How A Korean Moulder Becomes A British Moulder

Within the past five years, dozens of Japanese and Korean OEM companieshave set up manufacturing plants in England to supply automobiles, computers,appliances, and more to the European market. Many have been drawn to NortheastEngland by government-sponsored incentives designed to revitalize a regionaleconomy suffering from a decline in coal mining and ship building. Koreanelectronics marketer Samsung, for example, has a sizable and growing productionfacility in Wynyard. Where, you might ask, does this good news for theBritish economy leave the company's previous suppliers?

K.J. Park had been a successful supplier of injection moulded partsto Samsung in Korea for many years. Instead of seeing a loss when Samsungbegan production in England, Park saw an opportunity and went to Englandto learn first-hand what was possible. He then returned to Korea and, withfour other injection moulding veterans, formed Woo One UK Ltd. to mouldhousings, bezels, and other parts for Samsung's British-made computer monitors.In the true entrepreneurial spirit, he wanted to begin production immediately...halfwayaround the world...in a different social and business culture...in themidst of the European Community's CE regulations.

Local Support and Know-how

To help Park in such matters as site location and staffing, the NorthernDevelopment Group, supported by the British Department of Trade and Industryamong others, formed a group of specialists from industry and local andregional government to expedite the project. They quickly found an idlemanufacturing building in Hartlepool that only needed some floor reinforcementto support the weight of moulding machines, and preliminary plans weredrawn.

The building previously contained two businesses. An opening was madein the dividing wall so one section could be used for manufacturing andthe other for warehousing raw material and finished goods. Woo One's start-upplan called for eight injection machines, reclaim of all production scrap,and automated handling of raw material and mouldings.

For injection machines, Park turned to a familiar name, Korean manufacturerDong Shin, and that gave him access to the local know-how of General Plastics,which markets Dong Shin machines in the United Kingdom.

General Plastics completes the assembly of the Korean-built machinesto conform with local electrical specifications and the safety and otherrequirements for the European Community's essential ? that is, youcannot operate a machine without it ? CE mark. However, even if youhave a CE label on a machine, CE regulations may prevent you from startingit.

Single-supplier Automation and Auxiliaries

With his operating plan in hand, Park wanted the minimum number ofsuppliers in the plant to simplify management. For example, he wanted onesupplier for all the plant's automation: material handling, machine robots,conveyor lines. He also wanted that supplier to provide mould temperaturecontrols, grinders, hoppers ? in short, all auxiliary and ancillaryequipment. Several companies submitted proposals, and local know-how againfigured strongly in the outcome.

Conair Europe's proposal to supply a £300,000 (US$ 500,000) packageof systems was accepted just two weeks after Conair received the lead.Conair's central vacuum loading system moves incoming ABS into one of three2.5- ton silos, each sized for an 8-hour shift. One ABS grade is loadedinto a separate 1-ton bin. From a central drying station, material movesto six of the injection machines by vacuum system. The two smallest machines(50 tons) have single-phase vacuum loaders. Robots move mouldings fromthe large machines onto a conveyor system going to the warehouse. Someparts require assembly and/or pad printing.

Moulds are cooled by an externally mounted chiller and a Conair airblast system cools the hydraulic oil. In low ambient conditions, the airblast cooler can also handle the moulds, allowing the chiller to be turnedoff for energy savings. Woo One chose the air blast cooler based on a combinationof economics and Conair's knowledge of British health and safety regulations.The air blast, unlike evaporative tower coolers, is a closed circuit. InEngland, open systems have been subject to inspection by authorities sincethe discovery of how legionella bacteria can be transmitted by evaporatingwater. The capital cost of the closed system was higher, but payback camein six months, and there are no health inspections nor ongoing expensesfor water replacement and treatment.

Solving Problems in Advance

Park began looking for a site in July 1995. Early the following February,Woo One began bringing its machines online, following operator trainingby the British Polymer Training Association. By June it was in full production:six General Plastics/Dong Shin machines ranging from 150 to 850 tons withrobots and Barber-Colman closed loop controls; two 50-ton Arburgs withoutrobots for moulding smaller parts; automated raw material and finishedparts handling systems; and CE labels on everything.

We mentioned that sometimes a machine with a CE label still cannot beoperated. Although many European manufacturers now supply their productswith CE labels already in place, if you add a robot with a CE label toan injection machine with a CE label, you create a "system."The system needs CE certification before use. Knowing that, Woo One madearrangements with Longlands College in nearby Middlesbrough to inspectthe assembled systems and affix the CE label.

Woo One now runs seven days a week using four production teams. Eachteam consists of eight production specialists, one technician, and a qualitycontrol person. A day is divided into two 12-hour shifts with changeoversat 0600H and 1800H. A team works four day shifts, has four days off, thenworks four night shifts followed by another four days off. Including warehousingpersonnel and management, Woo One currently has 51 employees. To handlegrowth, there is a plan for the warehouse part of the structure to be convertedto manufacturing and warehousing to be shifted to a new location.

Contact Information: Woo One UK Ltd. Mr. Keith Boynton,Manager, Human Resources Unit B, Sovereign Park Brenda Road Hartlepool,TS25 1NN England Phone: (44) 1429 867744 Fax: (44) 1429 862170

General Plastics Mr. Ian Hamer, Managing Director 319 Vale EnterprisePark Hays Road, Sully South Glamorgan CF6 5SY England Phone: (44) 1446700537 Fax: (44) 1446 740841

Conair Europe Ltd., Mr. John Smith, Business Manager, Materials HandlingRiverside Way Uxbridge, Middlesex, UB8 2YF England Phone: (44) 1895 258181Fax. (44) 1895 850016