Samsung has introduced a six-day work week for heads of all divisions to overcome the financial crisis in the company.
Samsung Crisis
Financial Difficulties
In 2023, Samsung Corporation faced serious financial problems. The Device Solutions division, responsible for the production of semiconductors and generating about 80% of the company's revenue, suffered an operating loss of 15 trillion won ($11 billion). It marked Samsung's worst financial year in a decade.
New challenges
In 2024, Samsung faces a number of new challenges, such as geopolitical risks due to military conflicts in Ukraine and the Middle East, uncertainty regarding the US elections, rising oil prices, depreciation of the South Korean won and increased competition in the market.
Measures to overcome the crisis
To overcome the crisis, the senior management of Samsung Group made a decision transfer the heads of all divisions, including Samsung Electronics Co, to a six-day work schedule. This step was taken in order to mobilize all resources and efforts to overcome the difficult situation. Some heads of other Samsung divisions voluntarily switched to six-day work at the beginning of the year.
Glossary
- Samsung Group is a South Korean multinational corporation, one of the largest companies in the world.
- Device Solutions is Samsung's semiconductor manufacturing division.
- Samsung Electronics Co is the main manufacturing division of the Samsung Group.
- Samsung SDI and Samsung SDS are subsidiaries of the Samsung Group.
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Answers to questions
Why did Samsung decide to move executives to a six-day work week?
What financial difficulties did Samsung experience in 2023?
What other challenges does Samsung face in 2024?
Who is covered by the six-day workweek requirement?
What does Samsung management expect from the innovation?
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Discussion of the topic – The crisis forced Samsung to transfer executives to a 6-day work week
Samsung is taking steps to combat the financial crisis caused by weak sales in 2023. The company is transferring managers of all divisions to a six-day work week.
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JohnSmith
The move is very risky and there is no guarantee that it will solve the company's problems. Increasing work hours does not always equal increased productivity 🤔 Stress can make things worse.
MariaGarcia
I agree, long overtime will lead to employee burnout. Could it be better to analyze ineffective processes and optimize them? 📈 Sometimes you have to take a step back to move forward.
FrankMuller
Yeah, tough times for Samsung. But is there any other choice than to grit your teeth and endure it? 💪 Tough measures can force everyone to mobilize.
АлександрСидоров
In my opinion, a six-day period will harm the company and the morale of the team. Instead, you can strengthen control over process optimization and project management. ⚡️ What do you think?
ЮлияЛебедева
I believe that extreme measures are sometimes necessary to get out of a crisis. The example of Samsung shows that management is willing to do anything to ensure success. 🚀 I’m sure they will succeed!
ГригорийСтарый
Mess, pointless innovations, waste of money... 💸 In my time, they managed to work in five days! This new trend is overblown and stupid.
KarolinaNowak
Let's look at the situation from the other side. Perhaps the reason lies not only in inefficiency, but also in geopolitical risks and market competition. 📈 I’m sure the new schedule will allow us to mobilize our strength.
PaoloRossi
Guys, don't rush to conclusions. Samsung has a great team and a smart strategy. I believe they will overcome challenges with innovative solutions. We must give them a chance! 💯
IvanaHrustic
It's very unfortunate to hear about Samsung's failures. But as they say, you will know them by their fruits. 🍎 Upcoming products will show whether the six-day challenge worked or not. We will monitor developments!