ake part in decision making.
Mechanistic and organic cultures : The mechanistic organisational culture exhi exhibi bits ts the the valu values es of bu bure reau aucr crac acy y and and so is call called ed ‘bur ‘burea eauc ucra ratic tic cultu culture re’. ’. Organisational jobs are created around narrow specialisations and people think of their careers mainly within these specialisations, authority is thought of as flowing down from the top of the organisation to the lower levels and communication flows through prescribed channels. There is a great deal of departmental loyalty And inter-departmental animosity. This sort of culture resists change and innovation.
In Or Organ ganic ic cultur culturee formal formal hiera hierarch rchy y of author authority, ity, dep depar artme tmenta ntall bounda boundarie ries, s, forma formall boun boundar daries, ies, formal formal rules rules and and regul regulati ations ons,, and and presc prescrib ribed ed chann channels els of comm communi unicat cation ionss are are forwar forward d upon. upon. Th There ere is a great great deal deal of empha emphasis sis on task task accomplishment, team work and free flow of communication-formal and informal. There is a widespread understanding within staffing of the problems, threats and opportunities the organisation is facing and there is willingness and preparedness to take appropriate roles to solve the problems. The culture stresses flexibility, consultation, change and innovation.
an organisation organisation Sub Culture and Dominant Culture : Each department of an may have its own culture representing a sub culture of the system. An organisation culture emerges where there is an integration of all the departments into a unified whole. Within any given unit, the tendency for integration and consistency will be assumed to be present but it is perfectly possible for coexisting units of a larger system to have cultures that are independent and even in conflict with each other.
Role and significance of organisational culture
•
Each organisation is recognised by its culture. Whenever people name an organi organisat sation ion,, the cultur culturee attach attached ed to the organ organisa isatio tion n is immedia immediately tely recalled. An organisation is distinctively different from other organisations by virtue of its cultural values, beliefs and norms. Besides this the following functions are performed by the organisational culture.
•
Organisational culture creates the boundary beyond which no employees are are perm permitt itted ed to go. go. Th They ey auto automa matic tical ally ly obse observ rvee the the orga organis nisati ation onal al standards and norms of behaviour.
•
An orga organi nisa satio tion n is well well reco recogn gnis ised ed by its cultu culture re,, the the cultu culture re of an organi organisat sation ion provid provides es its stabili stability. ty. People People prefer prefer to continu continuee with the organisat organisation. ion. Employees Employees,, customers customers,, financers financers and other related related persons persons prefer to remain with the organisation.
•
The social recognition of the organisational culture makes the organisation grow and develop in all dimensions.
•
Organisational culture acts as a motivator that guides and controls the employees. Satisfied employees get more and enthusiasm for performing the respective jobs.
•
The attitud attitudee and behav behaviou iourr of the employ employees ees are direct directed ed towar towards ds the achievement of goals through a sound culture. Disciplined employees make other employees disciplined and well behaved.
Advantages of organisational culture
•
The advantages of a sound organisational culture are ultimately reflected in employees performance and satisfaction. The image of an organisation is inc increase eased d and peop eople are sati satisf sfie ied d with with the the perfo erform rma ance nce of the the orag oragni nisa satio tion. n. Peop People’ le’ss satis satisfa fact ctio ion n lies lies in the the empl employ oyee eess smile smile.. It is instrumental to increased production and satisfaction.
•
A
stro strong ng cultu ulture re ensu ensure ress
bett better er perf perfor orma manc nces es..
Cult Cultur uree
enha enhanc nces es
organi organisat sation ional al comm commitme itment nt and and increa increases ses the consi consiste stenc ncy y of employ employee ee behaviour. It reduces ambiguity and tells implicitly what to do and how to do.
•
There The re is a great great deal deal of dep depar artme tmenta ntall loyalty loyalty and inter inter dep depar artme tmenta ntall animosity. This sort of culture resits change and innovation.
•
In the the orga organic nic cultu culture re,, form formal al hier hierar arch chy y of auth author ority ity,, depa depart rtme ment ntal al bound boundar aries, ies, forma formall rules rules and and regula regulation tions, s, and and presc prescrib ribed ed channe channels ls of communications are frowned upon.
