Competitive Strengths and Weaknesses of Harber MIM

1、Competitive advantages of the Harber Metal

Harber Industrial Ltd takes MIM technology as the foundation, always focuses on the substitution effect of MIM technology for machining and precision casting in the field of complex precision metal structure parts, constantly improves its technical ability in feeding development, mold design, automated production, etc., and provides customized MIM parts and components for the fields of consumer electronics, automobile manufacturing and medical equipment, etc. With the gradual maturity of MIM technology application, Harber Metal starts to reflect its advantages over other MIM enterprises through differentiated services, such as marketing, technology, production and other departments.

With the gradual maturity of the application of MIM technology, Harber Metal started to reflect the advantages over other MIM enterprises through differentiated services, through marketing, technology, production and other departments of a high degree of synergy, to achieve a rapid response to customer demand, and in this way accumulated such as Samsung (Samsung), fitbit, JAWBONE and other internationally renowned consumer electronics customer resources. In order to provide customers with more high-quality and convenient services, Harber Metal began to set up production and service networks around the world to further strengthen the Harber Metal's rapid response service capabilities. In addition, since its establishment, Harber Metal has been focusing on the importance of modernized management for enterprise development and has established a stable management team to realize the rapid precipitation of management on the above advantages.

(1) Advantage of technology research and development

Harber Metal has been based on the MIM industry for more than ten years, and pays great attention to the continuous improvement of technology research and development capability. With the continuous increase of the company's investment in research and development and the continuous introduction of advanced talents, Harber Metal has formed a relatively deep accumulation of technology. The Harber Metal participated in the drafting of the industry standard "Metal Injection Molding Materials Part I: Sintered Low-Alloy Steel, Stainless Steel Technical Conditions" (Standard No.: JB/T 13067.1-2017, Implementation Time: July 1, 2017), and served as the director of the China Steel Structure Association Powder Metallurgy Branch, the organization undertook the construction of "Dongguan powder injection molding engineering and technology research center", and Harber Metal has established the "Dongguan powder injection molding engineering and technology research center". It has also organized and constructed two large-scale technical research projects, namely "Dongguan Powder Injection Molding Engineering and Technology Research Center" and "Guangdong Province Titanium Alloy Powder Injection Molding Technology Engineering Center". At the same time, in order to maintain the Harber Metal's technological position in the industry, Harber Metal continuously strengthens its own technological innovation and R & D capabilities as well as the synergistic cooperation with external organizations, which further enhances Harber Metal's advantages in technological research and development.

①Technological Innovation Capability

Technological innovation is the fundamental driving force of Harber Metal's development. Harber Metal attaches great importance to innovative research and development of technology, and has a special R&D department (Engineering Technology Center) responsible for the research and development of new products, new technologies, new processes, new materials and other work with market prospects and competitiveness.

Harber Metal has always been based on the industry's technology development direction, customer demand-oriented, and with the goal of expanding the application areas of MIM products, the company conducts research on the industry's cutting-edge technologies and continuously realizes technological breakthroughs in the industry. For example, the company successfully developed a global ultra-thin all-metal integrally molded computer cooling fan in 2016, which is a fan product with a thickness of only 3.5 mm and a blade thickness of only 0.15 mm, which improves the heat dissipation effect significantly compared with traditional plastic fans, with a super quiet operation of 25 decibels, while the rotational speed is increased from 6,000 rpm to 8,000 rpm, and the service life is also extended by 50% longer service life.

With strong technical innovation capability, the Company has formed abundant technical achievements. The company has 23 authorized patents, covering feed preparation, sintering, shaping and other processes, as well as cell phones, laptops, tablets, medical devices and other applications, which provide the necessary technical basis for the application of the company's innovative technologies.

②External synergy and cooperation

Refer to the 2017-2022 China Metal Injection Molding Market Development Status and 13th Five-Year Investment Planning Research Report published by ChinaReport.com

While focusing on the independent innovation and development of technology, Harber Metal also actively cooperates with external institutions of higher learning for research. At present, the company has signed the Technology Development (Entrusted) Contract with the University of Science and Technology Beijing, entrusting it to carry out the research and development of the project of "Aluminum Alloy Powder Injection Molding and Surface Modification Technology Research". The company and its joint research and development of "high complexity shape degree of ultra-micro metal parts powder metallurgy near net forming key technology research", "high-performance metal powder injection molding special material research and development and application of the project" and other topics, and has achieved significant technical results! At present, the company is carrying out the research and development of "High-performance metal powder injection molding special materials" and "High-performance powder injection molding with hot degreasing binder" and other projects.

