For cluster manufacturing companies Sharing Economy O2O Platform

Ki-Bum Kim

Parallel Session 3.3: Articulating Collaboration among Cluster Actors

For cluster manufacturing companies

Sharing Economy O2O Platform

Think us, Think Company

Korea Industrial Complex Shared Service

Kim, Ki-Bum (Executive director)

- 2015 October -

3

MAEKONE Introduc-tion

ㅇ Wang, Young-Ho (CEO)

ㅇ Members

MAEKONE People

• PhD in Management from Seogang University / CPA

• Present consulting executive director at Ksight (Pulbic consulting firm)

• Experienced as consultant in KPMG (VP), Anderson Consulting (Partner), BearingPoint (CEO) over 25 years

• Kim, Ki-Bum (Managing Di-rector)

Mr. Kim received his MBA from Yonsei Uni-versity and worked at LG and Samsung. He joined Anderson Consulting and consulted over 80 companies for 15 years as strategy and management consultant.

• Lee, Seung-Hee (COO) Mr. Lee received his MBA from Korea Uni-

versity and worked at Daewoo in Data Min-ing & Warehousing dept.. He consulted conglomerate and financial services as IT/CRM/SCM consultant at BearingPoint.

History Sharing Corporation certification

(First in Province)

Constructed and vitalized Korea Indus-trial Complex (Kicox) APP for registered companies (Idea storage APP)

4

Sharing Economy?

Before sharing (enterprises) Sharing Economy (a cluster)

Sharing Economy- Collaborative Consumption behavior; not willing to own goods, but rather borrow or lend them. - Collaborative Procurement behavior; lots of individual purchasing power become one strong purchasing

power Cluster Sharing Economy- Information sharing and collective intelligence among cluster companies bring Value

trade between members, collaborative sales, Crowd Sourcing ;henceforth cluster forms N/W and becomes socially-competitive.

Firm A

Firm B

Firm C

Firm A

Firm BFirm C

“Information Sharing”

Group intelligence and trust

- equipment/facilities, infrastructure, business & buyer info, collaborative consumption

5

Platform for Sharing Economy

Firm A

Firm BFirm C

Cluster Sharing Economy

1st Cluster Platform(Online) = Platform for sharing service information

Need Platform….

MAKEONE Credit Card (Only For CEO/Employ in Industrial Complex, IBK)

6

Platform for Sharing Economy

Firm A

Firm BFirm C

Cluster Sharing Economy

1st Cluster Platform(Online) = Platform for sharing service information

Need Platform….?

7

Expectation of CEO about Cluster Sharing Economy

▣ Cluster Sharing Economy tour expansion Cluster members of Gyeonggi-do complex Banwoul/Shihwa ; Mechatronics (Aug 12th),

Electricity & Electronics(Aug 26th), Fine Chemicals(July 29th)

Busan : Busan Integrated cluster (Sep 12th) Seongnam complex (July 2nd). . . . .

Expectation of CEO about Cluster Sharing Economy

- CEO interview result -

① Timely, healthy fund supply② Convenient product sale & mar-

keting platform need ③ Appropriate human resource

sourcing

? +Platform(Onlline)

8

O2O

Offline = O2O +B2B e-marketplace(Link Offline Business) + (Buyer)sales share (Link Offline) + purchase share(Link Offline) + Crowd funding(Link Offline) + subsidiary material Dutch auction(Link Offline)

+ Social/mobile network between firms and CEOs(Based on Offline Communities)

Platform (Onlline)

Link

9

O2O example in Korea – Kakao Taxi

- Succeeded in short-time- A platform for potential diversifica-tion

“Kakao Taxi” became trend- Mobilized the core features out of

existing off-line process (easy re-quest and taxi location)

- Secured system for both drivers and consumers (established trust)

Check taxi’s current location

Easy request

Store transaction history (prevent any lawsuit)

Fearless & Simple

10

New Platform for Sharing Economy

Firm A

Firm BFirm C

Cluster Sharing Economy

New O2O Cluster Platform(Online/Mobile/offline)

Category / search major enterprise by location

Direct contact to firmsRecommendation feature

= CEO/Share between firms/Social + (Buyer)sales share + purchase share + subsidiary material Dutch auction + Crowd funding

firm’s certification info

Producing power & performance

Buyer inquiry

Group platform(group commercial)

Individual platform(individual contacting)

New O2O Platform

Fearless & Simple

11

Platform performance: 1. realization of information sharing

Subject: Member firm CEO 2,000 Utilized CEO email

Provided daily news for CEO

2014 second-half prepared/began

9%

2015 February 2015 April

21.8%

28.9%

positive response to “funding support” contentswhich are realistically helpful

focused on business policy & industrial trend

Added helpful videos for CEO, funding information, and member introduction

Response rates increased after adding introduction of member firms and government support business news

6 different industriesBig-data CEO news

13% 1st Reform 2nd ReformBeginning

(Average email response rates from other organization is be-low 5%)

2014 Oct Test

Present

CEO Notice : realization of information sharing

Currently 5,000 CEO nationally

12

Platform performance: 2. Sales sharing = O2O Supplier Hub

Domestic / Foreign Buyer

Large corporation purchasing agent

Foreign corporation purchasing agent

Mid-small firm support gov. department ..

Buyer looking for suppliers

Overpassing offline’s region limitation Manufacturing complex sale sharing O2O platform- 60,000 Manufacturers in complex (supplier)

Gyeonggi cluster manufacturersBusan cluster manufacturers

Chungcheong cluster manufacturers...

Online Supplier Sharing Hub Offline

Manufacturingcomplex

National Industrial com-plex

Overseas Industrial complex

13

performance: 3. Cover Complex life cycle Platform

[ OT to new members joining the complex] 1 – 2 times a month at Seongnam/Prep for Gyeonggi

- National Industrial complex : monthly 1,000 new members

[B2C/B2B Sharing Economy O2O platform] Dutch auction among cluster (purchase) Sale/Purchase guideline matching vendors B2B trade recommendation rule application (based on machine learning)

[ Sharing Economy service operation ] Services provided to complex member firms

- Finance, human resource, integrated parcels- Car sharing, IT, employee welfare, member card, etc

Sharing Economy Activities(2013~)

1Complex member firms

Life cycle

Application/contract(local industrial complex)

Factory permission(local industrial complex)

Production infra prep(IT, interior, equipment/facil-

ity)

Purchase-manufac-ture-sale

Complex community service

relocation/exit

1

2

3

4

2

[ CEO communication service] MAKEONE CEO Notice (twice a week) MAKEONE CEO Forum (quarterly)

3

4

MAKEONE card(member only: IBK)

Orientation

CEO forum

Sharing Economy O2O platform

Off Line

On Line / Mobile

Off Line

On Line / Mobile / Off line

14

Future of Industrial Complex O2O platform

O2O Market-ing/Trad-

ing

Industrial Complex

social O2O plat-

form

Life Cycle

Industrial Complex in-

tegrated O2O plat-

form

Commercials for members Product trading platform

Cluster social network CEO communication/network Network between small to large firms and governmental organization

Smart factory linkSale/purchase/producing/logistics/accountingBig data analysis & factory automation link

Cloud service Online-focused banks network at Complex Human resource service

O2O mobile platform for mid-small size manufacturing mem-

bers( Funding/Marketing/Human Re-

source)

Thank you