Only accept large orders? You are already out!

Global SourcesUpdated on 2023/12/01

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"Now the life cycle of a product is very short, and many LED lamp styles may only be ordered by customers for a few hundred pieces." In the production workshop of Xiamen Guangpu Electronics, the deputy general manager Wu Ximin told the author while walking. Said, "We also have to accept these orders, and the market trend is like this. Therefore, we must maintain a strong innovation ability and take the initiative to adapt to the needs of different customers."

As a leader in the LED product industry, Guangpu Electronics Established manufacturers, from LED packaging, LED backlight products, to consumer-oriented LED lighting products, have always pursued a product-first strategy. Orders, and successfully entered into Wal-Mart and other supermarket channels.

Diversified R&D capabilities are the foundation

In the past, the products developed and produced were mainly LED products, facing large customers and receiving large orders. Quality control and manufacturing capabilities can meet the demand. But now involved in LED lighting products for terminal consumption, the individualization of customer demand forces enterprises to make changes in both R&D and manufacturing.

▲Wu Ximin, deputy general manager of Xiamen Guangpu Electronics

"Now our LED products are following the trend, and the development of intelligent LED products is relatively advanced in the industry, such as Color temperature adjustment, Bluetooth function, audio function, intelligent control, etc." Wu Ximin said, "Only in this way can we meet the new needs of customers."

Guangpu, which pursues a product-first strategy, must invest more in research and development. According to Wu Ximin, the R&D personnel of the LED Lighting Division have accounted for 25% of the total labor of the division, which is unmatched in the industry.

Flexible production at the manufacturing end

The R&D strength is the solid foundation for Guangpu to meet the individual needs of customers. On the other hand, Guangpu is also carrying out flexible transformation on the production side to meet the needs of small batches and high-frequency orders. "Our current production line is modular, and whenever new product requirements arrive, we will adjust some of these modules to adapt to changes in order requirements." Wu Ximin said, "This is also to adapt to the LED lighting industry. demand, because the final products are directly sold in supermarkets, there are many requirements for styles, and the production process needs to be coordinated." The modular idea of Guangpu Electronics' automation transformation is not only applied in a production line, according to According to the introduction, they also planned a series of plans for different business divisions and different production links, implemented step by step, and finally guided the cooperative suppliers to carry out automation transformation, so that they could be integrated into Guangpu's entire enterprise production system.

▲Yang Zhongyang, General Manager of Xiamen Yixing Industry and Trade Co., Ltd.

Xiamen Yixing Industry and Trade Co., Ltd. is also transformed to receive small orders. As a ceramic resin handicraft manufacturer with a 17-year history, its general manager Yang Zhongyang has been running the Canton Fair for the first ten years to survive, but he realized that the future is a world of small orders and personalized orders, so he decisively gave up the exhibition. In the past seven years, it has gradually built R&D innovation and production capabilities that can meet the individual needs of customers for small orders.

Small customers should also be managed carefully

"Most factories are based on more than ten years of experience, making the models that customers have always wanted, such as Christmas, Ghost Festival series, and then through Participate in the Canton Fair to promote it to customers. But now I will not blindly develop these popular products, but develop them according to the needs of customers. For example, the tenth anniversary of the customer company, I will design a commemorative memorial according to the customer's cultural characteristics and logo. products." Yang Zhongyang said.

For this reason, Yang Zhongyang built a new factory in Dehua, personally supervising the products, especially for those small personalized orders. "The first thing to do with small orders is the quantity. If there are only a few customers, of course, it is not enough. But we have accumulated a number of customers through seven or eight years of exploration." Yang Zhongyang said, "Of course, it was very painful at the beginning, but now it is slow. Slowly more and more customers will introduce more customers."

"Another issue is the price, the price of small orders is naturally higher. This requires the quality and service to keep up." Yang Zhongyang pointed out , "For example, an American customer in the United States cooperated with me for two years, but did not cooperate with me in the third year, thinking that my price was too high. But he came back in the fourth year, because the quality of other companies was not up to standard, and there was a problem and no one could be found. , but my mobile phone is turned on 24 hours a day, and I can be found at any time. So my price is twice as high as others, and customers are willing.”

On the other hand, similar to Guangpu, Yang Zhongyang believes that it is necessary to satisfy For personalized orders, the most fundamental thing is to keep up with the R&D and design capabilities. "I personally research popular styles with designers, and make innovations in styles, functions, etc. For example, a mug, other people's cups will not have patterns on the bottom, we will Some popular patterns in Europe and the United States will be printed on it. We have also purchased 3D printers to promote the development of new products.”

Yang Zhongyang also admitted that the strategy of transforming small orders is still being explored, and there are still many problems. "There are not many companies in the industry that have transformed like us, and they can only find their own way."

The number of large orders is decreasing, and the number of small and short orders is increasing. Common problems faced by businesses. In the era of large orders, the factory can comfortably produce and deliver, and the money is very good. But now the market demand has become more and more personalized, and the purchasing strategy of buyers has turned to "small batch, high frequency", and manufacturing enterprises also need to change their own capacity structure to adapt to this change. The examples of Guangpu and Yixing Industry and Trade tell us that improving diversified R&D capabilities, manufacturing flexibility, and actively embracing small and medium customers are the feasible ways to achieve this transformation.

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