English Literature

Every company holds a different style of management depending on the vision and mission of each company. I would like to compare and contrast between two Korean companies Samsung and LG Electronics Company in terms of their distinct management styles and justify why LG is a better performing company. For example, Samsung prefers vertical management while LG Electronics management style is horizontal management style. To further elaborate, I have five points that will allow me to compare the management style of each company as well as their similarities and differences. These five points are human resource management, research and development, role of management, mission and vision, and leadership.

The human resource management key point will show us how both companies manage their employees. Both companies are similar in holding value for each employee. Both companies also provide an appropriate working environment for their employees to excel.  However, Samsung does not allow labor unions in their company therefore, they do not negotiate with their employees who are part of any union. On the other hand, LG allows labor unions and they usually negotiate with them. Samsung and LG Electronics also differ in the way they treat their subcontractors.

The mission and vision key point shows the goals of the companies. To fully compare these two companies, let us look into each companys mission and vision statement. Samsung envisions itself to be the leader in digital union movement. Paired with innovation and various solutions provided for future circumstances, they want to achieve this main goal. Samsungs mission statement is to focus on three things management, organization, and industry innovation. LG Electronics has a different mission and vision as each company has their own unique set of mission and vision statements.  LG Electronics provides long-term and detailed specific goals. LG Electronics envisions itself to be one of the top three leading electronics innovator and providers of electronics.

Another key point is the leadership and the role that management plays in the company. The Samsung management team believes that they must create top of the line innovative products that can help make our society more efficient. They also believe that management must perform at its best and by doing so they can boost up organizational productivity.  Samsung puts into mind five business principles in the company. They believe in the philosophy of producing great people who make a great company.  Their management focuses on three major leadership schemes. The first leadership scheme is product leadership while LG believes that by providing training people they can perform in producing innovative products and solutions for the upcoming market trends and demands. The second leadership scheme is market leadership. LG wants to continuously expose their company and product into the market. Both companies have established their existence onto the international market. Their third leadership scheme grants people leadership. LG believes that by selecting and nurturing the best candidates, they can achieve the full.

Therefore I conclude that both Samsung and LG provide a wide range of opportunities to develop its employees. Samsung breathes a more professional air into the business giving a barrier for its employees to communicate effectively to the company. However, it is in how each company manages them that makes them better. LG uses the downward approach, which allows more employees to be more participative in the company.