14 M I L L I O N A I R E A S I A

MAN OF STEELBY CHRISTEL LEE

Spirit of Enterprise SOE-PropNex Top Honouree Henry Ng

shares his formula for business success.

The Founder of Maxsteel, Henry Ng was

recently named as SOE-PropNex Top

Honouree of the Year 2019, a special

award for established entrepreneurs.

Henry’s success is self-made. Instead of

finishing his studies, he took up an apprenticeship

in a rig builder shipyard and held part-time jobs to

help him tide over difficult times. His experience

subsequently took him through sales roles across a

variety of industries, until he worked his way up to

become a sales and marketing manager.

• | CREAM OF THE CROP | •

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Henry Ng (middle) with Judy helming the team at Maxsteel.

In fact, the thought of entrepreneurship did not even occur to him until a former colleague and a business friend encouraged him to strike out on his own. Alloying the strengths of his stellar experience and business network, Henry incorporated Maxsteel Enterprise on 29 May 1995.

Navigating The Line Of FireGiven the size of his set-up, Henry knew he did not stand a chance against dominant steel players from Japan, particularly with bulk distribution. Mere economies of scale from the Japanese were sufficient to eclipse Maxsteel. There were also myriad factors to consider, such as compliance when it concerned bigwigs like Hewlett Packard, Dell and IBM. Suppliers would need to be listed as approved vendors, and support from both steel mills and customers were extremely vital to scoring distribution deals.

Henry’s silver lining appeared with the emergence of Korean steel mills, which matched the quality of the Japanese. Simultaneously, Hewlett Packard was also sourcing for cheaper materials with shorter lead times. Henry took the leap and reached out to the Korean steel makers – walking them through the required technical specifi cations. That leap of faith led to a contract between Maxsteel and Hewlett Packard, which remains in force today.

Series Of BreakthroughsHenry started to take on bigger challenges. Realising a need to be self-equipped, he created his fi rst shearing line by dismantling an old slitting machine into three sections. This US$90,000 investment significantly shortened the company’s production lead time and improved product quality.

Henry was also offered distributorship by a European company for its electric transformer accessories due to his growing reputation. He did not accept the offer on the initiator’s terms. Instead, he embarked on a joint venture with the company and founded European Trafo Products Pte Ltd (ETP) in 1998 with a capital of S$100,000.

With the business scaled up, Henry and his wife, Judy felt it was time for Maxsteel to have its own production facility. In 2000, the couple bought their first factory in Senoko Drive. Well-equipped to take on the industry, Maxsteel expanded to Suzhou, China in 2004. “Many Singaporean and international customers were already present in China as it was becoming the world’s factory floor. To retain our competitiveness and secure future growth, it was necessary to branch out to China,” he adds.

Nuggets Of WisdomFor someone who has weathered many adversities, being able to get back up is the most valuable entrepreneurial quality. From sudden partner exits to quality issues which could be fatal to the company, Henry soldiered on and emerged stronger.

“Hard work and discipline are par for the course for any entrepreneur. To be the industry’s preferred partner, experience and professionalism are vital,” he shares. “This is done by not simply selling, but by specifically adding value to the customer’s business. It requires continually challenging the sourcing and supply of newly developed products, providing excellent quality and competitive pricing for the benefi t of the customer.”

Apart from keeping his team updated on the company’s direction and goals, Henry also makes it a point to openly share business performance and results so they can take pride in their contribution. This is alongside the satisfaction and motivation they receive from the rewards, which arealso part of Henry’s appreciation of employee loyalty.

A visionary charged with steering Maxsteel around potential pitfalls, Henry rallies his team to work hard towards the company’s goals. Helming a company with close to 50 employees from more than six countries, he is determined to make the steely formula work.

To bring Maxsteel to greater heights, Henry’s strategy is to keep his pulse on the trends and plan accordingly. “Competition will be tougher in response to the market’s relentless quest for better and cost-effective solutions. Continual innovation is key,” he concludes.