07 May 2018
EVE starts to obtain “sweet fruit” from great efforts of innovation
After a long journey of 25 years development from incorporation, it is the first time Everpia JSC performing a super innovation deeply and strongly. Innovation is certainly a challenge, but it cannot stop EVE from facing and breaking over to originate a new development energy.
The efforts to innovate production from the highest level of Management to single employee in a professional and modern manner have initially brought positive results for EVE. This has been well reflected in the blooming of revenue and profit in 1st quarter 2018.
Innovation to create new development momentum
Since the end of 2017, EVE had planned to invite a group of Korean consultants to guide and advise on factory innovation. With over 40 years of experience in production management and relevant consultancy in many countries worldwide, the experts have not only provided precise and practical advice, but also inspired the mindset of constantly improving and drastic action for the Company’s Management as well as entire staff. Particularly, the innovation was carried out comprehensively step by step, from root to tip, through three main groups of activities as follows:
The first is to change the perception and thinking of employees. This transformation needs to be carried out regularly, continuously and persistently until it becomes a habit and even corporate culture in a higher level. Therefore, under the guidance of consultants, EVE’s management has recapped “10 basic spirits of innovation” and “4 slogans on rationalization” that have been repeated daily by the whole employees. With the concise, visual and easily understandable content, these slogans have well encouraged the innovation spirit at anytime, anywhere, and thus this spirit is forming a strong wave throughout the Company. Instead of simply following routine, EVE’s staff has been proactively thinking and proposing more reasonable working method, hence help creating further enthusiasm and spreading innovative spirit.
The second is to change the working method. In which, EVE focuses on 2 main solutions:
The third is diverging and handling of inventory. In order to increase space for daily production, the slow-moving goods after a certain period of time will be moved to a special warehouse, to concentrate in production and optimize productivity. This special warehouse will be visited each 02 weeks by the relevant departments, and the solutions to utilize, such as: designing new patterns or new products from these old fabrics, or promoting special clearance sales, will be discussed and implemented.
The above synchronized innovation is not only acted by staff, but also joined and closely followed by the entire Management from the highest level. The Company has hired a specialist to be the production manager to directly manage the innovation. Every week, one member of Board of Management, including General Director, will patrol the whole factory and oversee the innovation progress, as well as give feedback and encourage staff during the transformation.
“Sweet fruit” of the early season.
These constant efforts have initially shown clear effectiveness through the sharp growth in both revenue and profit of Q1 2018 over last year period. In particular, the sales increased by 56%, reached over 235 billion with the contribution from all 03 business segments: bedding, padding and cleaner. This breakthrough thanks to: (i) effect from bedding marketing activities in 2017 and favorable weather; (ii) good recovery of padding business with the number of orders growing by 20% and appearance of many new customers; (iii) cleaner business has been into the orbit of profitability after EVE receiving entire production lines from Texpia JSC.
The special growth in sales has pushed profit after tax of Q1/2018 strongly increased by upto 127% over last period, equivalent to approximately 20.4 billion.
These considerable improvement in business performance is majorly contributed by the innovation effort. As production innovation will be further implemented in depth, this will be one out of the key momentums for the strong breakthrough of EVE not only in the year 2018 but also long coming period.
The efforts to innovate production from the highest level of Management to single employee in a professional and modern manner have initially brought positive results for EVE. This has been well reflected in the blooming of revenue and profit in 1st quarter 2018.
Innovation to create new development momentum
Since the end of 2017, EVE had planned to invite a group of Korean consultants to guide and advise on factory innovation. With over 40 years of experience in production management and relevant consultancy in many countries worldwide, the experts have not only provided precise and practical advice, but also inspired the mindset of constantly improving and drastic action for the Company’s Management as well as entire staff. Particularly, the innovation was carried out comprehensively step by step, from root to tip, through three main groups of activities as follows:
The first is to change the perception and thinking of employees. This transformation needs to be carried out regularly, continuously and persistently until it becomes a habit and even corporate culture in a higher level. Therefore, under the guidance of consultants, EVE’s management has recapped “10 basic spirits of innovation” and “4 slogans on rationalization” that have been repeated daily by the whole employees. With the concise, visual and easily understandable content, these slogans have well encouraged the innovation spirit at anytime, anywhere, and thus this spirit is forming a strong wave throughout the Company. Instead of simply following routine, EVE’s staff has been proactively thinking and proposing more reasonable working method, hence help creating further enthusiasm and spreading innovative spirit.
The second is to change the working method. In which, EVE focuses on 2 main solutions:
- Clean and clear working environment, specifically: goods are classified by circulation speed, labelled and stored in separate area logically to facilitate the take in – take out process. 5S activities are conducted in a daily basis instead of weekly as before.
- Rearrange the machinery and production line in a scientific way: accordingly, the spring mattress production line has been moved to Hung Yen factory to supply a full set of bedding items from 01 manufacturing site. The quilting line has also been reorganized for continuous production, reducing the transition time from production to quality control process. In addition, the Company has equipped tables at the stages of taking out finished-goods, or cutting at sewing workshop for the best working posture, then increasing productivity and protect employees’ health.
The third is diverging and handling of inventory. In order to increase space for daily production, the slow-moving goods after a certain period of time will be moved to a special warehouse, to concentrate in production and optimize productivity. This special warehouse will be visited each 02 weeks by the relevant departments, and the solutions to utilize, such as: designing new patterns or new products from these old fabrics, or promoting special clearance sales, will be discussed and implemented.
The above synchronized innovation is not only acted by staff, but also joined and closely followed by the entire Management from the highest level. The Company has hired a specialist to be the production manager to directly manage the innovation. Every week, one member of Board of Management, including General Director, will patrol the whole factory and oversee the innovation progress, as well as give feedback and encourage staff during the transformation.
“Sweet fruit” of the early season.
These constant efforts have initially shown clear effectiveness through the sharp growth in both revenue and profit of Q1 2018 over last year period. In particular, the sales increased by 56%, reached over 235 billion with the contribution from all 03 business segments: bedding, padding and cleaner. This breakthrough thanks to: (i) effect from bedding marketing activities in 2017 and favorable weather; (ii) good recovery of padding business with the number of orders growing by 20% and appearance of many new customers; (iii) cleaner business has been into the orbit of profitability after EVE receiving entire production lines from Texpia JSC.
The special growth in sales has pushed profit after tax of Q1/2018 strongly increased by upto 127% over last period, equivalent to approximately 20.4 billion.
These considerable improvement in business performance is majorly contributed by the innovation effort. As production innovation will be further implemented in depth, this will be one out of the key momentums for the strong breakthrough of EVE not only in the year 2018 but also long coming period.