The Conglomerate Family Became A Villain [EN]: Chapter 181

181. Wall Street Summer (3)

Before negotiating with the AS [After-Sales service] technicians, Jung Hyun-woo listened to Mac Coile’s summary of the negotiation’s progress.

“We’ve agreed to a 35% increase in wages, including both performance-based pay and base salary.”

Jung Hyun-woo’s initial target was around 30%, so this was only 5% over.

“If you’ve agreed on wages, then stock allocation must have been an issue.”

“That’s been resolved too.”

Jung Hyun-woo paused, surprised by his answer.

“Stock has been resolved as well?”

“We’ve agreed to give each AS technician 20 shares.”

Jung Hyun-woo’s initial offer was 10 shares. The fact that he could offer 20 shares to the technicians was thanks to Victoria Corporation’s repurchase of its own shares.

“Aren’t all the important matters agreed upon?”

Jung Hyun-woo couldn’t understand why the negotiation was dragging on.

‘Is there something I don’t know?’

Just as he was pondering this, Mac Coile spoke again.

“That’s… there’s one thing that can’t be narrowed down.”

As expected, an issue Jung Hyun-woo wasn’t aware of had surfaced.

“What is it?”

“It’s the AS schedule management.”

“Schedule management?”

“It’s a matter of deciding when and where the AS technician will go to provide service.”

Jung Hyun-woo frowned and asked.

“Mac, you’re not asking me this because you don’t already know the problem, are you?”

He was asking for a specific explanation of the disagreement.

“Currently, schedule management is handled by G Shop. This is because G Shop receives AS requests and sign-ups. However, AS technicians feel that G Shop unilaterally dictates their AS locations and schedules.”

Jung Hyun-woo could easily guess the core of the disagreement.

‘G Shop is one of Victoria Corporation’s subsidiaries, but it’s a separate entity from the AS division. The technicians resent G Shop setting their schedules and giving them direct instructions.’

He suspected that resolving this problem would require more than simply persuading the AS technicians.

“It looks like Sarah will be needed.”

Mac Coile hesitated at Jung Hyun-woo’s words.

“Didn’t Miss Hilton say she wouldn’t participate in this negotiation?”

“She’s not participating in the negotiation directly. There’s something I need to discuss with Sarah.”

Mac Coile nodded.

“Okay. Then, I’ll wait for Miss Hilton.”

Jung Hyun-woo left the conference room and called Sarah. She hadn’t returned to Boston and was still staying at the hotel.

“Charlie?”

“I need Sarah to come over.”

“Did something come up that requires my attention?”

Jung Hyun-woo nodded, even though she couldn’t see him, and replied.

“There’s a perspective I want Sarah to hear.”

“Since you’re not discussing it over the phone, it must be important.”

“Yes, it’s important.”

Sarah said she understood and hung up. Fifteen minutes later, she arrived at the conference room.

“Mac, how have you been?”

Mac Coile nodded slightly at Sarah’s cheerful greeting.

“I’m working hard, but I’m sorry that it doesn’t seem like we’re making progress.”

“There’s nothing for Mac to be sorry about. Negotiation isn’t something that always goes smoothly.”

As Sarah sat down, Jung Hyun-woo got straight to the point.

“Sarah, I think we need to completely separate the AS division.”

Sarah tilted her head, puzzled by his words.

“Complete separation? Isn’t it already separate?”

Jung Hyun-woo shook his head.

“It’s only half-independent right now.”

“Hmm? What does that mean?”

“G Shop is in charge of reception and schedule management.”

When JP Service was first established, Jung Hyun-woo and Robert reduced costs by utilizing existing game shops across the country as AS centers, rather than building dedicated facilities.

However, as American Service and City Service expanded, the situation changed.

‘The situation has changed drastically since the beginning.’

Although the timing of the change was faster than expected, he believed the change itself was inevitable.

“G Shop has been in charge of AS reception and schedule management from the start, hasn’t it?”

Jung Hyun-woo lowered his voice and replied.

“Well, in the beginning, the scale of the business was small, and the workload on the game shops was minimal, so it worked out.”

Sarah listened to Jung Hyun-woo’s explanation and raised her right index finger.

“Ah! You’re saying that now G Shop is thriving, and AS demand has increased, so the system is starting to strain.”

“G Shop should focus on games, and a dedicated AS center should handle AS services.”

Sarah realized why he had called her in.

“Is it because of the costs and procedures involved in separating G Shop and the AS center?”

“That’s right.”

Sarah held up three fingers and said.

“If you want to completely separate the AS center from G Shop, you have to consider three major factors.”

Mac Coile listened intently to their conversation.

‘If the G Shop and AS center are completely separated, AS operations will definitely become more efficient. But the main obstacle is money.’

Both Jung Hyun-woo and Sarah knew that cost was the primary concern.

“Tell me about the most expensive factor first.”

Sarah nodded and began to explain.

“The most significant expense is labor costs. If you separate the AS center from G Shop, you’ll need dedicated staff stationed at the AS center.”