•
There is great deal of emphasis on task accomplishment team work, free flow of communication- formal and informal.
•
There is a widespread understanding within staff of the problems, threats, and opportunities the organisation is facing and there is willingness and preparedness to take appropriate roles to solve the problems. The culture stresses flexibility, consultation, change and innovation.
Creation of culture Organisation culture provides the members with a sense of organisational identity and generates a commitment to beliefs and values that are larger than themselves.
Creati Creation on of organ organisa isatio tional nal cultur culturee is a very very length lengthy y and and complic complicate ated d proc process ess.. Accord According ing to a noted noted social social psych psycholo ologist gist,, Edgar Edgar Sch Schein ein,, evoluti evolution on of comm common on assumptions of the organisational members is the starting stage of creation of the organisational culture. These assumptions act as the basis of creation of shared values. Both assumptions and values are non observable elements of the culture. At the last stage, observable artefacts of the culture are developed . thus according to Edgar Schein culture exists on three levels: on the surface we find artefacts, underneath artefacts lie values and behavioural norms and at the deepest levels lies a core of beliefs and assumptions. Schein model of culture is shown in the figure and the three levels it depicts are described below :
Artifacts
Beliefs and values
Assumptions
A) Observable Artifacts : These are symbols of culture in the physical and social work environment and are most visible and accessible. Among the artefacts of culture are the following :
•
Organisational heroes : As a reflection of the organisation’s philosophy , this this dime dimens nsio ion n conc concer erns ns the the beha behavi viou ourr of top top exec execut utiv ives es and and their their lea leader dership ship styl styles es.. Th Thes esee lea leader ders bec become the the role mode models ls and a perso per sonifi nifica cation tion of an organi organisati sation’s on’s cultur culture. e. Th They ey rep repres resent ent what what the company stands for and reinforce the values of the culture.
•
Stories : Stories and myths about organisation’s heroes are powerful tools to reinforce cultural values throughout the organisation and specially in orienting new employees, these stories and myths are often filtered through a cultural network and remind employees as to why we do things in a certain way.
•
Symbols communic communicate ate organisatio organisational nal culture culture by Cultural symbols symbols : Symbols unspoken messages. Certain code or dress or company’s logo can reflect its value valuess and and orien orientat tation ions. s. Some Some of the materi material al artefa artefacts cts creat created ed by an organisation might also speak of its cultural orientation.
B) Shared Values : values are the second and the deeper level of culture and are reflected in the way individuals actually behave. Values reflect an organisation’s underlying beliefs as to what should be and what should not be. Values are those principles and qualities that shape our thinking and behaviour. Values are emotionally charged priorities. The are learned during the process of socialisation socialisation,, through through family environment environment of upbr upbringing inging and through through religious religious influences. Values are of two types : Instrumental and Terminal values. Instru Instrumen mental tal values values define define such such endur enduring ing beliefs beliefs that that cer certain tain behav behaviou iours rs are appropriate at all times irrespective of the objectives or outcomes. On the other hand, Terminal values are beliefs that certain more tangible objectives are worth striving for and the objectives become more important the appropriateness of the behaviour in achieving such objectives.
C) Assumptions : Assumptions are the deepest and most fundamental level of an organisation’s culture. These are deeply held beliefs which are not objectively observable but manifest themselves in the behaviour of people so strongly that any violat violation ion of such such beliefs beliefs would would be unt unthin hinkab kable. le. The These se commo common n assum assumptio ptions, ns, though expressed at the organisational level, can be traced to larger social and cultural values held by a particular society or nation.
MAINTIANING MAINTIANING A CULTURE Once a culture has been created there are practices within the organisation that help help kee keep p it alive. alive. Thr Three ee such such practi practices ces are are select selection ion proces processs action actionss of top management, management, and socialisation. socialisat ion. These are discussed as under :
•
Selection of Employees : The main purpose of selection is to procure right type of people for right jobs. When, for a given job, two or more candidates, with identical skills and abilities, are available, final selection is influenced by how well the candidate fits into the organisation. Its is by selecting the candidate who can culturally match the organistion culture.
