Episode 12: Test
Lee Chang-jin spoke softly to Kim Jung-oh, who seemed a bit sulky.
“Just trust me this once. If the products we supply are of lower quality than those from Yangdong Steel, we’ll stop without any hesitation. From what I know, Yangdong Steel has been quite tyrannical recently. Isn’t it a bit much to keep getting dragged around by the distributors? Wouldn’t it be wise to start looking for new alternatives now?”
At that time, the domestic precision machinery market was dominated by a company called Yangdong Steel. The Korean government, in an effort to protect the domestic machinery industry, had limited the import of bearings with an inner diameter of 70mm or less and gears used in specific products to a certain quantity.
Yangdong Steel, using its massive financial resources, monopolized the products produced by Daewoong Bearings, a leading domestic company, in a very cunning manner.
Yangdong Steel would secure its market monopoly by paying in advance and hoarding products in high demand, while deliberately letting the inventory pile up for products in low demand but essential.
Then, they would slash the already low prices by another 30% and take away the entire stock with a six-month promissory note.
That wasn’t all. They would then convert those notes into high-interest loans at a monthly rate of 7%.
As such practices repeated, Daewoong Bearings, once a leading precision machinery company, was reduced to a subcontracting factory scraping by on wages. They couldn’t compete financially and couldn’t withstand the collusion of distributors closely tied to Yangdong Steel.
Had the parent company Daewoong Chemicals intervened, it might have helped, but Daewoong Chemicals was too focused on establishing an oil refinery to pay attention to this side of the business.
“Ugh…”
Kim Jung-oh groaned at Lee Chang-jin’s words. Lee Chang-jin’s points had hit the mark. Since precision machinery parts produced elsewhere, except for Daewoong, were still of poor quality and not suitable for automotive products, Cheongwoo Motors had no choice but to reluctantly purchase the exorbitantly priced Daewoong parts.
Sensing Kim Jung-oh’s wavering, Lee Chang-jin gently persuaded him.
“As you know, Yangdong Steel is now even participating in bids for the steel materials needed for precision machinery delivery. If they monopolize even the steel materials, they will take excessive profits two or three times over. Once you become their prey, it’s really hard to escape. Please reconsider.”
After hesitating for a while, Kim Jung-oh, who had been silent, mumbled reluctantly as if he had made up his mind.
“Alright. I give up. I’ll give you the blueprints, so try making about 500 flat gears.”
But Lee Chang-jin wasn’t satisfied.
“Come on, are you joking? Flat gears? How can you give me something that doesn’t make any money? Just give me helical gears.”
“Helical gears? Are you kidding? Do you even know what those are?”
Flat gears, also known as spur gears, have teeth parallel to the axis and are commonly used in clock springs and washing machines.
On the other hand, helical gears have twisted teeth, making them relatively more complex. Helical gears, mainly used in heavy equipment transmissions, have smoother meshing teeth, resulting in less vibration and noise and a broader contact area to transmit more power. However, they are more difficult to manufacture and more expensive due to the need to cut the teeth in a spiral shape.
“Everything has its order. If you try to get full right away, you’re just a thug. What results do you have? This is already quite a concession.”
“Of course, I understand. But if we’re starting a business anyway, I need to make some profit. How much can I make from flat gears? I can’t just keep grinding manpower and running a wage business. That’s not why I started this business.”
“Man, you’re very greedy. Do you think I don’t know you’re trying to get the main gear, shaft, and pinion all at once? That’s not happening. If something goes wrong, will you take full responsibility?”
Although issuing this order was within Kim Jung-oh’s personal discretion, he would face a problem if things went wrong. They couldn’t ask the newly established company to compensate for the material cost if something went awry.
Moreover, if they provided raw materials and defects occurred, Cheongwoo Motors would bear all the losses. They couldn’t demand that a newly established company pay for that.
Lee Chang-jin responded challengingly.
“Then, how about a bet?”
“What do you mean, a bet?”
“Give me a sample, and I’ll replicate it exactly. If my product has no issues, you must place the order.”
Kim Jung-oh’s eyes narrowed instantly. Suddenly interested, he revealed his gold teeth and laughed.
