- LG Energy Solution is introducing a company-wide AI Transformation (AX), embedding AI into core operations to boost productivity by up to 50 percent by 2028.
- By bringing AI into its operations, LG Energy Solution aims to move beyond scale-driven competition by enabling faster execution and more impactful work.
As competition across the global battery industry intensifies, staying ahead increasingly depends on more than incremental improvement. In response, LG Energy Solution is accelerating its shift toward AI Transformation (AX), viewing AI not as an option but as a business-critical initiative that redefines how work gets done across the company.
LG Energy Solution now aims to improve productivity by up to 50 percent by 2028, raising its original target of 30 percent by 2030. An uneven competitive landscape shaped by policy support, heavy capital investment, and massive workforce expansion has shown the limits of scale alone. AX is intended to help the company adapt more quickly, seize new opportunities, and respond more effectively to market changes.
Traditional Digital Transformation (DX) centers on digitizing manual and paper-based workflows, while AX builds on that foundation to support real-time decision-making, predictive capabilities, and intelligent automation. It also strengthens key manufacturing performance in areas such as quality, yield, and safety. Ultimately, AX reflects a redesign of core business processes, with AI integrated into how the system operates.
For LG Energy Solution, AX offers an opportunity to reshape competition around areas where the company already holds distinctive strengths, including its intellectual property, nearly 30 years of accumulated experience, and employee capabilities. Combined with AI, these assets reinforce one another and open the way to new levels of performance.
Industry data points in the same direction. According to Morgan Stanley, companies across sectors have already recorded tangible gains from AI, including an average productivity increase of 11.5 percent over the past year and improvements of up to 20 percent at some firms. McKinsey & Company finds that generative AI can produce significant productivity gains depending on function and adoption level, while Boston Consulting Group reports that companies with AI integrated into operations capture more than double the ROI of their peers.
To turn this ambition into practical execution, LG Energy Solution is building a strong company-wide support system. A CEO-led AI Governance Committee oversees solution adoption, security, and change management each month. The company is phasing in an Enterprise AI Platform, initially in areas outside of the National Core Technology of Korea, while expanded AI training programs will help employees use AI effectively in day-to-day work.
Through rapid cycles of experimentation, feedback, and iteration, the organization-wide transformation aims to provide the company with an advantage that redefines the rules of competition. By embedding AI at the core of how it operates, LG Energy Solution is dedicated to delivering differentiated capabilities that reshape the future of the battery industry.
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