IWG: Everything Is Just Right

Introduction

Kathleen M. Eisenhardt, Professor of Strategy and Organization at Stanford University, once said that seizing the moment and making fast decisions is the key to modern enterprise success. Opportunities are fleeting, and decisions stem from courage, strategy, and thorough preparation. With the right timing, the right place, and the right people, everything falls into place—just right.

On February 23rd, the IWG 2023 Annual Commendation and 2024 Annual Gala, themed "Explore the Subtle, Reflect on Ourselves," was grandly held in Guangzhou.

Nearly 200 representatives from IWG headquarters, domestic and international branches, and offices gathered together. The entire gala incorporated a "national trend" theme throughout, highlighting IWG's glory as a national brand in the adhesive industry.

The impassioned commendations, solemn pledges, and fluttering battle flags brought an immensely inspiring strength; the brilliant forums, insightful speeches, national-style costumes, and rich performances rose to one climax after another, captivating the audience.

IWG's corporate culture, employee spirit, and brand essence left a deep impression on the author. After nearly three decades of relentless effort, IWG's influence in the industry is growing day by day. Yet, with the market shifting unpredictably, how does IWG pierce through layers of fog to reach the other shore?

The management's in-depth sharing and speeches seem to provide an answer. IWG's decisive decisions and precise layouts over the years stem from management wisdom and consistently reflect its keen insight into the market.

Looking back now, it was all just right.

Keen Sense of Smell

Decisive PUR Decision

Eight years ago, when PUR edge banding technology was emerging like the first sprout of early spring, IWG's keen sense caught this burgeoning fragrance.

Leveraging its years of accumulation and reserves, IWG soon launched its forward-looking strategic new product, the first-generation PUR edge banding adhesive. Surrounded by international adhesive giants at the time, IWG's move was a huge risk. Moreover, few domestic customers dared or were willing to try this groundbreaking product, making promotion extremely difficult.

But from today's perspective, that decision at that very moment was just right.

Bold Innovation

Technology-Driven

Six years ago, to better accelerate the application of PUR edge banding adhesive within the industry, IWG launched a series of strategies. The most notable for the industry was providing related glue application equipment to customers for free, a move that even preceded some machinery manufacturers in the industry.

IWG's innovative initiative quickly received market feedback, with some forward-looking enterprises starting to trial PUR edge banding equipment and processes. Consequently, IWG became one of the early domestic enterprises to master the application data of PUR edge banding technology.

By continuously solving application problems and pain points, IWG developed its second-generation PUR edge banding adhesive, 60910. Its excellent "48-hour cleaning-free" feature quickly made it a market favorite. Although IWG has since launched more PUR series products for various applications, 60910 remains a star model, forever etched in the corporate history.

From the forward-looking decision eight years ago, to supporting product R&D and technical services, and then market capture, IWG's PUR development pace has been consistent—everything is just right.

Strategic Upgrade

Building a Smart Factory

In recent years, with the rapid intelligent development of the customized home furnishing industry, a large number of 4.0 super factories have emerged. Industry-leading enterprises are gradually moving towards collectivization, intelligence, and digitalization. Characteristics such as high-end production lines, process innovation, product customization, and material iteration are placing increasingly high demands on supply chain enterprises.

Five years ago, IWG began building a model factory for the adhesive industry—the Huangdao Smart Collaborative Factory, marking the beginning of IWG's new development strategy. In 2022, the Huangdao Smart Collaborative Factory was completed and put into operation. Simultaneously, IWG's industry-first "Supply Chain Smart Collaboration" was officially launched, attracting widespread industry attention and discussion.

Whether considering factory construction standards, single-unit production capacity, sci-tech R&D incubation, intelligence, or digitalization, the IWG Huangdao Smart Collaborative Factory serves as a crucial layout for the adhesive segment within the entire home furnishing industry chain.

Aligned with national industrial development policies and resonating with industry transformation and upgrading, the decision layout for IWG's Huangdao Smart Collaborative Factory closely follows the pulse of the times, and it was also just right.

