Theborn Korea to revamp company standards after scandals
Theborn Korea, the food service giant led by celebrity chef Paik Jong-won, vowed on Tuesday to completely revamp its corporate culture and operational systems following a string of controversies.
The company released a statement on its official website saying that it will commit "full effort" to “change everything” in a bid to regain customer trust through “a bone-deep overhaul” of its organization and operations.
“We feel a heavy sense of responsibility over a series of recent issues, including the inappropriate conduct of a staff member assigned to a regional project and hygiene problems at a festival site,” the company said. “We are currently pursuing a fundamental restructuring of both our internal systems and external operations.”
The overhaul will focus on three areas: establishing a new audit and risk management division along with a dedicated communications team; improving corporate culture and strengthening employee accountability; and completely reorganizing the company’s food safety and hygiene management systems.
The new audit and risk division will report directly to CEO Paik and will be responsible for monitoring internal practices. A separate public relations team will be formed to reinforce external communications. The company also plans to implement stronger education and accountability measures for employees.
Theborn Korea also addressed the recent controversy over a so-called “drinking interview” involving a regional project staff member.
“The employee in question has been immediately removed from their duties,” the company said. “We will take strict action depending on the outcome of the Ministry of Employment and Labor's investigation.”
In terms of hygiene, the company said it had already launched a dedicated department to oversee food safety and quality management in the wake of a scandal that erupted after a video showed an employee using a pesticide sprayer to apply apple juice to meat, following Paik’s advice. External experts have also been brought in to reassess every stage of the food process ? from preparation to distribution.
The company plans to strengthen hygiene standards further by improving refrigeration, freezing and storage facilities.
At the company's first regular shareholder meeting on March 28, Paik publicly apologized for failing to exercise stricter oversight as CEO. It was the first time he had issued an apology directly to shareholders.
Since going public on the Korea Exchange on Nov. 6 last year, Theborn Korea has faced a series of controversies over the past two months.
The latest apology follows continued backlash over the company's product quality and Paik’s business practices. The chef has also been accused of violating country-of-origin labeling laws after reports surfaced that its soybean paste product advertised as domestically made allegedly contained Chinese fermented paste.