LG to Focus on Training 'Super-CEOs' Samsung Chief Calls for 'Genius Strategy' (1) Samsung Chief Calls for 'Genius Strategy' (2)

Lee said that it had been two years since he ordered people to go out and bring in excellent technicians to Samsung's electronics-related subsidiaries. Nevertheless, Lee feels that no matter how much he emphasizes the importance of recruiting geniuses, his eagerness is not fully passed on to the others.

Lee said that Samsung had no employees who could be classified as geniuses unequivocally, but that he wanted to employ as many persons as possible who approach that ideal.

He said Samsung as of last year had about 500 semi-genius employees, including foreigners, who are classified as "S-Level." These employees were provided with houses, cars and higher pay than the CEOs.

There is a reason behind Lee's obsession with hiring only the best employees. According to Lee, you get one genius out of every 100,000 people. Therefore there are maybe 400 to 500 people in Korea who fall under that category. That is why he turned from Korea to the outside world. Since 1995, he has hired or trained about 100 geniuses from other countries; they will remain favorable to Samsung and stay pro-Korea even after they leave the company, Lee says. It is important to find geniuses from countries like Russia, Vietnam, and China, where they have a solid foundation of basic technology and easier access to the manpower, Lee says.

For the procurement and management of excellent employees, Samsung established a future strategy group in which it will be setting up 12 global research and development centers around the world this year. The number of Samsung employers in the R&D sector has increased 2.6 times since 1988.

Lee said there must be at least 20 to 30 geniuses in the semiconductor sector. But what are the chances of finding such geniuses? That is why he employs about everyone with a high IQ. Of course, other companies are grumbling. An official from another company's branch office in the United States complained that Samsung recruits all the excellent graduates from universities in the United States, and even takes away the graduates whom other companies were in the process of employing.

The people Lee is particularly interested in these days are women and people with special talents. Lee warned against putting down people with strong characteristics or talents by saying they are either "smug" or "insolent." He said that the 21st century is the "soft age" or the "emotional age," and therefore women will be key players. He also pointed out the obvious waste in the work force by saying that in other countries women and men work together while in Korea only the men struggle at work.

Recruiters from Cheil Communications are scouting among winners of literary contests and college singing contests. Samsung SDS scouts ex-hackers. Cheil Industries Inc. scouted Lee Jung-min, a famous fashion designer in Italy. All these cases show that Samsung affiliates are keen on following Lee Kun-hee's philosophy.

Samsung's recruit of excellent employees, however, has led to a new problem - ostracism of the geniuses at work. Lee explained that nowadays it is more important to keep the geniuses with the company than recruiting them. He said the loss of 10 of the genius employees could not be offset by the recruitment of 20 new ones. When a newly recruited S-level vice president at Samsung Electronics gave a presentation in his faltering Korean, some of the executive members laughed scornfully. Yoon Jong-yong, vice chair of Samsung Electronics, was quick to warn that those who make fun would be penalized.

Lee's "genius" philosophy places more significance on individual skill than teamwork. Samsung, however, has grown based on a well-designed system more than any other local corporation. So it will be interesting to see how Samsung harmonizes its geniuses with its system.