Korea Federation of SMEs Conducts 'Manufacturing Innovation Excellence Company Benchmarking'

Visit to Baekje Agricultural Corporation in Hongseong, Chungnam on the 20th
Classified as an Excellent Company for Smart Factory Establishment

The Korea Federation of Small and Medium Business (Kbiz) announced on the 20th that it conducted the "2024 2nd Small and Medium Enterprise Manufacturing Innovation Excellent Company Benchmarking" by visiting the agricultural corporation "Baekje" located in Hongseong, Chungnam. Baekje, a manufacturer of noodles, rice cakes, and similar food products, is classified as an excellent company in smart factory establishment.

The Small and Medium Enterprise Manufacturing Innovation Excellent Company Benchmarking is a project designed to help the SME sector grow together by spreading best practices of companies that improve management environments and innovate technology and processes. Starting with benchmarking "Wijeis LLC," an excellent smart factory company in the Honam region in May, Kbiz plans to share success stories of manufacturing innovation and create discussion forums by region, including Chungcheong, Yeongnam, and the metropolitan area.

About 20 people attended the benchmarking event, including Hwang Hyun-bae, President of the Incheon Small and Medium Business Association of Kbiz; Jeong An-su, Chairman of the Daejeon-Sejong-Chungnam Plastic Industry Cooperative; Lee Jae-cheol, Chairman of the Daejeon-Sejong-Chungnam Machinery Industry Cooperative; as well as members of SME cooperatives and their member companies, and SME executives and employees.

Baekje, with 45 years of business experience, faced difficulties due to lack of experience when attempting automation to increase production volume. However, after participating in the "Large and Small Win-Win Smart Factory Support Project" promoted by the Ministry of SMEs and Startups, Kbiz, and Samsung Electronics, it succeeded in increasing productivity through automation of processes and logistics. Following Samsung Electronics mentors’ advice, automation and workplace layout improvements in the aging, freezing, drying, and thawing processes increased rice cake soup production by 40% to 50% and rice noodle production by about 10%.

Kim Cheol-yu, co-CEO of Baekje, said, "Previously, only small processes were automated, and the rest were practically abandoned, but the smart factory support project gave us confidence and momentum that nothing is impossible." He added, "I hope small and medium enterprises currently facing difficulties actively participate in the smart factory support project to overcome crises and achieve win-win outcomes together."

Jeon Ui-jun, Director of the Smart Industry Office at Kbiz, said, "The benchmarking of excellent manufacturing innovation cases is practically helpful to SMEs because senior companies can directly pass on manufacturing innovation know-how and trial and error in the field." He added, "We will continue to work with SME cooperatives to spread smart factory achievements through benchmarking of best practices and establish a voluntary virtuous cycle system."