1、Wei, Chen-Si, the founder of Sun Yarn Textile Company Limited, was previously the chairman and general manager of Tah Lee Textile Company. In 1969, he invited Mr. Lin Xi-qin, who was then working as the business manager, and Mr. Chen Zai-lai, who was working as the manager for production of Tah Lee Textile Company Limited to set up San Yarn Textile Company Limited on 15th of March. Since spinning plant then was a newly-burgeoning business with most promising prospect and also the founder were elites from the textile trade, it is why that there were many good friends from northern, central, and southern Taiwan who would like to make investment on the plants. From Taipei, there were Mr. Lin, Jin-Tsai, Mr. Chen Ke-Zhang, and Mr. Wei, Yao-Si. As for central Taiwan, there were Mr. Xie, Xi-Jing, Mr. Hu, Jian-Mu, and Mr. Yan, Wen-lang, and there was also Shen, Jin-He from southern Taiwan. In total, there were 27 investors who took part as the initiators. At the initial stage of establishment, the input of capital was NT$20 million, and the textile company was approved of establishment on 9th “April of 1968 by the Ministry of Economic Affairs (MOEA). The first chairman was Mr. Wei, Cheng-Si, Mr. Shen Jian-He was the general manager, Mr. Lin, Xi-Qin the business manger, and Chen, Tsai-Lai as the manager for production. Besides, there were nine directors to the board as Wei, Chen-Si, Shen, Jian-He, Lin, Xi-Qin, Chen, Tsai-Lai, Wei Lan, Jin-Cheng, Lin, Jin-Tsai, Wei, Yao-Si, Xie, Xi-Jing, Wei, Lin-Zhen, with one supervisor as Mr. Hu, Jian-Mu acting to the board.
2. In August of 1971, Mr. Shen, Jin-He sold his stock-share, and his post as board director and general manager was released, while Mr. Wei, Zong-Hui fill his post as board director. Besides, one additional supervisor, Mr. Lin, Zeng-Guang, was added to the board. Then, the board of directors appointed Mr. Lin, Xi-Qin as the general manager and Huang Bo-chaun the manager.
3. With need of cash liquidity, capital increase of cash for NT$10 million was carried out in August 1972, with paid-in capital changed to NT$30 million. Capital increase of cash for another NT$10 million was once again carried out for the need to purchase addition machinery, with paid-in capital reaching NT$40 million.
4. In July of 1974, surplus of NT$18 million was transferred to capital increase, and the amount of capital has reached NT58 million.
5. In April of 1975, surplus and cash increase of NT$22 million was transferred to capital, and the amount of capital has reached NT80 million.
6. As of business needs, capital increase of cash for NT$16 million was carried out in May 1976, with amount of capital reaching NT$96 million.
7. In June of 1981, there was the re-election of board directors and supervisors, and Mr. Wei, Zong-Xian was made the new chairman. By the end of 1981, the company had acquired Shi Ho Textile Company Limited with its factory located at Xiu-shui Township of Changhua County.
8. On 8th of January of 1982, the board of directors agreed with capital increase of NT$50 million for the purchase of Shi Ho Textile Company Limited as well as to render its capital structure healthy and its operation smooth. The capital increase was carried out in two phases, with the first phase of NT$20 million and the second phase NT$30 million. The newly purchased Shi Ho Textile Company Limited was renamed as the No. 2 Xiu-shui plant of San Yarn Textile Company Limited.
9. In January of 1982, the amount of capital was increased to NT$116 million, and in September of 1982 the amount of capital was increased to NT$136 million (it was previously designed the capital increase was NT$30 million, with paid-in capital of NT$20 million.
10 On 16th June of 1982, director Chen, Cai-Lai sold his stock-share, and he was then released of his post as board director. Meanwhile, articles of company were revised, and the quota of board director was reduced from 9 to 8.
11 On 2nd February of 1983, director Wei Chang, Shu-Ching sold her stock-share, and she was then released of her post as board director. Then, Wei, Zong-Zhe was elected to fill up her post.
12 On 1st April of 1985, director Hu, Jian-Mu sold his stock-share, and he was then released of his post as board supervisor. Lady Wei Ling-zhen was elected to fill up his post.
13. On 28th March of 1986, the board had consented to install an additional manger, and the company appointed Mr. Wei, Zong-Xian to hold the concurrent post. On 14th July, the board has reached the resolution that it appointed supervisor Lin, Zeng-Guang worked as the representative for Taipei liaison office, while manager Wei, Zong-Xian was promoted to work as executive vice general manager and factory director. Besides, manger Huang, Bo-Chuan was promoted as vice general manger.
14. In June of 1988, the general assembly of stock-shares had consented that it would allocate NT$ 54,400,000 of surplus for re-investment so as to pay back long-term machinery loan. The amount of capital was increased to NT$190,400,000.
