KT Chairman Hwang Chang-gyu.

KT Chairman Hwang Chang-gyu, dubbed the “Samsung Electronics’ semiconductor legend,” remains well-known for a theory called “Hwang’s Law” that calls for a doubling of the density of chips every year. But a survey by the big data company DaumSoft shows the public approval ratio for Chairman Hwang is low. The KT chairman has kept a low public profile since devoting himself to achieving a mission of resurging KT. His goal is to resurrect the 130-year-old company and make it a global telecom leader. 

Hwang, with two years under his belt as KT chairman, has been refraining from making comments related to KT other than at regular meetings with reporters. But behind the scenes, he has been stepping on the gas to strengthen communication with inside stakeholders and submit performance outcomes to the outside. 

When Chairman Hwang took office, KT was in such a sorry state in 2013 that it was referred to as a crisis. The public attention turned to whether Chairman Hwang, who earned his stripes at the helm at Samsung Electronics’ semiconductor business, would instill success into KT’s DNA.

The first thing he did upon his inauguration was to shed KT staff’s second-class mentality and instill within them a sense of pride and challenging spirit. Chairman Hwang’s efforts have paid off. He succeeded in returning KT to profitability and achieved innovations by taking bold steps. 

KT topped the net increase list of mobile business subscribers and saw the average monthly revenue per subscriber (ARPU) rise in the first half of 2015. The telecom service provider ranked first in the internet and IPTV segments when the company achieved the feat of surpassing 700,000 Giga internet subscribers and attracting 6.4 million IPTV subscribers. 

KT was recently added to the “Industry Leader Group” in the mobile and online categories on the Dow Jones Sustainability Index World. KT posted 5.492 trillion won in sales in the 3rd quarter of 2015, a 2.9 percent drop from the same period last year, but saw its operating profit surge to 343.3 billion won, a 17.8 percent jump from 291.4 trillion won.

Chairman Hwang is now turning to the spearheading of the so-called “4th Industrial Revolution, ICT Convergence.”

Revealing the ambitious vision at a meeting with reporters at the KT office building in Gwanghwamun, downtown Seoul, on Sept. 23, Chairman Hwang said, “We’ll set aside 13 trillion won by 2020 to spearhead the Fourth Wave of Industrial Revolution.”

“The 1st Wave of Industrial Revolution was driven by steam locomotives, the second by electricity, the third by computers, and then the fourth will be ignited by the combination of the ICT and manufacturing industries,” Hwang said. “KT will lead the Fourth Wave of the Industrial Revolution by capitalizing on our powerful GiGA telecom network and ICT convergence technology,” he added. 

This year marks the 130th year since the predecessor of KT made its debut to launch the Korean telecommunications industry. “Combining of ICT and other industries will not only transform the industrial landscape, but also dramatically change human beings’ lives,” Hwang said.

New President Im Hun-moon and new President Koo Hyun-mo.(Photos:KT)

Reshuffle

Meanwhile, KT carried out a personnel change of executives, calling for inaugurating two groups - one responsible for sales and marketing and the other charged with management support. Former Senior Executive Vice President Im Hun-moon, the head of the Commerce Division, has been promoted to president to take the helm at the new group for sales and marketing. Ex-Senior Executive Vice President Koo Hyun-mo was promoted to president in charge of the group for management support. The latest reshuffle may be construed as Chairman Hwang’s move to transfer more management rights to each group and hold each group head responsible for the outcomes of business performances. 

Executive Vice President Kim Chul-soo, head of the Customer Priority Management Office, and Executive Vice President Lee Moon-hun, head of the Management Planning Office, got promotions to senior executive vice president in charge of the Commerce Division and senior executive vice president as new chief of the Corporate Business Division, respectively. President Lee Dong-myeon of the Research Institute of Convergence Technology and Yoon Kyung-lim, head of the Future Convergence Business Office, have been promoted to senior executive vice president. Executive Vice President Kim In-hoe, head of the taskforce for Internet Bank, was promoted to senior executive vice president to serve as the head of the Secretariat. Executive Vice President Yoon Jong-jin was appointed as head of the Public Relations Office, replacing Oh Young-ho.