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| LS Electric COO Kwon Bong-hyeon, left, poses after signing an agreement to provide support funding for the construction of smart factories to seek mutual growth with small- and medium-sized companies, at LS Yongsan Tower in Seoul in April 2020. Courtesy of LS Group |
By Kim Jae-heun
LS Group is providing manpower, technology and information to seek mutual growth with its partner companies while helping them become hidden champions.
It is also engaging in technology-sharing projects with various small- and medium-sized companies, as well as agricultural and fishing foundations, to build smart factories around the country.
LS Group's cable manufacturing unit LS Cable & System has been reducing the burden on its subcontractors by reflecting increased copper costs in supply prices in conjunction with the international price of the material on a monthly basis. Copper is the main material in LS Cable's original equipment manufacturer (OEM) products.
LS Cable posts changes in prices of raw materials on its website for its partner companies to check and adjust their purchase unit prices.
LS Group is encouraging safety management within the company while actively engaging in ESG programs as well.
It plans to provide consulting regarding ESG management standards for its partner companies by encouraging them to use renewable energy, while establishing safety systems to prevent accidents. At the same time, LS Group will hold meetings with the companies it partners with to listen to their difficulties in running business and offer solutions.
LS Electric is promoting a "win-win smart factory construction project," targeting local small- and medium-sized firms.
Last August, it invited the representatives of 15 subcontractors in Cheongju, North Chungcheong Province to sign a memorandum of understanding to build smart factories there.
LS Electric is running a smart factory open platform called "Tech Square." Here, anybody can participate to gain information on finding suppliers or providers in the industry, while sharing information on managing related projects, as well as providing maintenance services.
