CEO COLUMN

Published
Subject Apr-2019, [No.239] Reading culture

There was a girl who had to go to school by night at the same time of graduation from elementary school at the same time. She learned beauty skills in technical high school, after school she worked part-time in a beauty salon, and after her high school, she opened a hair salon in Donam-dong, Seoul. This is the story of Kang Yoon-sun, the president of "Jun-o Hair", who has grown it into the strongest domestic beauty industry. Jun-O Hair has 150 branches nationwide and has about 3,000 employees including 1,000 hair designers. How could she write a successful story? The answer is "reading management". She said I always read books and learned life and management there. I could not get into college, I did not have a mentor or role model, but I could get everything in the book instead. Only having twenty to thirty thousand korean won, I could learn an idea and find new ideas from the management groups and thinkers in the East and the West.



Her reading is not personal, but leads to more than 20 years of reading management. Employees working at her company must read the book each month, as specified by the company. The core of the book management of Jun-o-hare seems to be semi-mandatory and systematic methods such as book selection, reading, reading discussion, and progress reports in management workshop. According to her theory, reading is also helping with hair-care techniques, which leads to greater creativity, greater flexibility in hand movements, and increased conversation with customers with the knowledge and topics gained from the book, providing a higher level of service. She always says to her employees You are a sculptor. Cutting unnecessary parts to make the person most beautiful. Like Michelangelo.

As the recession is stuck and the future is uncertain, corporate management is difficult. Nowadays, the reading management of Jun-O Hair provides many suggestions and new ideas. Reading management is one of the most effective ways to cultivate talent as it can improve employees value and can provide vitality to corporations. As the level of communication with customers has increased, the nuber of the loyal customers have increased and beauty business has improved, and the salary of hair designers is over 300 million. Employees who are assimilated into the reading culture are more likely to go to college and graduate school because of their willingness to develop their own study while reading more books.



How can we measure the value of a company?

Corporate profitability and assets are the most fundamental measure of the value of a company. But they are short-term perspectives. From a broader perspective, the value of the company should be assessed as to how well the company has been realizing their vision and mission and how sound and good the shared value among the organizational members is. The corporate culture is that the core values of companies are linked to employees' shared values, and they are put into practice as common behaviors and move toward a future where companies can sustain growth.



Many people define corporate culture as the management philosophy or code of conduct of the founders. However, corporate culture refers to the mood and environment surrounding the traditions, customs, and organizations that exist within an organization, such as forming an organization's behavior and influencing people's relationships within the organization, including their decision-making. It is a key element of a company's core value and competitiveness, and it can also be used as a measure of the effectiveness of business management.



LCC will introduce various innovation activities and systems that we are going through using the column titled 'Corporate Culture Visit', and will seek ways to build up understanding and consensus among employees and to expand and strengthen them. Through the advice of customers, partners and LCC who are helping to start up and develop, we hope that it could bring us a chance to introduce new systems. "LCC magazine" will be issued to make a "sound, good but simple corporate culture", "a culture that works hard and play hard", "a company with the greatest investment in education per employee", "transparent management and simple business flow" and Clean factory just like pictures". I look forward to the many participation of our employees and the true advice and encouragement of our clients.



In the above article, I wrote down some contents of the CEO column that appeared in the first issue of "LCC Magazine", which was launched a year after its foundation.



Our LCC is making and refining our own unique corporate culture. It is well known in the company statement that the longevity company through export is our vision and that it is with the growth of the organization members. As companies are like people, we have conducted outsourcing training every year, such as "7 habits of successful people" to cultivate talent. As a result, we have accumulated 120 and 6 FTs for 20 years. We, LCC, are doing a lot of efforts to develop the capacity of our employees through special support for studying foreign languages, various internal and external education according to their duties. We have a "reward committee" with praise and encouragement to have a pleasant and rewarding workplace and a lifelong learning and self-development habit. We spend seven thousands to eighty million korean won rewarding about 100 employees every year. We offer awards to employees who have performed well in various fields, such as opening new customers, reducing raw material costs, increasing productivity, or improving quality. We also give small awards to activities such as job improvement and synergy creation or 5S activities. We are helping our employees to feel satisfaction in their workplace everyday.



We are making a beautiful and clean company like pictures, improving the working environment of our employees drastically, and playing a fundamental role in ensuring quality competitiveness to satisfy our customers. In addition to keeping the toilet and smoking room clean all the time, we are working on our own efforts without a cleaning staff in a 10,000 square meter plant. With Clean Day activities lasting 20 years, 5S activities of cleaning facilities, raw materials and warehouses, and clean floor activities of production workers are playing a big role in guaranteeing "quality of LCC products". This is the "cleaning culture" that only our company has. From the top to the production staff, we are participating to create our unified strength and tremendous synergy.