4.0 PUR Originates from

Original Innovation and Insight

IWG has delved deeply into the adhesive industry for nearly thirty years, driven simply by an immense passion for the field. From the 1990s to today, IWG has witnessed the historical changes in China's home furnishing industry. In the adhesive sector, from importing foreign products to the budding of domestic brands, from a flourishing diversity to the rise of domestic products, IWG has traversed a path of hardship and overcome thorns.

However, while the heart can be passionate, the head must remain cool. As a representative brand in the industry, IWG always maintains a clear mind. "Precision, Dedication, Diligence, Humility" are the genes rooted in IWG's very blood. It is based on this that we can examine ourselves, understand the industry, recognize the situation, and make judgments.

In 2022-2023, after industry-leading enterprises successively implemented 4.0 high-speed production lines, bonding pain points surfaced. Existing PUR edge banding adhesives could not meet the demands of high-speed production line edge banding. Without matching adhesives, true high speed was unattainable—a significant issue concerning industry capacity upgrades.

As a strategic supplier for many leading enterprises, IWG had noticed this issue early on and quickly made decisions. The innovatively developed "Dedicated PUR Edge Banding Adhesive for 4.0 High-Speed Production Lines" garnered intense attention upon its launch in 2023.Thanks to the strong R&D and intelligent manufacturing capabilities of the Huangdao Smart Collaborative Factory, coupled with long-term deep cooperation with leading enterprises, the launch of the "Dedicated PUR Edge Banding Adhesive for 4.0 High-Speed Production Lines," like previous generations of PUR products, is a product of its era, always empowering the present and leading change.

Original innovation is IWG's foundation, while R&D rooted in customers' actual needs is IWG's innovation principle. Coupled with precise technical delivery, this is all just right.

The Wisdom of Management

The Accumulation of Culture

Famous American management scholars Joel Ross and Michael Kami once said that an enterprise without strategic goals is like a ship without a rudder, destined to circle in place, or like a homeless vagrant.

In 2023, IWG united as one, strived vigorously, and achieved remarkable results. Yet, in the face of this success, the helmsman, Mr. Zhu Jinshui, was more focused on the company's future development direction and strategic goals. "What hinders our progress is ourselves, not the era," said Zhu Jinshui in his corporate annual speech.

One cannot become complacent, and a company cannot be narcissistic. In the current harsh competitive environment, failing to deeply understand the changing needs of customers makes us prone to falling on our own. Therefore, we must stay vigilant, clearly see ourselves and this era at all times, and grow through difficulties.

"I firmly believe that as long as we steadfastly integrate into our customers, and continuously use our self-drive to create greater value for them, we maximize the value of our own lives. All our understanding must yield results in your work," Zhu Jinshui stated.

In the "Doctrine of the Mean" in the *Book of Rites, it is mentioned: "Explore the subtle and yet reach the vast, attain the highest brilliance and yet follow the mean." This provides wisdom for self-cultivation and social conduct, and also offers a crucial methodology for entrepreneurship. "Reaching the vast" pertains to strategy and goals—observing the general trend and planning the overall situation; "exploring the subtle" pertains to tactics and implementation—controlling details in specific work scientifically and precisely. Simultaneously, the *Mencius: Gongsun Chou I* mentions "reflect on ourselves," warning us to stay clear-headed, frequently reflect on our own faults, correct them, continuously summarize, and strive for perfection.

Striving to be our best is the prerequisite for creating value for our customers.

From this perspective, the conference theme "Explore the Subtle, Reflect on Ourselves" becomes particularly significant as a guiding spirit for the company's current development stage. It not only reflects the wisdom of the managers but also reveals IWG's collective code for continuous advancement.

All of this is fitting and comes at just the right time.

Renowned marketing strategist Jack Trout once stated that the fundamental essence of marketing is: create a new field where you can be "first." This is the law of leadership: it's better to be first than to be better. IWG consistently insists on creating value for customers through technological R&D and technical services, drives development through innovation, strengthens strategic categories to solidify its position, and continuously moves to new heights.

Surpassing not just in volume but achieving goals particularly in the strategic category of PUR.

Now, everything is just right.