employing the whole person
TRANSCRIPT
1
新范式学院
雇佣整个人
2
The Trust Arch at NEWILHAN Way -2006
Seoul ↔ Inchon
3
The Best Employer in Korea
87
44
88
51
63
32
57
39
72
28
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In 1995, When Elected as CEO of YKMarket Situation
1. Rushes of Global Giants into Korean Market
- P&G, Unicharm, LG
2. Excessive Capacity / Competition
3. Consumer Shift to Imported Brands
4. Soaring Labor Rate
5. Militant Labor Disputes & Strikes
5
23.4
19.9
63.8
67.5
29.3
54.4
39.2
49.5
57.8
35.731.5
25.3
58.3
53.349.8
39.4
10
30
50
70
1988 1989 1990 1991 1992 1993 1994 1995
In 1995, When Elected as CEO of YKMarket Share Trends
P&G
YK
(%, Value Share)
Hygiene Market 1988-1995
6
In 1995, Elected as CEO of YKThe Question
"Close Down & Sell Off
Or Innovate!”
7
In 1995, When Elected as CEO of YKCustomer Relations
ㆍ No 2 Retailer: Delisted Key YK Products 6 months (Private)
ㆍ No 1 Retailer: Delisted Key YK Products 6 months (Govt-Run)
8
Sustainable Competitiveness and Growth
= Sense of Urgency
X Group Dissatisfaction
X Shared Vision, Value & Trust
X Continuous Learning
X Entrepreneurship From Everybody
X 360°Constant Innovation
X Leadership
> Resistances to Changes / Innovations
9
Dramatic Shift: 1995-2007
Hygiene Market Share Trends
19.9 21.4
27.2
48.2
54.259.1
62.258.7
55.7 56.960.8
32.541.8
24.6
33.5
28.2
51.456.8
64.167.5
42.5
23.5 22.0
27.125.0 24.3
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
P&G
P&G
YK
YK
10
Dramatic Shift: 1995-2007
Infant Market Share Trends
45.142.1
45.2 45.9
54.660.3
63.366.6 68.1 66.7
71.8 73.069.9
9.512.2
9.5
35.0 36.032.7
26.7
16.3
8.5 9.7 10.65.8 4.0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
P&G
YK
P&G
YK
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Dramatic Shift: 1995-2007
1. P&G Withdrew from Korean Infant & Household Care Market
2. Unicharm Withdrew from Korean Market
3. YK Took Over Management of Kimberly-Clark North-Asian Companies
4. YK Rejuvenated KC Taiwan, KC China Operations
12
Sustainable Competitiveness & Responsible Growth
The Secrets1
.
2
.
3
.
4
.
5
.
6
.
7
.
Speed
Value
360°
Constant
Preventive
Responsible
LLL
vs
vs
vs
vs
vs
Vs
vs
Scale
Cost
Top-Down
Stop & Start
End of Pipe
Indifferent
Diploma
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“In a knowledge economy
where skill is based on knowledge, and
where technology and economy are likely
to change fast…
the only meaningful job / business security
is the capacity to learn fast. ”
“Responsible Functioning Society”
by Peter F. Drucker
14
CarePeople, Family, Community &
Environment
Environment
“People”
Family Community
Company
People
15 Employ The Whole Person Hands, Head, Heart
Re-engineer Work & Life Balance
InnovationInnovation
AccidentFatigue
Misfortune
Work
1997
Work
2007
16
• Flexible Time System
• 4 Crew 2 Shift System
• Functional Excellence Teams
• Internal Schools
New Culture Created
Knowledge and Competence Building
17
Jan.01
02
03
04
05
06
07
08
09
10
11
12
13
14
15
16
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31
Day Sun
Mon
Tue
Wed
Thu
Fri Sst Sun
Mon
Tue
Wed
Thu
Fri Sst Sun
Mon
Tue
Wed
Thu
Fri Sst Sun
Mon
Tue
Wed
Thu
Fri SstSun
Mon
Tue
ACrew
T T
BCrew
T
CCrew
T T
DCrew
T T
HolidayLunar New
Year’sday
Schedule for January, 2006
: Day Time(07:00~19:00)
: Night Time(19:00~07:00)
H : Holidays
T : Training
KHMoon
Y-K Leads
4 Crew + 2 Shift System
18
Y-K Leads
4 Crew + 2 Shift System
19New Culture Created
Trust & Life-Long Learning Culture
(Hours/Year)
* Total expenses are borne by Y-K
30
80
130
180
230
280
330
1998 1999 2000 2001 2002 2003 2004 2005 2006
248148
167180
280
302 306 310
54
302
20Learning Cafeteria
Internally Built
Professional
Junior
Engineer
Senior
Safety
Quality
RQP
E & E
SPARE
P . M
Export
SAP R3
SMART
WCM
CAP
Mechanical, G/C
OJT, Floor Safety
Tools II, L/I
Maintenance II
PROCESS
Tools I, G/C
Maintenance I
Quality Awareness, SOP
T/S,
CONTROLLER
Maintenance
Machines
COMPU-TER
INTER- NET
HOME- PAGE
WORD
EXCEL
Team Building