Since our company's inception, we have continued to carry out No gift campaigns to ensure that ethical management is settled, and win mutual trust with our clients and partners. We have been running our company without committing any illegal or manipulating the law, and we disclose our management results through monthly meetings and share all our company information on electronic bulletin boards. Investment of five billion Korean won and standard reorganization activities enable system management and empowerment of employees enables lowering general management costs and "global price competitiveness" to make us an "export company", our vision. Increased sales and improved profitability enable us to provide homes and dormitories to our employees and increase the welfare of our employees, which they are becoming happier and realizing their dreams. This means that we are reaching our goal to make our employees truly happy. We, LCC, are growing into a corporation that fulfills corporate social responsibilities by creating great business results, forming the foundation of longevity corporation, creating employment, paying a lot of tax, and donating six thousands to seventy million korean won every year.



Sometimes, I travel by subway train, I see many people sending text messages, watching dramas or enjoying games on smart phones. It is hard to find someone reading in the train. By contrast, when you get on the public transport in Japan, at least twenty to thirty percents of passengers are reading. I am worried that few people in this country enjoy reading. We can also confirm this in the book-reading statistics, which were collected in 2017. It shows that , on average, Japanese reads 40 books per year and people in Israel read 60 books, while we, Koreans, read only 8.3 books per year, which is only 15 to 20 percents of other countriess reading. In the case of Korean employees, they read about 8 books, and Japanese workers read about 90 books each year. That means we are less than 10% of the Japanese readings.



There are various interpretations on why Korean people do not read books, but the biggest reason is that they are not educated enough in reading books from their young age. Beginning of reading should be unconstrained and interesting, but since reading books in Korea has been used as a tool for school education and knowledge education, which means that children read in controlled surroundings. Parents at home also have their children exposed to TV and smart phones rather than books. Through reading, children can deepen their thoughts, have the right values and point of view, indirectly experience unfamiliar worlds, have access to diverse knowledge and hobbies, and sometimes they can get comfort from books. Like this, reading has many advantages that enrich our lives.



Starting this year, we have made all of our employees hand in book reviewa and have reading discussions, and we distribute one book selected by them every quarter without any conditions. Therefore we are encouraging our employees to read four books annually. (In the case of female employees working in production jobs, they have been adjusted to two to reduce the burden. However, if they agree after 1 to 2 years, they will be expanded to four.) Through reading support, we can provide young employees with a little help in motivating them to do their own development and dreaming about the future, and moving on to success. In the case of a housewife, it can change the mood of their family and have a positive effect on their children's education as a "mother reading a book or a wife reading a book". We want to create a solid corporate culture by creating a solid "reading culture".



The current library will be reorganized to create an environment and atmosphere where employees can read books from time to time while they are working. We are planing to make each department run their own mini library that has specialized books such as the sales team with books in marketing and sales know-how, the production team with books in production management and TPM, QA teams with the books in quality management, and the happy management team with the books about in-service and accounting. The mini-library that each department has is expected to improve the process and quality of its work. I believe it will also play a role in becoming a leading Saladent through lifelong learning and self-development.



When employees __select books in various fields, including essays, poems and novels, as well as foreign languages or cooking, the company purchases and distributes them instead. I think that the company should play an important role in helping people to get away from__ the reality of lack of time to read books, to make employees feel farther and wider through reading and to enrich their lives. The miracle of our company, "LCC Magazine", has been made by the manuscripts of our employees for 20 years over 24 pages.



This is LCC's greatest corporate culture that no small and midium sized business can have. Our employees, who had difficulty in writing, put their thoughts in the manuscript with a steady effort and completed the LCC magazine. At the monthly and morning ordinances, our 3-minute speech makes us confident that our employees will be receptive to the new reading culture while they are preparing. There are positive responses among employees like "Our company supports the book that we want to read!" "The LCC which concerning on the employee welfare and the inner part" and "It is likely that I will read the book that I have been avoiding". And the feeling of being burdened by the lack of a coercive atmosphere such as writing of a book review, seems to brighten the introduction of a new corporate culture. Although not immediately, five years and ten years later, another miracle, "Reading Management", envisions the future that will be a great force in realizing our vision of a firm-grounded enterprise.



CEO BAIK, SUNGCHUN

Attached File