[Edaily Reporter Han Jeon-jin ] Lotte Group will hold board meetings for its affiliates as early as the 16th to carry out its regular executive reshuffle. Following last year’s replacement of 20 chief executive officers (CEOs), all eyes are on what personnel moves the group will make this year. Another point of interest is whether Shin Yu-yeol, vice president of Lotte Corporation and the eldest son of Lotte Group Chairman Shin Dong-bin, will be promoted to president.

According to business circles on the 13th, Lotte Group has decided to hold a board of directors meeting on the 16th and announce its 2027 regular executive reshuffle. This schedule, originally set for the fourth week of this month, has been moved up by one week—making it ten days earlier than last year’s announcement date of November 26.

This is the first regular executive reshuffle since last year’s large-scale management shake-up and organizational restructuring. Last year, all four vice chairmen at Lotte Corporation—including Lee Dong-woo, Vice Chairman of Lotte Corporation; Kim Sang-hyun, Vice Chairman and Head of the Retail Group; Lee Young-koo, Vice Chairman and Head of the Food Group; and Park Hyun-cheol, Vice Chairman of Lotte Construction—stepped down from their frontline roles. The group also abolished the headquarters (HQ) system, which had overseen affiliates by business group, and shifted to a subsidiary-centered system of accountable management.

The focus of this year’s reshuffle is on reaffirming confidence in the new management and evaluating their performance. Jeong Hyun-seok, CEO of Lotte Department Store; Cha Woo-cheol, CEO of Lotte Mart and Lotte Super; and Choo Dae-sik, CEO of the E-commerce Business Division ( LOTTE SHOPPING CO., LTD.(023530) ), who were appointed late last year, are facing their first regular reshuffle since taking office. In the third quarter of this year, operating profits for department stores and supermarkets increased by 35.7% and 87.5%, respectively, compared to the same period last year. Given that key initiatives—such as investments in flagship stores and the expansion of online grocery shopping—are currently underway, observers predict that the focus will be on ensuring management continuity.

On the other hand, management changes at affiliates with poor performance remain a possibility. LotteChilsungBeverage, led by CEO Park Yun-ki, reported consolidated operating profit of 57 billion won in the third quarter of this year, a 37.9% decrease compared to the same period last year. How the company evaluates this business—which has shown slow recovery in profitability even after last year’s large-scale restructuring—is expected to determine the scope of the personnel reshuffle.

Whether Vice President Shin Yu-yeol, a third-generation heir to the family, will be promoted is another key point of interest. Vice President Shin was promoted to Executive Vice President in 2023 and to Vice President in 2024. Last year, while retaining his vice president title, he took on the role of co-CEO at Lotte Biologics, stepping into the forefront of management at a domestic affiliate. If he is promoted to President this time, it will be just two years after he became Vice President.

This year, Vice President Shin has expanded his scope of activities beyond the biotech sector to include the global food business. Last July, he assumed the role of chairman of the board of directors for a joint venture established in Singapore by LOTTE WELLFOOD(280360)and Lotte Confectionery Japan, and this month, he attended a business cooperation event with a Thai retail company. Attention is focused on whether this personnel reshuffle will result in changes to his rank or responsibilities.

A business insider commented, “Given the major changes to the management team and organizational structure last year, this year’s personnel reshuffle will likely focus on evaluating whether those changes have translated into results,” adding, “The key will be how much change is implemented at underperforming affiliates while simultaneously bolstering the new management team.”