Third- and fourth-generation heirs of major domestic food companies are stepping to the forefront of management. Facing a stagnant domestic market and rising costs, they are expected to focus on expanding global operations.
According to the industry on the 10th, SPC Group recently promoted Chairman Heo Yeong-in's eldest son, Vice Chairman Huh Jin-soo, and younger son, President Heo Hee-soo, in its latest personnel moves. Huh, the vice chairman, has overseen Paris Baguette's overseas business. Having led the push into global markets by operating more than 590 stores in 11 countries, including the United States, Europe and Southeast Asia, he is expected to draw the big picture for SPC's future. He also serves as chair of the innovation control tower "SPC Change and Innovation Task Force," leading the group's renewal efforts.
Heo, the president, has led innovation at Baskin-Robbins and Dunkin' and driven new businesses such as introducing global brands and digital transformation. He is focusing on securing new growth engines and boosting global competitiveness, including bringing the leading U.S. Mexican food brand "Chipotle" to Korea and Singapore.
Shin Sang-yeol, executive director and head of future business at Nongshim Group and the eldest son of Chairman Shin Dong-won, oversees the group's new business strategy. He is reshaping the ramen-centered business structure into non-ramen areas such as health functional foods and smart farms, while pushing to expand R&D (research and development) investment and develop locally tailored products in the United States, China and Southeast Asia. The chairman's eldest daughter, Executive Director Shin Su-jeong, handles beverage and new product strategy in the product marketing office. The younger daughter, Senior Manager Shin Su-hyeon, is in charge of online channel strategy on the digital marketing team.
Jeon Byung-woo, an executive director at Samyang Foods, is the grandson of the late honorary Chairman Jeon Joong-yoon, the founder, and the son of Chairman Jeon In-jang and Vice Chairman Kim Jung-soo. He serves as head of strategy planning and global strategy at Samyang Round Square. He participated in planning the new brand "Maptaeng," expanding the product lineup. Building on the overseas infrastructure established by Samyang Foods' flagship brand "Buldak," he is working to transform the company into a global food enterprise by pursuing new businesses in protein and healthcare.
Dam Seo-won, executive director in charge of management control (management support team) and the eldest son of Orion Group Chairman Dam Chul-gon, oversees the group's management support and global business. He is leading projects to improve management efficiency, including supporting the recovery of overseas subsidiaries' performance in China and Vietnam, assisting reentry into the North American market, and building an enterprise resource planning (ERP) system.
Ottogi's Director General Ham Yun-sik is the eldest son of Chairman Ham Young-joon. In April, he was promoted from Vice Administrator of the management control division to Director General of the marketing office. Ham does not hold an executive officer position. Instead, he is reportedly gaining practical experience in brand strategy and global business to support Ottogi's long-term global expansion. The eldest daughter, Ham Yeon-ji, handles marketing at Ottogi America. Ham's husband, Kim Jae-woo, also works at the same subsidiary.
Lee Sun-ho, head of future planning at CJ Group and the eldest son of CJ Group Chairman Lee Jay-hyun, oversees the group's long-term strategy and global investment portfolio. He is particularly working to generate synergy among CJ Group's key affiliates, including K-food, K-content and bio.
Elsewhere, Binggrae's third-generation President Kim Dong-hwan is shifting the business strategy to focus on brands, pushing branding management that expands premium product lines and integrates design, storytelling and marketing. Dongseo's third-generation Executive Vice President Kim Jong-hee oversees the group's strategy division and is diversifying new business structures such as capsule coffee.
The reason third- and fourth-generation heirs of major food companies are moving to the forefront of management is tied to the industry's "survival formula." Manufacturing efficiency and defending the domestic market, priorities of the "father's generation," no longer suffice. In particular, with digital transformation and overseas market penetration cited as key strategies, the judgment appears to be that the global experience of these mostly overseas university and MBA graduates will complement what the older generation's management style misses.
A food industry official said, "The third and fourth generations value story over product and branding over factories," adding, "They are likely to try to expand K-food into cultural content rather than just an export item going forward."
However, some in the industry say that because most of them hold key posts by virtue of being part of the owner families rather than proven management ability, this amounts to a repeat of lineage-centered succession. An industry official said, "While the rise of third- and fourth-generation managers with a youthful sensibility and global networks is certainly an advantage in a global era, there are not many cases where this has been proven through actual management performance," adding, "Even if young managers come to the fore, if decisions are made within family-centered networks, corporate culture will not change."
Seo Ji-yong, a business administration professor at Sangmyung University, said, "For young leadership to gain market trust, they must institutionalize transparent decision-making and a system of accountable management and strengthen external verification mechanisms."