(2) Rapid Response Advantage

Technology is an important guarantee of product quality, while the response ability is an important reflection of the quality of corporate services. Since its inception, the company has been focusing on rapid response to customer needs and problems, rapid solution and rapid feedback, in internal decision-making, mold development and rapid production and other aspects of the formation of a more obvious rapid response advantage, to further strengthen the cooperative relationship between the company and its customers.

①Efficient internal decision-making

Since its establishment, the company has been focusing on the research and development and production of MIM products, on the one hand, it can fully understand the customer's market demand, on the other hand, it also promotes the company's decision-making in MIM products more efficient. Compared with foreign investment and MIM enterprises with complicated business, the company's management level is set up in a more concise manner, and all the strategies are formulated around the MIM business, and the resources of R&D, production and sales can be reasonably dispatched, so that when customers put forward their needs and problems, the internal decision-making transmission is more rapid, and it can give timely feedback to customers' needs and problems to improve customer satisfaction. 2015 has been awarded the Shanghai Surgical Medical Instrument Factory, Weihuai Medical Instrument Factory, Shanghai Surgical Medical Instrument Factory and Shanghai Surgical Medical Instrument Factory. Ltd., Flextronics Manufacturing (Zhuhai) Co., Ltd. and Vivo Communication Technology Co., Ltd. were recognized as excellent suppliers and excellent business partners, which fully reflects the recognition of customers for the company's high-quality products and rapid response capability.

② Integration of mold development

Integration capability of manufacturing, application, maintenance, etc. In order to fully satisfy customers' demands, the company has set up a special mold department, which is responsible for the design, manufacture and maintenance of molds. From the beginning of the customer's product demand, the professional designers of the mold department are involved in the customer's product design, and help the customer design a reasonable MIM product according to the experience of mold development and application; after the customer's product design is completed, the mold department starts to manufacture the mold and put it into production for application.

At present, the company has skilled mold integration capabilities, on the one hand, through the participation in the customer product design, can quickly perceive the customer's product requirements, and based on their own experience to achieve rapid development of molds, to respond quickly to customer demand; on the other hand, the integration capabilities of mold design, manufacturing and application to better connect, maximize the reduction of mold from design to application cycle, to achieve the rapid delivery of customer product samples. Rapid delivery of customer product samples.

③Production Flexibility

MIM products applied in various fields are non-standard customized products, with the continuous expansion of the company's product application fields and the continuous increase in the number of customers, the company is faced with the situation that product orders are centrally placed in some time, which puts a certain amount of pressure on the company's production coordination ability. After years of production summary, the company, on the one hand, through the purchase of advanced equipment or automation research and development of equipment, and constantly improve their own production efficiency; on the other hand, the company based on past production experience, reasonable arrangement of production scheduling of the various processes, and combined with the customer demand priority, through the reasonable deployment of molds and equipment, to achieve flexible management of production, the use of limited production resources to maximize the meet We utilize the limited production resources to maximize the satisfaction of customers' needs, thus realizing the quick response to each customer. At present, the Company has many domestic and international leading production equipments and has automated the injection process on a large scale and partially automated the shaping process, which effectively enhances the Company's flexible production capacity and facilitates the Company's quick response to customers.

④Comprehensive production process

Based on the MIM process, the company has been expanding the technical capacity of related processes, and now has the ability to provide a number of professional services, such as feed development, mold design and manufacturing, product manufacturing, surface treatment, machining, assembly, etc., which has made the company one of the few companies in the industry with the ability to produce the whole process of MIM production. With the gradual increase in the number of customers, there is a crossover of product demand between different customers in terms of time, which puts a higher demand on the company's instantaneous production capacity. Through the control of the whole process of MIM products, the company is able to reasonably formulate the production schedule according to the production capacity of each process to maximize the satisfaction of multiple customer needs; at the same time, the comprehensive development of the process is conducive to the effective linkage of the company's various production processes to improve the overall efficiency of the product production, and to achieve rapid delivery of products to customers.

