JUSE Top Management Interview

Vol.1 Unimicron Technology

Unimicron Technology Corporation started in 1990, as a small conventional PCB manufacturer in Taiwan, formally known as WWEI. Mr. T. J. Tseng became the President of Unimicron in 1993, and introduced TQM in 1996 to set the core value on customer services, quality and technology. In 2006, ten years after TQM introduction and implementation, Unimicron grew to rank in the 6th of the Global PCB manufacturers. In 2009, it has become Global No. 1 in the PCB industry with leading market share for IC Carrier and HDI PCB Main Board products. Unimicron was awarded the National Quality Award for Enterprise by Taiwan Government in 2005, followed by the Deming Application Prize in 2011. Mr. T.J. Tseng, himself, was awarded the National Quality Award for Individual, which is the highest merit and recognition for the distinguished leadership in performing and achieving TQM.

Congratulations on winning the Deming Application Prize in 2011! To begin with, what motivated you to make a challenge to the award? Aiming for a better corporate operation (for broader vision, talent cultivation, renovation management, etc), Unimicron decided to challenge the DAP award and had on-site coaching via paper presentations and on-site examinations by external experts and consultants

What was your prime role in challenging the award as a Chairman? I was involved from the very beginning and played an active role to support and pursue the award, and with a close monitoring of the entire process and each stage of improvement. I encouraged and affirmed colleagues whenever therefs a good progress during the process.

How do you evaluate the outcome of this achievement both internally and externally? We evaluated by: Internally, product quality, new product development, our QC activities, and functional operation etc. Externally, customer satisfaction, suppliers’ rating from customers, shipment returns, as well as by our suppliers, neighbors and the corporate society responsibility.

What did you feel most difficult during the course of this challenge? We had of course encountered bottlenecks along the process. But through the TQM diagnose and many suggestions from DAP examiners, we learned and had a lot of breakthroughs. Besides, we have strengthened our logical thinking via a more concise presentation approach and cross functional coordination.

What is your future plan in the standpoint of quality and/or quality management? -A more refined, innovative and effective business policy management
-An ever strengthening new product development and quality assurance efforts for higher value and service to customers.
-A better corporate synergy, integration through a well implemented management cross functional system.

In the more rigid and competitive future, deliver more value, competitive advantages and reliable services to customers.

Human resources management is considered critical for constitutional improvement. What kind of opportunities in QC education and trainings do you provide to your employees? Our HR system considered both company needs and employee career development, based on seniority and experience, from entry, intermediate to advanced levels contains following elements:

1. Four major training categories by “function” and “level” as: (A-General, T-Technology, Q-Quality and M-Management), for a balanced HR development. Each employee receives an average of 20 hour training annually to ensure our competitiveness.
2. In addition to senior instructors from internal channels for their experiences, we also widely recruit industrial consultants for latest advanced information and knowledge, and benchmark outstanding companies by domestic and overseas visits.
3. Upgrade our stafffs problem solving skill by intense professional training and process improvement activities, such as QC Story, SQC, 6 Sigma & Lean, etc. We reinforced above through internal certification, project execution and result evaluation.
4. Combined training, performance, career advancement, evaluation and reward system as a further motivation for active learning and implementation.

As an outcome of your educational input, what did you achieve as an output? With a strategic, comprehensive HR cultivation program, we not only attained the needed personal for a stable, constant growth and future expansions, but also fulfill staffs demand for a more diverse and vibrant career. Our fruitful results over the past years as:
1. 80% manager level advanced internally
2. 90% retention rate for staff with outstanding performance.
3. Employee satisfactory reached the score of 80 out of 100 in 2011

Unimicron has successfully grown up in the market from 18th in 2000 to top market shareholder in 2009 and 2010 continuously for the Global PCB market. What was the secret behind this leap? What strength do you have against your global competitors? Our success resulted in the capability of able to seize various industrial and its characters, developments, trends and opportunities. We adopted TQM management to fast respond to customer with good quality, cost-effective product and satisfactory services.
Unimicron will keep strengthening the above spirit in the future from product to respond efficiency for higher value and quality with competitive cost.

What is the “Quality” in your organization?
We utilize TQM principles to pursue business excellence, including: -Focus on customer satisfaction and quality above all
-Engage early involvement with customer for product design
-Strengthen R&D for higher quality, increase new product hit rate
-Cultivate talents
-Improve cost structure

Lastly, what is your advice to organizations that aim to promote Quality Management from now, or wish to apply for the Deming Prize? Our advice is to develop positive attitude, enthusiasm and determination from company executives, and employees at all levels for a clear concept on TQM, We encourage interactive learning to achieve better company operation, customer satisfaction and most of all, feedback to our society.

Thank you for your time, as well as valuable inputs, Mr. Tseng!

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(May, 2012)