Leadership at Hyundai

Chang Jae-hoon has been appointed president and chief executive officer of Hyundai Motor, Korea’s largest
carmaker. An executive vice president of the automaker, 56-year-old Chang has led the domestic sales team
at Hyundai Motor and served as the global head of Genesis, a luxury brand that is being developed by the car
company. The Korea University graduate will focus on building the corporate culture of the company and on
innovation. The promotion comes as the industry faces overcapacity and “peak car” and as the company
works to pivot to hydrogen and electric vehicles and develop flying cars and other futuristic modes of
transportation.

Jung Jae-wook, executive vice president at Hyundai Motor in charge of the purchasing team, has been
named Hyundai Wia’s new president and CEO. Hyundai Wia is a Korea Exchange-listed auto parts
manufacturer in which Hyundai Motor and Kia Motor have major shareholdings. Jung has worked for more
than 30 years at Hyundai Motor, Kia Motors and Hyundai Mobis in auto parts development. Shin Jai-won,
executive vice president who heads the urban air mobility (UAM) division at Hyundai Motor, has also been
promoted to president Hyundai Motor — the company gives more than one person that title. Shin previously
worked at the U.S. National Aeronautics and Space Administration and was hired last year to develop the
UAM division for Hyundai Motor.

Policies

Hyundai Motor Company respects and protects the fundamental human rights of all members of the
company and of those listed in various International Human Rights Standards (hereinafter "Guidelines")
including UN Declaration of Human Rights, UN Guiding Principles on Business and Human Rights, OECD
Guidelines for Multinational Enterprises, UN Convention on the Rights of the Child, ILO Core Conventions
ratified in South Korea, and applicable laws of countries in which we operate. We will prevent any case of
human rights infringement and at the same time will not be involved in or abet any incident of human rights
invasion within the applicable range of our Human Rights Policy. When the Guidelines stated in this human
rights policy and the national or local legal regulations conflict, we will apply a stricter standard.

 Prohibition of Forced Labour We prohibit forced labour by physical and mental restraint, including
slavery and human trafficking.
 Prohibition of Child Labour We comply with the minimum age of employment and forbid labour of
children and minors under the age of 15.
 Working Hours, we comply with the working hours and holiday regulations of each country we operate
in and do not provide sub-standard working conditions.
 Compensation and Benefits We offer compensation that exceeds minimum wages according to the
labour laws of each country we operate in and provide overtime pay in case overtime work is needed
according to the same applicable law.
 Equality and Diversity We prohibit discrimination of all executives, employees, and applicants, and
provide equal opportunity and a chance for a fair evaluation. We will not discriminate any executive,
employee, or applicant for any reason including their colour of skin, gender, origin, education, religion,
marital status, political opinion, social status, or disability for personnel practices of employment,
promotion, compensation, and disciplinary action
 Freedom of Association We respect the freedom to choose labour and guarantee the freedom of
association and the right to collective bargaining according to the applicable labour regulations of each
country or region. We do not discriminate employees for reasons of joining, engaging in, or organizing a
labour union.
Objectives
Hyundai’s objective is to become a leading global automobile company. Hyundai Motors is trying to
achieve its objective by increasing its worldwide production and sales. According to the Chairman and
Chief Executive officer of Hyundai motor Company, the competitive advantage of Hyundai is its product
quality.
Strategies
 Updated ‘Strategy 2025’ disclosed at ‘2020 CEO Investor Day’ forum
 Updated Strategy 2025 builds upon three pillars: Smart Mobility Device, Smart Mobility Service and H2
Solution
 Strategy 2025 focuses on four areas: EV, UAM, autonomous driving technology and hydrogen fuel cell
system
 Hyundai to take lead in global EV market in the mid to long term
 Hyundai targets 8~10% of share in global EV auto market
 Hyundai to expand electrified line-up from 2021 with addition of IONIQ EV line-up
 Hyundai to fully electrify its line-up in major global markets by 2040
 With UAM, Hyundai to offer innovative mobility experience to customers
 Hyundai to secure leadership in UAM technologies and ecosystem
 Hyundai to build a family of air vehicles for both in passenger and cargo areas
 Hyundai to develop hydrogen fuel cell powertrain for UAM
 Hyundai to accelerate commercialization of autonomous driving technologies
 Hyundai to apply Over-the-Air (OTA) function starting from 2021
 Hyundai to offer new models equipped with Lv 3 technologies in 2022
 Hyundai to further global leadership in hydrogen fuel cell
 Hyundai introduces its proprietary fuel cell system brand ‘HTWO’
 Developing next-generation fuel cell system with enhanced performance and durability
 Hyundai to invest KRW 60.1 trillion by 2025 to support long-term growth
 Hyundai aims 8% operating margin in auto sector in 2025
 Hyundai targets to account for around 5% of global automotive market