“Ha, look at this cheeky guy. Are you sure you can make it?”
“Of course. But if I succeed, please promise to supply me regularly.”
“Alright. But if you fail, don’t come whining.”
“Deal.”
Kim Jung-oh called someone from outside the office.
“Hey, Manager Kim Young-il! Come here quickly.”
“Yes! Did you call for me?”
A man wearing a safety helmet ran in, panting.
“Go to the warehouse and bring a gear sample for this guy.”
“What type?”
“Don’t you remember? The gear we put in the warehouse a few days ago, intended for recycling.”
“Oh, that one? Got it.”
Shortly after, the employee who had gone outside came back carrying a heavy metal box.
Inside the box was a helical gear used in vehicles. It was quite heavy. Lee Chang-jin examined the gear carefully and asked Kim Jung-oh.
“Hey, this isn’t from Daewoong but Japanese-made?”
With a dismissive tone, Kim Jung-oh replied.
“Hmph, do you think I don’t know you? You’re trying to cheat by doing prior research. This is a product you can’t get in the market here. Don’t even think about buying it from somewhere else.”
It was quite an unreasonable demand. He was essentially asking them to create this from scratch without any blueprints. Moreover, it wasn’t brand new. The worn parts were smooth, and some teeth were missing. It was clear they had given him a used one on purpose.
“Hyung, do you really not want to give me work that much?”
“You clearly claimed you could do it. You should take responsibility for your words. Make it according to the Japanese JIS standards. You have one week. If you’re not confident, quit now.”
Lee Chang-jin felt even more determined.
Competing based on skill? He welcomed the challenge. Smiling faintly, he emphasized.
“Quit? Instead, if I make this properly, will you register us as a regular supplier?”
“Sure, you fool. It won’t just be gears; I’ll even order thrust bearings from you. Is that enough?”
“Of course.”
With the sample in hand, Lee Chang-jin leisurely walked out of the factory. Koo Chang-dong, who had been waiting for him, greeted him warmly.
“You came out sooner than I expected. Did everything go well?”
“Of course. Here’s our first order for today. Put this in the trunk.”
Surprised, Koo Chang-dong’s eyes widened.
“What is this?”
“It’s a sample. We need to make it and bring it back to get the order. Let’s go.”
“What about the manufacturing blueprint? Where’s the metal material? Don’t we need basic information to make it?”
Laughing lightly at Koo Chang-dong’s bewilderment, Lee Chang-jin replied.
“Haha. It’s not easy to make money off others, is it? If they had those, they would have made it themselves. Let’s go. We have a busy schedule. Get in the car.”
“Yes, sir!”
Next, Lee Chang-jin and his team headed to Guro.
After driving non-stop for about two hours from Incheon, they arrived at Garibong Hill.
Whirring sound
The whirring sound of sewing machines echoed from the industrial complex, and the thick white smoke from the factories covered the sky.
The clustered bee-hive villages nearby were famous as resting places for young female factory workers exploited under the guise of being the backbone of exports.
As they climbed the steep Garibong Hill, also known as “Steep Hill,” a bustling market street came into view. Passing by the savory smell of hotteok and the tteokbokki village, they arrived at the industrial complex where machinery companies were gathered.
On the first floor of the Guro Machinery Complex, a newly renovated sign for Cheolho Stainless Steel caught their eye.
A man sweeping in front of the new store saw Lee Chang-jin and waved.
“Uncle!”
“Oh! Chang-jin, you’re here?”
Kim Cheol-ho, who was sweeping, greeted him warmly. Having made a good profit selling fuel, Kim Cheol-ho had taken Lee Chang-jin’s advice and moved his store to Guro, believing it would prosper.
Looking around the store, Lee Chang-jin smiled.
“It’s shiny and new. Have you finished moving?”
“Of course, almost everything is sorted.”
“You’re quick. How’s the atmosphere here?”
“Better than I thought. Business is doing well. Orders are pouring in, probably because it’s more accessible than the previous location.”
“That’s good to hear.”
Lee Chang-jin had recommended the place and was worried it might not work out, but his concerns were unfounded.
Feeling a sense of relief, Kim Cheol-ho grinned.