Currently, G Shop managers and staff also handle AS center duties.

This meant that separating the AS center would require hiring additional employees.

“There are a little over 300 G Shops nationwide, so even if you only have two management personnel at each, you’ll need to add 600 people.”

Sarah nodded, adding further detail.

“That’s the bare minimum, and if there are densely populated areas or a need for new AS centers, the number of employees may increase further. Besides, once you hire these people, it’s difficult to reduce their numbers later.”

This meant that millions of dollars would be added to fixed costs every year.

“But I think it’s a path we have to take eventually.”

Sarah’s tone suggested she was already leaning towards this decision.

“You mean you’ve already made up your mind?”

“Yes, I called Sarah because I was already considering this move.”

“Okay. Then, I’ll tell you about the second most expensive factor.”

Jung Hyun-woo and Mac Coile listened attentively.

“The second most expensive factor is the AS center itself.”

She explained that even if they didn’t construct entirely new AS centers, they would still need to physically separate them from the G Shops.

“This cost can’t be ignored. It could easily exceed ten million dollars.”

Jung Hyun-woo calmly accepted her assessment.

“That’s manageable. It’s primarily a large upfront investment.”

“Are you sure you want to approve this expenditure? It’ll be a significant burden.”

“I’m prepared for a temporary dip in performance.”

“If performance declines, the stock price will fall again, won’t it?”

Jung Hyun-woo answered her question firmly.

“I think it’s a better alternative than a strike.”

Sarah agreed with his assessment.

“That’s right. It’s better to increase costs than to face a strike. But Charlie, remember this: our financial resources are limited.”

If Jung Hyun-woo implemented all his desired changes, Victoria Corporation’s performance in the second half of the year would inevitably suffer. He was well aware of this fact.

“I know. Now, tell me about the third factor.”

Sarah cleared her throat before speaking.

“Ahem, ahem.”

Jung Hyun-woo assumed this would be the least costly issue, so he wasn’t particularly worried.

‘He’s probably referring to the operating costs of the AS center.’

If the AS center was separated, costs beyond employee salaries would inevitably arise.

Sarah didn’t immediately reveal the specific factor but instead explained why she had saved it for last.

“I saved this for last because it can vary greatly depending on the CEO.”

Jung Hyun-woo tilted his head, confused by her explanation.

“It can vary depending on the CEO?”

Sarah nodded.

“That’s right. If the AS division is completely independent, its performance must also be evaluated independently. In that case, the method for determining performance-based pay or compensation is at the CEO’s discretion. This could be included in labor costs, but it’s flexible, so I listed it as the third factor.”

The third cost she mentioned was compensation based on the AS division’s performance.

‘Hmm, there’s no established standard for this, so it’s a tricky issue.’

Depending on the CEO, the performance-based pay for the AS division, which doesn’t generate significant sales, could be completely eliminated.

Of course, Jung Hyun-woo had assured the AS technicians through Mac Coile that he wouldn’t do that.

“I’ve decided to leave that decision to Mac Coile.”

Mac Coile sighed softly at Jung Hyun-woo’s words.

“Hoo… I’m not sure if I can calculate the exact amount fairly.”

The value of AS inevitably varies depending on individual perspectives.

Jung Hyun-woo understood this as well. But he had no choice but to trust Mac Coile.

‘Because I trust him and entrusted him with the AS division.’

Sarah asked Mac Coile.

“Mac, you must have a target amount in mind, right?”

Mac Coile answered her question.

“Yes. However, I’m worried that it might differ from what you two are thinking.”

Jung Hyun-woo turned to Sarah and said.

“The wage and performance-based pay are combined for a 35% increase, so what Mac has in mind and what we have in mind shouldn’t be too different.”

He meant that since there was an upper limit, it wouldn’t increase excessively.

“Well, I suppose so.”

Sarah didn’t oppose Jung Hyun-woo’s plan for AS center independence. Instead, she advised him not to rush the process but to develop long-term plans.

Of course, Jung Hyun-woo accepted her advice.

“We will separate it in stages over a year.”

“You don’t have a specific plan yet, do you?”

“I just started thinking about it this morning.”

“Then, should I go back to Boston and create a detailed plan?”

“I think that would be best.”

Sarah knew that he was trying to use the independence of the AS center as leverage in the negotiation.

‘He entrusts the big picture to himself and the details to others. That’s Charlie for you.’

Jung Hyun-woo was a man who wouldn’t sit at the table unless he had a winning hand.

* * *

Three individuals represented the AS technicians across the United States. One attended as a representative of the central region, and the other two represented the western and eastern regions, respectively.

They reacted with lukewarm interest to the news that the young CEO would be attending the meeting.

“I heard the kid is coming today.”

“He’ll probably just relay Robert’s instructions.”

The three still believed that Robert was the one truly running Victoria Corporation.

“Then today will be a waste of time.”

“I think it’ll be settled by fall.”

“By fall?”

“Because that’s when next year’s wage negotiations begin.”

