The Famous Millionaire

Chapter 25

Translator: – – Editor: – –

The following day.

“Manager, I’ve a suggestion on cost reduction,” Hyunwoo said.

His face lit up when Hyunwoo said that.

Actually, Aurum was in a war with cost reduction now. Each team was obsessed with coming up with a cost-reduction idea, and there were a variety of ideas.

However, the purchasing team has had the best performance so far thanks to Hyunwoo’s unrivaled dedication. And now, he was putting forward another idea.

“What is it? Just tell me.”

“How about changing the current overseas supplier of raw material?”

“Where?”

“If we can find a firm with competitive technology in ASEAN countries, I think we can expect lots of benefits with a low price and customs duty.”

Hyunwoo made the suggestion confidently.

However, the manager seemed to think of a negative outcome when Hyunwoo mentioned ASEAN. He lowered his shoulders and said,

“I thought it was something fascinating. We can’t do that because of the high defective rate out there. Our company can go bankrupt with recalls while we’re obsessed with cost reduction.”

“Can’t we find a firm that has a low ratio of defects there?”

“Do you happen to know any such firm?”

“I hear there is a castor firm with very competitive technology. Who knows? If the defect ratio is much lower than expected, we could cut the production cost drastically.”

“Really? Where is it?”

“It’s located in Vietnam. I don’t know its name, though.”

The manager was calculating something in his heart. He was attracted to that idea because of the word ‘Vietnam.’ Vietnamese workers were famous for dexterity among other members of ASEAN. As Hyunwoo said, it was possible to get cheap and quality raw material there.

The problem was the cost. It was necessary to send someone to Vietnam on a business trip to get things done. If the business trip didn’t bring about a tangible result that could make up for the trip expenses, it could be the subject of gossip among the team members.

In fact, a similar thing happened two years ago. At that time, Aurum replaced some marginal parts with cheap import replacements for cost reduction. In that process, some members of the purchasing team were sent to China, Taiwan, and Indonesia on business trips. In the end, they found some firms producing cheap but quality parts in Taiwan, but their trip expenses were too much. For some time, those on the working trip were raked by the eyes of other team members and managers. If Hyunwoo was sent abroad on a business trip, there could be controversy among the other team members, who would say, ‘He’s enjoying an overseas trip at the company’s expense.’

The manager looked at Yonggu.

“What do you think, Mr. Kim?”

Kim said emphatically as if Hyunwoo’s idea wasn’t worth even thinking about,

“I think we had better stay away from this unless we’re 100% sure. As a matter of fact, our members are a common eyesore because they believe we’re just thinking about using the company for enjoyment.”

“You’re right. Hyunwoo, what do you think about the success rate? Are you confident you can go out on a business trip and find good, cheap parts?”

“I’m afraid I can’t answer unless I visit there first.”

Then, the manager shook his head, adding, “It costs too much to purchase parts from abroad. I can’t allow you to go on that business trip without indisputable information. Just get me more information. If I feel certain, let me give you do greenlight.”

Hyunwoo felt it was regrettable.

The company expense would be only two or three million at most. If his trip succeeds, Aurum could reduce the cost at least tens of million, or even 100 million won.

Hyunwoo felt it was worth trying.

Then, he suddenly thought of an idea.

Looking back at the manager, Hyunwoo asked,

“Can I go there at my own expense?”

“At your own expense?”

The manager’s eyes opened wide.

“In fact, I’ve never enjoyed an overseas trip. If you authorize my trip, I’d like to think it as my own personal trip and go to Vietnam.”

The manager gave his suggestion another serious thought, and he then stood up from his seat.

“Okay, let’s go to the president’s office together.”

The manager was full of confidence, much encouraged by Hyunwoo’s recent performance.

He mentioned Hyunwoo’s idea confidently before president Park Daebong.

After the manager was done briefing, Park looked at Hyunwoo and said,

“Do you want to check out the import supplier at your own expense?”

“Yes, sir. I just feel like using the company expense because of the low success rate isn’t good.”

It was something unexpected to Park. Hyunwoo was the first employee who wanted to go on a business trip at his or her own expense. Park had no reason to reject it. Rather, it was something commendable because it showed how motivated he was. If he had his way, Park wanted to fully support Hyunwoo’s trip financially. However, the outcome was more important than the employee’s motivation to the company. Park thought of serving two ends.

“Got it. Just go ahead. If you succeed, let me cover your trip expenses twice.”

“When are you leaving for Vietnam?” the manager asked.

When he asked, Hyunwoo answered prudently,

“Well, if I go there, I would like to find not only the castor production firm but also other parts firms. So, I would like to leave after I get more information first,” Hyunwoo said.

