• Journal of Korea Technology Innovation Society
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• v.22 no.3
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• pp.382-415
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• 2019

This study analyzes the impact of exclusive subcontracting on the input, behavior, and output of innovation in manufacturing industries of Korea. Based on the analysis of pooled cross-sectional data of 6,029 small venture firms, this study proved that the exclusive subcontracting between small venture firms and large enterprises are lowering R&D investment of small venture firms. Second, the innovation activities of small venture firms including the ratio of R&D personnel and the scope of cooperation and partnership with external organizations were lower than those of small venture firms that have non-exclusive or no relations with large enterprises. Third, the innovation performance of small venture firms such as the number of patent applications, the ratio of sales by new products, and the cumulative sales growth rate was lower than those of small venture firms that have non-exclusive or no relations with large enterprises. This study verifies that the exclusive subcontracting relationships significantly weaken the innovation process and performance of small venture firms systematically, resulting in a kind of market failure in which small venture firms have almost no incentive to facilitate innovation.

• Korean Architects
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• s.603
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• pp.118-125
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• 2019

• KDI Journal of Economic Policy
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• v.13 no.2
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• pp.69-96
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• 1991

Economic circumstances of enterprise began to change after a series of democratization measures in 1987. Accompanied with it, competitive advantage of enterprise began to change as well. By that time Korean enterprises had a competitive advantage based on low wages of labor. Abrupt and steady upsurge in wage, however, weakened competitive advantage based on low wages, upward revaluation of won currency caused by surplus in BOP strengthened upward trend in price increase of export products. An urgent problem in Korea economy is, therefore, to find 'new' competitive advantage. For the time being preserving competitiveness based on cost advantage must inevitably remain our basic strategy in industrial policy. While cost advantage in the past referred to low wage level, this cost advantage must have foundation on the improvment in producing technology, which will increase labor productivity and decrease unit cost of products. Besides, other measure to improve competitiveness can be considered such as increasing the extent of production automation, self-development of new products, and spread and strengthening subcontracting system among various enterprises. In this paper we tried to perceive how subcontracting system as a form of intercompany division of labor operates and to which direction this system proceeds responding to the recent changes in economic circumstances. Speaking more concretly, we tried to perceive how large the gap of bargaining power between mother-company and subcontracting company is and how effectively subcontracting company's technical power contributes to mother-company. Facing up to weakeening of competitiveness, how stably is the partnership between mother-company and subcontracting company established and what measures are being prepared to retore the weakened competitiveness. In conclusion the result of investigation through the questionaire on subcontracting system is positive, from which we can infer the optimistic view of restoring Korean economy's competitiveness.

• Journal of Construction Engineering and Project Management
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• v.4 no.1
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• pp.37-44
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• 2014

Comparatively, the construction industry has, on average, a higher rate of fatal and major injuries, work induced ill-health and damage to properties than other industrial sectors; and this is a source of concern to industry stakeholders. The study showed that although subcontracting could be contributory to an increase in workplace accidents in the construction industry, contractual aspects of subcontracting arrangements (such as the power imbalance that exist along the client-customer interface) also present opportunities for improvements in health and safety management (HSM) practices in organisations. This conclusion was reached after an analysis of a questionnaire survey (with a 27% response rate) that assessed the attitudes and perception to health and safety issues.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.27 no.1
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• pp.64-73
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• 2004

This paper addresses a problem of machining determination of input quantity in a multi-stage flexible flow system with non-identical parallel machines considers a subcontracting, machining restraint, and machine yield. We develop a nonlinear programing with the objective of minimizing the sum of in-house processing cost and subcontracting cost. To solve this model, we introduce a single-processor parallel genetic algorithm(SPGA) to improve a weak point for the declined robustness of simple algorithm(SGA). The efficiency of the SPGA is examined in comparison with the SGA for the same problem. In of examination the SPGA is to provide the excellent solution than the solution of the SGA.