A man named Carl, representing the eastern region, frowned.

“Wasn’t the agreement supposed to be implemented starting next month?”

Chen, the representative of the western region, answered his question.

“We mentioned next year’s wages first.”

Carl scratched his head, realizing there had been a misunderstanding.

“If we brought it up first… there’s nothing we can do.”

Albert, the representative of the central region, said with his arms crossed.

“No matter what excuse they give us, we must be able to control our schedules.”

Carl and Chen nodded in agreement.

“That’s right.”

“That’s right. The schedules set by G Shop are a disaster.”

G Shop often scheduled appointments based on the order they were received, forcing AS technicians to sometimes travel hundreds of kilometers in a single day. They wanted a more efficient system.

Carl asked Albert and Chen.

“What if the kid asks what we want?”

Albert answered immediately, as if it were obvious.

“We need to address the schedule problem.”

Carl raised his right hand and asked again.

“Albert, the kid is rich. Wouldn’t it be better to ask for more money?”

They knew from the media that Jung Hyun-woo was very wealthy.

Chen raised his eyebrows and his voice.

“Carl, if you’re greedy, we might not get anything we want.”

“But…”

Albert, who had a bodybuilder’s physique, grabbed Carl’s shoulder and said.

“Chen is right. What we want isn’t money, but a properly functioning system.”

He believed that the stock allocation issue had also arisen because the AS division wasn’t operating efficiently.

‘And Chen is the only one of us who can negotiate effectively.’

Carl sighed as Albert placed his hand on his shoulder.

“Ha…, I can’t argue with that. Since you two feel that way, I’ll drop it.”

Chen said to him coldly.

“Drop it? The kid hasn’t even made any suggestions yet.”

He didn’t have high expectations for Jung Hyun-woo.

‘The important thing is to understand Robert’s intentions.’

Chen believed that Mac Coile was simply Robert’s puppet.

One hour later.

The three sat face-to-face with Victoria Corporation CEO Jung Hyun-woo.

Luna, his secretary, sat to Jung Hyun-woo’s right, and Mac Coile of the AS division sat to his left.

“I’m Charlie Jung. It’s a pleasure to meet you all.”

At his greeting, the three frowned simultaneously.

“We’re not pleased.”

Their rudeness had already been reported by Mac Coile.

‘He said he made Mac Coile angry, so I can’t let my guard down.’

Jung Hyun-woo didn’t react to their rude words.

“You’re not pleased. But I have good news, so shouldn’t you relax a little?”

Carl and Chen frowned.

“Are we tense?”

“This isn’t a casual meeting.”

Jung Hyun-woo was clearly much younger than the three. But he wasn’t young enough to be discussing “class meetings.” Even if he had attended school normally, he would have been old enough to be a college student.

“We already know it’s not a casual meeting.”

Mac Coile remained silent while Jung Hyun-woo spoke.

Chen tilted his head, noticing Mac Coile’s silence.

‘Is Mac backing down?’

He didn’t believe that a rookie like Jung Hyun-woo could handle them.

‘Are you underestimating us?’

Chen’s tone was subtly challenging.

“If it’s not a casual meeting, do you think it’s a presentation?”

Carl burst out laughing.

“Hahaha, if it’s a presentation, is it elementary school?”

Jung Hyun-woo neither frowned nor became angry.

‘These guys aren’t foolish enough to be drawn into intentional provocation.’

He recognized that they were trying to gain the upper hand.

“Before we begin the new negotiation, shall we review the points we’ve already agreed upon?”

Chen answered coldly.

“Let’s do that.”

He smiled coldly as he finished speaking.

“Mac Coile, please begin.”

At Jung Hyun-woo’s instruction, Mac Coile listed the agreed-upon items from beginning to end.

Chen, Carl, and Albert didn’t interrupt or stop him.

They needed to verify what Mac Coile had said.

When Mac Coile finished, Jung Hyun-woo stepped forward again.

“So, we’ve reached an agreement on wages, performance-based pay, fuel costs, and stock transfer.”

Carl cracked his neck, making a popping sound, and said.

“We will not listen to the words of the girls under any circumstances.”

“Girls.”

This single word was a derogatory term for G Shop managers.

Instead of frowning or raising his voice, Jung Hyun-woo placed both hands on the table.

“You will not be controlled by G Shop in the future.”

As his words sank in, Chen frowned and asked.

“Not controlled by G Shop?”

Jung Hyun-woo replied softly.

“That’s right.”

This time, Albert questioned Jung Hyun-woo.

“Does that mean all the G Shop managers will be fired?”

Jung Hyun-woo shook his head.

“That won’t be the case.”

“Then does that mean someone other than the G Shop manager will give us instructions?”

Jung Hyun-woo smiled and replied.

“Give instructions? You will decide your own work in the future.”

The three men widened their eyes in surprise.

‘We get to decide our own work?’

‘What the hell is he talking about?’

‘I need to hear more of this story.’

Not only Carl and Albert but also Chen was being drawn in by Jung Hyun-woo’s words.