“We are on a systematic pursuit of internationalization”
Wonder on the path to becoming a Lean enterprise
Automotive supplier Wonder Auto Group Limited primarily develops, manufactures and distributes the following parts and systems for the automotive industry: vehicle electrics, active and passive safety systems, auto suspensions, and engine valves. The Wonder Group‘s more than 20 subsidiaries employ over 9000 people, 600 of which are in Research and Development.
Mr. Zeng, how do you assess the current trade conflicts between China and the US? Do such conflicts also affect your expansion plans?
The onset of trade disputes was inevitable between two major competitors, such as China and the US. However, Wonder‘s internationalization and expansion plans are not affected. On the contrary, we are now even more determined. The further the internationalization of the Wonder Group progresses, the better we can handle such trade conflicts.
Where do you see Wonder in five years?
In five years, we want to be one of the global top suppliers of traditional automotive components. In addition, we will become a supplier of technology solutions for intelligent driving, electric drives and electronic controls during this period.
Wonder has already established a Sales and Development Center in Munich. Do you also plan on setting up production facilities in Europe?
If we have corresponding orders from European customers and we can build a manufacturing facility in Europe that meets all the needs and expectations of our customers, we will certainly do so.
How does Lean Management help you drive Wonder‘s internationalization?
Lean Management will raise Wonder‘s overall management concept to an international level. This is an important requirement for advancing the internationalization of our company.
What expectations do you have of the strategic partnership with Staufen AG?
Above all, we hope for long-term support in the internationalization of our business. Staufen AG will help us to become even better overall and take the Wonder Group to a new, international level.
Nowadays, enterprises face several problems, such as rising labor costs, difficulties in recruiting qualified employees, high fluctuation, difficulties in management, quality issues, lack of demand, and dwindling profits.
Frequently, success and failure depend on the choices enterprises make. One solution is to become a Lean enterprise. Lean management is more than just a tool for reducing waste and costs, it is also a change in mindset and culture. In a Lean enterprise, value creation is the main priority.
Wonder Group and Lean
After the WPS (Wonder Production System) project was confirmed in August 2017, the Wonder Group established a project team led by Chairman Mr. Zeng Qingdong and each subsidiary’s general manager, with the aim of initiating a fundamental change throughout the entire group.
One example of how Lean management improves plant productivity is the SMED (single-minute exchange of die) pilot project at Jinzhou Jinheng Automotive Safety System Co. Due to the reduction of equipment changeover time by 49%, WIP (work in process) was decreased by 50% and overall equipment efficiency increased by 50%.
As a result of the TPM (Total Productive Maintenance) project in the pre-plating grinding line at Jinzhou Wanyou Mechanical Parts Co., overall equipment efficiency increased to 81.3%, while machine downtime was reduced by 60%, and the capacity for each shift increased to 4400 pieces.
Thanks to the TPM project at Jinzhou Halla Electrical Equipment, machine downtime was significantly decreased from 70 to 50 minutes, which increased the overall capacity of the line from 800 to 920 pieces. Furthermore, changeover time was cut in half from 50 minutes to 25 minutes. Also, the changeover time at the winding machine was significantly reduced from 14 hours to 4.4 hours.