“Good idea. Just tell me when you’re ready.”

“Yes, sir.”

After leaving the office, Hyunwoo called Dukwoo. He wanted to call for Yu Nami, his girlfriend, but he didn’t because of her situation at the moment. However, Dukwoo didn’t care at all.

“I just finished my work. If you haven’t had dinner yet, shall we talk over dinner?”

“Is it okay with you?”

“Of course. I know a nice restaurant with cheap prices and a good atmosphere.”

A little later, Hyunwoo met Dukwoo at the restaurant. As Dukwoo said, it was a very quiet place.

Starting off with a topic about Yu Nami, Hyunwoo changed the topic to Vietnam at the appropriate timing.

In fact, Hyunwoo was just vague about it. Except that the part quality in terms of its price wasn’t good enough, he knew nothing about the Vietnamese firm in question.

Dukwoo didn’t know either, except that he had some ties with the president.

“Then, can I talk with the president over the phone?” Hyunwoo asked.

“Not a problem. I have his number now. I wonder if he will pick up.”

Dukwoo searched his contact list on the phone and pushed the call button.

The call got through without any difficulty. The president on the other end said he was still working because of the two-hour time difference between Korea and Vietnam.

“Are you busy now? Let me call you later then.”

“Well, not at all. My factory is almost sitting idle because of a drastic drop in demand. What’s up, by the way?”

“I think I can introduce you to a potential buyer. It’s called Aurum, and it produces furniture. They’re interested in your company. Wait a second. Let me connect you to the purchase manager of Aurum.”

Hyunwoo’s eyes popped out at Dukwoo’s introduction.

“Did you say purchase manager?”

Covering the phone with his hand, Dukwoo winked at him and said,

“This is the standard way to do it. Pick up the phone.”

“How are you? This is Jang Hyunwoo of Aurum, sir.”

“Oh, how are you? Nice to talk to you. My name is Na Sungji.”

Na’s tone was very humble, which suggested he was very desperate.

Hyunwoo felt sort of burdened without any reason. If he had Na expect too much but the contract fell through, Na would be very disappointed. And Dukwoo, who got them connected, would feel the same. Still, it was something anyone involved in business had to accept.

Hyunwoo took up the main topic immediately.

“Our company is importing castors from Taiwan right now. As you know, what’s more important than the price is the defective ratio. Can you make the defective ratio lower than that of Taiwanese parts?”

Na let out a sigh when Hyunwoo asked. That sigh of relief was clear enough for him to guess Na’s reply.

“To be honest with you, that’s impossible.”

“You can increase the unit price a bit because the quality would still be better than the Taiwanese parts.”

“Unit price isn’t the issue. The thing is we don’t have the skilled men.”

Hyunwoo couldn’t understand it. According to Dukwoo, Na was a recognized craftsman even in Korea. Then, no craftsman?”

Na explained the reason.

“There are many parts when producing castors. When each part is perfect, you can get the product quality that you really want...”

Na explained in detail this time. In short, he said he could make the wheel itself, but he had no skill in making the accessories supporting the wheel.

It was kind of disappointing to Hyunwoo. After all, it was a matter of who took the risk first. Mr Na would seek to obtain a guarantee from Aurum about the quota of purchase first, while Aurum would ask for a guarantee on the parts’ quality first. Hyunwoo felt he had to check the quality of the parts by visiting his firm in Vietnam.

“Let me stop by your firm soon on my working trip to Vietnam. By the way, I have one favor to ask of you.”

“What is it? Just tell me anything.”

“Our company imports not only castors but also other parts. I would like to find out other suppliers there, so can you introduce me to them?”

“Well, we have a coalition of Korean businessmen in Vietnam. There are many businessmen there, of course. If you give me the specific names of the parts, let me check them out. If you don’t mind, please email me.”

“Got it.”

After the call, Hyunwoo headed to the office, not his house, and sorted out the direct import parts on his computer to email Mr. Nah. There were six parts including castors, neck supporters, and levers.

It was one week later that he got a reply from Na.

His reply was very positive: All the parts Aurum imported were now available among the firms run by Korean businessmen in Vietnam. Na added that if the owners of the companies were Korean, he could reasonably rely on the quality of the parts.

However, Hyunwoo trusted only 10% of his reply because Na was so desperate. What occupied Na’s thinking at the moment was to see Hyunwoo as soon as possible.

Hyunwoo had no intention of dragging his feet on this. Na’s company could go bankrupt at anytime.

As soon as he reported to work the next morning, he submitted a business trip report.

The manager took it to the president’s office and came back within five minutes.

Full of expectation, he looked at Hyunwoo and said,

“Hope you can pull it off 100%!”