The Hyundai Automotive Group announced that they will take the lead in spreading smart factories in order to enhance the Korean manufacturing industry.
The Hyundai Automotive Group held the 2016 Industrial Innovation Movement and Smart Factory Launch Ceremony at Novotel Ambassador in Suwon on September 10 with the Foundation of Korea Automotive Parts Industry Promotion on October 10.
The Hyundai Automotive Group is planning to help a total of 1,450 small and mid-sized firms innovate on their production processes and turn their factories into smart factories by giving them financial support amounting to 30.4 billion won for seven years from 2013 (29.1 billion won from the Hyundai Automotive Group and 1.3 billion won from the Ministry of Commerce, Industry and Energy).
Since 2015, the group has been focusing on helping automobile-related companies transforming their factories into smart factories. As part of supporting the government’s project to build leading clusters of smart factories, the group is turning about 100 small and mid-sized partners in the Sihwa Industrial Complex in Banwol into smart factories.
Apart from it, the group is supporting 200 companies (100 automobile-related companies and 100 other companies) so that they can transform their factories into smart factories from 2015 to 2019 in partnership with the Gwangju Creative Economy and Innovation Center in the Gwangju area.
On the other hand, companies which have turned their factories into smart factories since last year enjoyed practical effects of about 57% improvements in performance indicators such as a drop in defective products, a spike in productivity and cost reductions.
Furthermore, the Hyundai Automotive Group will develop and distribute standard models by 11 business types -- plating, painting, injection, pressing, welding, rubber work, heat treatment, machining, electronics, casting and forging –- to participating companies in order to slash smart factory construction periods and cost.