Archive for vodcast

Everything Korea, January 30 Episode, A Matter of Process

Like a moth to a bright light, I am drawn to Korean facing business issues and trends. I explore and then provide commentary on the direction of Korean business from developments inside South Korea to their impact on international operations. To better define this task, my perspective is “culture.”

I’d like to share some thoughts from my most recent visit to Seoul, South Korea—the third in as many months. (This commentary is also available in Branding in Asia)

First, I see huge leaps in the culture that nurtures an emerging “creative class.” In America, as an example, startups, technology, and innovation have tended to evolve in cities with diversity and strong counter-cultures, all of which foster creativity. Those familiar with the Korean workplace … and by this I mean not only larger organizations but also the most progressive firms… once recognized the stark disparity in “creative” norms between Korea and the US.

That said, one can sense the change just strolling down a trendy urban district undergoing gentrification such as Hongdae or Sinsadong where streets and alleys are dotted with vogue shops and hip cafes. Likewise, as rent has soared in these areas, adjacent neighborhoods, Yeonnam-dong and Sangsu-dong, for example, have become home to Korean hipsters and young artists.

In particular, this emerging Korean creative class has generated a demand for and furthered the appeal for chic design, urban art, indie music, and hip, smart fashion as many look to stand out as individuals within a people once depicted cross-culturally as high in conformity. I see this latter trend as a critical shift in Korean society. As academic Richard Florida points out in The Rise of the Creative Class, creatives as a group reflect a “powerful and significant shift in values, norms, and attitudes.” He identifies these attitudes as:

1) Individualism

2) Meritocracy

3) Diversity and Openness (which can translate to gender, sexual preference, race and my favorite “personal idiosyncrasies”)

Gaps

This said, there are still gaps in applying a creative culture to business, especially when a project’s expectations are measured in global terms. Digging deeper perhaps the reason for the disparity is a matter of process and mindset. For example, in the West whether it is a business proposal, a go to market strategy or a roll out, seasoned veterans, in-house or contracted, work from Day 1 to define and flesh out the project. Complementing this approach, their working level teams are experienced. Overall, there is typically considerable investment in time and talent up front.

In contrast, the Korean approach is more to adapt and modify. Since the working teams involved tend to be comparatively less experienced, the project takes them into uncharted waters, so the more practical approach is to tackle each stage as it unfolds.

Additionally, in the West, high-level leadership, such as Vice Presidents, CMOs and COOs, are commonly directly engaged in the project. This enables a more hands-on approach that brings into play their talents and expertise. In Korea, we find it’s a working level team engaged on a day-to-day basis with leadership only periodically briefed on progress.

The challenge arises when western expectations call for detailed upfront plans following a proven model versus ones that are more general roadmaps with fewer specifics.

All and all, I see the engagement of Korean teams in global projects as a positive direction. This promotes the adoption of western approaches to project development enhanced with Korea’s emerging creative culture.

As always, we open to discussing your needs and concerns. Stacey, stacey@koreabcw.com, my assistant can schedule us a time to meet, or chat by phone. For urgent matters, Text me at 310-866-3777

Everything Korea: a Lunar New Year Culture Alert

The Year of the Red Rooster: industrious, outspoken, sharp-witted, and extravagant

Korea (as well as China, Vietnam, Laos, Singapore and other Asian countries) celebrate two New Year’s– one on Jan. 1 and the Lunar New Year celebration, which this year falls on January 28 of the Gregorian calendar, with the legal holiday in Korea from January 27 to January 30.

This year, 2017, is referred to as Jeongyunyeon (‘Jeong-‘ means ‘red’ and ‘-yu’ means a rooster) or “The Year of The Red (fire) Rooster.

Each lunar new year has an associated animal, as well as a related element like fire (red), water (black), earth (yellow), metal (white) and wood (blue), all which rotate over a 60-year cycle. Hence, Red (Fire) Rooster, or Black (Water) Snake, White (Metal) Dragon, etc.

