In this edition of Executive Corner, we sit down with Ahn Jae-woo, head of the Component Solution R&D Lab at LG’s Home Appliance Solution (HS) Company. With over two decades of experience in compressor development, Mr. Ahn shares insights into the evolving role of LG’s Component Solution Business, the Lab’s unique strengths in cross-functional R&D, and how AI, automation and sustainability are driving the future of compressor and motor innovation.

Q: Could you start by introducing yourself?
I’m Ahn Jae-woo, head of the Component Solution R&D Lab at LG’s HS Company. I joined LG Electronics in 2000 after studying mechanical engineering and refrigeration & air conditioning. I began my career in the Rotary Development Team within the Air Conditioning Compressor Business Division. Over the past 25 years, I’ve been involved in developing core technologies and expanding platforms across rotary, scroll and reciprocating compressors. Since 2024, I’ve led the R&D Lab, focusing on advancing LG’s next generation of high-efficiency compressors.

Q: What is the Component Solution Business?
We are an independent division within LG’s HS Company, specializing in customized compressor and motor solutions. Over the years, we’ve earned a strong global reputation as a trusted innovation partner. Our technologies support a wide range of applications – from home appliances and refrigeration to HVAC and mobility.

With more than six decades of expertise in compressor and motor technology, LG is equipped to meet the evolving needs of diverse industries. In the past decade alone, we’ve achieved double-digit growth, solidifying our role as a critical pillar of LG’s B2B business.

Today, we operate six fully-functional global sites – in Korea, India, China, Thailand, Vietnam and Mexico – that combine R&D, production and sales altogether. In addition, we maintain sales hubs in the U.S. and Japan, further strengthening our global presence and customer responsiveness.

Q: What makes the Component Solution R&D Lab stand out?
What sets our R&D Lab apart is our deep integration with LG’s broader R&D ecosystem across both the HS and ES Companies – covering products like refrigerators, air conditioners, washers and dryers. This close collaboration allows us to rapidly develop and fine-tune compressors and motors tailored to specific product needs.

Very few organizations globally can match our capabilities in developing the full range of compressor types – rotary, scroll, reciprocating and linear. This breadth of expertise fosters a cross-disciplinary culture that accelerates innovation.

We focus not just on enhancing performance, but also on reimagining design – creating form factors that inspire new functions. Technologies like the Direct Drive Motor, Linear Compressor and R1™ Compressor were all born from this philosophy. Our innovations reflect customer values such as efficiency, reliability and adaptability – advancing the entire industry in the process.

But beyond technical prowess, it’s our spirit of innovation that truly defines us. We are committed to pioneering component structures and movements never before seen in the industry – establishing new benchmarks and core technologies that lead the transformation of the component landscape.

Q: LG Component Solution is known for world-class automation. Can you share more?
Automation has been a key enabler of our operational transformation. A major milestone came in 2024 with the launch of our Super Gap Compressor Line, which raised our automation rate to over 80 percent.

By automating our scroll compressor production, we’ve significantly enhanced productivity and consistency – without increasing costs. Precision is one of the biggest gains, minimizing human error and improving overall product quality and reliability.

We’re now working to expand automation across more processes and facilities, boosting our global competitiveness and delivering even higher standards of excellence.

Q: AI is transforming industries. How is LG Component Solution responding?
AI is rapidly becoming a cornerstone of our operations. We’ve introduced AI-driven technologies such as smart robots and 3D vision systems to automate tasks like heavy-load bin picking and small-part supply, enhancing both productivity and efficiency.

On the quality front, AI-based monitoring allows us to digitize and analyze inspection data in real time. Our AI vision system detects issues such as missing or mixed parts, reducing defect rates and lowering costs. We’ve also built a real-time simulation database for our production lines. This helps us analyze equipment utilization, optimize processes on the fly and enhance flexibility while minimizing waste.

Looking ahead, we aim to broaden our AI applications across the entire manufacturing process to drive further innovation and global competitiveness.

Q: Have AI technologies changed LG’s compressor and motor products?
Absolutely. AI and big data are accelerating the development of smarter, more efficient compressors and motors.

In the design phase, AI enables advanced simulations that enhance durability, performance and efficiency. More importantly, it allows our components to respond intelligently to real-world conditions.

While we previously focused on maximizing appliance performance, we’re now designing for what we call an “Effortless Life.” AI enables our systems to learn from users and adjust based on their behaviors and environments – delivering smarter performance and greater energy savings.

Ultimately, AI is helping us develop components that are not just high-performing, but intelligent and sustainable.

Q: ESG and sustainability are more important than ever. What progress has the R&D Lab made?
Sustainability has been a top priority under my leadership. We’ve introduced several initiatives to reduce carbon emissions throughout our manufacturing processes.

For example, we now use low-temperature pre-treatment liquids and paints for compressor painting, significantly lowering emissions compared to traditional methods. We’re also upgrading paint drying ovens with high-efficiency burners to further reduce energy consumption.

Through these and other efforts, we’re working to shrink our carbon footprint and demonstrate our commitment to responsible, sustainable innovation.

Q: Finally, what’s your vision for the future of the Component Solution R&D Lab?
Our vision is to become a globally recognized leader in compressor and motor innovation – an expert organization that boldly takes on challenges to shape the future.

We’re building this future around three core values: CoreTech, Challenge and Creativity. CoreTech is our foundation, Challenge is what drives us forward and Creativity emerges from our pursuit of new solutions.

We’re investing in our people, technologies and processes to strengthen our capabilities. Our ultimate goal is to become the world’s leading R&D organization in compressors and motors – and we’re fully committed to making that a reality.

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