Precision perfect: Scott D Smith

It’s hardly a surprise to hear that new Beyonics’ CEO Scott D Smith is feeling buoyant about the future. The upstate New Yorker relocated to Singapore in July last year to head up the precision parts and electronics manufacturer Beyonics at an exciting time in its 34-year history. 

Fresh from a merger with Chosen Holdings, the company is pursuing a finely tuned growth strategy across the region, one which has a continuing commitment to accuracy at its core. The CEO Magazine sat down with Scott to talk about the appeal of vertical integration and the importance of delighting customers.

The CEO Magazine: Before Beyonics, you were CCO at supply chain and logistic services company ModusLink in the US. What attracted you to the role at Beyonics?

Scott: The big idea here is the vertical integration of our core competences: aluminium die casting, plastic injection moulding, precision metal stamping, and printed circuit board assembly. Vertical integration at this level has not occurred  in other parts of the industry. I think that’s what really attracted me to the role.

This is an opportunity to really bring a different value proposition to clients: by eliminating many of the costs associated with distribution and logistics, simplifying their supply chain, and offering a one-stop-shopping solution for anything from piece parts to the entire box build of any products in our primary business sectors: the automobile industry, the medical industry, the industrial industry, and the high-end consumer electronics industry. 

Does this vertically integrated business model signal a new direction for Beyonics?

Yes, it does. Last year, Beyonics merged with Chosen Holdings, a company whose strengths lie in the plastics space. This union has given Beyonics very deep plastic capabilities in addition to its existing moulding capabilities. So, in terms of our plastic injection moulding capabilities, we are now able to design, develop and implement our own moulds. This is an example of the vertical integration offered by the merger.

What new initiatives and strategies have you put in motion since becoming CEO?

On the managerial front, we’ve introduced a whole new leadership team. I’ve really emphasised the need for a diverse group of people who possess the skills and experience required to move us forward and drive this vertical integration strategy. 

We’ve also invested in 2 major building initiatives. One is here at our Singapore head office, where we’re erecting a new 21,368-square-metre facility that will combine our 4 Singapore factories – Chosen Holdings’ two and Beyonics’ two – into one.

Beyond Singapore, we have expanded our operations in Johor Bahru’s i-Park in Malaysia, adding another 12,000 square metres to our plastic injection moulding capabilities. We’re also erecting a new building for stamping on the same campus. By the time we finish in the third quarter of this year, our facility in Johor Bahru will be approaching 46,500 square metres. It will become a mega campus where we can proudly display all of our capabilities, including complete box build. 

Furthermore, in Changshu, in China’s Jiangsu province, we’re creating a mirror image of our Malaysia operations. What we’re working towards is 3 vertically integrated mega campuses: in Singapore, Malaysia, and China, along with 4 satellite facilities; in Kota Tinggi, Malaysia; in Wuxi and Dongguan, China; and Chonburi, Thailand, which has been built to replace our existing facility in Ayutthaya, Thailand. 

What benefits will Beyonics’ new headquarters in Singapore bring?

In summary: one-stop shopping. Our new headquarters will allow our clients to collaborate with a centralised engineering R&D team. Our manufacturing will be undertaken in a state-of-the-art facility that both employees and clients can be extremely happy and proud of. This will be a flagship location for us that really demonstrates the future of Beyonics. 

What do you think gives Beyonics its point of difference? 

First is the depth and breadth of our precision engineering background. When we engage with a particular client, whether it’s a new client or an existing client, we work in a collaborative nature. We sit down with their engineers and really look at the design, making sure the design is optimised for manufacturability. That negotiation, or collaboration, right up front is extremely important to us, because that’s when we can make the product more efficient and more effective. 

When we engage with a particular client, whether it’s a new client
or an existing client, we work in a collaborative nature.

Second is the discipline we have towards zero defect. Our focus is very much on making sure that we’re delighting our customers. If we march towards the horizon with the end customer always in our sights, we will do the right thing for our clients and we will grow our client base. We all know that satisfied customers buy more than unsatisfied customers. 

Customer score cards and quarterly business reviews are also crucial to ensure that we are in line with our clients, understanding how their needs are evolving. If we are to grow, we must evolve with them as their needs evolve. 

Over the next 12 to 18 months, what do you see as your key areas
of focus for the business?

Our goal is to double and even triple in size over the next 3 years. It’s an aggressive objective, but it’s one we’re heavily investing in. In addition, we’re investing in
our engineering base and additional operational capability in the form of automation and innovation, along with business development in the US, Europe, as well as across South East Asia. 

I think that there is going to be a tremendous amount of opportunity in our space, and it’s very exciting. With our strategy of vertical integration, we are very well poised for the future.