Installation in Just One Day: Higher Productivity, Lower Accident Risk
Breaking Through Rental Market Saturation with Customized Solutions
Preparing for Logistics Automation Through Partnership with LogeBalls
"The innovation lies in reducing installation work, which used to take more than 30 days, down to just one day."
Yu Hungsik, CEO of Samsung Logipia, made this statement while introducing the "modular industrial lift" developed for the first time in Korea in 2024. He spoke at a press conference for outstanding management innovation companies hosted by the MainBiz Association, held at the Asan facility in Chungnam on February 26. Explaining a case where the lift was used at a construction site for a major domestic bio company, he said, "Not only did we shorten the construction period, but productivity improved by 30%. The risk of safety accidents and maintenance costs were reduced by 96% and 20%, respectively."
Yoo Heungsik, CEO of Samsung Logipia, explained about the forklift at the Samsung Logipia site in Asan, Chungnam, on the 26th of last month. Main Biz Association
The modular industrial lift is equipment used at construction sites to move cargo vertically. Traditional lifts required scaffolding and welding on-site for installation. CEO Yu saw a business opportunity in this inefficiency. By collaborating with TKE Elevator, a specialist in elevators, he established a modular process system where units are pre-manufactured and inspected in the factory and then assembled on-site. This minimized on-site work and the risk of safety accidents.
This process takes place at the second Asan plant. CEO Yu stated, "We have internalized the entire process from design to installation based on our dedicated infrastructure spanning 9,900 square meters." This year, the company is also pursuing the expansion of a third plant and the construction of a smart factory. He said, "The modular method will spread throughout the domestic industry," and added, "We will lead the market based on our competitiveness in this field."
Modular Approach as a Growth Solution Amid Fierce Competition
Founded in 2011, Samsung Logipia has built an integrated distribution model encompassing new and used forklift sales and both short- and long-term rentals, based on its subsidiaries Korea Logistics System and Samsung Logistics System. The company has a full lineup of domestic and international brands, along with global supply chains in the United States, Europe, and other regions. It has secured more than 13,000 clients at home and abroad, including Samsung and LG, and operates around 1,500 rental units. It also runs an after-sales service system with 70 partner networks and specialized maintenance teams nationwide. In 2016, it received the Minister of Land, Infrastructure, and Transport Award for ranking first in forklift maintenance.
However, the market environment changed rapidly. The entry of large corporations and major importers intensified price competition, and the rental market became saturated. Following the strengthening of the Serious Accidents Punishment Act, demand increased for equipment that is both safe and high-performing, making technological competitiveness even more critical. Samsung Logipia sought to transform itself from an equipment supplier to a "customized solution provider." The result was the modular industrial lift.
In response to the Fourth Industrial Revolution and the spread of smart factories, Samsung Logipia pursued technical capabilities for customized production tailored to site requirements from the design stage. CEO Yu determined that for industries such as bio, pharmaceuticals, semiconductors, and precision chemicals, general-purpose lifts had limitations due to cleanroom environments, space constraints, and safety demands. To address this, the company secured a patent for its "safety system platform technology," preventing accidents like falls or entrapment during installation and reducing the risk associated with the Serious Accidents Punishment Act. Driven by increased orders for industrial lifts, sales in 2024 grew by 70% compared to the previous year. The goal is to reach 70 billion won by 2030.
Targeting the 100 Trillion Won Rental Market with LogeBalls
Samsung Logipia is also preparing for the "unmanned" era across the entire logistics industry, ushered in by artificial intelligence (AI). CEO Yu stated, "We must maintain a competitive edge in manned sectors while also taking the lead in the paradigm shift of logistics." This is why he has been carefully adjusting the scale of the manned equipment rental business. He added, "As logistics robots spread to small and medium-sized enterprises, after-sales service demand will increase, further expanding the rental market. Even a 100 trillion won market is not an impossible figure."
Yoo Byungheon, Senior Manager and CEO of Logiballs, explained logistics robots at the Samsung Logipia plant in Asan, Chungnam, on the 26th of last month. Main Biz Association
As part of its future strategy, CEO Yu established a cooperative framework with the logistics startup LogeBalls. Founded in 2022, LogeBalls is led by his son, Yoo Byungheon, who is also the Senior Manager of the Logistics Automation Business Division. Manager Yoo stated, "LogeBalls is an organization that is building the goals Samsung Logipia aims to achieve five or ten years from now, one step at a time," and added, "We aim to lead logistics innovation by stabilizing prices, quality, and supply chains."
Manager Yoo observed that demand for AGVs (automated guided vehicles), AMRs (autonomous mobile robots), and AGFs (automated guided forklifts) has increased recently, and that Chinese companies with humanoids are intensifying their low-price offensive. In response, LogeBalls is collaborating with companies such as Geekplus, Standard Robots, and Jinsong Robot to expand its unmanned equipment lineup, and in the first half of this year, will jointly conduct research and development (R&D) with Geekplus to automate manned forklifts. The company is also developing "Between Universe Platform," a community for integrated management from construction equipment sales to after-sales service.
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