The suspension forks division of HL CORP. was founded in May 1997, in Longhua town, Shenzhen, for the designing and manufacturing of the professional suspension forks. The main product was iron forks at the initial stage, and the first shipment was made in the September of 1997 to BALISTIC. In July 2000 the division was moved to Songgang town of Shenzhen for expansion and increase of production scale. After several years of development and research, the product range now covers not only iron forks, but also aluminum alloy forks and magnesium forks. The monthly production capacity reaches 600k. Now the suspension forks division possessed the professional capability of designing and manufacturing, and became an admirable partner for supplying the high quality product for the bicycle industry.
I. Marketing strategy
For marketing and sales development, we applied own brand “ZOOM” as the branding. At the initial stage, the exporting and overseas sales affairs were covered by Taiwan HL, US HL, and HL sales team (in Longhua, Shenzhen); the sales dept. of fork division was in charged of the export business of domestic bounded factories in China. Now, the administration principle of HL CORP is by each BU (business unit, fork div. is a BU of HL CORP.), so the sales activities, shipment arrangement, quotation, and after services are done by the sales dept. of fork division.
II. Marketing Positioning
In order to penetrate the market in the shortest time, the marketing policies of OEM and own branding were been executed simultaneously. The product range covers the entry level iron forks to high end aluminum and magnesium forks, the complete line will satisfy the demand and requirement of the clients all over the world. Our products were marketed in five continents and had built up the integral marketing and branding system.
III. Quality Assurance
The quality assurance is guaranteed, and our target is 100% customer satisfaction. In order to reach the goal, we set up a test and inspection laboratory in our Songgang factory. This lab is the only one in China area approved by Taiwan’s Cycling & Health Tech industry R&D Center (CHC), the esteemed R&D organization of the bicycle industry in Asia. The lab is able to execute the tests under regulations of RoHS, EN-71-3, REACH, ASTM-F963, and California Bill 65.
IV. Production Capacity and Techniques
Currently the production capacity reaches 600k pcs per month, which are 500k of iron forks and 100k of aluminum. The output of the division is 200 million CNY, and the number of employees is 1400. We implemented the SAP system for ERP management, and executed the TPS, Toyota Production System, and JIT, just in time process to achieve well-organized production.
V. Corporate Ethnics
We always believe that the standard equipment for future bikes is the comfortable suspension fork. HL CORP will enhance the technology and innovation, and the corporate economic scales to develop the best cost-competitive, comfortable and creational suspension front forks to meet the trend of healthy leisure in the new millennium.
Now the outsourcing rate of the fork division is under 10%, most of the parts and components are self-produced to get better control on schedule, cost, and compatibility. The major production equipments including forging, casting, CP line (chrome plating), AN line (aluminum anodize), coating, plastic injections, Robot welding, and CNC, etc. These extensive facilities offers the division with the best production quality and cost, to achieve the advantages of mass production and economic scales.