•
Besi side dess manag anager eria iall visi vision on and and Acti Action on of top top manag anagem emen entt : Be philosophy, the action of top executives also have a major impact on the organisational culture. Through what they say and how they behave, senior executive establish norms that filter down through the organisation as to whether risk taking is desirable.
Differences and similarities between Culture and Climate Robert Owen’s (1987)contends that in education in the term has enjoyed wide usage in the past, but the more inclusive term organisational culture is rapidly coming into the use in the literature. One therefore needs to ask whether these terms are similar or whether they mean different.
literature is replete replete with definitions definitions of culture, culture, however there is a Culture : The literature high degree of agreement among writers and how it relates to and differs from climate. Schein (1985) defines culture as “the solution to external and internal problems that has worked consistently for a group and that is therefore taught to
new members as the correct way to perceive, think about and feel in relation to these problems.”
Dean and Kennedy defines culture “ consisting of patterns of thought, behaviour and artifacts that symbolises and give meaning of the workplace”.
Similarly
Killman
Etal
define
culture
as
“the
shared
philosphies,ideologies,values,assumptions,beliefs,expectations,attitudes and norms that that knit knit a commun community ity togeth together. er. All howev however er agree agree that that the these se “ interr interrela elated ted psychological qualities” indicate he groups agree, implicitly or explicitly, on how problems are solved and decisions made. In everyday usage it is typically described as “the way things are done around here” or “what people believe does or does not work in their workplace.
Schein contends that these” solutions eventually come to be assumption about the nature of reality, time, truth, space, human nature, human activity and human relati relation onship ships.” s.”
They The y eventu eventuall ally y bec becom omee taken taken for grant granted ed and drop drop out out of
awareness. Because of the human need for consistency and order, the assumption tend to form a pattern that is implicit, taken for granted and unconscious. It is only through a process of inquiry that they are brought to the surface.
Norms may be negative or positive. In our attempts to improve schools we often ask to asses and analyse their culture. In particular we focus on the norms that operate within the schools. We have found this to be extremely useful activity to help the school staff understand its basis of operation. In many cases the staff are quick qu ick to sugges suggestt mecha mechanis nism m for achiev achieving ing higher higher per perfor forma manc ncee and and impro improved ved morale.
At somewhat somewhat deep deeper er levels lie in the hidden assumptions, assumptions, according according to schein. These are the fundamental beliefs behind all decisions and actions. Examples of assumptions might be that all kids are lazy and evil, what worked in the schools in the past is good enough for today, personal gain more important than gain and I am here basically to teach.
At the deepest level of culture, according to schein is “ the collective manifestation of human nature the collection of human dynamics, wants, motives and desires that make a group of people unique. Because most organisations are collectively of individuals with unique wants and desires, understanding and changing culture can be difficult.
Deal contends that in order to understand the culture needs in a school one has to understand the symbolism that exists. These include the rituals, myths, traditions, rites and informal network of players and language. It is through these mechanism that human meanings and values are transmitted. t ransmitted.
Owen’s for example, contends that the bell schedule is one of the many powerful cultural symbols that help to create climate in our schools.
Climate : in that climate has been previously defined, only a brief summary is necessary. Essentially climate is the perception that individuals have of various aspe aspect ctss of the the inter interna nall envi enviro ronm nment ent of the the scho school ol and and that that influ influen ence cess their their behaviour. Climate is also closely associated with the notion of satisfaction. The determination of climate characteristics is usually elicited through the perception of respondents to a questionnaire.
Organisational climate which is integral to and yet only a part of an organisation’s culture culture is easier easier to change change than its culture. culture. Organisationa Organisationall climate climate is found in the private language of the organisation, such as the conversations about work among staff during coffee breaks. Climate is manifested in the observable routines and rewar rewards ds of the organ organisa isation tion.. The routines routines are the events events and practic practicee of an orga organi nisa satio tion. n. Th Thee rewa reward rdss pert pertai ain n to what what beha behavio viour urss get get ackn acknow owle ledg dged ed,, supported and rewarded.
