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Hong Kong Gifts, Premiums and Stationery - Company Profiles

Vol 4, 2003




Company Profiles

All In The Family
Ten Gun Elastic Tape Mfr

All Gain, No Pain
Scorpion Precision Industry (HK) Co Ltd

All Gain, No Pain

Scorpion Precision Industry (HK) Co Ltd

Scorpion Precision Industry (HK) Co Ltd has developed into one of the largest providers of decorative metal products such as these coins, key rings and badges

When an eye-popping order for 18 million lapel pins was placed by the Mexican Red Cross in 1994, Georges Ouang, managing director Scorpion Precision Industry (HK) Co Ltd, didn't allow himself to be carried away.

"It took just 28 days from the time we received the order, had the samples confirmed, went into mass production and air freighted the finished product," he recalls. "That's the beauty of having the equipment to do 600,000 items a day."

That order greatly enhanced the company's reputation for producing all manner of items related to sports, such as team lapel pins, key chains, tie clips, trophies, cups, medals and coins.

From its beginnings in Taiwan in 1987, Scorpion has metamorphosed into one of Asia's major suppliers of these and other decorative metal products. "It's a very tough business," says Ouang at company headquarters in Lai Chi Kok. "In 1990, in this line there were 600 big and small businesses in Taiwan all broadly producing similar items. Now, there are none and the four or five survivors are all on the mainland."

Scorpion transferred to Shanghai in 1996, moved south to Guangdong Province in 1998, and then to a still bigger complex in Zhongshan (about 20 miles north of Macau) in 2000, taking along its hi-tech machinery and digitised centre for its workforce of 1,400.

Already, the company has outgrown those premises and will soon start building an even bigger complex on a 35,000-square-metre site in the same district - probably making Scorpion the biggest in the field.

How has Scorpion continued to prosper as it migrates from territory to territory and city to city? "It is service or, if you like, customer satisfaction," says Ouang.

"We believe that the prime goal is to satisfy a customer's needs, regardless of what it requires. We look at business from the perspective of a long-term relationship that we continue to build on over the years. Say a good customer wanted just 100 or so pieces of a particular item - or maybe just one - we'd still carry out the order, despite losing money on it, to help cement the long-term relationship so we'd profit in the future."

Ouang also stresses versatility and reliability as two of Scorpion's important strengths, along with competitive pricing and fast delivery. "We can take an order today, make the moulds, get approval, start full-scale production and have the order aboard an air freighter within 48 hours," he says.

Overall, production was up 15% last year and this year's figures are far more impressive - with output from January to July up a thumping 47%. When asked about the bumps on the road to success. "None!" says Ouang with finality. "True, we had a problem in the past that's with us today and that we'll have in the future, too ... it's simply that we must shave profit margins to the bone. But again, that's also part of our success formula."

A final plus is enjoying very strong staff support and enduring loyalty. "Of course," he smiles, "in that respect, it helps enormously that we are also a profit-sharing company."

WRITTEN BY GEOFFREY SOMERS

Scorpion Precision Industry (HK) Co Ltd

Unit E, 11/F, Hop Hing Ind Bldg,
704 Castle Peak Rd, Lai Chi Kok,
Kowloon, Hong Kong
Tel: 852-2581-3513
Fax: 852-2581-4199
Email: go@spihk.com
Web: www.scorpion.com.hk

 

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