Foxconn Plans Big Changes for Sharp

Foxconn chairman Terry Gou has said that his company will “carry out a series of measures to help Sharp make a turnaround as soon as possible,” after officially joining the board in July. Gou was speaking at Foxconn’s annual shareholder meeting in Taipei.

To lower Sharp’s operating costs, Gou said that he plans to withdraw all of Sharp’s investments in joint-venture retail channels outside of Japan. Instead, he plans to help Sharp reach overseas consumers directly.

Another change will be in staff reviews. Sharp will begin to review its staff based on their individual performance, rather than as a team. Those who do not meet their goals will be asked to leave – regardless of the seniority, said Gou.

Tai Jeng-wu, a Foxconn VP who will take over as a president at Sharp, said that he plans to establish an overseas HQ in Shenzen, China, to be closer to Foxconn’s manufacturing hub.