| Summary: | 碩士 === 國立政治大學 === 經營管理碩士學程(EMBA) === 107 === The printed circuit board industry has been developed more than 50 years in Taiwan, since the first American and Japanese base PCB companies built the first factory in 1960s. The glory days of Taiwan's printed circuit board industry flourished from 1980 to the 1990s. However, due to high pollution, high energy consumption, and labor-intensive industrial characteristics, most of companies have been setting up factories in mainland China for these two decades. And took the advantages of low labor cost with the completed transfer of whole supply chain, the Taiwan-based printed circuit board companies has achieved fruitful results in China.
At the same time, the factories in Taiwan of parent company were facing a great pressure due to the rapidly development in cost, efficiency and technical capabilities of factories in China. Which forced Taiwan-based factories should transform and develop a different strategy from the China-based factories.
This research mainly focuses on a Taiwan-based factory of company S, analyzes the targeting strategy of S company, “how to create the niche by transfer from a mass production factory to a quick-turn production factory and work with customers from research and developing stage”
And study the reasons for the failure of transformation plan of S company.
This case study has the following conclusions: The key factors for the failure of transformation are:
(1) The operator's myth for mass scale production and past successful pattern; (2) The team lack of confidence for the new product structure (3) Investor's tolerance for short-term lost versus long-term benefit; (4) Less determination to cut off the old products when the production overlapping with limited resources; (5) Due to above four key points, caused the delay of the investment for replacing equipment. And cause the company suffering operation loss for more than one year.
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