It was reported a couple of days back that the succession plan at Samsung is underway with the heir-apparent Lee Jae-yong inheriting control of two investment vehicles and charitable bodies from his father, Chairman Lee Kun-hee. Control of these foundations is vital to the succession plan since they hold substantial stakes in key companies of the Samsung Group. Chairman Lee Kun-hee has been out of the spotlight since last year after suffering a heart attack, the company recently had to brush aside rumors of his demise, but industry watchers seem convinced that due to his ailing health the chairman is setting the succession plan in motion.
Naturally this puts the focus on Lee Jae-yong who is going to take control of one of the biggest conglomerates on the planet with more than 70 different business units. Jae-yong is expected to push forward with a change of management style at the company as opposed to a change of strategy since he reportedly wants to preserve his father's legacy, which Kun-lee built by running the Samsung Group for more than a quarter of a century.
A “senior Samsung executive” tells Reuters that Jae-yong doesn't want to be in the limelight just yet as his father is still alive but he's keen on being evaluated on the basis of performance and wants to ensure that Samsung continues to grow. Apparently he's going to focus more on businesses which he thinks Samsung can run successfully and sell assets like chemicals and defense which might just be weighing the conglomerate down. So far there has been no official word from Samsung on when the leadership is going to transfer to the chairman's son but the same executive claims that Jae-yong doesn't want to rush into it and potentially do something “that might undermine his father's achievements or may be seen as disrespectful.”
