SMEs, the "roots" of Korean manufacturing, must open the "K-manufacturing 2.0 era" based on a field-centered AX (AI great transformation) strategy.
ChosunBiz, the economy-focused outlet of Chosun Media Group, held the SME AX Leaders Forum at 9 a.m. on the 26th at the Shilla Hotel in Jangchung-dong, Seoul. The forum runs until 1:30 p.m. that day.
The SME AX Leaders Forum is the first forum on the SME and startup sector hosted by ChosunBiz. The Ministry of SMEs and Startups, its affiliated organizations, SME CEOs, and AI experts are taking part to diagnose the current crisis facing SMEs and discuss AX strategies to drive innovation. SME is the English abbreviation for Small and Medium Enterprise, meaning small and medium-sized enterprises.
Kim Deok-han, editor-in-chief of ChosunBiz, said in opening remarks, "Globally, innovation based on AI—namely AX—has emerged as a new keyword beyond digital transformation (DX)," and emphasized, "We must apply AI technology to SMEs, the roots of Korean manufacturing, to turn crisis into an opportunity for innovation."
Minister Han Seong-suk of the Ministry of SMEs and Startups emphasized in congratulatory remarks, "If SMEs respond preemptively in the rapidly evolving AI era, it will be an opportunity for a new leap forward." She continued, "In reality, many small manufacturing companies find it difficult to respond proactively to the AI-led great transformation," and said, "Taking into account the varying levels of digital transformation among small manufacturers, the ministry will be a strong partner to ensure SMEs and startups can successfully achieve AI transformation, including by supporting the introduction of customized smart factories."
Rep. Chung Jin-uk of the Democratic Party of Korea, a member of the Trade. Industry Energy. SMEs. and Startups Committee, said, "Our SMEs and startups have always forged new paths despite facing numerous crises," and added, "There have been many difficulties, but each time we turned crisis into opportunity, and now AX is becoming the growth key of a new era." Chung also said, "In the National Assembly, together with the government, we will establish the legal and institutional foundation so that SMEs and startups can evenly enjoy the benefits of AI innovation."
Rep. Heo Seong-moo of the Democratic Party of Korea, a member of the Trade. Industry Energy. SMEs. and Startups Committee, said, "To respond to the sweeping offensive of Chinese manufacturing, there is no alternative but digital transformation, and further, AX," and added, "We must further strengthen the competitiveness of Korean manufacturing through large-scale smartification."
At the forum, Cho Sung-bae, Chairperson of the AI Science and Technology Committee at The Korean Academy of Science and Technology (KAST), regarded as a leading AI authority in Korea, will deliver a keynote speech on "Korea's AI enhancement measures." He will present how to apply AI technology to Korea's manufacturing sector, which is losing momentum, with a particular focus on AX strategies for SMEs, the "roots" of manufacturing.
Cha Ji-won, SK AX executive vice president, will deliver the second keynote on "AI-based innovation on the manufacturing floor." Cha will share field-centered insights, including SME AX success cases that go beyond digital transformation.
The forum will delve into practical AX strategy options for SMEs in particular. Professor Bu Seok-jun of Gyeongsang National University will present strategies to spread practical AX among small manufacturers. He will analyze the opportunities and challenges that corporations face during AX adoption and propose ways AI and digital transformation technologies can be practically applied on the production floor. He will also unveil the results of the "voices from AX sites" survey, which included participation from more than 50 corporations, to support these points.
There will also be vivid on-site case presentations from SMEs moving from DX to AX, including Taelim Industrial (auto parts), AIDIMODE (apparel), and Baekje (food).
Taelim Industrial has grown in line with paradigm shifts in the auto industry, such as electric and autonomous vehicles, using the establishment of a smart factory as a springboard; AIDIMODE built an Internet of Things (IoT)-based knitting equipment monitoring and production history management system to raise factory utilization by about 25%; and Baekje is leading the globalization of K-food by exporting products to overseas markets including the United States and Japan through process automation such as aging, freezing, drying, and thawing.
The forum will also address the aging of CEOs and employees and business succession strategies, one of the reasons for Korea's SME crisis. Tateishi Miwako, Director of the Business Succession and Revitalization Support Department at the Organization for Small & Medium Enterprises and Regional Innovation, Japan, will speak to share Japan's policies and successful business succession cases, having grappled with the issue ahead of Korea. The Organization for Small & Medium Enterprises and Regional Innovation is Japan's leading SME support agency that implements policies to revitalize Japanese SMEs. Kim Byeong-guk, executive director at the KPMG Family Business Succession Support Center, will present domestic SME succession measures and strategies focused on family business succession.
A general discussion will also be held, moderated by Kim Do-hyeon, dean of the Graduate School of Business at Kookmin University, with participants including Park Yong-sun, director general for Technology Innovation Policy at the Ministry of SMEs and Startups, and Kim Se-hun, Korea head of BCC Global.