It’s a great time to re-connect with Korean teams and friends. For your Korean colleagues (in Korea), you can wish them “Happy Lunar New Year” by phone, text, or email, by EOD on Wednesday, January 25 (so, Thursday AM in Korea, which is their last day in office prior to Holiday).

BTW Korean companies have Monday off, too.

For expat Koreans (as well as and ethnic Asians from China, Vietnam, and Laos) in your local operations, you can wish then Happy Lunar New Year on Friday, January 27 EOD before the holiday.

For Koreans, here is the formal greeting–Sae hae bok mani ba deu say yo.

You may recall we use the same greeting for the Holidays and New Years… ☺

Give it a try. You will find it will be greatly appreciated.

Questions, comments, thoughts?

Everything Korea, January 16: One More “Must Do”

Following up on my preview commentary, I’d like to add another “Must Do.”
As I have shared, teams and leadership initially will require Korean corporate culture immersion and then continuing support and mentoring.  This ranges from on-boarding folks new to your organization as well as anyone that may have moved into a new role and responsibilities that bring them in contact with Korean teams and exposure.  In the best cases, I am brought in literally day 1 with new leadership, in contrast to waiting for issues to surface that perplex and bring question.

As a caveat to this “on-boarding and support,” immersion should extend to vendors and service providers new to your organization.  Frankly, in my experience, the best partners embrace the opportunity to learn about your company’s Korean ties and influences. More so, it can pro-actively reduce many of the challenges that surface in the relationship and improve overall productivity.

I’d be happy to discuss to ensure we have a solid immersion and mentor program in place, as well as how best to provide support to your partners.

Stacey, stacey@koreabcw.com, my assistant can schedule us a time to meet, or chat by phone.  For urgent matters, Text me at 310-866-3777

Everything Korea, July 4 Episode: “Daily Calls with Korea”

Korea team Video Conferencing

My teams and I are ever on the phone with Korea!”  It’s something a week does not go by without hearing. … it’s someone I know so well personally.

With the shift to ever-increasing daily interactions with Korean HQs via web and phone conferences, western teams need even deeper practical insights into the Culture along with new skill sets.  In particular, the Executive Coordinator/ Advisor model had its limitations…but the Koreans assigned as expatriates did learn local norms and adapt over time. This mean the Coordinators molded to local operations with a lessening need for many in the local teams to become skilled in Korea workplace norms.

In contrast, Korea-based teams follow deeply imbedded HQ and company norms. They are not likely to model or adapt to their overseas subsidiaries.

This now means strong skills in managing the relationship and understanding the Korean workplace “in’s and out’s” and “do’s and don’t” as well as effective communication take on a new heightened significance.

I feel there is no escaping the need to get you and the team mentoring, coaching and skills sets. I am here to support. Just a call away.

My personal assistant Stacey at stacey@koreabcw.com can coordinate a time for us to chat by phone, meet or handle by email.

Everything Korea: Brexit, Korea and Hyundai

Difficult not to be following Brexit (short for British Exit from the EU).

brexit

Things are still fluid, so my commentary targets the impact on Korea-facing global business and specifically the Korean car sector (and dominated players, Hyundai and Kia).

That said, as a cultural historian it’s hard not to mention my initial reaction is a potentially wider pendulum swing toward populist Protectionism-Isolationism after years of “The World is Flat” Globalism and Free Trade Agreements.

To begin….
Headlines abound like “the Pound tanked, while the Dollar and the Japanese Yen gain ground,” and “… Brexit a blow to integrated global economy,” the later a Korean headline.

From a broader trade perspective, South Korea’s exposure to the U.K. is minimal.
Due to this low trade exposure we expect the Brexit to have no major impact on the Korea economy’s projected growth. Korea’s exports to the U.K. amounted to just 1.4 percent of all export shipments.  This said, the Brexit’s wider implications have many in Korea on alert and noting  “the uncertainty” that was common term cited last year with the downswing in the global economy.

