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LG CNS and the Korea Federation of SMEs Join Forces… Leading 'AX Innovation' for Small and Medium-Sized Manufacturing Companies

4.2 billion in funding over two years… Bridging the technology gap with the 'Manufacturing AX Starter Package'

LG CNS signed a “Memorandum of Understanding (MOU) to Identify Win-Win Cooperation Models Between Large and Small/Medium-Sized Enterprises for the Expansion of AI in SMEs” on the 17th at the Korea Federation of SMEs in Yeouido, Seoul. LG CNS CEO Hyun Shin-kyun (second from the right in the front row) and Korea Federation of SMEs Chairman Kim Ki-moon (third from the right in the front row) are posing for a commemorative photo after signing the MOU. (Photo courtesy of the Korea Federation of SMEs)


[Edaily Reporter Han Gwang-beom] LG CNS (#LGCNES) is joining forces with the Korea Federation of SMEs to support the AI (artificial intelligence) transformation of small and medium-sized manufacturing companies.

LG CNS announced on the 17th that it signed a “Memorandum of Understanding (MOU) to Identify Win-Win Cooperation Models Between Large and Small/Medium-Sized Enterprises for the Expansion of AI in SMEs” at the Korea Federation of SMEs headquarters in Yeouido, Seoul. Key officials, including LG CNS CEO Hyun Shin-kyun and Korea Federation of SMEs Chairman Kim Ki-moon, attended the signing ceremony.

This agreement was established to bridge the AI utilization gap between large and small and medium-sized enterprises and to align with the government’s policy of promoting AI transformation (AX) among SMEs. LG CNS plans to provide a total of 4.2 billion won in support over two years across three areas: education, technology, and distribution and marketing. In particular, the company will focus its efforts on small and medium-sized manufacturing firms that are struggling with AI transformation due to a lack of data and skilled personnel.

Technical support will be provided in conjunction with the government’s “Large-SME Win-Win AX Leading Model Project,” which was newly launched this year. LG CNS will deploy its technological expertise and specialized personnel to assist SME manufacturing companies selected by the Korea Federation of SMEs throughout the entire process—from establishing on-site data collection systems to developing and applying AI models and integrating systems.

To this end, LG CNS is developing the “Manufacturing AX Starter Package,” which combines a Manufacturing Execution System (MES), Statistical Process Control (SPC), and a manufacturing-specific Large Language Model (LLM) to systematize fragmented manufacturing site data and address labor shortages. The aim is to address the technological gaps faced by small and medium-sized enterprises (SMEs) by digitizing work standards and equipment manuals and implementing a natural language-based decision-making system.

In the education sector, the company will provide training and consulting to enhance SME executives’ understanding of AX and help them develop concrete implementation plans.

To expand distribution and marketing, the companies will utilize a digital marketing optimization platform based on AI and mathematical optimization. To support the overseas expansion of 100 SMEs, they will provide “LG Optapex,” a solution specialized for the global e-commerce platform Amazon, while in the domestic market, they will help improve advertising efficiency on platforms such as Naver Shopping through the marketing optimization platform “MOP.”

The two organizations plan to begin identifying SMEs eligible for support and to develop specific business operation plans.

Kim Ki-moon, Chairman of the Korea Federation of SMEs, stated, “We expect that combining the manufacturing data and on-site data from various industries accumulated by the Korea Federation of SMEs with LG CNS’s AI technology will lead to a practical AI transformation,” adding, “We will do our utmost to ensure that a win-win model between large and small and medium-sized enterprises takes root in the SME sector.”

Hyun Shin-kyun, CEO of LG CNS, remarked, “The AX transformation of SMEs is a task directly linked to the competitiveness of our industry as a whole.” He continued, “We will generously share the AX technology and expertise LG CNS has accumulated with SMEs on the ground, and by accompanying them throughout the entire process—from training to manufacturing innovation and marketing expansion—we will serve as a partner driving their tangible growth.”

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