Hyundai Heavy Industries Group Chairman Kwon Oh-gap / Courtesy of Hyundai Heavy Industries

By Kim Hyun-bin

Hyundai Heavy Industries (HHI) Group Chairman Kwon Oh-gap stressed the need to adapt speedily to the rapidly changing global business environment during a meeting with affiliate CEOs, Monday, as global uncertainties such as inflation, the lockdown in Shanghai and the Russia-Ukraine crisis have impacted the group negatively.

HHI Group convened a meeting of CEOs of the group's major affiliates, such as shipbuilding, energy, construction machinery and electric firms in order to review the current status of management plans and to respond to changing business conditions.

Kwon stressed the need to prepare for the worst-case scenario.

"Future crises may be different from the crises we have experienced so far, so thorough preparation is necessary by considering even the worst-case scenario for each company and preparing countermeasures. If the plan is pursued, then any crisis will soon become an opportunity," Kwon said.

The meeting discussed the recent sharp rise in raw material prices due to inflation, its impact on the shipbuilding business and related countermeasures.

The meeting also reviewed the construction equipment business and how it plans to respond to the contraction of the Chinese market due to the lockdown in Shanghai.

In the energy sector, they discussed oil price instability that continues due to the Ukraine crisis, the impact of oil price fluctuations and measures to improve the performance of HHI's petrochemical business. Lastly, various safety measures were discussed and chosen in order to better prevent serious onsite accidents.