Three telecom operators all earn top grade on Shared Growth Index, stepping up support for partner companies

[Financial News] SK Telecom, KT and LG Uplus have all received the top grade in the Shared Growth Index assessment. The result reflects their efforts to broaden win-win cooperation beyond financial support for the stable operation of partner companies to include stronger artificial intelligence (AI) capabilities and help with finding overseas markets. The three telecom operators plan to continue supporting partners in boosting their technological competitiveness and building sustainable supply chains.
According to industry sources on the 11th, in the Shared Growth Index assessment announced by the Korea Commission for Corporate Partnership, SK Telecom earned the top grade for 14 consecutive years, KT for 12 consecutive years and LG Uplus for 8 consecutive years. The Shared Growth Index measures the level of shared growth between large and small and medium-sized companies. It combines the Korea Commission for Corporate Partnership’s comprehensive assessment and the Fair Trade Commission’s assessment of compliance with agreements, among other evaluations, and ranks companies in five grades: top, excellent, average, below average and very poor.
SK Telecom earned the top grade for the 14th consecutive year and was also named a “Top-Rated Honorary Company.” Only two companies in South Korea, including SK Telecom, have received the top grade for 14 or more consecutive years.
To help partners manage their cash flow, SK Telecom operates a “Prompt Payment” system that pays the full transaction amount in cash within two business days of the date spending is approved. It has established a Win-Win Growth Fund worth 117 billion won with banks to provide support for loan interest, and this year it made early payments totaling 243.8 billion won to partner companies with SK Broadband ahead of the Lunar New Year and Chuseok holidays.
The company is also expanding support to strengthen partners’ competitiveness for the future. Along with providing environmental, social and governance (ESG) management consulting and support for technology protection, it stepped up practical AI training this year, including courses in data analysis and work automation.
KT earned the top grade for the 12th consecutive year. It runs win-win programs focused on helping partners expand overseas, secure financing and strengthen their AI transformation (AX) capabilities.
This year, KT operated its “KT Global Win-Win Cooperation Pavilion” four times to help domestic partners find overseas markets. The 18 participating partner companies achieved total exports worth 180 billion won.
Financial support also continued. KT provided low-interest loans worth 69.1 billion won through its Win-Win Cooperation Fund and facilitated 21.76 billion won in venture investment. Ahead of the holidays, it made early payments of about 250 billion won in supplier payments with its group companies, and provided 36.5 billion won in advance payments for memory purchases, helping partners reduce their purchasing costs by 10.4 billion won.
Other initiatives include connecting participants in its digital talent development program, “AIVLE School,” with jobs; providing AI training for small business owners; and offering safety and health consulting for employees of partner companies.
LG Uplus has maintained the top grade for 8 consecutive years. Each year, it signs fair trade agreements with around 130 to 150 small and medium-sized partner companies and runs financial, technology development and business management support programs.
LG Uplus pays small and medium-sized partners the full amount of their transaction payments in cash four times a month. It also helps them secure financing through a Win-Win Growth Fund worth 75 billion won and direct financial support totaling 30 billion won.
For partners with limited technology development infrastructure, the company operates a network equipment test bed and an Internet of Things (IoT) certification center, and also supports a technology data escrow system and a service that certifies the original versions of trade secrets.
Since 2013, it has also operated the “Shared Growth Board,” a partner company consultative body, to gather feedback on difficulties in the field. It is also working to build sustainable supply chains by strengthening management systems related to fair trade and ESG.
[email protected] Yoon Hong-jip Reporter