Harmony, win-win, firewood, 2008 assembly number

Recently, four trucks loaded with 50 generator sets started from Weichai and headed for the heavily-hit Guiyang and Changsha. This is the 300th generator set issued by the Weichai Holding Group to the south since the freezing disaster in some southern provinces and cities. In this antifreeze and disaster relief activity, Weichai Holding Group not only provided a group of the most urgently needed generating units for the disaster-stricken area, but also donated RMB 1 million to the disaster-stricken areas to help people in post-disaster reconstruction.

In the process of building a world-class enterprise, Weichai Group not only created good benefits for social and economic development, but also always fulfilled its social responsibilities. It takes the fulfillment of social responsibilities as an important part of improving the company’s core competitiveness, and upholds a harmonious and win-win situation. The concept of development, the constant pursuit of win-win economic and social benefits.

People in the Heart--The Time of Difficulties Occupies the Social Responsibilities

On the night of January 25, the power grid collapsed and the city stopped water and electricity. As a result of the sudden incident, Chenzhou caught off guard was in a panic. There are few units in the entire Luzhou area with self-provided generator sets. Signals from communications departments such as China Unicom and PHS have all been suspended. Only mobile companies have a Weichai generator set. For a time, the burden of foreign communications throughout the entire Quzhou region was put under pressure by Weichai, a well-established generator.

At a crucial moment, the vice president of Hunan Mobile Company arrived in Zhuozhou, and he solemnly asked the Weichai employee Yang Deqiang who is on a business trip in Quzhou: The entire Zhangzhou region's foreign contacts rely on this unit. If it fails again, Ganzhou will be completely isolated. Brother, see you!

With the entrustment of the people of Zhangzhou, Yang Deqiang faced the predicament of cutting off electricity and water during the next 17 days and nights. He was indomitable and at any time maintained, keeping the communication between Zhangzhou and the outside world open. After experiencing 17 unforgettable days and nights, Weichai people Yang Deqiang finally welcomed the spring of sunrise with the people of Ganzhou.

In the sudden snowstorm, Weichai Group dispatched hundreds of service personnel to fight with people in the disaster area day and night to fight against dangerous situations. At the same time, the group company tried every possible means to accelerate the output of generators and overcome difficulties, sending a generator set continuously to the disaster area, sending the victims in distress with a glimmer of light and heat. On February 2nd, Tan Xuguang, chairman of Weichai Group Corporation, signed an order to donate 1 million yuan to the heavily-hit Zhuzhou City in Hunan Province for the reconstruction of their homes after the disaster.

In recent years, Weichai has done its best and built three Hope Primary Schools in Shandong, Chongqing, and Hunan. This has enabled tens of thousands of impoverished children who cannot read books to enter the school and formed a society, a family, The Hope Project Assistance System is a combination of groups and students. When the Huayuan Coal Mine in Shandong encountered a major disaster, Weichai promptly extended a helping hand and organized all employees to donate more than 290,000 yuan. The charity of the Weichai people soothed the hearts of the stricken compatriots and won respect from all walks of life.

Behind vigorous implementation of social responsibilities, it is the firm belief of Weichai people that they are determined not to create a nationally motivated independent brand. On the basis of doubling growth for five consecutive years, Weichai in 2007 has attracted the attention of people in the industry. In this year, Weichai's sales revenue exceeded 40 billion yuan, a year-on-year increase of 66.7%, becoming China's largest auto parts and components. The Group has reached an unprecedented new height in the industry. The performance of 40 billion yuan for the Weichai Group not only means a digital breakthrough, but also highlights a historic leap.

Continuing Innovation--Strengthening and Developing Harmoniously

The production of a high-power engine usually requires hundreds of parts. Based on maximizing its own core strengths and fully optimizing the allocation of social resources, Weichai’s approach is to “do something wrong”: master core technologies, produce key parts and components, and make the most advantageous plates stronger. , while others are handed over to supporting manufacturers, which in turn drives the clustering of the entire industry cluster.

Casting is one of the key links in engine production, directly related to the quality of the engine, and it was once the “bottleneck” that restricts the rapid development of Weichai. In 2005, Weichai decided to invest more than 1 billion in building a new foundry. At that time, a large number of foreign used casting equipment was waiting in the wings to enter the Chinese market. It was suggested that Weichai purchase cheap second-hand goods and reduce investment costs. However, Weichai was unmoved and decided to build it in accordance with the "internationally advanced, domestic first-class" standard. The ultimate purchase is the world's most advanced production equipment.

First-rate equipment, coupled with first-rate technology management, create first-class production efficiency. Ren Xingwu, director of Weichai Casting No. 2 Plant, told reporters that the new foundry has been officially put into production for two months, the labor productivity per capita has increased threefold, and the reject rate has been controlled below 2%, which is 8 percentage points lower than that of similar companies. Only this one will create more than 40 million yuan worth of economic benefits in a year.

For the matching parts and components of engines such as oil pumps, pistons, bolts, belts, etc., Weichai has taken the form of social procurement, which is produced by the supporting enterprises according to the orders.

