Episode 116: Hanse Beer
「Iranian Anti-Government Protests Intensify, Police Station Attacked」
「Emergency at Korean Embassy in Iran, Emergency Meeting Called」
Early dawn near Chuseok, Guro Industrial Complex, Seoul.
Quality control officers dispatched from Daese Industries were arguing with the technicians lined up in a row.
“The quality is inconsistent, leading to a high defect rate. Sir, this won’t do. Didn’t I tell you several times to improve the seams?”
“To the naked eye, there’s no difference. What’s the problem?”
“Look at this. As you can see, this seam is only 9mm, while this one is 11mm. We clearly instructed it to be 10mm. Please redo it properly.”
The worker, with an incredulous expression, made an excuse.
“Huh, I’ve been doing this job for over 10 years and never had a single return. I’m an expert in this field. Why should I redo something just for a 1-2mm difference? It’s human error, can’t you let that slide?”
However, the quality control officer remained firm.
“There’s a flaw in your argument. The discrepancy is because you rely on visual estimation rather than using a ruler. Even a 1mm difference per seam can result in an overall discrepancy of more than 1cm. This must be corrected.”
While Daese Textiles, which built its business on precision machinery, considered a 0.1mm error significant, most in the textile industry were less sensitive to such details.
In fact, even suits made with the latest computer cutting often had different sizes. However, the workers on the production line, who only handled parts of the process, saw these issues as minor errors and did not understand the significance of small differences.
Despite ongoing checks to ensure adherence to the manual, ingrained habits were hard to change. After completing the inspection, Koo Chang-dong grumbled.
“They could just follow the manual. It’s pathetic that these so-called experts are like this.”
“Even if we coach them on every detail, it can’t be helped. We have to gradually change these bad habits to improve quality. No matter how advanced our equipment, the know-how of the production technique is key.”
To secure long-term export competitiveness, they had to stick to the basics.
It was Lee Chang-jin’s belief that they needed to clear out the old bad practices and start anew.
“Dispatch the inspection team to keep checking, and look into acquiring any clothing companies. Also, explore potential technology partnerships with Italian companies.”
“Understood.”
“By the way, how is the molybdenum supplier situation?”
“Ah, Advisor Hong In-young is currently in practical negotiations with Germany’s Arbed. We expect good results soon.”
The supplier Lee Chang-jin secured was Arbed, a famous steel company in Luxembourg. Arbed, a major player in the international steel market and a member of Club Zurich, was established in 1911 with capital from France, Belgium, Luxembourg, and Germany, making it the largest steel company in Western Europe. In return for creating a precise sculpture, Chairman Yoo Jin-tae mediated the deal.
“Now is the timing. While U.S. export regulations continue, we need to maximize production. Add more TBM equipment to the mines and recruit more personnel. Ah, Manager Yoon Jung-pil, how are the forklifts?”
“Excellent. The demand for transporters and forklifts used in blocks increased by 127% compared to the previous quarter.”
Following Cheongwoo Group’s victory in the international arbitration dispute with Ribanis, they accelerated their entry into the shipping industry. This spurred major corporations like Ohsung and Taeyang to jump into the shipbuilding industry, causing a surge in orders for cranes and forklifts, benefiting Daese Industries indirectly. Satisfied with the performance, Lee Chang-jin nodded.
“Good job. How about exports to the Middle East?”
“We’ve been exploring several opportunities through Bayezad. It seems we’ve opened the door, but in small amounts. European heavy equipment firms like Brown & Root still have a stronghold.”
“We don’t need to aim for big profits from the first deal. Keep trying. If we offer to provide pallets as well, they might show interest. We have to compete on cost-effectiveness.”
As he was about to leave after finishing his work, he saw a familiar face.
“Mr. Lee, you’re diligent as always. Still working late?”
“No, Mr. Lee, what brings you here?”
It was the president of Hanseong Textiles, whom Lee Chang-jin had helped with a spinning machine issue. After mediating natural dye imports for textile companies, Lee Man-soo and Lee Chang-jin had become quite close, calling each other hyung and dongsaeng.
“I thought I might see you, so I dropped by. Are you free now?”
“Yes, I’m mostly done with my work.”
“How about a drink? Don’t just work all the time. It’s the weekend. It’s good to relax once in a while.”
Checking his watch, he still had some time. Lee Man-soo led him to a famous bar near Seodaemun-gu. In a noisy corner of the beer house, several textile company presidents were gathered.
“There are many people from the textile industry here. What’s the occasion?”
“I heard you’re keeping things strict in the industry these days, so I thought we could change the atmosphere. Come, have a seat.”
As Lee Chang-jin sat down, peanuts, squid, and freshly fried sweet and sour pork were served as snacks.
Cold bottles of beer were delivered in a box. President Lee Man-soo raised his glass high.
“Hey, we need some good vibes before the New Year. Let’s all toast.”
“Cheers!!”
They downed their drinks. It wasn’t the soft taste of foam but a rich malt flavor.
People who emptied their glasses in one go started chewing on squid legs and chatting.
“Wow, this beer tastes good. What kind is it? It has a bitter taste.”
