UDMTEK, CEO Wang GI-nam attended the smart factory construction briefing session attended by the President and presented CPS-related details.

Cho Yong-guk, chairman of Korence, an automobile parts company, attended the 2018 Korea Innovation Performance Report, attended by President Moon Jae-in at the R&D Center in Magok-dong, Gangseo-gu, Seoul

Chairman Cho Yong-guk also announced a case of building a smart factory in Korence that introduced CPS technology.

Korence Chairman Cho Yong-guk said at a briefing meeting that day, "Since building a smart factory, the cost has decreased on average by 4.5 billion won per year, and productivity has improved by 16%. CPS is a computer-based device that allows cyber systems and physical systems to interact, and is used in smart grids, autonomous vehicles, process control systems, and robot systems.

The CPS introduced by Corens was developed by UDMTEK, and it was installed in 2016 to build the first smart factory and completed the second upgrade this year. The company faced a big crisis as new orders fell in half after the German Volkswagen's exhaust gas manipulation incident broke out in September 2015. However, the crisis was overcome by building a smart factory with the introduction of VR CPS.

In fact, after the introduction of CPS, Korence's production defect rate decreased by 98.33% and the defect rate after delivery decreased by 95.83%. Productivity has risen and the defect rate has fallen. For this reason, the amount of new orders, which had fallen to 90 billion won in 2015, surged to 155.8 billion won last year and 309.6 billion won this year. Not only this. As the amount of new orders increased, the number of youth jobs increased from 143 to 204 and research jobs from 42 to 132, respectively. After the presentation of the case, Chairman Cho also conducted a demonstration event to compare and explain the virtual system, which is the CPS introduced by the company, and the actual factory.

Chairman Cho said, "We built a smart factory for the first time in a mid-sized company, and led corporate growth by improving productivity and increasing sales. In particular, we were able to create jobs and secure investment capacity." As the investment capacity is secured, Korence is pursuing to enter the hydrogen battery vehicle market by acquiring RTX through an M&A in January.

In this regard, Hong Jong-hak, Minister of SMEs and Ventures, referred to Korence's mergers and acquisitions to discover future foods. "It is an exemplary case in which a company with increased capacity for innovative growth has practiced open innovation through M&A." I hope that it will spread to companies and become the cornerstone of the'small and medium-sized business-centered economic structure'."

Meanwhile, Korens is located in the Eogok Industrial Complex in Yangsan, producing automobile exhaust gas reduction devices and supplying automobile parts to Hyundai Motor Company and BWM. In addition to Korence's smart factory, Udumji Farm's Smart Farm and Smart City Special Committee Chairman's Smart City case were also presented at the briefing meeting on this day.