Taiwan's 'god of mgt' dies at age 91

Published October 17, 2008
Business Times Singapore

Formosa Plastics' Wang Yung-ching a legendary figure
By JASON TAN
IN TAIPEI

FORMOSA Plastics Group founder Wang Yung-ching, dubbed 'Taiwan's god of management', has died, aged 91.

A legendary figure in Taiwan business and a household name here, Mr Wang died in his sleep on Wednesday morning while on a business trip to the US, Formosa Plastics Group said.

'His death is the end of a role model,' said Horng Shun-ching, a business administration professor at National Chengchi University in Taipei. 'He was a typical older-generation Taiwanese entrepreneur, who was hardworking, prudent and down to earth - values that younger businessmen now lack.'

Mr Wang's rags-to-riches background is an inspiring tale for most Taiwanese.

Born to a farming family, he dropped out of school at 15 and opened a rice shop a year later with NT$200 (S$9) of capital borrowed from his father.

He went on to found Formosa Plastics Corporation in 1954. The business empire gradually expanded to include oil refining, hospitals, bio-technology to cars and semiconductors.

As Taiwan's biggest industrial conglomerate, Formosa Plastics Group's subsidiaries include Formosa Plastics Corp, the world's second-largest maker of polyvinyl chloride, and Nan Ya Plastics Corp, the biggest processor of plastics used in pipes and imitation leather. Another unit, Formosa Petrochemical Corp, is Taiwan's only publicly traded oil refiner.

Last year, the group was Taiwan's most profitable enterprise group with net income of NT$219 billion. Total revenue surged 21.7 per cent to NT$2 trillion.

Despite his success and wealth, which earned him a place in the Forbes billionaire list alongside Terry Gou, another Taiwan big shot who is chairman of Hon Hai Precision Industry, Mr Wang led a frugal life.

'He was known for using the same towel for over 10 years and always wore the same few business suits,' Prof Horng said.

Mr Wang's frugality also applied to his businesses. He emphasised the importance of 'cost down', meaning that an enterprise can only be sustainable and boost efficiency when it has the lowest possible overheads.

Taiwan President Ma Ying-jeou and many entrepreneurs have expressed sadness at Mr Wang's passing.