LIENFA Injection Machinery: Merging Craftsmanship and Innovation to Build Premium Injection Molding Machines

Table 3-18 Introduction to LIENFA Injection Machinery Co., Ltd.

   LIENFA Injection Machinery has a history of nearly 60 years. Since its founding, the company has been dedicated to the custom design and manufacturing of injection molding machines, gaining prominence in the global market with its outstanding technical capabilities. The company’s success is not only rooted in technology but also in its high-quality after-sales service, which serves as a key differentiator from its competitors.

Target Customers and Market

   LIENFA’s target customers are businesses that require highly customized equipment, emphasizing precision processing and high production efficiency, with a strong demand for unmanned and automated production lines. The company primarily focuses on exports, with foreign sales accounting for about 70% of its business, mainly in Europe, North America, and Central America. On the international market, the company’s technology is competitive, and its prices are also attractive, allowing it to directly compete with local businesses. In recent years, the company has actively expanded into the Southeast Asian market, positioning its products in the mid-to-high-end segment, attracting local customers through technological innovation and after-sales service.

   Regarding market trends, the company believes that with technological advancements in many emerging markets, the demand for customization is gradually increasing. Therefore, it will continue to focus on exports in the future, working closely with customers to optimize production lines, providing technical consulting throughout the manufacturing process, and even assisting customers in integrating other automation equipment.

Leadership and Management Strategy

   The leader emphasizes a management philosophy of "staying grounded," insisting that the company’s core technology and product quality come first. The company adopts a human-centered management approach for its employees, encouraging self-management and ensuring that employees understand the essence of their work, complete tasks independently, and increase their autonomy and sense of responsibility at work. Despite the impact of the pandemic and economic conditions, the company has never forced employees to take unpaid leave, demonstrating its commitment and responsibility to its staff.

   The leader places special importance on the company’s after-sales service, viewing it as one of the company’s core competitive advantages. They believe that after-sales service enhances the company’s image and increases customer loyalty, emphasizing mutual respect to maintain long-term partnerships. Additionally, the leader believes that the company should avoid falling into price competition and instead focus on ensuring sustainable development by maintaining reasonable profits.

Key Technologies and Service Models

   LIENFA's key technologies and service model revolve around custom design, technological innovation, and excellent after-sales service. First, the company customizes machines based on customer needs, making changes to assembly line designs or structural designs, and even developing new models. This high technical barrier makes the customization business more professional, leading the industry. Second, the company continues to develop new technologies based on traditional mechanical concepts, maintaining its innovative ability to stay up-to-date and meet customers' diverse needs. Lastly, the company offers a service model focused on fast response and effective problem-solving, ensuring that when customers report machine issues, solutions are provided in the shortest time possible. Additionally, the company’s network of agents operates globally, ensuring that customers, no matter their location, receive fast and reliable technical support.

R&D Innovation

   The company encourages employees to exercise autonomy and develop their judgment and problem-solving abilities. During the production process, the R&D department only completes part of the design drawings, while the technical staff make adjustments and innovations during implementation. This collaborative approach not only shortens the gap between personnel but also sparks creativity among employees, making on-site operations more aligned with practical needs and further enhancing overall flexibility and efficiency.

   When communicating with customers about technology, the company uses image files as a cross-language communication tool and invites cooperating suppliers to coordinate peripheral equipment, ensuring that the entire production line operates smoothly. The company does not focus on patent applications; instead, it maintains its competitive advantage through continuous R&D and technological updates, regularly releasing updated versions of its products, making it difficult for competitors to catch up and preventing imitation.

Brand Strategy

   The "LIENFA" brand represents high-quality machinery and precise technical execution, earning a strong reputation in the injection molding machine market. The company not only understands and meets customer needs by providing professional machine design and production line integration but also places significant importance on after-sales service as a key component of its brand strategy, earning customer loyalty and trust through comprehensive service.

   For expanding into international markets, the company seeks agents with basic technical capabilities through exhibitions and regularly provides them with technical training to ensure they have the necessary skills to handle after-sales issues. For more complex technical problems, the company uses online communication and video calls to assist agents or customers remotely. If needed, technical personnel will be dispatched to the customer's site in a short period to resolve the issue, demonstrating the company’s commitment to after-sales service.

Industry Challenges and Development Strategies

   Global economic fluctuations and the pandemic have led to a significant contraction in market demand, causing many companies to opt for low-cost, functional machinery. This has allowed low-priced products from China to gain considerable market share. Additionally, the depreciation of the Japanese yen and Japanese companies setting up factories in China have further compressed profit margins for the Taiwanese industry.

   Despite this, the company remains committed to improving the technological level of its products, ensuring it maintains a technological edge in the high-end customization market. To diversify risk, the company is also considering transformation or expansion into related industries for vertical integration. The leader believes that, with the global trend of industry consolidation, competitors will decrease and market space will expand. In addition to focusing on succession and transformation, the company is addressing the future talent gap by training foreign workers to fill the labor shortage.

Conclusion

   LIENFA Injection Machinery’s business focus revolves around three core values: "customization," "innovative R&D," and "after-sales service". The company works closely with customers to design machinery that best meets their production needs. It also places particular emphasis on giving technical personnel room for autonomy, allowing each technician not only to operate the machinery but also to propose modifications during actual production. This fosters innovative production methods, which are ultimately incorporated into standard processes. The growth and development of LIENFA not only demonstrate resilience and adaptability in the face of global competition but also highlight a solid foundation and future potential.