The construction machine is very wide range, such as, excavators, dozers, track loaders, compact track loaders, forklifts, mobile cranes, stationary cranes, road construction machines, non-road vehicles, generators, aerial platforms, bridge checkers, mining machines, compressors, marine machines, tunnel boring machines, pile driving machines, and deep foundation machines. This industry in Taiwan is mature but competitive. In this paper, first, we collect a variety of domestic and foreign literature to analyze the construction industry market, the global construction machinery market, the construction machinery market in Taiwan and make the analysis of the construction machinery industry. Second, we discuss the industry’s operation strategy by SWOT Analysis, Michael Porter''s Five Forces Model, and BCG Matrix.
Finally, we will use a case of Y-company to deep study Taiwan construction machinery industry’s operation strategy. The working place is shortage of staffs and lack of young people. The working environment is pretty critical. How to improve the disadvantage in this kind of surrounding situation? Base on the case to design and meet the latest environmental and industrial safety engineering methods, reduce environmental impact, enhance the quality of work, and create reasonable operating profit is an important issue for all the people in the construction machinery industry. Project to help industry design and manufacturing (ODM), in line with the needs of a variety of special geographical environment of the excavator arm and bucket, thereby improving its operational performance. This paper is to explore the Taiwan construction machinery transformation strategy (ODM).