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Homer Hardware Co., Ltd.

metal parts, punched metal meshes, furniture hardware, hardware accessorie

2009/06/25 | By Steve Chuang | HOMER HARDWARE INC.

Over the past decades, Taiwan's OEMs (original equipment manufacturers) have lubricated the island's industrial machinery and export-dependent economy, supplying all kinds of products made to buyers' specification. Although not the most glamorous role in manufacturing, OEMs in Taiwan have built a solid reputation for being reliable, flexible and quality-conscious. One real-life example, whose dedication is likely practiced by the cross-section of its successful peers in Taiwan, is Homer Hardware Co., Ltd., who has become a world-caliber metal parts OEM.

Located in Taiwan's central county of Changhua and founded in 1994, Homer has been producing furniture hardware, such as hinges, handles, knobs, door catches and related accessories, for 15 years. Backed by ample experience, the company has also diversified into making auto parts for around five years, gradually building a second product line to tap the global market.

Employing 40-plus workers in its 3-story plant, Homer turns out a wide range of metal parts, including punched metal mesh, auto accessories, body parts, safety belts, seat adjusters, door hinges, window regulators, building materials for interior decoration, semi-finished furniture, iron wire kitchenware and hardware, fittings, cabinet hardware and door knockers. All of the products are exported: 30% to Europe, 20% to Japan, 15% to southeast Asia and the remaining to North America.

Cutting Dependence on Traders

Like many Taiwanese counterparts, Homer had relied completely on traders to sell low-end products overseas initially. However, communication gaps between Homer and its clients drove general manager W.P. Chen, several years ago, to cut the umbilical cord-turning to fill OEM orders independently.

Ignorance-based Miscommunication

Without manufacturing knowledge, Chen adds, traders sometimes can't effectively relay clients' intentions to producers, failing to help manufacturers with feasible production plans. Homer or customers must waste time confirming production schedules, or stumble along trying to solve problems that are complicated by traders' miscommunications. In essence, Homer discovered eventually that working through traders was similar to having an artist take messages for a rocket scientist.

"Repeated alteration to specifications due to miscommunications would drastically compromise Homer's reputation," he says. "So we decided to deal directly with foreign buyers, which enables us to deliver products exactly to clients' needs, thus enhancing operation efficiency and global competitiveness."

Knowing that sharpening production skills is vital for an OEM's sustained competitiveness and despite limited resources, Homer has steadily adopted advanced machine tools to achieve higher precision and efficiency. The company has in-house NC (numerically controlled) and CNC (computerized numerically controlled) machines and machining centers, punching machines, heavy-duty hydraulic press machines and wire-cutting machines, which are regularly maintained and calibrated, Chen states.

Technical Know-how is Key

Having ample knowledge about metal properties and characteristics is also a key measure of a successful OEM, Chen Wen-chin, Homer's factory director says, as such expertise to some degree enables proper production adjustment, hence dictating the quality of output. Citing his experience in being audited by foreign customers, Chen says: "Homer has been strictly tested for its knowledge in various material coefficients before and after processing. Also, we can show that Homer is able to quickly and effectively adapt production to these variables."

Gradually sharpening its know-how to improve production capability through real-world experience and feedback, Homer is able to handle steel, stainless steel, iron, copper, zinc, plastic and aluminum to produce hardware and auto parts, with minimal defects caused by ignorance of material properties.

The company is also well-known for horizontal and vertical integration, enabling it to develop molds in-house and achieve highly efficient production. Plus, Homer is a green OEM, using trivalent chromium, lead-free chemicals that are completely in compliance with RoHS (Restriction of Hazardous Substances) standards as required by the European Union.

ISO 9001 Certified

Besides tapping industrial engineering to lay out its factory floor plan to achieve maximum efficiency, Homer also makes sure its quality controls work in accordance with international standards, all of which has helped the company to be ISO 9001 certified.

The company adopts the usual retinue of QC tools, including keeping inspection records and hourly spot-checks for semi-finished products, monitoring closely every stage of production. Also, the company insists on quality certificates for materials and systematically assigns serial numbers to each package of finished products to expedite tracking of potential defects, as well as carries out pre-delivery inspections to maintain inventory quality.

On-the-job Training

Believing in the value of on-the-job training, Homer periodically trains workers with ISO standards and QC concepts, aiming to drive home the importance of QC. "We try to instill in our workers that the pursuit of the best quality is a common goal in our organization, which will help us to progress-to become TS16949 certified in the next few years."

Already moving towards becoming TS16949-compliant, the company has been upgrading QC procedures: filing quality inspection and machine depreciation records, conducting run-to-run (R2R) controls and installing advanced inspection devices in the factory, according to Chen. "We invest energy in problem solving and continual upgrades to be TS16949 certified, an indispensable hurdle to enter the global auto parts market."

Plus, Chen adds, being TS16949 certified will help Homer to stay ahead of emerging rivals who flood the global OEM market with low-priced, shoddy products without reservation. Although becoming TS16949 certified calls for considerable time and resources in the following few years, Homer will not divert from such onerous effort knowing it is the only way to be recognized as a world-class OEM.

Besides focusing on manufacturing technology and QC, Chen also believes in offering customer-oriented services, as well as being driven by a strong commitment to guarantees customers the most economical, effective production and product solutions.

Fully Confident

Backed by considerable production expertise, Homer accepts contract orders to develop custom parts and hardware for brand new products, being fully confident of delivering parts that feature total consistency in size and quality. "We are aware that quality of auto parts and others made of special materials depends on structure, functionality, lifespan and appearance, with such criteria within our production and technological capacity," Chen says.

Willing to back QC and quality of output with official proof, Homer supplies quality test reports from SGS and the MIRDC (Metal Industries Research & Development Center) of Taiwan to customers upon request. "Customer's trust in Homer's products outweighs paying extra for official quality assurances," Chen says.

Wielding mold development skills, the company can also assist customers to quickly build samples and prototypes to shorten R&D time. Also Homer is capable of consultancy: advising customers to use suitable metals and metalworking methodologies from the initial stages of R&D through finished products. "We share expertise with customers to develop new products knowing that giving advice costs nothing extra overall," Chen stresses. "Homer is a skilled OEM who also offers technical tips culled from experience."

Building on its success in metal hardware by diversifying into auto parts, Homer is well on its way as a trusted OEM globally. But its ambitions are fueling plans to move upmarket to become an ODM (original design manufacturer) for higher margins and sustainable development.

Homer Hardware Co., Ltd.

No. 236, Papu Rd., Changhua 500, Taiwan

Tel: 886-4-727-3349

Fax: 886-4-724-6499

http: www.homer888.com.tw

www.hong-i.com

E-mail: 888@homer888.com.tw