POSCO E&C, LG to develop customized home appliances for remodeling

South Korea's POSCO E&C, formerly POSCO Engineering and Construction, will develop customized products for apartment remodeling through cooperation with LG Electronics Inc. in system air conditioner design.

POSCO E&C on Tuesday said it signed a deal with LG Electronics at the former's headquarters in Incheon on the development of customized products for remodeling apartments. This agreement seeks to boost POSCO E&C's presence in the related market through a tie-up with the electronics giant, which possesses world-class technology in home appliances and air conditioners.

Unlike reconstruction, remodeling an apartment uses a unit's structure as is and must secure a high floor height by optimizing the pipe design for a system air conditioner.

POSCO E&C uses its own management platform for digital construction to identify interference that occurs during remodeling and pick an efficient construction method. LG Electronics' role is to develop customized home appliances as well as system air conditioners for remodeling.

POSCO E&C in May last year launched "A teams," or units with key staff experienced in design, construction and R&D to secure future growth engines, to play a pivotal role in product development. The "A" stands for "agile" meaning "agile and fast."

Sixteen such teams work on tasks like improvement of profitability, development of new products and technologies, and search for new businesses, and by repeating fast implementation and feedback, they seek to solve the company's issues and secure future growth engines.

Write to So-Hyeon Kim at alpha@hankyung.com