The major similarities between the two concept pointed out by Rousseau(1988) based on the studies by different authors like James and sells, Joyee and Solcum, Louis and many more.
•
Both climate climate and culture culture concepts concepts emphasise emphasise consistency consistency and consensu consensuss among the members of the unit.
•
Both the concepts are composed of beliefs or individual cognitions.
•
Both Both the concep concepts ts are are histor historica ical, l, endur enduring ing and and resista resistant nt to change change in nature.
•
Both the concepts show the tendency towards differentiation with members in different units of a larger organisation leading to different sets of beliefs.
Glick have stated that culture and climate have entirely different disciplinary back of groun ground d of origin origin and and the theref refor oree are are differe different nt from from each each other. other. The major major differences pointed out by Ashforth, Ashforth, Glick and Rousseau Rousseau are :
•
Climate concept originated from the interactioinst psychology whereas the cultu culture re conc concep eptt orig origin inat ated ed from from the the symb symbol olic ic inter interac actio tions ns scho school ol of sociology.
•
Climate is descriptive whereas the culture is normative.
•
Climate exists in very organisation whereas many organisation may not have strong norms or culture.
•
All the members of the organisation experience climate whereas all of them may not be a part of the culture.
•
Climate represents individual perceptions which is understood by shifting the the anal analys ysis is up upwa ward rdss to the the leve levell of the the colle collect ctiv ivis ises es wher wherea eass cultu culture re repres rep resent entss a social social unit unit or group group phe pheno nomen menon on which which is und unders erstoo tood d by shifting the analysis downwards to individuals.
Supportive dimensions of the diversity culture. A supportive diversity climate was defined as the routines and rewards of the organisation that are inclusive of cultural groups other than the dominant cultural group in the organisation organisation both as staff and clients. The dimensions dimensions were:
Commitment Commitment to serve others : Faculty’s perceptions that serving a culturally divers diversee popula population tion fits within the missio mission n of the organisa organisation tion.. Th They ey found found it desirable to serve such a population.
Faculty’s ’s Awar Awaren enes esss of th thee ne need ed for for ne new w outr outrea each ch appr approa oach ches es : Faculty perceptions that new approaches to reaching a diverse clientele were necessary for success. They perceived that there needs to be more than one way of thinking. In order to be successful in hiring and retaining diverse staff and in developing educational programs for diverse audience.
Awar Awaren enes esss of th thee ne need ed to bu buil ild d trus trustt : Facu Faculty lty’s ’s perc percep eptio tions ns that that rela elatio tionship ship
and
tru trust
buil bu ildi ding ng,,
whic hich
take take
credita ditabi bili lity ty
and
mutual tual
under un dersta standi nding ng,, bef befor oree attem attemptin pting g to delive deliverr edu educa cation tional al progra programs ms to divers diversee groups.
Openness to learn : Faculty’s expressed interest and willingness to be involved in the process of on going learning.
Creative work : Faculty’s perceptions that they have a lot of freedom and flexibility to be creative in their work with people.
Faculty’s y’s per percep ception tionss that that Awaren Awareness ess that that diver diversit sity y adds adds richn richness ess : Facult diversity adds new learning, new perspectives and a richer end product both for the self, the interaction of the self with other and the organisation.
Awareness of the need for diverse staff : Faculty’s perceptions that the organisation needs staff to e from and understood the culture’s to be served.
WORK CULTURE IN SAMSUNG At Samsun Samsung g electr electron onics ics,, work work cultur culturee is mixtur mixturee of Franc Francee and and India India cultur culturee unlike Daewoo and Samsung. There are fifty percent Indians and fifty percent of France employed in the company. The Indians counters is the softer counterpart the harder side.
Work at Samsung electronics is target oriented. There are weekly presentations, which determine how each and every employee of the company is performing. However if an employee is not meeting his/her targets, he/she is not fried but just given warning, this is the softer side of the company’s work culture i.e., not to fire any body until and unless it is an extreme case. However south France culture demands that if a person dose not his/her target it is immediaty thrown out.
