Applied to all operations across affiliates
CEOs and executives lead AI innovation
New dedicated organizations established for each business
Samsung has officially declared an “AI Transformation (AX)” that fully introduces artificial intelligence (AI) into all business operations across its affiliates. It will also establish dedicated AI organizations in all affiliates.
The announcement comes after Lee Jae-yong, chairman of Samsung Electronics, ordered in his New Year's address this year that “the way we work and our organizational DNA must be completely changed,” presenting a specific execution plan.
This reflects a determination to lead the AI era by fundamentally innovating Samsung's working methods and organizational culture. It is a second new management declaration comparable to the “Frankfurt Declaration” in 1993, in which the late Chairman Lee Kun-hee ordered a total reform of existing constitutions and practices.
Samsung will officially introduce external generative AI services, such as Gemini, ChatGPT, and Claude, to all affiliates within this month. It will significantly apply AI across all business areas, including development and manufacturing, as well as improving work productivity in software (SW) and marketing fields. The vision is to promote management innovation by integrating AI across eight major business processes: development, purchasing, manufacturing, logistics, marketing, sales, service, and management support.
The company regards AI not as a simple tool for work improvement, but as an innovative methodology that triggers fundamental changes in management and serves as a starting point for discovering new growth momentum. It plans to continuously upgrade services and policies so that executives and employees can efficiently utilize the AI they need by establishing detailed operational policies that consider job and organizational characteristics.
Under the recognition that “the AI literacy of the chief executive officer (CEO) determines the success or failure of AX,” Samsung will conduct a two-day, hands-on intensive AI training (AX Bootcamp) for about 50 CEOs of all affiliates within this month. This is the first time intensive AI training has been held for all affiliate CEOs.
The affiliate CEOs are also scheduled to declare a joint “AX Vision.” This embodies a pressing sense of crisis and a strong will to execute, recognizing that no company can avoid falling behind without a fundamental shift in the way they work and mindset amid the reorganization of the global industrial paradigm around AI.
Executive training will be conducted in parallel. Samsung plans to train around 2,300 executives from all affiliates in sessions lasting three days and two nights per group until August 12. The training centers on “hands-on practice” in utilizing AI. Training for all Samsung employees, in addition to CEOs and executives, will also be completed within this year.
The new dedicated AI organizations to be established in each affiliate will be responsible for establishing AX promotion strategies tailored to the business characteristics of each company, managing data and model operations, and nurturing AI talent, playing a role in maximizing AX momentum across the entire group.
Samsung aims to completely transform its organizational DNA based on AI, following the establishment of an AI ecosystem through products and services. A Samsung official said, “Samsung has leaped into a world-class global enterprise through bold challenges and innovations amidst massive changes and crises, such as the digital transition and mobile transition,” adding, “The 'AI Transformation' is the starting point of innovation to leap forward as an 'AI-native company,' and we will preempt and lead opportunities in the AI era.”