Longkou Oil Pump Fuel Injection Co., Ltd. was originally a farm machinery repairing plant with an annual production value of only a few million yuan. Since the establishment of a long-term supply relationship with Weichai, Weichai's output technology and management have caused it to continuously expand, with annual sales revenue. Break through 1 billion yuan. Wendeng Tianrun crankshaft also used the opportunity to pick up firewood and grew into the largest and most powerful leading enterprise in the industry in China.

It is precisely because of the superiority and strength of core business that Weichai has secured a leading competitive advantage in the market. By the end of last year, the market share of Weichai engines in the field of heavy-duty vehicles with a total mass of over 14 tons had reached 36%, an increase of 9 percentage points year-on-year; the market share of loaders with more than 5 tons had reached 82%, and the transmission business sector With a market share of over 92% in heavy-duty vehicles, it has become a well-deserved industry leader. At the same time, due to the optimization of supply chain management and business development model, Weichai's production scale has expanded rapidly. In the past five years, the company's sales revenue has doubled and increased. By the end of 2007, it had realized an annual sales income of 40 billion yuan, becoming China's largest auto parts group.

According to statistics, Weichai has driven more than 300 suppliers with their own efforts, and many of them have "little giants" with output value of hundreds of millions or even billions. At the same time, a large industrial cluster has formed around Weichai's engine manufacturing.

On April 30 last year, Weichai's Weichai Power and Shandong Juli were listed on the Shenzhen Stock Exchange at the same time, marking a unique capital platform for China's equipment manufacturing industry and creating a "welrywood model" for the capital market. This is the most exciting one written by Weichai in the capital market.

The development of Huichai’s history is always closely linked to a wonderful capital story. Around 2000, Weichai divested its non-mainstream business through corporate restructuring and established clear capital bonds with certain supporting companies. In March 2004, Weichai became the first internal-combustion engine company listed on the Main Board of Hong Kong to be listed in Hong Kong. In the international capital market emerged; in August 2005, Weichai spent a billion to successfully acquire the Hunan Torch and become its largest shareholder. This case is also the largest domestic public bidding for capital mergers and acquisitions; August 2006, Weichai The strategic restructuring “ST Juli” became its controlling shareholder and injected high-quality assets such as medium-speed machine factories and complete sets of plants, striving to build China’s largest marine power manufacturer.

"In the context of a market economy, entrepreneurs must understand how to use capital to operate, integrate internal and external resources, and make the company bigger and stronger quickly," said Tan Xuguang, chairman of Weichai Power.

Through the capital market to promote mergers and acquisitions of enterprises, the resources will be re-optimized, guide and support the production factors to high-tech enterprises, so as to promote the optimization and upgrading of industrial structure. Following this idea, Weichai has successfully built China's largest heavy-duty truck industry chain in a short period of time.

If the engine is compared to the "heart" of the car, then the "powertrain" consisting of the axle and gearbox is the "spine," and only a strong "heart" and a developed "spine" are heavy. The car can only speed up. After the merger of the Hunan Torch Torch was completed, Weichai Holding Group had products including engines, gearboxes, spark plugs, axles, and vehicles. It began to build the most complete and strongest heavy-duty automobile industry chain in the country.

In recent years, the world’s top 500 have been optimistic about China’s equipment manufacturing market and further accelerated its pace in the domestic staking area. It is in this sense that Tan Xuguang said that the ultimate goal of Weichai’s capital integration is not simply to increase the size of the company, but to strengthen the company, further enhance industrial status and industry competitiveness, and fully participate in international market competition. Enhance the competitiveness of equipment manufacturing in the international market.

At the beginning of the new year, Weichai has once again exerted its efforts to launch its latest and innovative products: the first "powertrain" system for passenger cars and commercial vehicles in China, which has greatly impressed the industry. This “powertrain” is organically composed of an engine, a transmission, and an axle. It excels in terms of power, economy, and reliability. It is the best power system solution for the domestic automotive industry.

"Powertrain" as an independent product is a new concept for the domestic commercial vehicle industry market, and it is also a product of Weichai's innovation and innovation.

In the current domestic commercial vehicle manufacturing market, the production of engines, gearboxes, and axles is relatively independent, and is sold directly to the automaker by the supporting manufacturers. As for whether or not it matches the optimization of the host, there is no need to ask. Weichai WD series engines have been known for their low fuel consumption. This is also the selling point that weichai people are most proud of. However, for a long period of time, this advantage has not been noticeable in actual use by users. Where are the reasons? Due to the influence of the original settings of the vehicle, the axle and the gear box, the engine often fails to reach the optimal configuration point. If the fuel consumption is reduced to reduce the speed, the vehicle speed will decrease, and the power of the vehicle will be greatly affected.

After the merger and restructuring of the Hunan Torch, Weichai owns a heavy-duty truck industry chain consisting of components such as engines, axles, and gearboxes. It also has the advantages and conditions of system innovation. In this context, Tan Xuguang, chairman of Weichai Power, put forward the innovative thinking of the “Powertrain” system.

