Samsung Electronics employees believe that the company's semiconductor division is "in crisis," associating it with inefficient management and increasing competitiveness.
Samsung's Performance In The Markets Is Simply Due To How Executives Are Focused On Short-Term Goals, Reveals Firm's Employees
Well, the Korean giant is undoubtedly having a hard time establishing ground in the industry, whether through its semiconductor division or even in the HBM business. Samsung's quarterly performance fell short of expectations, too, and the company even publicly apologized for its dwindling business, which shows that Samsung is indeed not doing so well in the industry. Now, a survey conducted by a YouTuber (via BusinessKorea) involving Samsung's current and former employees has reiterated that the company is indeed in crisis, with employees associating the fiasco with Samsung's management.
The YouTuber who collected the survey opinions is currently working at Qualcomm and is a former employee of Samsung. The survey involved 24 current and seven former employees, who claimed that increasing competition and the Korean giant's ineffective business decisions led to a crisis, which is why the company is undergoing a challenging economic period. Among the respondents, 71% claimed that Samsung's speed of technological innovation is much inferior compared to competitors, saying that high-level executives are focused on short-term goals.
Executives focus on one-year short-term goals and do not see the big picture. The competitiveness of actual products declines because executives are busy meeting MBOs for their respective departments. There were many times I wondered if they would make such decisions if they owned the company.
- Samsung Employees via BusinessKorea
Apart from just market exposure, the employees claimed that the company's work environment isn't suited for progressive growth, saying that the firm's attitude towards its employees is wrong, which makes internal communication quite tricky. Some employees believe that Samsung isn't providing adequate compensation packages despite having higher operating profits than SK Hynix, which has demoralized the employees, ultimately hindering the process of innovation and development.
When asked about potential solutions, the employees believe that Samsung should consider bumping up its compensation packages, along with focusing on long-term growth, rather than being involved in the race to surpass its competitors in a shorter time span. Regardless of the survey, things aren't going right at Samsung at all, given that the firm hasn't managed to capitalize on business opportunities, such as securing NVIDIA as an HBM client. Such factors do influence the firm's sustainability and business in the longer run, ultimately giving competitors an edge.