“This is different from what I usually drink.”
“You guys don’t know how to drink. Don’t you know this beer? It’s Izen Beer.”
“Oh, this is Izen Beer? It’s my first time.”
President Lee Man-soo answered in frustration.
“Hey, country bumpkins, you’ve wasted your lives. President Lee, what do you think?”
“It definitely tastes different. The aroma is good too. Is this malt? The rich flavor is just to my taste.”
“I knew you’d appreciate it. It’s beer brewed only with pure malt.”
It was refreshing and crisp, without any heaviness. It felt like it washed away the grease in your throat instantly.
The taste made him crave more snacks.
‘It would have been perfect with a piece of chicken here.’
The nearby textile businessmen, being drink lovers, were enjoying the beer.
Watching them with a satisfied look, Lee Man-soo clapped his hands to gather attention.
“Everyone, I have a confession to make. I’m actually the owner of this beer house.”
“What? Mr. Lee, you own this place? A textile company president owning a beer house?”
“Well, it just happened. Actually, I own three more places like this.”
“Really? That’s quite serious for a side business.”
“The thing is, the original owner of this place was in the textile industry. I knew him personally, and when Hanse was going bankrupt, I took over to help him out.”
It seemed he had called them to boast.
“But this beer, isn’t it out of production now?”
“Yeah, I heard the company went bankrupt.”
“That’s right. Izen Beer is currently hard to find. The brewery went bankrupt, so I bought up all the remaining stock.”
“It’s a shame that a company making such good beer went bankrupt. Have you found a buyer yet?”
“Well, they’re in negotiations, but it’s not easy. Originally, Goryeo Beer was supposed to take over, but there’s a debt of 2.2 billion won. Someone will eventually buy it, but it will take time. Meanwhile, the beer is good.”
Izen Beer, a British-style beer that debuted like a comet in Korea in 1975, captured 15% of the domestic beer market in just three months, making other companies nervous.
The rapid growth of this beer, which caused a shortage in the market, was halted by the owner’s fraudulent activities.
After it was revealed that the owner had fraudulently borrowed over 2.2 billion won from various financial institutions, the Korea Exchange suspended the company’s stock trading.
Subsequently, the president and executives were arrested, and the company was drifting without a buyer.
“It’s a pity that such a good beer is going out of stock.”
Maybe it was because he enjoyed the beer after a long time, but Lee Chang-jin cheerfully finished two or three bottles.
“I’ll take my leave now. I’ll cover the tab.”
“Already? We’re just getting started. Where are you going?”
“I have to go to work early tomorrow. Enjoy yourselves. I’ll be off.”
The next day, an unexpected message awaited Lee Chang-jin at his company.
“President, we received a call from the Ministry of Commerce.”
“What business does the Ministry of Commerce have with us?”
“High-ranking officials from the Ministry of Commerce and Energy, along with bank executives, are scheduled to visit our company. They say it’s to encourage promising small and medium-sized enterprises.”
“Encouragement?”
Lee Chang-jin tilted his head. Encouragement? What’s this about? Government officials wouldn’t visit a factory just because they were free. There had to be another reason.
Manager Koo Chang-dong, standing next to him, asked worriedly.
“Could it be that Taeyang Group is pulling strings behind the scenes like last time with Mido?”
“It’s premature to jump to conclusions. If that were the case, they would visit unannounced, not make an appointment. Let’s prepare to welcome our guests. Manager Yeo, make sure the meeting and refreshments are well-prepared. Manager Lee, prepare a brief tour presentation.”
“Yes, sir.”
“Understood.”
The next day, at the appointed time, officials from the Ministry of Commerce, the Ministry of Energy, and the main branch of the Industrial Bank of Korea visited Lee Chang-jin. The leader of the group was a man in his mid to late 40s with thick glasses.
“Hello, President Lee. You’re younger than I expected.”
Lee Chang-jin responded with a smile to the compliment meant to be pleasant.
“Welcome. It’s an honor to have you here. I’m Lee Chang-jin of Daese Industries.”
“Nice to meet you. I’m Director Choi Dong-yoon from the Ministry of Energy. This is Manager Lee Jae-guk from the Ministry of Commerce and Executive Director Oh Tae-sik from the Industrial Bank.”
After the two men briefly introduced themselves, Director Choi continued.
“But is it true that this company is less than five years old? It must have cost a lot to build such automated facilities. And the landscaping is impressive. You have an eye for aesthetics.”
It seemed he was impressed by the landscaping trees transplanted from the Blue House. Lee Chang-jin smiled faintly at the compliment.
“Thank you for saying so.”
“I hope to hear more about your success story in detail in the future.”
As they conversed and arrived at the conference room, Director Choi handed over some documents prepared by the government.
“Before we get into serious discussions, please take a look at this.”
As Lee Chang-jin read the documents, he finally understood why the government and bank officials had come. The document titled ‘Plan for Reviving Insolvent Companies’ stated that they hoped Daese Industries would acquire Hanse Beer and its parent company, Yeongi Materials, which were on the verge of bankruptcy.
- To be continued in Episode 117 -