There is a system of ‘one innovation per man every year’ i.e.; one person initiating some change in organization to ward better performance for The vice president (sales and marking)and the VP(manufacturing)and VP(finance)are Frances.
The signifies the idealization of the marketing and sales function considering the local local market market and VP(manufactu VP(manufacturing)be ring)begin gin a Frances Frances that Samsung Samsung culture is
dominating the manufacture facilities. All this was selective the manpower of its organization Samsung believes in keeping the manpower at par with the company turnover
FOR EXAMPLE
No of employees
:
500
Turnover
:
2000 crore
Productive
:
1.5 crore per person
If the turnover of the company is increased to 1500 core it won’t be at the cost of the increase in manpower ,the company would wish to increase the productivity per person rather than increasing the employee e mployee strength.
FOR EXAMPLE
Project turnover
:
Rs.1500 crore
Employee strength
:
800(same)
Productivity
:
1.8 crore per person
If the turnover of the company is increased to 1500 crore it wont be at the cost of the increase in manpower, the company would wish to increase the productivity per rather than increasing the employee strength.
SAMSUNG EMPLOYEE ADVANCEMENT PROGRAMME To promote and support HR development that can serve as the foundation for Samsung effort to become the best Global Company foe the 21 st century Samsung Electronics is operating various employee advancement programme; Conducting specialized training program for certain employee and spending them to France for training at Samsung pyeongtack learning centre that offers higher level level of global globaliza ization tion and and manag manageme ement nt trainin training g cours courses. es. An on-lin on-linee semina seminar, r, sharing of “best practise” and various business management skills programmes are avaible via an on line education system called “The Learning Net”.Setting clea clearr and and spec specifi ificc targ targets ets for for work work and and selfself-de deve velo lopm pmen entt cons consult ultin ing g
the the
immediates superior for guidance and support for self-improvement.Conducting evalua evaluation tion meetin meeting’s g’s giving giving regula regularr promot promotion ion and and providi providing ng differe differenti ntiate ated d reward and benefits to each of its employees.
SAMSUNG
COMPANY
GETS
FOLLOWING
ADVANTAGE
BY
MAINTAINING ITS ORGANISATIONAL CULTURE :
•
Emplo Employe yeee Invo Involv lvem emen entt : By admi admini nist ster erin ing g an orga organi nisa satio tiona nall suve suvey y employees are given an opportunity to be involved in the company aia different level that I typically defined in their job descriptions. Research has shown that employees who are more invovlved in the company may also also be more more satisf satisfied ied with with the their ir job,sta job,stay y wih the compa company ny longer longer and perform better.
•
Positive work outcomes : in the last 30 years a significant amount of evidence has been accumulated documenting the importance of the work envi enviro ronm nmen entt in rela relatio tion n to orga organi nisa satio tiona nall perf perfor orma manc nce. e. In gene genera ral, l, research has shown that facors in the work environment are related to outcomes such as employees motivation, job satisfaction, intentions to quit, job perf performa ormance nce and even organisa organisational tional productivity productivity.. In addition addition the emer emergi ging ng area area of rese resear arch ch has has indic indicate ated d that that cultu culture re can can influ influenc encee customer customer perception perceptionss of the qualiy qualiy of goods or services services delivered delivered by a company.
•
Communication forum : in many companies it can be very difficult to comm communi unicat catee with with the major majority ity of employ employees ees.. Recent Recent tre trends nds such such as organisational restructuring and merging of companies has resulted in flat orga organi nisa satio tiona nall resp respon onsib sibili ility ty char charts, ts, whic which h incre increas ases es the the nu numb mber er of emplo employe yess ss for for whic which h each each mana manage gerr is acco accoun unta table ble.. As a resu result lt some some mangersonly have limited amounts of time to talk to others about their routine work.
•
Industry comparisons : organisations often look ot other companies when determinig organisational policies and procedures.It is common for companies to “explore “explore the market” market” or conduct “benchmark” studies when considering issues such as new product development,salary or employee benefit policies,markting strategies,etc.