More significant, and something I comment on often is the foreign exchange market. As we see when there is some global economic crisis, the immediately effect is the Won-Dollar exchange rate impacted—in this case Korean currency sinking compared to the U.S. dollar by the greatest % rate in five years.

This is not always a bad thing….
As a result, US Dollar profits repatriated back to Korea are worth more in Won, so essential US overseas operations getting more bang for the Buck.

We need to watch carefully the Won with relation to the Japanese Yen, too. South Korean carmakers fared well between 2007 and 2011 as the Won fell as much as 50% against the Yen. That trend reversed in the middle of 2012.  So, noted in my introduction, the Yen is strengthening.

Regarding car imports to UK….
The Brexit departure could revive a 10-percent tariff on exports of Korean passenger vehicles to UK unless a deal similar to the EU-Korea trade pact is negotiated.  Short term this will have little impact, as there is a 2 year grace period for the withdraw from the EU.

If no UK-Korea trade agreement is implemented, the Korean car brands will have disadvantage in price competitiveness compared to Japanese and German rivals, which have production bases in the UK.

For the Hyundai and Kia…. the real concern is the effect it will have on the European market as a whole, as well as the global economy….  In recent months, both Hyundai and Kia have seen an upswing in business in the EU   As of last year, Hyundai Motor and Kia Motors sold about 850,000 vehicles in the European countries, with 20 percent sold in the U.K.

Thanks to the FTA benefits, Korea has exported cars over 1,500 CC without any tariffs. Starting from July, those under 1,500 CC are also exempt from tariffs.

Over time… We’ll see UK move to becoming a “regulatory island adopting its own rules for tariffs, duties and standards. The European market will be more like Asia—with different rules in we find in Japan, South Korea, Hong Kong, and China.

Crisis?
To share a reach out for a comment from a close colleague and a leading global economist focused on Korea…. my friend notes: “Probably a lot of turbulence over next several weeks because many aspects of the Brexit were not considered by the Leave camp. But I think the markets are probably oversold as London’s position as financial center is not affected in short-run, and neither is trade. Put differently, the material effects are not as catastrophic as might appear in short-run …”

In closing… look for my follow ups this week….  As well as share you comments and questions… so, please share your remarks…. ☺

As mentioned in my introduction, whether Brexit is isolated, or the first of a broader populist Protectionism movement—it is something of interest to be followed…

Everything Korea, June 6 Episode, Life-Work Balance?

Work Life Balance Signpost Shows Career And Leisure Harmony

Korea “…a society where overtime work is seen as a symbol of diligence.”

A frequently surfacing concern among westerners in my work supporting Korean global subsidiaries is the Korean expatriates assigned to local operations have little or no Life-Work Balance.

In particular, expats (commonly referred as Executive Coordinators or Executive Advisors) work long hours often extending into the late evening. Westerners are sympathetic and respect this dedication, but question working such long hours and see the toll it takes their Korean colleagues.

Working lengthy hours has been a trait of the Korean workplace, in fact, it goes hand and hand with Korean students who in their middle and high school years can devote up to 20 hours a day on school-related work.

Frankly although Koreans endure long days I feel those assigned overseas tack on even more hours… the assignment demanding as well as time differentials requiring correspondence into the evening. Adding to the situation, whereas in Korea they work as a team—sharing the long hours with co-workers, many expats are the sole Korean in the department – with them remaining in the office into the evening when all others have left.  In many cases, expat feel they carry considerable burden for the performance of their department…

In a recent Korea Herald article, it notes:

For 26-year-old office worker Lee Hye-ri, it seems like a far-fetched dream to exercise and enjoy her hobbies after work every day. It is quite difficult to imagine life outside her workplace as she works as late as 11 p.m.

The newcomer, who was employed by a state-run company last year, often works overtime and sometimes works at home on weekends. She dozes off on the bus while commuting and sleeps a lot on weekends to fight a chronic lack of sleep.

