| Summary: | 碩士 === 國立中央大學 === 管理學院高階主管企管碩士班 === 95 === Recently Mainland China, due to its preponderance of cheap, plentiful land and labor, has become a “World Factory”. This attracts an endless stream of world-wide investment interested in building factories to enter this vast market. The most important feature stimulating this interest has been the desire to take advantage of the current low price of manufacturing and labor available in China to increase the competitive edge of an area or country. The well known low cost players now are facing severe challenges from China. Taiwan, who used to be a key player in communications and consumer electronic product manufacturing, has naturally been placed under a lot of pressure by this development.
Profitability is still a major issue for Printed Circuit Board (PCB) makers. Furthermore it becomes extremely difficult for those second and third tier PCB sub-contracting houses, or single process, small sized sub-contractors to survive in this industry. Over-supply and the switching of production to China have led to ruthless price-cutting and cut-throat competition. After years of effort, the demand and supply of the PCB industry in Taiwan has gradually become balanced, but there has still been no improvement on the margins. For the sake of improving the profit margin and upgrading the technology, Taiwan’s Printed Circuit Board makers must continue with industrial upgrading and transformation. Upgrading and restructuring brings about new challenges, but also brings about new opportunities.
To keep pace with rapid changes, all aspects and levels of the industry must realize that quality, competition, and collaboration all interact and have an influence on the state of affairs. Business leaders must have the ability to grasp and utilize all aspects of their available resources to cope with changes. Strategy development is changing all the times; it is very difficult to quantify what are the best approaches and hard to find concrete data to measure and evaluate trends and changes in business competition and the effects of business strategies. Thus in this research we use deterministic research methods to explore and inquire into an actual case. We found the leader of the case study company to possess high degree of alertness towards changes and to be capable of clearly recognizing and mastering such changes so as to bring about new opportunities. The pouring of the company’s own limited resources into the PCB drilling subconstracting business was the key to the success of business transformation.
In this case study we found the following key factors to the success of the company’s transformation. It is our hope that this is helpful to those who are looking to pursue business transformation.
1. The company’s leader must pay close attention to and monitor changes and the latest industrial trends.
2. They must be able to take best advantage of their own limited resources as well as find a clear cut, appropriate direction for enterprise expansion.
3. They must act proactively to develop tight partnerships with key industry players.
4. The financial stability of the operations and management must be preserved.
5. The must retain their core of competitive advantages, and be willing to share profits with employees and build up a strong team.
6. Company’s leader continues to develop business networks and alliances.
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