“It’s all thanks to you. If it goes well, I’ll treat you. By the way, I see a new face? Is he a new hire?”
“Yes, he’s our company’s first new employee. Manager Koo, introduce yourself. This is Kim Cheol-ho, who runs an industrial company here.”
“Nice to meet you. I’m Koo Chang-dong.”
Koo Chang-dong’s loud voice echoed. Kim Cheol-ho waved his hand, laughing.
“Wow, what a powerful voice. You hired well. He looks like a hardworking guy. So, what brings you here? Need something?”
“Yes, we need some gear material.”
“Gear material? Let’s see.”
At Lee Chang-jin’s signal, Koo Chang-dong took the used gear out of the trunk.
Kim Cheol-ho examined the gear closely, took off his gloves, and felt the rough metal surface with his bare hands before nodding.
“Ah, this is low-carbon steel, S45C. It’s mainly used in jeep gear transmissions. It’s from Mitsubishi Heavy Industries. Where did you get this?”
“We received it from Cheongwoo for testing. What are the material specs?”
“Hmm, carbon density is about 0.3-0.4, tensile strength around 50-55? You’ll need to heat-treat it to make it.”
Intrigued by Kim Cheol-ho’s casual response, Koo Chang-dong stepped in.
“Excuse me, but how do you know that just by looking?”
“Ha, young man, you know nothing. I’ve been in the machinery business for 30 years. I was handling this stuff before you were born.”
Impressed, Koo Chang-dong. Lee Chang-jin chimed in, smiling.
“He’s so skilled in machinery that even engineers look up to him. Learn well. Uncle, can you get this material? We need it urgently.”
“Of course. I think we have one left. Hang on.”
After a short while, Kim Cheol-ho returned from the warehouse with a heavy piece of metal.
The long cylindrical item was yet to be processed, but it was clear that its material was the same as what Lee Chang-jin had brought.
“This is it. It took a while to find because of all the stuff. If you need more, it will take some time to order, but luckily, we had a spare.”
“How much is it, Uncle?”
When Lee Chang-jin took out his wallet, he stopped him.
“No need. You’ll need more later, right? Pay when the bulk order comes in. There are micrometers and vernier calipers in the warehouse, so measure the parts here.”
“Thank you so much, Uncle.”
To draft the gear, they needed to measure the necessary dimensions for making the gear material and note down the machining requirements. Koo Chang-dong’s eyes sparkled with enthusiasm.
“So, what should I do?”
“First, measure the dimensions accurately. Note down the module, pitch diameter, twist angle, and number of teeth. Then, we’ll compare the JIS standard and determine the specs for the pitch diameter and main gear.”
“Got it!”
AutoCAD would have made the job easier, but unfortunately, it was the 70s.
It seemed like they were working roughly, but Lee Chang-jin’s precise instructions for measuring the part dimensions with accurate equipment impressed Koo Chang-dong, who diligently took notes. Lee Chang-jin carefully compared the measurements with JIS standards and sketched before drafting.
Lee Chang-jin showed the draft to Koo Chang-dong, explaining kindly.
“Manager Koo, learn this well. Here, draw the addendum circle with a thick solid line, the pitch circle with a dot-dashed line. Draw the dedendum circle with a thin solid line, and use a thicker line for cross-sections perpendicular to the axis. Okay?”
“Yes, I’m listening.”
Koo Chang-dong focused, not wanting to miss a word. He had learned from bitter experience that no company would teach skills this kindly.
Lee Chang-jin first drew the bore diameter for the gear center, then sequentially drew the pitch circle and addendum circle diameters, calculating the tooth thickness according to the module value and arranging the teeth in a circular array. Although the sample was slightly worn, it posed no obstacle for Lee Chang-jin.
In less than three hours, the drafting was complete, leaving Koo Chang-dong with his mouth open.
Impressed by the flawless part blueprint, he gave a thumbs-up.
“Wow, boss. You draw blueprints like an artist. You’re incredibly skilled. Truly impressive.”
“Impressive? This is basic. Now, shall we start the manufacturing?”
With the drafting complete, Lee Chang-jin took the blueprint and material and headed to the Mapo factory.
- To be continued in Episode 13 -