HRM activities in Hyundai

Human resources Department Hyundai main aim is to retain and develop good talents, proactively develop
managerial leadership and establish efficient performance-oriented HR systems, in order to achieve the
vision and mid-to-long term strategy of Hyundai Motor Manufacturing Czech. Hyundai offers benefits that
are competitive and focused on the wellbeing of our employees. Designed to promote a healthy life/work
balance, our substantial benefits package includes the following benefit options and more.

 Health Care Benefits: Medical, Prescription, Dental and Vision Insurance

 Paid Time Off: Vacation, Holidays and Sick Time

 Survivor Benefits: Life and Business Travel Accident Insurance

 Income Protection Benefits: Short- and Long-term Disability Insurance

 Retirement Benefits: Employer Enhanced Contribution Fund

 Vehicle Benefits: Discount with Employee Vehicle Lease or Purchase

 Wellness: Employee Fitness Centre on-site at our new state-of-the-art national headquarters in
Fountain Valley, California and in our regional offices

Resources

Hyundai Corporation has an excellent record of successfully investing in the development of energy and
resources such as coal, oil and gas. The bituminous coal mining project in Drayton, Australia in 1981, which
was the first overseas resource development project by a Korean company, the oilfield development project
in Marib, Yemen, the LNG development project in Oman and Qatar, and the sea mining project in 11-2
Mine Lot in Vietnam are some of the few major projects developed by Hyundai Corporation.

In April, 2011, Hyundai Corporation, Hyundai Heavy Industries, Hyundai Mipo Dockyard, and Hyundai Oil
Bank established Hyundai Energy and Resources Co., Ltd, which specializes in the natural resources
development business. Utilizing our over 30 years of business experience, we will continue to promote the
exploration and the development of energy and mineral resources. Australia Drayton bituminous coal mine
development project, which Hyundai Corporation participated with 2.5% share in 1979 as the first overseas
resources development project in Korea, is producing about 5 million tons of bituminous coal a year until
now from 1983, and it is evaluated as a successful project that contributed greatly to the stabilization of the
Korea coal supply for the last 30 years. Currently we are carrying out Drayton south bituminous coal
exploration near Drayton coal mine.

Yemen Marib Oilfield, which we participated with Korea National Oil Corporation, SK, Samhwan
Corporation, etc., with 2.45% share in 1984, is a mega oilfield with 1 billion barrel of deposit, and it has
been assessed as the most successful project among Korea’s petroleum development projects. Hyundai
Corporation also participated in the petroleum development project in Libya with a large scale deposit found
in 1999 and achieved a big profit by selling the shares afterwards. Hyundai Corporation continuously
participated in overseas natural gas supply projects, and we are now participating in 4 regions such as Oman
(1%), Qatar (0.4%), Vietnam (4.9%), and Yemen (3%). Among these regions, LNG projects of Qatar and
Yemen which started the production in 1999 and 2000 respectively started to pay dividend and we secured a
high dividend income for 20 years.

For the PNG of Vietnam 11-2 sea mine, which we participated in 1992 and discovered commercially
developable gas, we made a sales contract with Vietnam government until 2028, and the domestic sales in
Vietnam is going well. Also, Yemen LNG, which we participated in 1998, is a project of producing and
selling LNG of 6.9-million-ton natural gas per year developed in Yemen central part Marib region, and the
first commercial production started in Aug. 2009.