15. Starting from 1989, the company began to conduct diversified management, and in September the general assembly of stock-holders agreed that it would allocate NT$30 million to re-invest on Da- Yu Securities Company Limited, while vice general manager Huang Bo-chuan would work as the general manager of Da Yu Securities Company Limited. Besides, the articles of company were modified so that it has added additional items for company business: freezing warehouse, food processing, supermarket management, fashion and department store, management of tourism hotel, and investment and sales electronic equipment.
16. In 1991, 1994, 1997, and 2000, the board of directors and supervisors were to be re-elected, and all incumbent board directors and supervisors were re-elected.
17. In August of 2001, general manger Lin, Xi-Qin resigned as of his senior age, and the board meeting had unanimously consented to the resignation. In addition, the board also suggested to have vice general manager Wei, Zong-Xian to be promoted as the general manager and factory director.
18. In October of 2002, board director Lin, Xi-Qin passed away, and his son Lin, Zeng-Mao was elected as the new director of the board.
19. In July of 2003, the board of directors and supervisors were to be re-elected, and there was the change-over of generation as well as for the younger generation to take over. Cheng, Ke-Zhang resigned as of his senior aged, and his post was taken over by Mr. Huang, Bo-Chuang. Also, the company has, based on the requirement from share-holders, to comprehensively change the old stocks with the new ones.
20. In 2nd November of 2004, since the incumbent chairman Wei, Cheng-Si is rather senior in age, and he has, in order to bring in new blood, resigned from the post as chairman. Then with election results from the board, Wei, Zong-Xian had unanimously won the support of the board, and he was elected as the chairman and would also assume the post as general manager. As for founder and previous chairman, Wei, Cheng-Si, he was honored as the permanent CEO.
21. In June of 2006, the board of directors and supervisors were to be re-elected, and all incumbent board directors and supervisors were re-elected.
22. In June of 2009, the board of directors and supervisors were to be re-elected, and all incumbent board directors and supervisors were re-elected.
Status of peer trade and market share:
since the business sales regions of OE plants in Taiwan is found with relatively larger proportion, the greatest competition can be found in two categories: one is local yarn factory in mainland China, and the other is the yarn factory that are set up by other Asian countries in mainland China, such as Pakistan, India, Vietnam, Thailand, Malaysia, Indonesia, Russia, and the newly-burgeoning Ukraine. In view of local yarn factory of mainland China, since local raw material is considered relatively, thus though its processing cost is low and so as its labor cost of OE plants local yarn factory of Taiwan still possesses its advantage. On the other hand, since other exporting countries of Asia is found with poor delivery date and long sea-freight duration, and so yarn factory of Taiwan would still enjoy tremendous competitive edge unless there is significant gap of pricing.
Supply and demand of future market:
the demands of mainland China are still increasing, and we are working to expand the business from other areas, aside from retaining the local market of Taiwan and market of Hong Kong. We are making effort with plan to choose market products with high gross profit (such as acrylic yarn and rayon yarn), and clients with high gross profit (such as client of colored cloth market) so that market supply can be diversified and the production and sales sides can conduct optimized allocation and arrangement.
1. Increase product level, and develop colored-cloth market aside from conventional jean cloth. Price of yarn for colored cloth is relatively NT$300 higher than yarn for jean cloth, and it can increase about NT$36 million of production value for the company in a year.
2. Actively develop and choose product market with high gross profit so as to intensify gross profit rate of business for the company.
3. Lower faulty rate of product so as to reduce customer complaints, and lower extra loss of the company
4. Enhance production efficiency, for instance as OE machine, the lowest efficiency between each machine must, at least, reach 92%, and the average efficiency of the entire plant must reach 94%. As such, it can ensure pay-to-work cost for 1800/piece of single standard bale.
5. Realize the promotion of standardization, and focus on the function of each OE machine to formulate its highest efficiency to be achieved to enhance its standard efficiency so as to increase production amount, lower the cost of production unit, and comprehensively boots the competitiveness of the enterprise.
6. It is important to actively expand export market to China, and to focus on customers in mainland China because the population of China is huge. Since its level of living standard is increasing, its domestic market is quickly accelerating with its demand.
7. It is necessary to request government authorities to speed up the passage of trade pact as ECFA with China so that it can be deducted of 5% customs tax as it competes with Asian countries on equal footing in terms of trade and highlight the export competitive edge of Taiwan.
8. Strengthen the on-job training of staff, mainly with foreign labor works. It has, on 25th of May, begun to implement quality and quantity performance evaluation so as to enhance the quality of staff. Besides, it would, from time to time, work to promote its management belief so that it can thoroughly circulate within the enterprise top-down, helping to enhance the confidence and loyal of the staff to the company.
9. The company will actively cultivate future leadership executives for the company so as to set down foundation of sustainable management for the company.
|Eguipment||Quantity of Output(Year)|
|OE yarn||8,000 sets||180,000 bales(32,659,200 KGS)|
(unit: gross sales/person &year)