Hong Seng Group carries 14 different Chinese commercial vehicle brands under its umbrella, ranging from pick-ups, light trucks, mining trucks to prime movers. This allows the company to provide a full range of products that meets the various demands from different industries.
Hong Seng Eyes Market Leadership in Commercial Vehicle
Hong Seng Group (HSG), the leader in automotive and remanufacturing in Malaysia, grew tremendously over the years.
“We have come a long way. My father started the business as a workshop in 1965. For the past 53 years we had been diversifying and expanding into different sectors,” Managing Director Dato Teoh Hai Hin said.
Today, the Group is divided into 4 business divisions. The automotive machinery division that handles China trucks and rebuilt trucks as well as construction machinery; the marine engine division that supplies remanufactured Cummins diesel engines and irrigation pumps, generator sets, rental of generator sets and forklifts; and the asset management division that takes care of all HSG’s property and buildings that are wholly owned by the Group. The fourth unit is the development division that deals with the property sector.
Over the years, the company had a proven track record in rebuilding, spanning 45 years of engineering expertise. Once at HSG, the vehicles that are imported from Japan and Europe are dismantled down to their components. Each component is refurbished or replaced where needed. Wear-and-tear components are automatically replaced with new ones. The components, sub-systems and systems are then re-assembled. Every vehicle was rebuilt to factory specifications, he said, often exceeding industry benchmarks. Stringent testing conducted at every stage ensures that the vehicle would deliver optimum performance every time it is on the road.
China truck receives good market response
For the new Chinese trucks business, the Group carries 14 different commercial vehicle brands under its umbrella, ranging from pick-ups, light trucks, mining trucks to prime movers. This allows the company to provide a full range of products that meets the various demands from different industries.
Regarding the recently launched LGMG mining trucks, he said the sales were very encouraging. This year the company expected a sales target of 1000 units for the entire range of China trucks.
“To support our customers, HSG currently has 17 3S service centres nationwide and plans to increase this to 25 and the 17 units of mobile workshops operating 24 hours to 20. We are in the midst of identifying and finalising a few locations to be set up as service centres.”
He revealed that the Group was employing more workers to run these 3S service centres. Teoh also expressed concerns that it was difficult to engage reliable and skilled workers and believed a solution is in providing a solid groundwork and support the company’s customers. “To overcome this, we have set up our workshop training centre to train more mechanics,” he said.
More 3S service centres and warehouse support centres in plan
Besides opening 3S service centres, Teoh opined that spare-parts warehouse support centres were equally important. This was to ensure that customers who purchased China trucks did not have to wait too long for the delivery of spare-parts and with this, the customers would be more confident in buying more China trucks. Teoh mentioned that currently HSG had six spare-parts warehouses; one each in Penang, Klang, Johor Bahru, Kuantan, Kuching and Kota Kinabalu.
The secret of Teoh’s success is his belief in teamwork. He said only with great teamwork was HSG able to build the company to what it was today. He expressed appreciation for all his loyal employees, especially his sales team that helped to increase the company’s sales volume, and felt truly humbled by the contribution and efforts of this team.
“They are part of our family in the company and the driving force. Although the economy remains rather challenging, the sales team continues to push for higher sales. We see them growing with HSG and we are here to provide them with all the support that they need to close every sale,” he stressed.
Teoh is still very much involved and hands-on even though the company has grown tremendously. Although the Head Office is in Penang, Teoh travels to his KL office and other branches regularly to attend meetings and make collective decisions with his group of managers.
Moving forward, he’s very proud of his achievements but is not resting on his laurels as he is confident of growing even bigger.
“We want to be the leader in the Malaysian commercial vehicle segment,” he expressed his progressive ambitions.
“为了支持我们的客户，HSG目前在全国拥有17家3S服务中心，并计划将之提高到25家。 此外，他们也计划将现有的17 个24小时流动修车厂服务队增加至20个。我们正在识别和决定几个设立服务中心的新地点。”