We cannot invest in technologies such as AI on the production line when a product could disappear from the market.
Oh Kyung-jin, CEO of Taelim Industrial, presented small and midsize enterprises' AX strategies at the SME AX Leaders Forum held at the Shilla Hotel in Jangchung-dong, Seoul, on the 26th. The SME AX Leaders Forum is a forum on small and venture businesses hosted for the first time by ChosunBiz. The Ministry of SMEs and Startups, its affiliated agencies, small and midsize enterprise CEOs, and AI experts took part to assess the current crisis facing small and midsize enterprises and discuss AX strategies to drive innovation.
Founded in 1986, Taelim Industrial is a small and midsize manufacturer of automotive steering systems that is growing in step with paradigm shifts in the auto industry, including electric vehicles and self-driving cars, on the back of its smart factory buildout.
Oh said, Taelim Industrial was selected by the Ministry of SMEs and Startups as a K-Smart Lighthouse Factory and received support for building a smart factory, adding, Based on this, we introduced new technologies such as autonomous mobile robots (AMR), digital twins, warehouse management systems, and safety sensors on the shop floor to boost productivity.
Regarding AX strategies for small and midsize enterprises, Oh stressed, What matters most is to be clear about the purpose of introducing AI. He said, In a situation where products manufactured by small and midsize enterprises could disappear from the market in five years, you cannot invest tens of billions of won in that production line, adding, AI should be introduced in line with the corporation's current purpose and growth direction. He continued, You need to set a course—whether to lower prices to make products more competitive or raise quality to move into the premium market—and build a production system that fits that course.
Oh also mentioned top-tier decision-making enabled by AI. He said, AI is a technology and a tool that will help CEOs make decisions based on diverse data.
Oh also expressed concern about purposeless, indiscriminate adoption of AI. He said, As a second-generation entrepreneur, when I first joined the company I tried to build various IT systems to manage the corporation efficiently, adding, After much trial and error, the conclusion I reached was that, in addition to IT competitiveness, improving operation technology (OT) is also important. He continued, Through the harmony of advanced technologies such as AI and OT, the company can achieve sustained growth.