•
Proactive Management: Adminstering organization climate surveys allows mangers to be much more proactive in managing their employees and work environm environments.W ents.When hen used on a scheduled scheduled basis,org basis,organizat anizational ional surveys surveys can help pinpoint problem areas within the work environm environment ent
before before they grow into a crisis needing immediate immediate attention.P attention.Problem roblemss that require requ ire a reactive reactive posture posture interrupt interrupt the normal normal workflow,a workflow,and nd typically typically cause delays in providing products or services to customers.
FEW RELATION AND IMPACT OF CULTURE
THE IMPACT OF ORGANIZATION COORDINATION AND CULTURE ON MARKETING EXECTIVES’ SATISATION WITH INFORMATION SYSTEM SERVIES
AUTHOR: journal of the Association of Information System,Volume 4 Article 4 ,In this article the author said that the climate,general attitudes ni na organization in whic which h the the dev develo elopers ers and users ers opera erate,c te,ca an ser serve as an imp importa ortant nt morderator.Analysis of a sample of marketing exectives indicates that the climate is an important morderator and may impact the ability of structural features to improv improvee per percei ceived ved per perfor forma mance nce.Ma .Mange ngers rs must must consi consider derss the clima climate te sa an important feature.
STUDY
ON
THE
RELATIONSHIP
CULT CULTUR URE, E,OR ORGA GANI NIZA ZATI TION ON
AMONG
COMM COMMIT ITME MENT NT
AND AND
ORGANIZATION ORGA ORGANI NIZA ZATI TION ON
CITIZENSHIP BEHAVIOR
AUTHOR : Ching-chaing,Human Resource Resource Management. Management. In the article the organizational climate was used as the independent variables. The purpose purpose of the researc research h was was mainly mainly to find find out out the relation relationshi ship p and and the differe differenc ncee among among organi organizati zationa onall clima climate, te, organi organizat zation ional al commitm commitment ent,, and and organizational citizenship behaviour. Furthermore, using the individual variable as the interfered variable to investigate the effect of interference to organization climate, organization commitment, and organizational citizenship behaviour. And
they discovered that the different individual citizenship behaviour come out a partly partly remarkabl remarkablee discrepanc discrepancy y and Organizatio Organizational nal climate climate and organizatio organizational nal commitment were positively significant to organizational citizenship behaviour.
SWOT ANALYSIS
WEAKNESS OF COMPANY
In case management of company will not function properly then their execution of complacent with what they accomplished so far ,then they could easily tumble it the bottom in a flash. In this sense, their struggle is with their selves. Following are the weakness :
•
No proactively coming out of the newer models.
•
Lack of product differentiation.
•
Focus on mass market rather than niche market.
•
Not very user friendly designs.
STRENGTH OF COMPANY
The 21st century is a time for harmony and interdependent; no one can develop alone. alone. Samsung Samsung’s ’s strength strength comes comes form their people’s people’s capabilities capabilities,, passion passion and dedication to a single vision ,In addition the intense companies and best product survive. Samsun Samsung g is now now one one of the world’s world’s disting distinguis uished hed brands brands.Ho .Howev wever, er,we we are are still still working hard to reach even higher goals around the world,proceeding with the sense of urgency.In order to succeed,we must create the necessary management
system and develop our own technologies.The way to the top is clear :the power of Samsung is in its people and technology.
They are the basis of Samsung’s legendary legendary achievement and and they will continue to provide the foundation for our success in the future.In Today’s competitive world it is increasingly increasingly difficult for the company’s company’s to maintain maintain an elevated elevated status within their respective industries.Today the companies are being challenged to develop and maintain a competitive workforce.
With unemployment rates at an all time low, some employees are taking advantage of the highly favourable and lucrative job market by seeking new position that allow them to maximize their earning potential and employer-provided benefits. Other employees are experiencing rapid changes in technology. technology. As a result, result, their day –to-day activities. Following are the strengths :
•
New product concept to rollout in five months.
•
Catchi tching ng the the pulse lse of the the cons consum umer er offer fferin ing g good
desi desig gns and
understanding emotions. •
Heavy investments in technology, product designs and human resources.
