Ministry of SMEs and Startups Holds On-site Meeting for Smart Factories

Vice Minister Jo Joo-hyun Emphasizes Digital Transformation of Manufacturing Companies

Jo Joo-hyun, Vice Minister of the Ministry of SMEs and Startups, is delivering opening remarks at the Smart Factory Project Participants Meeting held on the 11th at TH Sensor in Geumcheon-gu, Seoul.

[Asia Economy Reporter Kim Cheol-hyun] The Ministry of SMEs and Startups (hereinafter referred to as the Ministry) announced that Vice Minister Jo Joo-hyun visited TH Sensor, located in the Gasan Digital Complex in Seoul, on the 11th to tour the smart factory site and hold a meeting with smart factory adopting companies and suppliers.

TH Sensor is a specialized manufacturer of temperature sensors. By participating in the smart factory dissemination project in 2021, it automated work processes that were previously 100% manual, achieving a 10% increase in productivity and a 15% reduction in defect rates. This year, it is also promoting the establishment of a real-time monitoring system for production processes.

At the meeting, Vice Minister Jo reviewed various institutional improvements made so far to address issues in the smart factory dissemination project and discussed future policy directions. He stated, "Manufacturing innovation through the dissemination of smart factories is a field that must be continuously improved and pursued despite some side effects, similar to startups and ventures, to leap forward as a manufacturing powerhouse." "We will strengthen transparency management of the smart factory dissemination project and carefully monitor the utilization status of already established solutions through follow-up management," he said.

Experts and participating companies evaluated that institutional improvements such as expanding participation of end-user companies and after-sales service support after implementation have been effective in resolving poor smart factory construction. Additionally, they requested expanded support for smart factories for small and medium manufacturing companies facing raw material price increases and labor shortages after COVID-19. In response, Vice Minister Jo emphasized, "The government plans to strongly promote the digital transformation of small and medium manufacturing companies, a national agenda, to spread future-type smart factories and revitalize the manufacturing innovation ecosystem," adding, "Detailed implementation plans are currently being prepared."