• Journal of the Korean Regional Science Association
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• v.9 no.1
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• pp.79-99
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• 1993

This paper identifies the mechanisms governing the industrial location changes in Korea by focusing upon the emergence of the country's large conglomerate business organizations (chaebols). As the country has distinctive industrial organization, production systems, and government-business relations, this study tries to develop an ideal conceptual framework for the analysis of industrial location changes in Korea. It perceives the Korean economy as a system within which 'space-organizing', lage business organizations interact over time with government, smaller firms and multinational corporations at different geographical scales. The usefulness of the model is assessed using a case study of Korea's most representative chaebol, the Samsung Group. This study identifies chaebols as the dominant institutions in Korean society. Their growth and business strategies have been influenced by the Korean Government through its power to allocate capital resources. Regional dynamics of industry and labor, therfore, have been strongly influenced by changes in the location, industrial structure, and production system of chaebols. With econmic power concentrated within a few giant business groups and their major areas of operation restricted, unbalanced regional development has resulted. Dissatisfaction from residents in less-developed areas has pressured the Government to advise chaebols to disperse their production facilities. Most small and medium-sized firms are closely linked to large corporations through subcontracting. By forming hierarchical subcontracting. By forming hierarchical subcontracting systems, chaebols have indirectly exploited scattered, part-time, home-based, female and lower-paid laborers organized by subcontractors. Further, chaebols have expanded their business arena to encompass overseas locations in a bid to overcome the problem of a small domestic market, trade regulations and increased market, trade regulations and increased labor costs. Through their international business networks Korea's local and regional economies are integrated into the world economy. Indeed, the identification of the changing relationships of chaebols with both the Korean Government and smaller firms is the key to explaining the nations's spatial dyanmics of industry and labor.

• Journal of Information Technology and Architecture
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• v.10 no.1
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• pp.33-45
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• 2013

This study investigated how the relationship between subcontracting affects the SMEs technology in order to strengthen the competitiveness of SMEs. Depending on the trading characteristics and structural characteristics, SMEs are separated into four types that dependent, peripheral-type cooperative, stand-alone. The impacts to technological competitiveness were measured, depending on the type of SME. The results show that SMEs technology competitiveness associated companies type are cooperation and stand-alone. We had confirmed that stand-alone type has high competitiveness through the technical support policy.

• Journal of the Korea Safety Management & Science
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• v.8 no.5
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• pp.243-251
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• 2006

This paper is to propose various quality and reliability sampling inspection methods to perform the competitive global outsourcing strategy while purchasing and subcontracting. The study also represents implementation strategy which can be efficiently and effectively used in the enterprise. Quality sampling inspection schemes extend reliability inspection techniques with a little change.

• Journal of Information Technology and Architecture
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• v.9 no.2
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• pp.199-207
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• 2012

This study analyzed how the subcontracting business relations and structures of cooperation affect the relationship skills (Outcome) that is divided into three steps. We analyzed integrated data every other year from 2005 to 2009. As a results, in the execution of technical cooperation trade relations have influenced the positive attributes, but recently their influence has been weakened. As for technical cooperation, the structure should alleviate the problem of the uneven performance of technical cooperation. We suggested that technical expertise and infrastructure make possible the culmination of the long-term technological competitiveness level.

• Journal of Construction Engineering and Project Management
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• v.10 no.1
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• pp.1-15
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• 2020

With the increased dependence on subcontracting in the construction industry, the operational relationship between main contractors and subcontractor plays an imperative role in successful project delivery. Consequently, improving this relationship increases the probability of project success and enhancing project performance. A wide range of research has confirmed that partnering improves the main contractor-subcontractor relationship. Though the positive impact of partnering on project performance is supported by a plethora of evidence, the guiding theory on practical partnering process steps is limited. The study aimed at improving subcontracting in the construction industry through a partnering process relevant to Zambia guided by factors obtained from industry expects. Questionnaire surveys and Semi-structured interview were adopted to investigate the perception of construction industry professionals and academics towards the main contractor-subcontractor relationship along with improvement factors. The findings showed that the relationship between main contractors and subcontractors on most projects in Zambia is unsatisfactory therefore justifying attention. Top factors that can enhance the main contractor-subcontractor relationship were identified. From the factors deduced and guidelines on partnering best practices, a project partnering model was developed.