•
Focus on innovative products for high end market.
Opportunities
•
To unseat Sony as the most valuable electronics brand and most important shaper of trends.
•
To dominate the digital home competing with Sony and Philips.
•
Capitalize on reputation, image.
•
Distinguish its product from its competitors.
•
Offer product variations.
•
Tie up with service providers.
•
Demand for various products driven by the Samsung providers or carriers.
Threats
•
Cheaper production of rivals.
•
Ability of others to mimic and copy design (LG).
•
Trades at a discount to its global rivals due to Koreas history of Corporate scandals (Even though its considered one of the most transparent emerging companies)- foreigners will always suspect numbers.
•
LG’s dominance in U.S .
•
Whirlpool popularity in European market.
•
Aggressive competitors include Videocon, Onida, Whirlpool and many.
CHAPTER : 3
Conclusion
CONCLUSION
In my research I tried to study the organizational culture of SAMSUNG (north delhi) branch. SAMSUNG is adjudged as the no.1 company in consumer durables. To achie achieve ve this this status status the compa company ny nee needs ds to have have excelle excellent nt works workshop hop i.e.the i.e.the knowle knowledge dge capita capital,w l,whic hich h can can be done done by mainta maintainin ining g the good good organi organizat zation ion culture in which the people can work to the best of their efficiencies. Maximum people in the company agreed that to a large extend the company considers their “values”; which is indeed a very strong point.
Every
employee
is
very
clear
about
what
is
he
expected
in
the
organization.Thus,very high role clarity.And to only some extend only people in the organization feels that company is utilizing their knowledge and expertise.But an emplo employee yee feels that that the their ir job is makin making g an impor important tant contr contribu ibutio tion n to the achievement of the organization’s objective. And have sense of loyalty in them.But they feel that their job is not providing them enough exposure to various area and new development in their field.
Inspite of this, the employees feel good being associated with the company.This is reveal revealed ed by the Repon Reponses ses rec receive eived d to the que questio stion n 7.The 7.The follow following ing were were the reponses that were given by the member of the organsization :
•
Highly aggressive,has really enchased on their Brand equity over the years.
•
Never say ‘no’ approach, the image and the goodwill
•
Marketing is excellent of the campany,working hours,more space given to the employees
•
Good
paying
structure,Dynamics,Empowerment,Transp structure,Dynamics,Em powerment,Transparency,Focus,Fast.innova arency,Focus,Fast.innovative tive aggressive,customercaring, •
HR policies,system,controls,a flexible organization open to new learning,
•
decision making environment, discipline, accountability….
On the other side of the coin the employees feels that to same extend they are rewarded for the excellent in performance. This shows reward and recognition is fairly rewarded in the organization.
The major major point point to which which major majority ity of the employ employees ees agree agreed d was of dec decisio isionnmaking. They feel that this organization style and culture has been effective in ensuring discipline and accountability in staff members.
But there were some areas in which few respondent felt that it needed change and was obstructing their functioning.The main areas were: Shortage of the space and resources as compared to the employees in this branch. Some Some working working procedur procedures es needs improvemen improvementt for fast working,In working,Infrastr frastructur ucturee facilities at the branch
•
More focus on employees personal life
•
More proactive approach
•
Infrastructure at the branch
And moreover, they personally feel that their job contributes to their personal growth and development. And the fairly have a sustainable working condition to which maximum sample agrees and they are satisfied with it and do not want to initiate any change.
CHAPTER : 4
Recommendations and Bibliography Bibliography
RECOMMENDATIONS
•
I suggest that company can make some effort to make the infrastructure more congenial at the work place. He will keep the employees at ease ,and thus, allow them to given the best to the organization.
•
It is suggested that form time to time the company should come up with the various surveys to check the jobs satisfaction level in the organization. Thus in the case there is some problem the organization can take corrective measures before it becomes the threat to the company.
BIBLIOGRAPHY
BOOKS
Organisational Behaviour By R.K. CHOPRA
Business Studies
BY C.B. GUPTA
INTERNET
www.Google.com www.yahoo.com www.samsung.co.in
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