“The Best of Taiwan yet to come “– Case 1: 光洋應用材料科技科技(股)公司

“The Best of Taiwan yet to come “– Case 1: 光洋應用材料科技科技(股)公司
– Blog by Steve Hwang

The time was 4:30 pm, Thursday, April 15, 2010. After completed weekly staff meeting, my admin reminded me that I’d a dinner appointment with 光洋應用材料科技 at 6:30pm. I was looking forward to this dinner appointment and had warm feeling of seeing good friends from my home country.

I took a pause, stopped my activity, relaxed and immersed myself into the sea of memories. It didn’t take too long and the memory brought me back to December of 2004. After many years working at Seagate Technology, I was frustrated, and felt un-appreciated for the accomplishment that I’d achieved in past 12 years. I was stuck with a title of Executive Director for last 5 years and questioned whether the invisible “ glass ceiling” had prevented me from next career advancement or not. So I need a break and asked for vacation time traveling back to Taiwan and joined the winter rugby training camp with Cheng Kung University to recharge my energy and passion. When 光洋 was aware of my trip to Tainan, they invited me for a private visit to tour their sputter target production facility and to discuss the business opportunity with Seagate.

After enduring 15 hours air flight from San Francisco to Taipei, 3 hour train to Tainan and 3 days of training with 20 ish youths in the rugby field, I was sore from head to toe, and ready to walk away from rugby field and visit Solar Technology. After taking a 50 minutes ride from campus of Cheng Kung University, I arrived in 台南縣官田鄉, a place where I‘d never visited prior.

At my 1st glance, the building in front of me was old and unlike high tech facility although it was pretty tall and in relatively good shape as compared to rest of neighbors. Walking into the building, the tools, facility and clean rooms were sufficient enough to support sputter target manufacturing, but were quite outdated and might not suitable for what was required to meet performance criteria of magnetic targets at Seagate. In the beginning, I was questioning in my mind – if I’d made good judgment working with 光洋科技 and bringing them as the supplier to Seagate. However, the doubt dissipated very quickly after reviewing the technical data, sharing knowledge and experience with technical staff and exchanging business philosophy with executive teams. I was convinced that 光洋科技 had desire, talent, and resource to become a strong sputter target supplier to Seagate. As the result of my trip in 2004, Seagate Technology and Solar Technology have built a strong and successful business partnership since.

Last Wednesday on April 14, 2010, 光洋科技 team came to visit Seagate R&D team at Fremont, California, USA. During the meeting, when I listen to Gary Chung’s presentation and was impressed with his communication and technical skills, I thought that he’d been studied and worked in oversea before returning back to Taiwan. It turned out that he is a home trained and grown talent, who possess English communication skill as good as anyone in USA.

I always have concern that a Taiwanese company can’t have a best in class R&D organization to support the stringent performance requirements for Seagate. My concern is elevated when I’d opportunity discussing with Dr. Liu, of technical understand and solution for magnetic targets on that Dr. Liu and his team are responsible for. Dr. Liu is a person who has strong technical skill as well his easy to approach, pleasant, and wonderful personality.

Marty, a marketing manager, who is responsible for onsite support to Seagate, is a smart, good manner and excellent young man. He always called, dropped a note or gift, said “hi” and checked out if everything OK with Seagate team from time to time. You can’t ask better customer support from Marty and his team who are bar-none in comparison among all target suppliers to Seagate.

Ann, a marketing director, of whom I’d known since 2004, is the most responsive and talented person in sale and marketing department. She is not afraid to stand up, compete with best competitors and ask for what Solar Tech deserves to have. I believe such “can do” and “not afraid to ask for what you deserve” are the best trait for a marketing executive.

Dr. Ma, President at 光洋, with whom I’ve worked for last 4 years, is one of best executive among many in Taiwan. It is very rare in my observation that an executive in Taiwan has global view and emphasizes on outreach program. Dr. Ma expressed vision in building a global team by hiring global talents, training talents oversea, establishing global supporting structure and most importantly embraces diversity and promotes different thinking.

Howard, Chairman and CEO of光洋, who didn’t make the trip this time, built the company from scratch to current multi billions business. He is the pillar of this wonderful company. He and I share the same vision of team work that asks everyone collaborate like playing rugby sport (The main philosophy of rugby - one for all, all for one; Team goal only and no individual agenda.), social responsibility so that we can provide support to under-privileges, to those who need help, and sense of mission with that we can help build a better Taiwan and leave next generation a better place than we received from our parent generation.

I am honor to know and make many friends who are working at 光洋科技. Since the 1st trip in 2004, I’d made several visits and witness a miracle in making and happening in 光洋 that, as stated in its web site, transforms itself from a caterpillar to a beautiful buffer fly in business community. The building in 官田 has been relocated to 台南科學工業園區 where it houses a modern sputter target R&D and manufacturing, and the new building in 台南縣柳營工業區-光洋園區 is a world class building and prepares for next phase growth, while the engineering, R&D, business and executive teams transitions successfully from little league players to big league player now. Now, they’ve world class facility, people, equipment, and management team that prepare them well for core and new business expansion. If you think that the past accomplishment by Solar Tech is a miracle, I can tell you that the best of 光洋 is yet to come.

