Purpose of the report
The objective of this work is to produce a global value chain report on Samsung Electronics Corporation (SEC) which has two divisions in the information and communication technologies section, mobile media and connected vehicle development, with the aim of outlining innovation entry points for Canadian companies by identifying Samsung’s organizational structure, and how Canadians, especially SMEs, can engage in the various stages of Samsung Electronics’ value chain.
Samsung Group and Samsung Electronics
Samsung Group is the largest group or Chaebol in Korea. Samsung Electronics is the largest subsidiary with a 2011 Korean consolidated income of C$150 billion. Samsung Electronics has 144 consolidated subsidiaries of which 18 were newly consolidated at the end of 2011. Samsung Electronics consists of three core divisions:
• Device Solutions, a Business to Business (B2B) division handling semiconductors, other chips and Liquid Crystal Display (LCD) and other components.
• Digital Media & Communications (DM&C) is basically a Business to Consumer (B2C) Company producing phones, computers and televisions and everything in between.
INTRODUCTION OF STATEGIC IMPLIMANTION
Strategy implementation is the translation of chosen strategy into organizational action so as to achieve strategic goals and objectives. Strategy implementation is also defined as the manner in which an organization should develop, utilize, and amalgamate organizational structure, control systems, and culture to follow strategies that lead to competitive advantage and a better performance. Organizational structure allocates special value developing tasks and roles to the employees and states how these tasks and roles can be correlated so as maximize efficiency, quality, and customer satisfaction-the pillars of competitive advantage. But, organizational structure is not sufficient in itself to motivate the employees.