Based on the R&D roadmap, market demand, supply chain framework, economy of scale, clientele distribution, and manufacturing strategies of medium and small-size Liquid Crystal Display (LCD) industry in Japan, Korea, Taiwan and China, this thesis aims to explore the possibility of Taiwanese medium and small-size LCD manufacturers in acquiring global ODM & OEM contracts, and identify the competitive advantages and disadvantages of a case company - TPO. By using the Porter¡¦s five force model and the SWOT analysis, we have found the following:
1. Technology research and development: The case company does not have a clear road map. As jobs are roughly defined and randomly delegated among R&D and production units, they cannot be effectively coordinated to meet future market demands.
2. Product development: The speed of product development and problem-shooting does not meet the requirements of ¡§time to market¡¨, which has caused the recent loss of major customers.
3. Supply chain: The case company has not established long-term partnerships with its material suppliers and supplier selection is primarily based on low unit price instead of in strong commitment to elevate capability or improve quality.
4. Production specialty and cost: The production facilities of the case company are widely distributed in ChuNan, NanJing, Shanghai, and Osaka-Kobe. The overall production costs are higher than its rivals and the back-end production capacity does not meet customer requirements in price and quantity.
5. Quality management: Most long-term clients of the case company are located in Taiwan or China. Lack of direct international experiences, the case company has not been able to meet the high quality requirment of the global tier one players.
In this thesis, the following directions are suggested:
1. To enhance labor quality in China: The quality of its Chinese labor force should be elevated to shorten production processes for cost reduction.
2. To upgrade supply chain management by taking advantage of direct flights between the Taiwan and China: With reduced costs in transportation and inventory brought by direct cargo flight, the case company can adopt the strategy to ¡§manufacture in the vicinity of end-market¡¨.
3. To use vertical integration or horizontal alliance in its supply chain to improve its cost structure: By enhancing cooperation and job delegation among its group members and/or OEM providers, the case company can effectively lower the investment costs and inventory impairment risks.
4. To increase the economic scale of its production facilities: Each production facility should be assigned for a specialized production line to make the best economic scale. For instance, Shanghai Fab specializes in car appliances and NanJing Fab in non-Automotive LCD and Avionics LCD products, while Chunan Fab is mainly for the production of the front-end aerospace products.
5. To elevate the overall quality awareness: Quality management should be adopted from the very beginning of product design and specification. Meanwhile, DFMEA and PFMEA should be persisted for overall quality improvement.
| Identifer | oai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0819109-121525 |
| Date | 19 August 2009 |
| Creators | Chen, Tung-liang |
| Contributors | Fong-Kang , Chu, Ting-Peng , Liang, Min-Hsin , Huang |
| Publisher | NSYSU |
| Source Sets | NSYSU Electronic Thesis and Dissertation Archive |
| Language | Cholon |
| Detected Language | English |
| Type | text |
| Format | application/pdf |
| Source | http://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0819109-121525 |
| Rights | not_available, Copyright information available at source archive |
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