 (3) Benchmark customer advantage

With strong technical advantages and rapid response system, the company's products are widely used in smart phones, wearable devices, notebooks and tablet PCs and other consumer electronics industry, and gradually expand the scale of application in other fields such as automobile manufacturing and medical equipment, the company has also established cooperation with a number of well-known brands in various fields. The company's products have now been finally applied to fitbit, Samsung (SAMSUNG), JAWBONE, BBK (vivo), OPPO, Huawei, Lenovo, Honda and other domestic and international well-known consumer electronics and automobile brands. Benchmarking enterprises continue to improve the use of MIM parts in their products to play a good demonstration effect for other enterprises on the high-volume application of MIM products, long-term business relationships also provide the necessary support for the company's in-depth expansion of business in the above areas, which will help to promote the sustained growth of the company's business.

Note: Opal is known as Guangdong Opal Mobile Communication Co., Ltd, Guangxing Electronics is known as Kunshan Guangxing Electronics Co., Ltd, Honda Lock is known as Honda Lock (Guangdong) Co., Ltd, and BYD Precision is known as BYD Precision Manufacturing Co.

Table: List of the company's major customers and end-use brands

(4) Market Layout Advantage

After possessing a large number of stable and high-quality customer resources, the company has set up a reasonable market network layout globally according to the characteristics of regional distribution of customers and downstream market industries. Domestically, the company's headquarter is located in Changzhou City, and at the same time, the company has set up a subsidiary in Changzhou specializing in the post-processing business of MIM products such as machining, surface treatment, assembly, etc., which has formed a complete process chain of MIM products, and has effectively covered the Yangtze River Delta region such as Jiangsu, Shanghai, and Zhejiang. At the same time, the company also set up a branch in Dongguan, responsible for OPPO, BBK (vivo) and other customers to provide full and timely product and service support, to further strengthen the company's rapid response capability. Overseas, after establishing cooperative relationships with fitbit, Samsung and other important foreign consumer electronics customers, the company actively introduces international marketing talents to better provide business services to such customers, so as to fully prepare for the expansion of the company's overseas market.

(5) Internal Management Advantage

Management is an important foundation to ensure the healthy and rapid development of the company, after more than ten years of development, the company has continuously summarized its management experience based on actual operation, and at the same time, through the continuous introduction of high-end talents with professional, technical and managerial capabilities, the company has established a relatively perfect management system, and through the continuous improvement of the management system, the company has formed a relatively obvious management advantages.

In terms of management personnel, the company pays attention to the training of internal personnel and has established a stable management team, with core management personnel having rich experience in the industry and professional technical capabilities. Through the precipitation of long time management experience in the company, the company's management team has the ability to study and judge the development trend of the industry, which helps to promote the overall rapid development of the company's business.

In terms of management system, the company actively introduces the advanced management mode in the industry and continuously improves the construction of its own management system. At present, the company has passed ISO9001:2008 quality system, TS16949:2009 quality system, QC080000:2012 Harmful Substances Process Management System and other certifications, which has prompted the company to form a standardized management in the areas of feeding material development, mold design and manufacturing, product manufacturing, surface treatment, machining, assembly, quality control and so on.

In terms of management system, the company has institutionalized and processed the advantages formed in each link one by one by formulating a sound management system covering each link of research and development, production, marketing, etc., so as to promote the cyclic and sustainable development of the company's overall advantages.     In terms of marketing, the company's "Customer Complaint Management Program", "Customer-Related Process Management Program" and other management regulations, in order to provide customers with fast, efficient, high-quality products and services.

2、Competitive disadvantages of Harber Metal

(1) Lack of financing channels

The industry has a large demand for capital, especially in the expansion of production capacity and technology research and development, need to invest a lot of money to support the sustainable development of enterprises. At present, the company mainly relies on its own retained earnings for capacity expansion and technology research and development, and part of the funding gap is filled by bank loans. However, with the continuous expansion of MIM product applications, the company needs to constantly adjust its own production capacity, and combined with the needs of various fields of new materials, new technologies, new products for continuous research and development, the existing financing channels have gradually appeared to be disadvantageous. Therefore, the company needs to continuously broaden the financing channels in order to further strengthen the company's leading position in the industry.

(2) Automation level needs to be improved

At present, through the purchase of advanced production equipment and the independent development of automation process, Harber Metal has automated production capacity in the injection process, while in the shaping process to realize the automation of some equipment. With the rapid release of Harber Metal's MIM product demand, the Harber Metal in expanding its own production scale at the same time, but also through automation to improve the production capacity of the shaping process, so as to continue to give full play to the company's advantages in the scale of production.