“It has become a habit to work overtime. I might be able to finish my job during working hours if I focus, but I just think to myself, ‘Let’s just work overtime,’” she told The Korea Herald. “For workers, going back home in time is a special occasion and working late is part of everyday routine.”

Lee is one of many Korean workers who suffer from chronically long working hours in a society where overtime work is seen as a symbol of diligence.

The article goes on to point out the social ramifications of long hours including health and family issue.  Some in government have tried to address with introducing new labor laws to limit long hours….

All said, as the Western workplace recognizes and embraces the need for Life Work Balance it has become a frequent topic in Korea and one the new generation is beginning to consider when looking at their future and employment.

While we are looking at the Korean workplace, I’d like to take this opportunity to share an update on my Korean Global Business Mastery Program.

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For direct inquiries on enrollment and fees, please contact me at: questions@koreabcw.com

Everything Korea: May 23, Global Mandates, My Workarounds

As Seen in

Stepping back for a moment, I have shared in Vodcast as well as in my books and commentaries the role(s) of Korean executive coordinators.  As expatriates assigned to overseas operations much of their day-to-day work is to act as liaisons with the company’s HQ teams. Some of this assignment is to serve as the local point of contact for correspondence and request from the HQ.  Skimming through their email they prioritize correspondence– determining what are low level requests, answering some themselves, forwarding others, and elevating those deemed important.  The same goes for their web-and phone chats…

So what is changing…

We are seeing the model moving to more direct communications between local teams and Korea, and with this new challenges have surfaced.  In many cases Korean teams reaching out directly are unfamiliar with nuances in local governance, or the complexity of a project / services. Whereas in the past, an executive coordinator acting as the go-between might screen a request before engaging the local team.

In turn requests might require local teams hours to compile or research—their days already stretched thin.  In some cases, requests are stacking up with new inquiries coming in faster than teams can complete.

In contrast to the West, HQ teams are often dedicated to a singular project, while the local team may be managing a multiple and diverse project workloads. And, with balli balli  (Hurray Hurray) as defacto core value, the workplace expectation is for an immediate respond to requests.  More to the point, it means things need to get done today and now, not tomorrow.

First and foremost…

Build rapport with the Korean team member via phone and email.  As the mutual understanding and trust grow, early formality can drop and more frank colleague-to-colleague correspondence will develop.  This can mean asking for when they truly need the request fulfilled… or if there have 2-3 recent requests… what is the priority.

As it is difficult to give one answer fits all situations, I’d be happy to suggest some appropriate workarounds.

For questions raised, Stacey, my personal assistant at stacey@koreabcw.com can coordinate a time for us to chat by phone, meet or handle by email.

Everything Korea: May 16 Episode Global Mandates Part 3, a Caveat

Several years ago as Korean brands like Samsung, Hyundai, Kia and LG soared during the global recession, I coined the term K-lobalization (Globalization with a K for Korea).  I saw a trend as Korean firms instead of deferring to the local organization to boldly promote their own unique management style and corporate culture internationally and across many markets.  Much of shift this was the result of the Korean brands succeeding as their rivals Western and Japanese product suffered in the downturn.

As pointed out in Part 1 and Part 2 of this series on Korea-directed organization-wide, corporate mandates…. from core value, vision, and management training directives to most recently how they should brand or even target specific consumers in local markets.

One caveat has been the roll back of locally assigned executive coordinators; expats working in the overseas subsidiaries whose roles are to serve as liaisons with the Korean HQ. We see instead teams in Korea directly reaching out to local teams by videoconference, email and phone.

There are some very positive sides to this such as requests go directly to those engaged in the work, long term personal relations are developed and nurtured as well as open two-communications strengthened.

Less constructive is in many cases Korean teams are unfamiliar with nuances in local governance, or the complexity of a project / services. In turn requests might require local teams hours to compile or research—their days already stretched thin.  In some cases, requests are stacking up with new inquiries coming in faster than teams can complete.  In fact as of 2016, this has become the issue I am most frequently asked how best to deal with…

So what are the recommended work-arounds? In Part 4 in the series I will address.

