The Two E's of Innovation Are Leading TAYA Group Forward into the Next Sixty Years (Report by CommonWealth Magazine)
Standing on the basis of its existing business, TAYA Group is moving in the direction of innovation and sustainable management. It is doing so by taking two "E's" as its innovative investment principles, representing "Energy" and "Emerging Markets" respectively, and thereby leading TAYA Group into its next sixty years.
The Two E's of Innovation Are Leading TAYA Group Forward into the Next Sixty Years
Walking into the National Taichung Theater last month (October), many people unwittingly paused their steps at the first floor's " Sound Cave" venue to view the "Transparent Living Exhibition" organized by TAYA Group. Exhibit items were made up of everyday necessities crafted using glass technology including wireless earphones, a mobile phone, an electric rice cooker, an electric motorcycle, and so on. With their delicate transparent appearance, one can see at a glance the enameled wire penetrating inside and understand its indispensable importance.
Heritage and innovation Two pillars of sustainable business operations
Inheriting the existing business of energy transmission and conversion in an innovative, artistic form not only constitutes the core spirit of TAYA Group's brand marketing in recent years, but also provides the two key directions of the Group's development. "Inheritance and innovation are key aspects of a company's sustainable operations, and neither one can be neglected" asserted Shen, Shang-Hung, chairman of TAYA Group. An enterprise cannot neglect innovation in order to stick to its own business, nor can it give up its own business for the sake of innovation. It must stand on the basis of inheriting the existing business while moving towards the direction of innovation and sustainable operations.
This insistence on promoting innovation from its industry has allowed TAYA Group to step into the energy sector. "Looking at the fundamentals of wire and cable, cables are used for power transmission and enameled wire is responsible for energy conversion. Since they are all related to energy, then what opportunities does TAYA Group have in the energy industry?" From this perspective, Shen, Shang-Hung reexamined the energy industry value chain and found that it encompassed not only transmission and conversion but also energy generation, transmission, conversion, storage and management. Every aspect represents an opportunity for TAYA Group to innovate.
Energy and Emerging Markets The two E's of TAYA's innovation investment
TAYA Group started with energy production by investing in Taiwan Cogeneration Corp. to enter the field of renewable energy power generation. It also invested in Sun Ba Power Corp. and participated in the development of gas-fired independent power producers (IPPs). It established a subsidiary, Ta Ya Green Energy Technology, and promoted the development of business related to medium and large-scale solar power plants as it strove to become the largest ground-mounted solar power producer in Taiwan. In 2021, TAYA further purchased a fishery and electricity symbiosis solar power plant site in Qigu district of Tainan City that was originally planned for development by Tatung Company, and turned it into Taiwan's largest fishery and electricity symbiosis solar power plant. On the energy transmission side, it is also involved in power management systems. The company has also developed its own energy storage system. Located at the factory at the Tainan headquarters, the 600 kWh microgrid energy storage system has been operating normally for several years. After extensive effort in recent years, it now has the ability to set up an automatic frequency regulation ancillary service (AFC) energy storage system. At present, the capacity of the AFC energy storage system stands at 13,000 kW. It is scheduled to be integrated into Taipower's power grid in 2022 to provide energy storage and frequency regulation services.
In facing innovative investment, TAYA Group has always adhered to a strategy of "Double E. "This doesn't mean the 'double E' of an Electrical Engineering major !" jokes Shen, Shang-Hung. Instead, it represents “Energy” and “Emerging Markets.” The future holds many industries with potential, but not every field represents one that TAYA Group is familiar with. In confronting emerging fields, TAYA Group invests in industries and teams with future growth opportunities by means of corporate venture capital, and it reduces the risk of entering emerging industries by leveraging external resources. Shen, Shang-Hung notes that this is for the sake of "not only financial returns, but it also prepares us for future career opportunities at TAYA as soon as possible.” When the development of renewable energy gains traction in the future and becomes one of the main industries of TAYA Group, we can cut into the next innovation market with the help of venture capital and continue to spell out TAYA's competitiveness.
From business philosophy to mission and vision Fully implementing the spirit of ESG
With its deepening involvement in the energy industry, TAYA Group is also strengthening its promotion of environmental friendliness. Social responsibility and corporate governance issues have received more attention in the past two years due to the pandemic, and ESG issues are gradually receiving more attention by businesses. TAYA Group has long embedded this in its corporate culture, fully implementing the ESG spirit from its business philosophy and mission to its vision.
"When we decided to enter the energy industry, TAYA set our goal of becoming a leading brand in the energy chain," said Shen, Shang-Hung. This is the goal of TAYA Group and also stands as its primary vision. From this, the secondary vision of TAYA Group has emerged in the form of a commitment to becoming a creator of harmonious environment and pristine homeland. The ultimate corporate vision is to become a business trusted by employees, customers, shareholders, and society.r /> Therefore, instead of establishing a cultural and educational foundation, TAYA Group has named its foundation after the concept of Pristine Homeland. In applying for its establishment, the competent authority was not the Ministry of Culture but the Environmental Protection Administration. Shen, Shang-Hung hopes that through TAYA Pristine Homeland Foundation's annual Green Inside Project sponsorship activities, it will continue to help more individuals or groups related to environmental protection in Taiwan.
After 66 years, TAYA Group will continue its strategy of paying equal attention to heritage and innovation, and in investing in the two "E’s" of innovation in the future. It is moving forward toward its next 60 years based on its innovative investment triangle of the wire and cable industry, the renewable energy industry, and corporate venture capital.