HUSHAN Autoparts Expands into Car Accessories Market-Leveraging ERP, SCM, and MPS for Grater Operation Efficiency
yoyo
October 30, 2023, Taipei – HUSHAN Autoparts Inc., a leader in the car handle aftermarket, will be present at the booth J10146 at the AAPEX in Las Vegas from October 31 to November 2, 2023. YC Chen and Shawn Guo, HUSHAN’s CEO and account manager, will be attending this event to showcase HUSHAN's flagship products.
This is the first time HUSHAN presents their fastener packages in the U.S. market. Consumers can buy components of a car part tailored to their car models in one go. All the components are made with new materials and tested to ensure the durability.
In recent years, HUSHAN has focused on developing cameras. Their cameras have ON semiconductor image sensors to provide exceptional visual equality and incorporate ultrasonic sensors to help drivers stay safe even when their visual sight is limited. The production process employs highly precise six-axis optical autofocus equipment, ensuring accuracy within 0.01mm. Some of HUSHAN’s cameras are set to debut in new U.S. vehicle models in 2024.
Regarding car door handles and components, HUSHAN continues to enhance durability. For Ford’s Super Duty, HUSHAN's metal door handles and tailgate handles provide a more durable alternative for consumers. With increased number of locking points, HUSHAN's new truck door hinges are less likely to experience excessive pressure in one specific area.
Three factors drove HUSHAN to digitalize its operation processes. With increasing customer demand for a wider variety of products in smaller quantities, HUSHAN now has more than ten thousand minimum stock-keeping units (SKU.) Proper SKU management and optimization are essential for HUSHAN to stay competitive.Second, HUSHAN lowered the minimum order quantity (MOQ) to increase sales, which required HUSHAN to handle its procurement more effectively. Thirdly, price competition from neighboring countries like China and India drives HUSHAN to be more cost efficient.
To address these operation challenges, HUSHAN first utilized the built-in standardization processes of their ERP to streamline its operations, including inventory management, shipping notifications, order creation. HUSHAN also adopted SCM to speed up procurement process. Take fastener as an example, HUSHAN now tracks their orders to nearly 20 suppliers with the SCM, making it easier to manage more than 3000 fastener items.
HUSHAN introduced production scheduling systems (MPS) and automated factory operation to enhance cost competitiveness. Using the most recent order, sales, and procurement data, HUSHAN's Master Production Schedule (MPS) predicts safety stock levels and procurement amounts on a daily basis.
The MPS system helps evaluate whether purchases or negotiations with suppliers are necessary, reducing production and inventory costs. The MPS system offers the latest information on inventory levels and order fulfillment rates. Now the company can make procurement decisions with greater precision and make it faster for sales representatives to update customers on their orders.
Over the past three years, HUSHAN has increased its operational efficiency by approximately 10-15%, resulting in shortened lead time and greater customer satisfaction. HUSHAN is adopting a Product Lifecycle Management (PLM), which will digitize its product development process and reduce go-to-market time.
HUSHAN is now preparing to offer its products on Shopify. This allows customers to access real-time inventory, confirm order quantities and shipping costs, and place orders online, enhancing their overall purchasing experience with HUSHAN.
About HUSHAN:
HUSHAN Autoparts Inc., established in 1972 in Taiwan, is a leading manufacturer of car door handles for the aftermarket. The company sales approximately ten million car handles annually to over 100 countries and serves over 500 customers, accounting for more than 50% of the car handle aftermarket. Its major products include car handles, sensors, fasteners, and other automotive parts.
