LG Electronics was established in 1958 as Goldstar in South Korea and is now a global leader in consumer electronics and home appliances. It operates manufacturing facilities in India and has a wide distribution network in the country. LG uses various quality management systems like Six Sigma and ISO 14001 to improve processes and customer satisfaction.

1. Satya
kishore

2.  The company was originally established in 1958
as Goldstar, producing radios, TVs,
refrigerators, washing machines, and air
conditioners.
 The L.G group was a merger of two Korean
companies Lucky and Goldstar.
 Is the second largest producer of television and
third largest producer of mobile phones.

3.  LG Electronics India Pvt. Ltd., a wholly owned
subsidiary of LG Electronics, South Korea was
established in January, 1997 after clearance
from the Foreign Investment Promotion Board
(FIPB).
 LG set up a state-of-the art manufacturing
facility at Greater Noida, near Delhi, in 1998,
with an investment of Rs 500 Crores
 In 2004, LGEIL also setup its second Greenfield
manufacturing unit in Pune, Maharashtra

4. Industry Consumer electronics
Home appliances
Telecoms equipment
Founded 1958
Headquarter Seoul, South Korea
Area served Worldwide
Key people Bon-joon Koo
(Vice Chairman and CEO)
Revenue US$ 48.976 billion (2011)
Net income US$ -423.9 million (2011)

5. Computer monitors
Flash memory
Televisions
Smartphone's
Tablets
Mobile phones
DVD players
Home Cinema systems
Movie projectors
Laptops
Refrigerators
Washing machines
Vacuum cleaners, Air conditioners

7. ENERGY
ELECTRICITY
RUNNING OF ALL UTILITY EQUIPMENT
RUNNING OF PRODUCTION EQUPMENT
GENERAL LIGHTING
FUEL
FOR PRODUCING ELECTRICITY .
FOR HEATING AND PAINT SHOP BURNER
FOR HOT WATER GENERATION
COMPRESSED
AIR
FOR DRYING OPERATIONS
FOR COOLING OPERATIONS
FOR RUNNIG OF TOOLS AND EQUIPMENT
WATER
FOR PROCESS REQUIREMENT
FOR DRINKING PURPOSE

8. Before Status :To dry the
Components in Shell washing
machine earlier 60 KW
Electrical heater were used
.Running Cost / Day:Appx Rs
4,000
Running Cost/Month: Appx.
Rs 1,04,000
After Status:Two Propane fired
Burner Has been Installed to Serve
the same Purpose
Running Cost/Day: Appx. Rs.1,675
Investment :Appx. Rs. 6,00,000
Running Cost / Month:Appx. Rs.
43,550
Savings / Month:Appx. Rs.60,450

9. Before Status :To dry the
Components in Paint Shop oven
Diesel Fired Burner was Used .
Running Cost / Day:Appx Rs 44,640
Running Cost/Month: Appx. Rs
12,49,920
After Status:Two Propane fired Burner
Has been Installed to Serve the same
Purpose
Running Cost/Day: Appx. Rs.31,250
Running Cost / Month:Appx. Rs. 875,000
Savings / Month:Appx. Rs.375,000

10. Before Status : To Pre Heat
the Case of Ref. Earlier 100
KW heater were used.
Running Cost / Day:Appx Rs
6,000
Running Cost/Month: Appx.
Rs 156,000
After Status:Now Propane fired
Burner is doing the same Job.
Running Cost/Day: Appx. Rs.2150
Investment :Appx. Rs. 650,000
Running Cost / Month:Appx. Rs.
55,000
Savings / Month:Appx. Rs.100,000

11. Control decisions.

12.  Six Sigma seeks to improve the
quality of process outputs in
manufacturing and buisness
processes
 Uses a set of quality management
methods, including statistical
methods
 Creates a special infrastructure of
people within the organization.

13.  Perceive and Improve the Customer
Satisfaction for Product Quality through
survey
 Customer Survey from 10 Major cities
 Survey by QA based on :
1. Random sample
2. Questionnaire
 Feedback to other deptts.
 Monthly review with Top management

14. I.S.O. 14001
I.S.O.14001 / OHSAS 18001

15. I.S.O.14001 / OHSAS 18001 OHSAS 18001

16.  ISO 14001 is a standard developed
by the International Organization for
Standardization (ISO)
 It establishes environmental
management system (EMS)
requirements for organizations of all
types and sizes.
 OHSAS (Occupational Health and
Safety Assessment Series) 18001 is
a standard for implementing a safety
management system (SMS).

18. o
Regional channel and wide distribution network
 Most raw materials are bought from suppliers within India
 At the retail level, LG uses a combination of exclusive LG
showrooms as well as Multi-brand outlets (MBO’s)
 LG also indulges in e-retailing as an alternative channel through
its website www.lgezbuy.com
 LG also has a separate channel for services and spares
 Procurement of supplies and materials for production is done by
the purchase department

19.  LG Electronics, a global leader in consumer
electronics and home appliances, has won the
2012 Most Trusted Brand Award as the most
trusted home appliance brand in Nigeria.
 “Best Innovation” awards for LG’s Blast Chiller
refrigerator technology and Turbo Wash.
 “Best of the Year” awards for LG home
entertainment and home appliance innovations.
 Leading the HDTV category for 2012, LG home
entertainment products earned three awards: the
“Best 3D TV” (model LM9600), “Best LCD TV”
(model LM7600) and “Best Mid-Range LCD”
(model LM6200).