Today, the First auto channel reporter learned from Hyundai Motor Group (hereinafter referred to as "Hyundai Motor Group") that the board of directors of its core subsidiary, Hyundai Motor, has not submitted a proposal to re-appoint Zheng Mengjiu as an internal director, so Zheng Mengjiu will no longer serve as an internal director after the term of office of 16 expires next month. At the same time, Zheng Mengjiu will also step down as the speaker (chairman) of the board of directors of Hyundai Motor Company, leaving only unregistered executives of Hyundai Motor Company and registered directors of Hyundai Motor Company to continue to serve as the "president" and the highest decision-maker representing the company's ownership, which means that Zheng Mengjiu's decision-making power within Hyundai Motor Company will be further weakened.
At present, there are still some disputes within Hyundai Motor about who will take over as chairman, but most people in the industry believe that "Eui-Sun Chung era" is coming soon.
Li Douxi, a professor at the School of Management of Korea University and president of the Korean Institute of Management, told the First auto channel reporter that in order to ensure the independent exercise of the decision-making power of the board of directors, the position of speaker (chairman) representing the board of directors and the position of president representing the company are often appointed separately. At present, among the top ten chaebol in South Korea, most people choose to appoint different people to two positions because of the transparency of the holding structure, but a few companies such as LG are appointed by the head in order to improve the decision-making power of the head.
The First auto channel reporter learned that the publicity of Hyundai Motor did not make it clear who would take over the post of Zheng Mengjiu, but according to the analysis of people familiar with the matter, Zheng Yixuan, the chief vice president who is currently directing the overall work of Hyundai Motor, and Yuan Xili, the CEO of Hyundai Motor Brand, are both regarded as possible candidates for the post of Speaker.
Li Youjing, an analyst at Daeshin Securities in South Korea, believes that the structure of chaebol Holdings needs to be transparent due to the Korean Air Rebellion and Lotte Rebellion, and considering Eui-Sun Chung's employment style of actively attracting talents from outside, she personally prefers that the board of directors appoint someone other than Eui-Sun Chung as the speaker, but Zheng's influence in the company will be further expanded, paving the way for expanding the right to speak in the company through resignation. However, some analysts believe that the board of directors may recommend Eui-Sun Chung as the speaker to show its support for Eui-Sun Chung's reform policy.
A South Korean executive of Hyundai Motor, who asked not to be named, told the reporter that according to the internal articles of association of the board of directors, the appointment of the speaker position is entirely decided by the board of directors and will be generated from the board members, and the company has no right to interfere. However, the executive also said that no matter who is appointed as the speaker, the board of directors has a high degree of recognition of Eui-Sun Chung's policies, so no matter who takes office, it will not affect a series of ongoing reform measures in Eui-Sun Chung.
According to public information, Eui-Sun Chung, the eldest son of Zheng Mengjiu, joined Hyundai Motor on 1999 as the purchasing director, and was responsible for marketing, planning and design. On September 20 18, he was promoted to the position of Chief Vice President of Hyundai Motor Group, and was appointed as the internal director of four core subsidiaries of Hyundai Motor Group, Kia Motors, Hyundai Mobius and Hyundai Steel. And the position of representative director of Hyundai and Kia brands under the Group. Since Eui-Sun Chung was promoted, Zheng Mengjiu has not participated in the company's board of directors or any form of public activities in the past two years.
It is worth noting that Hyundai Motor also decided to nominate Chief Financial Officer Jin Shangxian as an internal director of Hyundai Motor, and proposed to amend the company's articles of association at the board meeting to incorporate mobile travel, electrification and other projects into the company's business purpose and accelerate the transformation to a smart travel solution provider.
"At present, Eui-Sun Chung's strategy can be summarized as young, profitable and transparent. Hyundai Motor therefore proposes to increase the sales ratio of new travel areas such as mobile travel to 50% in the future. In order to break the bloodline, foreign and external executives were appointed, and after winning the battle with American hedge funds, the holding structure was tightened. Judging from the content nominated by the board of directors, this series of actions all show the Eui-Sun Chung-style management style. " Li Youjing told the First auto channel reporter.
Li Douxi analyzed that at present, Eui-Sun Chung distinguishes between the business departments that need to "make money" and those that still need to increase investment. For example, on the one hand, it is proposed to invest billions of dollars in the future travel field, and on the other hand, it is proposed to increase the operating profit rate of the automobile manufacturing sector from the current 4% to 8% by 2025. In order to show the company's attention to the financial situation, up to now, the board of directors of the core subsidiaries except Hyundai Motor has been appointed.
In addition, the above-mentioned executives also told the First auto channel reporter that Eui-Sun Chung frequently visited China after being in charge of overall work, and the interval between the most frequent visits was less than one month, so that many employees were "not surprised" to meet the person in charge of the company. The modern definition of China market is not only "selling cars" itself, but also expanding to research and development and experimental sites for increasing added value and emerging travel technologies. Therefore, from the future, Hyundai's business scope in China will also expand to hydrogen fuel, future travel and open laboratories, and the high-end brand GENESIS, as a successful product planned by Zheng himself, will be gradually introduced to the China market.
This article comes from car home, the author of the car manufacturer, and does not represent car home's position.