Rapid Growth Technology

RGT: Winning In OEM War
Step foot on digital transformation to strengthen soft power

The competition among Original Equipment Manufacturer (OEM) is fierce, so what is the key to winning? Enterprises are bound to a long fight in the workforce, price, service quality, etc. It is undeniable that many companies urgently require more intelligent machines from OEMs to support small-volume large-variety production.

Implementation of a digital system will make a huge difference. It can connect the information in both the demand-side and supply-side and provide manufacturers with the ability to digest and utilize data, thereby making the best decision. 

When OEMs are undergoing digital transformation, they should start with the following management issues:

  1. Improve production scheduling speed and make full use of production capacity
  2. Precise warehousing management to avoid material shortage or hoarding problems
  3. Reduce unnecessary energy and workforce consumption
  4. Establish a real-time data monitoring system
  5. Resolve production problems and reduce downtime

Although it seems complicated, digital tools can be helpful to overcome these circumstances. To break the competitive predicament, enterprises should integrate each production process to achieve a fast and accurate production pace. 

As a professional one-stop precision injection molding factory in Malaysia, Rapid Growth Technology (RGT) has achieved outstanding results in its mid-2021 financial report, with a net profit of RM10 million. RGT has successfully stood firm in the market. What are the keys to success?

As mentioned above, apart from the company’s leading technology and capabilities, digital system implementation is a to-do. Founded in 1997, RGT has 25 years of manufacturing experience. Chairman Lim Seat Hoe believed that OEMs couldn’t work on their own. Hence, they decide to implement an ERP system to meet market demands.

OEM’s survival guide:
Enhance the internal-to-external value with system management

“Our goal is to add value and grow with our customers.” Managing Director Ng Choon Keat believes that OEMs must do “what others can’t do” to win long-term cooperation with clients.

RGT is already doing well in the market, but the ERP system has significantly improved its competitiveness. Their old business model relied on the manual transcription of orders. Also, they have neglected the order picking information, resulting in poor inventory management. Due to human error, the procurement of raw materials has no standard, sometimes causing early, extra, or missed purchases. In short, the process is time-and-manpower-consuming.

After implementation, the procurement department can estimate the quantity and price through the picking list, thus achieving 95% warehouse accuracy. Employees no longer need to spend time in manual counting, reducing the number of closing days from 10 days to 3 days, freeing up the workforce for more valuable tasks.


Linking departments with real-time data report

The demand for the production line and the warehouse supply are interdependent. The ERP system integrates data from each section so that the management can handle it with ease. As a result, the manufacturing process is more streamlined because the employees can keep an eye on the latest progress of work in process (WIP) and the quantity and whereabouts of raw materials. Indirectly, the business people can provide the delivery time to the customers in a shorter time.

The managers can see the production line and grasp the cost directly from the system at a glance, and benefit the decision-making process. While reporting the production status to customers, RGT can quickly provide evidence-based data to maintain customer satisfaction.


Build a tailor-made ERP system with Digiwin Software consultants

Each enterprise has different business needs. Therefore, Digiwin Software always strives to meet their market position by implementing the best information system for them.

During the process, Digiwin Software consultants regularly reviewed the problems encountered by RGT before and after the implementation. They have instructed the operation of the system and continuously integrated the function. They corporate closely to achieve the estimated advantages of the ERP system and simplify the work process.


Managing Director Ng Choon Keat firmly believes that “management” is the key to winning. “If a company is very confident in its system, this is also a selling point,” he said in the interview. It is important to have first-class machinery, equipment, and workforce. Yet, they need to be good in management to reflect the values.

In short, the information system is just like a brain. It helps enterprises quickly sort out the operation status and provide timely, accurate data. Digital transformation is crucial to combat the difficulties. Enterprises should begin the implementation regardless of their stage, scale, or form to enhance their unbreakable soft power of management.

Watch their success story: https://youtu.be/jpcHoLU0yJY

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