Chung Yong-jin, vice chairman of Shinsegae Group, is expected to further tighten his grip on the Korean retail conglomerate after the group’s the other vice chairman Kim Hae-seong stepped down during the group’s annual executive-level reshuffle.

On Wednesday, Shinsegae Group announced that Kim, who was promoted to the group’s vice chairman last year, left the position. Kim, who had assisted Chung over the past year, will also no longer retain the position of co-chief executive of E-Mart Inc., the group’s discount store unit. Instead, Lee Gap-su, co-chief executive and vice president of E-mart, has been promoted to president to head the country’s leading discount store. Lee is the only executive to be promoted to president in the group’s latest year-end reshuffle.

This year’s small shakeup in Sinsegae’s senior executives comes after the conglomerate’s massive reshuffle last year that clearly divided control of the group’s businesses between Chung and his younger sister Chung Yoo-kyung who mainly controls E-Mart and the department store business, respectively. Both are children of Shinsegae Group Chairwoman Lee Myung-hee, the youngest daughter of the late Samsung Group founder Lee Byung-chull.

Industry observers suspected that with such a less bold management overhaul, the conglomerate has decided to focus on ensuring internal stability this year. They also expected that Kim Hae-seong leaving his vice chairman position allows owner family member Chung Yong-jin to tighten grip over the conglomerate, leading to simpler decision-making process.

Meanwhile, Kim Seong-yeong, vice president and head of new business operations at E-Mart, has been appointed to chief executive of WithMe, the group’s convenience store chain. Kim, who will replace Yoon Myeong-gyu, is known to have been deeply involved in the convenience store business from the early stage while working at the strategy department. Yoon, meanwhile, has moved to head construction business at Shinsegae Engineering & Construction Co.

No single executive was promoted to president when it comes to the group’s department store business led by Chung Yoo-kyung. Instead, Park Ju-hyeong, vice president and chief financial officer of Shinsegae Department Store, has been appointed to oversee Central City, a mall complex in which the department store has business control over. Park will be in charge of overall business of Central City as well as Seoul Express Bus Terminal and JW Marriott Hotel in which Shinsegae has stakes.

By Sohn Il-seon

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]