In the meantime I’d like to solicit your input.  What situations are you encountering? Anything I missed?

For questions raised, Stacey, my personal assistant at stacey@koreabcw.com can coordinate a time for us to chat by phone, meet or handle by email.

Everything Korea: May 9 Episode, The “other side” of Don Southerton

Korea-facing business consultant, strategist, author, Hyundai Whisperer—and martial artist.

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My public image is a trusted Korea-facing global business leader… I’ve also been an avid practitioner and Master Instructor of traditional Korean martial arts– a Mind and Body journey I have enjoyed for the past 44 years.

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During the 1970s, 1980s, and 1990s, I trained extensively in Moo Duk Kwan Tang Soo Do (now also referred to as Soo Bahk Do), much of this under the Korean system’s Founder and son, the current Grand Master.

Highlights of these years included serving as Chief Instructor/ Coach for the United States Military Academy at West Point. Before shifting my interest to academia, writing, and global consultancy my martial arts schools, Southerton Karate, were nationally recognized leaders in the industry and among the largest in America. My years as a competitor in the late 1970s were recognized in 2013 by the Official Taekwondo Hall of Fame.

As of late, I also serve as an advisor to close friend and long time colleague Stephen Oliver’s elite international martial arts business consultancy.

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For my daily practice, in addition to my repertoire of over 35 traditional hyung—over the past 16 years I have added a number of complex forms of Chinese and Korean origin.  These Hyung are sets of combative movements martial artists’ practice to hone their bodies and minds.

In closing, I have always seen martial arts as not only a way of staying in shape through a wide range of stretching, kicking, and hand movements, but also a demanding mental and spiritual regiment.

More so, I attribute my success in business to the discipline, self-control, patience, and focus sharpened over a lifetime in the martial arts—not to mention bringing to my professional work a deep cultural dimension, which is an intricate part of the traditional Korea arts.

BTW You may find this interested, I have a dedicated Facebook Page with some my martial arts videos and photos—past and present.  See Some Cool Videos

Everything Korea: May 2 Episode, Part 2 Globally Mandated Programs

As I pointed out in Part 1 of this series, recognizing there will be challenges is one thing, providing a solid solution is another. I’d like to address these and other issues when we look at Globally Mandated Program.

It is always best that globally developed and mandated programs are crafted to mesh and align well in support local operations…

So what are my recommendations?   I’d be happy to share just a sample for consideration.

First all programs should:

  • Recognize the need for visual content to reflect our diversity– Low vs. high- context presentations, plus inclusive of individuals of Color, Ethnicity and Gender.  (In many cases, I find global content is very White).
  • Get high-level local leadership input and support (vs. just input from working level team.)
  • Programs regardless of the content should align with local operations. For example with corporate culture, efforts should allow the local organizations to define their own corporate culture, and the global content developed to be flexible and easily incorporated into current training initiatives like New Employee Orientation and mandatory compliance workshops.
  • Avoid hiring an outside agency to craft, they rarely get True Vision–they   understand the Data, but not Context.  They may add credibility and professional look and feel, but to be cost effective, they usually plug Data into a generic Boiler Plate.
  • Craft content in a way to connect to a wide segment of the workforce including  “The New Creative Class.” (See my case study on topic and who they are).  Here is the Link.Creative Class Case Study
  • The program should be launched in a way that dazzles and impresses the local teams and leadership.  Sadly I have seen well-crafted program presented poorly.

Concluding Thought  

Shared globally programs can align an organization and serve as a compass to steer the respective teams forward.  It is also a daunting task and one requiring a sound plan and execution.

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For questions raised, Stacey, my personal assistant at stacey@koreabcw.com can coordinate a time for us to chat by phone, meet or handle by email.

Would you like a copy of my book Korea Facing: Secrets for Success In Korean Global Business?   Click Here