Although I was credited by many colleagues and receive incredible praise for the support to 光洋 that enable them becoming a global player in sputter targets business, the fact is that I am not the driving force for their success and the credit has to go to 光洋’ team itself and people in Taiwan. I do believe that the successful story of 光洋 can be a good case study for the leaders of government, political and business to learn with that Taiwan can build into a successful and prosper country.

From my observation, the successful journey of光洋科技 starts with

1. Desire to compete successfully in a global market – when I was approached in 2004, solar tech was a target supplier to local industries, like CD, DVD, flat panel…etc. The technology capability is relatively low as compared to Hard Disc Sputter targets. However, the desire to becoming a key player motivates them and me working collaboratively until reach the final goal.

2. Listen to voices from others –光洋科技 is a good listener and pay extraordinary attention to customer voice and advices from others. I am impressed that they are always asking for my advice on how they can become better and how to make situation better for customers. It is very obvious from their regular customer visit and support so they can clearly understand what’s customer’ need. I’ve advised them in the areas in which a global company should have, and as to how to develop best in class talents and organization. From my advices I am pleasantly surprised to find that they’ve diligently worked on building a global customer support structure, focusing on people development in the areas from technical, functional to managerial skill.
“Not invent here” syndrome is never be a problem at 光洋 and that is very rare when the company is very successful.


3. Always keep highest integrity possible- Through the process of bringing up 光洋 and becoming the main supply to Seagate, I was never been bribed, asked for favor, compromised of integrity, or took advantage of my nationality to do business with them. Instead, 光洋 and I have maintained the best practice of business ethic and personal conduct. Personally, I’ve not made any single financial gain from my works with 光洋. (Side note: I could make significant financial gain by buying and selling stocks of 光洋 since I’ve insider information of negotiation and target qualification status. Indeed, even my parents who live in Taiwan didn’t aware of my involvement until 光洋 stock price topped few hundred dollars in 2007. ); Likewise, when 光洋 had difficult and was disqualified of some of targets by Seagate in 2008, 光洋 kept best business ethics and worked through the issue without short cutting the process or asking for any un-ethical personal support from me. Now, the issue is behind them and they become stronger than ever.

4. Go international – My observation is that 光洋’ success is built on going international. To prepare for this step, they hire people who can communicate with other languages and can do business with companies outside Taiwan. They practice international business environment by asking R&D technical and marketing presentation in English, and by rehearsing dry run meeting in English before each trip with customer. They plan to hire more people who have international experience and send people to study in the universities oversea with which it can build strong international talents and presentence.


5. Strong sense of mission- Both 光洋 and I use the sense of mission as motivation for a successful venture in which we create together. I have strong sense of mission for helping a Taiwanese company into a global stage, want them successful so they can make money, hire more people and make difference to local community. 光洋 has a sense of mission for growing a company from the site of rice field, 官田, to the location of high tech birth place, Silicon Valley. We are proud to know that the fare of communities in Tainan and people in Taiwan improve significantly because of this joint effort. We’ve made difference and create positive influence for the local community and people in Tainan. When I was asked to name the most proud moment of my professional career I’ve said that 光洋’ project is one of my most proud moment of personal career achievement. This achievement lists even higher than my promotion to the VP of R&D at Seagate because the success of 光洋 has brought so much benefit to the people in my home country.

6. Working on diversity – When discussing with 光洋, we agree that diversity has a big advantage to compete in global market and holds the key of which company and country can successfully become global leading force. As compared to other countries, Taiwan lacks of diversity. We are a group people who have same types of strength and weakness. We are good at math, science but weak in art, and social science. We can solve difficult engineering problems but can’t motivate and lead people. We have high score in examinations but afraid of speaking in public and to express freely…..etc.

What have happened with lack of diversity in Taiwan? – we’ve best manufacturing companies with most disciplined and dedicated work force, like TSMC, Chi-Mai, AUO, Hoi Hai, ,…etc, but serve as working horses and can’t compete with innovation and R&D oriented enterprises, Apple, Google and the likes.

So, we need diversity and take advantage of different race, gender, age, religion…etc. In order to become best in class, we need learn to leverage and combine strength among differences into a strong, diverse workforce and community. The president of 宏碁, Gianfranco Lanci , who is Italian and works in a Taiwanese company, is a perfect example of the power of diversity and the reason of why 宏碁 is a successful global company.


I am always positive and believe that the best Taiwan is yet to come. After meeting with the team from 光洋, it strengthens my belief that Taiwan has people, capital, and resource to build the best country ever Now, we need the leaders in political and economic power circle who are making the law, policy and run the show, to act and to learn from this successful story.

And I believe that the successful story of 光洋 is not an exception and they are many same successful stories more out there. Let us sent this message to our local representative, officials of government and management of corporation, and demand them to work together and to act. Otherwise, we should ask them to be replaced and give the responsibility to those who can do the job.

Give your comments.
Thank you,