In South Korea, a triumph for talent in successions
The head of scandal-hit Samsung vows an end to family dynasty, helping the country to favor merit over bloodlines in business and politics.
Samsung Electronics Vice Chairman, Jay Y. Lee, apologies for past misdeeds during a news conference in Seoul, South Korea, May 6.
Reuters
For decades, South Koreans have tried to shed a cultural belief that a person鈥檚 destiny in business or politics is determined by bloodlines rather than merit. Laws have been passed to discourage nepotism. Politicians promise reforms against family favoritism in university admissions. On Wednesday, these efforts were rewarded when the head of Samsung, the nation鈥檚 largest business group, vowed on national TV not to allow his children to take over the company.
Lee Jae-yong, whose conglomerate was founded by his grandfather, even admitted that recent scandals that have engulfed his company 鈥� he spent more than two years in prison on bribery charges 鈥� were caused by attempts to ensure family succession within Samsung.
He apologized for his misdeeds while vowing to focus on improving 鈥渃orporate value鈥� 鈥� relying on professional managers 鈥� rather than seeking favors for kin.
The vow was perhaps self-serving. Mr. Lee faces more jail time as a court determines his future. Yet the Korean press welcomed the move by a company that is the world鈥檚 largest maker of smartphones and other electronics. 鈥淥ther family-run business groups with similar problems,鈥� wrote The Korea Herald, 鈥渙ught to use the incident as an occasion for self-awakening.鈥�
Family-run businesses are the bulk of businesses worldwide with many failing by the second or third generation. Most fail out of family rivalry or greed but also out of the notion that one鈥檚 gene pool is the best talent pool. Such a belief denies the worth of others in the company who might bring better qualities and experience. 鈥淧ower is never a good, unless he be good that has it,鈥� said King Alfred the Great.
Mr. Lee鈥檚 apparent enlightenment went beyond an acceptance of 鈥渂est-level management,鈥� as he called it, and a rejection of birthright as privilege. 鈥淪amsung has to hire proven personnel regardless of sex, education level, and nationality,鈥� he said.
In South Korea, social class is more closely tied to that of one鈥檚 parents than in other developed countries, according to a 2018 study. Partly this is due to a perception that personal traits are inherited. Breaking this belief requires a country to accept that each individual has unique talents and the ability to flourish.
Mr. Lee says he will be the last of his family to lead Samsung. He may be the first to assert in public that personal destiny should not depend on one鈥檚 genetic lineage.