Processes

A visit around one of the biggest vehicle plants in the nation is exceptional. We visit the Hyundai industrial
facility in Sriperumbudur close Chennai to know the procedure of auto making live. Hyundai Motors is
intending to decrease vitality utilization between 3-4% yearly. Vitality proficient T5 lights and engines are
utilized as a part of creation shops to monitor vitality. Web based checking and programmed turn off
framework for electrical hardware, sun-based water warming framework, sun oriented light pipes for office
lighting and LED lights for road lighting are some different practices for vitality utilization. To spare
propane utilization, warm recuperation framework has additionally been introduced. For every one of the
endeavours, HMIL has been granted the Green Award in the Large Industries class for the year 2011-2012
by the Tamil Nadu government. HMIL has two assembling plants in Sriperumbudur, Kanchipuram locale,
Tamil Nadu.HMIL's assembling plant close Chennai cases to have the most progressive generation, quality
and testing abilities in the country. To take into account rising interest, HMIL authorised its second plant in
February 2008, which delivers an extra 300,000 units for each annum, raising HMIL's aggregate creation
ability to 600,000 units for every annum. Current Production Capacity with these 2 plants in Sriperumbudur,
Kancheepuram expanded to 7,00,000 autos every year. In the production process, every one of the boards of
the auto are squeezed at the Press shop and welded together at the Body shop for the most part controlled by
robots making the human intercession less and to guarantee predictable form quality. The completed body at
that point goes to the Paint shop where condition inviting water-based process is utilised.

Customer focussed results

Hyundai Motor India has topped the after-sales customer satisfaction survey among mass market brands, as
per global market research firm JD Power. According to JD Power 2017 India Customer Service Index
(Mass Market) Study, Hyundai with a score of 923 ranks highest in after-sales customer satisfaction. The
South Korean firm has topped the rankings in the category in India for the first time ever. Maruti Suzuki
India and Tata Motors rank second with a tie at 893. Mahindra with a score of 877 ranks fourth followed by
Nissan which garnered 844 points.

Employee satisfaction

In the present scenario, human relations is gaining its own importance and occupying a noticeable position in
all the organizations. It is also noted that human resource also plays a vital role in all the organization. An
importance should also be given to psychological feeling of the employees, irrespective of the position they
are occupying in any firm or industry or organization. It is not only important for the employer to take care
of the employees. They have to retain the employees in the organization. Now a day’s relationship is
becoming a critical factor that serves as a basic platform in connection with relationship between employer
and the management. The relationship between the employer and employees and also between the co-
workers plays a major role in job satisfaction of the organization. An employee’s assessment of how
satisfied or dissatisfied he or she is with his or her job is a complex summation of a number of discrete job
elements. This job satisfaction study was a procedure by which employees report their feelings towards their
job and work environment. It helped to a powerful diagnostic instrument for assessing employee problems.
Improved communication is another benefit of the study. Particularly beneficial to the company is the
upward communication when employees are encouraged to comment about what they really have in their
minds. This job satisfaction study revealed that grievance handling system, promotion policy, job rotation,
participation in decision making has to be improved. It helped management, both to get a better handle on
why employees are lagging and to plan better solutions to problems and to assess training needs. Sooner or
later, the measures can be adopted for a better performance management system in the organizations and can
be incorporated with these specifics for future compliances.
Environmental impact

 Reducing Greenhouse Gas and Energy Use HYUNDAI WIA has a greenhouse has inventory to
respond to its energy goal management, and employs MRV system to prepare for impending greenhouse
management and emission trading policies.
 Preserving Air Environment of the Business Locations To protect the environment and the health of
local residents and employees, HYUNDAI WIA manages the air quality in its places of business. In
addition, we employ an internal environmental standard that is thirty percent more stringent than the
legal standards to preserve the air environment.
 Waste Water Treatment and Recycling All waste liquid generated in the production sites are collected
in a tank to be transferred to a central waste water treatment facility. All waste liquids are managed under
an internal regulation that is thirty percent more stringent than legal requirements. In addition, waste
liquid that cannot be treated easily are transferred to legal treatment companies to conserve water
environment.
 Resource Recycling HYUNDAI WIA minimizes the generation of waste in the production process
through its production information system. Generated wastes are classified into twenty-six types
including scrap metal, flammable, and non-flammable materials to lead the effort in resource recycling
 Management of Harmful Materials In order to prevent harmful materials in its products and
systematically manage chemicals used in production, Hyundai WIA established Material Information
and Management System in 2016 for automobile parts used in Korean vehicle production.

Business results

 Hyundai Motor Company today announced its business results for the fourth quarter of 2021. The company
sold 3,890,726 units in 2021 around the global markets, up 3.9 percent from a year earlier. Annual revenue
increased 13.1 percent from 2020 to KRW 117.6 trillion. The fourth-quarter revenue increased 6.1 percent
year-over-year to KRW 31.03 trillion, paving the way for positive sales growth for 2022.