Hanwha Group chair calls for startup-like entrepreneurial spirit

South Korea’s Hanwha Group Chairman Kim Seung-youn on Monday urged the defense-to-financial conglomerate to revive the bold innovations of its very early years to take the next leap forward, while marking its 71st anniversary.

The business group started as a small gunpowder maker during the 1950-1953 Korean War. It has since expanded beyond its mainstay petrochemical business into the defense, financial and retail realms mainly through mergers and acquisitions.

"Let's revive the wild nature of our startup era,” Kim said in a written speech on the occasion of the anniversary on Oct. 9.

"In order to become a sustainable company beyond Hanwha's 100 years, we must have an indomitable entrepreneurial spirit and a sense of mission with the determination to start a new business at every moment," the 71-year-old chairman said.

This year, the country’s No. 7 conglomerate advanced into the naval vessel market after purchasing a controlling stake in Daewoo Shipbuilding & Marine Engineering Co., renamed Hanwha Ocean Co.

The purchase of the world’s No. 2 shipbuilder perfectly rounded out its defense business from space to land and sea.

"The success of the third launch of the Nuri, being selected as the preferred bidder for the Australian Redback armored vehicle, and the success of exporting the K9 self-propelled howitzer and Hyunmoo to Poland are the achievements of the Hanwha Group."

“Let’s make it firmly established as a corporate culture,” he said.

In May this year, Hanwha Aerospace Co., an aircraft engine maker, participated in the launch of the country’s first homegrown space rocket, Nuri, into orbit. Hanwha is in charge of developing the Korean-type space projectile, spearheaded by the state-run Korea Aerospace Research Institute.

In July, the aerospace company was named the preferred negotiator for Australia’s multi-billion-dollar armored vehicle supply project.

Last year, Hanwha and Hyundai Rotem Co. signed definitive contracts worth $5.8 billion to export battle tanks and self-propelled howitzers to Poland.

Hyunmoo is a ballistic missile model manufactured by Hanwha.

Hanwha Group Vice Chairman Kim Dong-kwan, Chairman Kim's eldest son, oversees the group's defense business. He is the heir apparent of the conglomerate, founded by his late grandfather Kim Jong-hee.

Hanwha Ocean is now making every effort to win a 3.2 trillion won ($2.4 billion) order from Poland for submarines.

The chairman also urged stricter legal compliance and ethics in all business areas.

Write to Jae-Fu Kim at hu@hankyung.com

This article was edited by Yeonhee Kim.