Volunteerism
Health Welfare
Communication
Opportunity Analysis
Non-Smoking
Economics
P/LCENTER LINE
K/T( Problem Solving)
Action Leader
Innovative Leaderships
Internal Lectures
Power of Positive Thinking
Technical & Vocational (60%) Social & Leadership (40%)
Sales
VIDEO News
Team Meeting
MBO
T/S REVIEW
Safety W/S
Quality W/S
WASTE/ DELAY MTG
7 HABITS
English
Movies
Music
Arts
Articles
New Paradigm Trends
Creativity W/S
Reading W/S
21
4.3
6.2
7.27.7 8.1
9.210.0
10.5 10.2
2,077
2,4242,542
2,6332,714
3,027
3,2503,350
3,253
3
5
7
9
11
13
15
17
19
1998 1999 2000 2001 2002 2003 2004 2005 2006
1500
1700
1900
2100
2300
2500
2700
2900
3100
3300
3500
360°Constant Innovationby All Knowledge Workers
Total Suggestion
sPer Capita Suggestion
22
0
5
10
15
20
'96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07
-Hygiene-
30.1
7.517.3
0
10
20
30
40
50
N. America
Gunpo
Taejon
<Safety Record> <Quality Record>
42.242.140.1
37.035.9
15.1
19.7 19.923.0
25.428.8
33.4 33.8
2.62.12.02.11.8
14.7 7.3 8.5 7.24.5
2.4 2.1 2.0
0
5
1015
20
25
30
3540
45
50
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
Productivity (SU/HR) Waste(%)
A B C
<Productivity Record>
Key Deliveries
23
NEWAYS on Everything 1995-2007
ERPSystem
NowPast
BPRProcess
Restructuring &Change Management
Business &
Organization
SAP R3
KHMoon
24
NEWAYS on Everything 1995-2007
NowPast
Supply ChainManagement
Leadership CentralizedMBO &Self ControlMBO &Self Control
Empowered
Just-in-TimeJust-in-Time
Mistrust & Check
WH
S
WH
YK
WH
C
Trust & Integrated
S YK C
25
End of Pipe(EOP)Technology
Re-use Re-cycle Treatment Dispose
Energy
Raw Materials
Different Process
Innovate process
Waste
Reduction atSource
Reduce Resources& Waste
Cleaner TechnologyDfE
Y-K Focus
NEWAYS on Everything 1995-2007From “End of Pipe” to “Prevention at
Source”
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YK Reputation in Asia/Korea
•The Best Employer :
•The Most Respected Company :
•Ethical Management :
•Env. Management :
•Market Share :
No. 1 (Hewitt+The Asian Wall Street Journal)
No. 1 (Dong-A Daily+IBM BCS)
No. 1 (KMAC)
No. 1 (Mateone Research & Consulting)
No. 1 (All Categories Involved)
27
“7 Habits of Highly Effective People” by Steven R. Covey
28New Paradigm
Sustainable & Responsible CEO
Foster Lifelong Continuous Learning
Develop EntrepreneurshipLead Constant Innovation
Chief Ethics OfficerChief Environment OfficerChief Education Officer
Chief Entrepreneurship Officer
Sustainable Competitiveness and Responsible Growth
29
Balanced & Integrated Efforts
Environmental Performance
Social Performance
New Paradigm
Care Triple Bottom-Lines
Economic/Financial Performance
30
New Paradigm Initiative
Moon, Kook-Hyun
o YuHan-Kimberly (YK)
o Kimberly Clark – North Asia
o YuHan Schools
o Presidential Special Committee
on New Competitiveness
o Forest For Life
CEO, Chairman
Group President
Chairman
Chairman
Founding Chair
1995-2007
2003-2007
2004-2007
2004-2006
1998-2007
31New Paradigm
Corporate Social Responsibilities
1985 2001Before plantation After 16 years “Keep Korea Green”
32
Closed Forest Tended Forest
New ParadigmSocial Enterprise
“Forest For Life”
33
New Paradigm Opportunity for Korea
Job & Value Creation Opportunity
34
New Paradigm Opportunity for KoreaFlexSecurity and Future Jobs
35New Paradigm Adopted 2004-2007
By Industry
2004
2005
2006
2007
Total
Manufacturing
5
14
28
12
59
Service
3
24
28
40
95
Public
5
11
20
21
57
Total
13
49
76
73
211
36New Paradigm Adopted 2004-2007
By Size (Employee)
2004
2005
2006
2007
Total
300+
7
12
19
7
45
300-100
2
15
25
23
65
99-1
4
22
32
43
101
Total
13
49
76
73
211
37New Paradigm Performance 2004-2007
Growth Turnover Rate
Annual Training Hours Job Created
Ave M S P
29.12%29.53%
31.46%
13.78%
Ave M S P
-55.8%
-75.5%
-21.4%
-85.7%
Ave M S P
10.92%
14.11%
9.54%7.23%
Ave M S P
549%
1092%
54.3%
274.2%
Park Woo-Sung (KHU), 2006
38
중국의 경제 한류 , 뉴패러다임 모델
39
New Paradigm Opportunity for ChinaKnowledge vs Muscle
$ 3,000
$ 2,500
$ 2,000
$ 1,500
$ 1,000
$ 500
40
Q & A
Thanks!