Tan Xuguang explained that today's competition is more manifested in the competition between the industrial chain and industrial clusters, and innovation is no longer just a single link, single product innovation, but should pay more attention to system innovation. As the industry leader, Weichai must shoulder the mission of leading and stimulating the technological innovation and development of the industry.

The so-called systemic innovation means that the industry's leading enterprises increase the technological level and competitiveness of the entire industry chain through technical guidance, resource integration, R&D cooperation, joint research and standard formulation of upstream and downstream companies in the industrial chain. Technological innovation is not only the action of a single company, but also the collective innovation based on the industrial chain led by dominant companies. Weichai Power is making every effort to create such an innovative model.

After the innovation “Powertrain” system was put forward, Weichai quickly coordinated with various subsidiaries of the industrial chain, and through multiple tests on engines, axles, and gearboxes, they finally found the best configuration point for the entire vehicle. Wei Dehui, director of Weichai Technology Center, told reporters that the introduction of this system is the first in the country. Both the technical content and product quality are at the international advanced level. It is the lowest fuel consumption rate in China. Calculated on a yearly basis of 200,000 kilometers, the annual fuel savings can be achieved. 9620 liters. If there is no advantage in system innovation, it is difficult to have such an obvious fuel-saving effect by improving engine technology alone.

The safety indicators of brakes, brakes, and other vehicles are originally research fields of automakers. However, in the research and development of Weichai, research focused on the improvement of the final product performance of the entire industry has accounted for a large proportion. Weichai was the first company in the country to launch an engine with "exhaust brake" function to avoid the brake failure caused by long brake pedals. Under normal circumstances, the engine runs with the car, and after the "exhaust brake", the engine is automatically shut down when the car goes downhill, and the car takes the engine, which is equivalent to another car with 350 horsepower. Pulling the main car in the opposite direction from behind, the resulting braking force is far greater than the brake pad.

In order to improve the technological level of the entire industry, Weichai also joined with more than 300 suppliers in the upstream and a number of vehicle manufacturers in the downstream to initiate the creation of a “R&D Community” to share scientific research resources and technological achievements and jointly conduct scientific research.

Tang Juhe, deputy general manager of Longkou Long Pump Fuel Injection Co., Ltd., told the reporter that Weichai not only provided orders, but more importantly, it also brought advanced management concepts and manufacturing technologies through "supply chain management" and "R&D community." enterprise. In recent years, Weichai technical personnel have repeatedly visited the Longkou Oil Pump Plant to instruct technical reforms, provided free technical data, scientific research equipment, improved production processes, trained scientific research forces, and shared scientific research results, which have played a crucial role in the rapid development of Long Pumps. effect.

Although Weichai is only an enterprise in the industry, it is not limited to the company in terms of the use of innovative resources. Currently, Weichai has a European R&D center, a US R&D center, and a new vehicle technology R&D center in Shanghai. Every new product introduction has, to a varying degree, leveraged the advantages of well-known experts in the industry at home and abroad, and brought together the technical elites of many companies in the industry chain such as Weichai Power, Fast, and Hande Axle.

In Weichai, we do not emphasize the absolute number of technical personnel, but pay more attention to the balance of talents in all aspects. At the same time, with the help of “outside the brain”, we will promote the establishment and improvement of an enterprise’s internal innovation system. Weichai has an “expert advisory group” composed of 12 overseas doctors who regularly come to Weichai to “diagnose the pulse”. The areas involved include product R&D, quality management, strategic development, and personnel deployment. Weichai also employs a number of professional consulting companies to enhance the company's capabilities in capital operation, salary formulation, corporate culture, informationization, and overall budget management. Every time the "outside the brain" is introduced, it has stirred up fierce collisions between the old and new concepts within the company and continuously improved Weichai's system innovation.

The system innovation has enabled Weichai to move out of the “Red Sea”, which is reducing competition costs, low-price dumping, and homogenous competition, and has turned to “Blue Ocean” relying on innovative products, personalized services, and differentiated competition.

Using the concept of system innovation, Weichai has launched a new WD12 engine. The products meet the standards of energy saving and emissions ahead of schedule, breaking the monopoly of foreign brands in this field, making China's heavy commercial vehicles have a “Chinese heart”. In one year when it was introduced to the market, production and sales reached 15,000 units, and the number of orders this year is expected to exceed 30,000 units. In October last year, China's first green gas engine powered by liquefied petroleum gas, natural gas, etc., and the world's advanced high-pressure direct injection technology as the core technology, settled in Weichai, creating a precedent for the production of high-power new energy green engines in China. .

System innovation also brings much higher profits to the company than ordinary products. In the sales revenue of Weichai worth 40 billion last year, the output value of new products accounted for 45%, and the profit contribution reached more than 60%.

The footsteps of the New Year have not gone far. Weichai Group reported another success: the production and sales volume of various products continued to maintain rapid growth. In January, sales revenue reached 3.78 billion yuan, a year-on-year increase of 23.4%.

In the new year, Weichai has designated it as a year of in-depth development, and has accelerated the pace of internationalization on the road to independent research and development. In order to meet the requirements of the new emission regulations, Weichai has made breakthroughs in the research and development of energy-saving and environmental protection and new energy engines.

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