SAMSUNG ELECTRONICS: SUCCESS BY DESIGN case study (Strategic management)
SUCCESS BY DESIGN
The Samsung group was founded by Byung-Chull Lee in 1938
In 1966thr group funded JOONG-ANG development an
entrainment and service company
In 1987 Samsung was set up a advance institute of technology
In 1969, Samsung electronics
manufacturing co. was incorporated.
“second foundation”- to become
modern world class
corporation – 1988
The 1990’s saw a series of
In 1984 SEMC was renamed
as Samsung electronic
SAMSUNG’S FOCUS ON DESIGN
Journey towards excellence started in 1993.
Display looked unattractive compared to
Ignorant behavior of sales personnel
Too much attention to volume & cost of
Policy of focus on quantity
rather than quality
Beginning of design era in
Incorporation of Korean values
8th century Buddha, - “Balance of Reason & Feeling”
Reason is sharp-edged & very geometric
Feeling is soft & organic
Reason & feeling
approach had six
SAMSUNG’S DESIGN STRATEGY
Creating Global Brand Identity Samsung ‘word mark’ logo.
Implementation of Global Brand Communication Strategy.
New Design management Centre at Seoul in South Korea .
Opened Usability Lab.
World wide Design centres of Samsung.
BRINGING cUlTURAl chANGES
Efforts were made to first create a design-friendly culture.
But ACCD curriculum just did not suit the culture at
E.g. south Korean encouraged to ask question to elders
according to curriculum.
Realisation of to come out
SYSTEMATIc & pRocESS
Samsung redesigned its system and process to improve the design
Designers began to enjoy as much, if not more ,authority as
engineers and marketers.
Collaboration between different departments
became a key aspect of
new product development.
SAMSUNG’S DESIGN SUccESSES
Popularity of bulkier projection TV’s was waning
One of the best-selling brands in large high-end TV’s
List of IDEA winners
20th position in Top
Providing great looking , hybrid products
Vision was “To lead the digital convergence revolution”
Samsung launched –
Lack of coherent design.
Some designs were poor.
Poor user interface.
design for a Competitive
Design a differentiating factor.
Sync master 971P
Elite CNB (Creating New Business) Group
Net profit of $ 2.16 trillion