Yuchai Group: Breaking Waves in the Transformation

Editor's note: If history is usually relayed, then in the process of transmission, change will play a role in its development. In the course of its 50 years of development, Guangxi Yuchai Group further proved that historical changes have made it a leading company in the diesel engine manufacturing industry. Since its establishment in 1951, sales revenue has exceeded 20 billion yuan for the first time in 2008. During this 57-year development process, Yuchai Machinery Group has not only created one miracle in the manufacturing industry, but also forged Excellent corporate culture. The core concept of "Green Development, Harmony and Win-Win" is the banner of Yuchai's development and leads the company to achieve continuous success.

Years: Innovation Makes Yuchai Famous

In the past 30 years of reform and opening up, China has staged a grand scene of mighty and magnificent drama. The sleeping Oriental Lions have awakened and shocked the world.

The city of Yulin, Guangxi, was still an obscure border town. However, today, it has become a famous city for small and medium-sized enterprises in the Beibu Gulf area, and it is also enjoying the reputation of “the green capital of China”. It is the Yuchai Engine, the first brand of China's power, that has earned this reputation.

In 1951, Yuchai’s predecessor, Yulin Quantang Industrial Co., was established. After several years of development, in 1958, Yuchai succeeded in trial production of the 2105 gas engine and offered a gift to the establishment of the Guangxi Zhuang Autonomous Region. In the second year, Yuchai succeeded in developing the 2105 diesel engine after the research and became the leading product of the plant for more than 20 years.

In 1978, when the spring breeze of reform and opening up filled the land of Shenzhou, Yuchai people realized that they must firmly grasp the historical opportunities and advance the waves. To this end, Yuchai has undergone drastic reforms and has consistently promoted the innovative development of Yuchai with a strong sense of crisis and responsibility. After years of innovation and development, Yuchai eventually became the trend of the times.

We may wish to look at the brilliant achievements made by Yuchai in the past 30 years of reform and opening up:

——In 1978, X6105Q diesel engine for vehicles entered the automotive diesel engine industry and auto parts production industry;

——In 1986, the 6105QA direct-injection diesel engine changed the history of domestic vortex diesel engines, achieving a substantial reduction in fuel consumption;

——In 1989, for the first time, the output value and sales revenue doubled across the billion yuan mark;

—— In 1993, Guangxi Yuchai Machinery Co., Ltd. implemented a Sino-foreign equity joint-stock reform and became the first Sino-foreign joint venture company in China.

- In 1995, the National Bureau of Statistics, China Center for Technology Progress Evaluation and the 50th International Statistical Conference China Organizing Committee jointly named Yuchai as the "China's largest internal combustion engine production base."

——In 2003, the annual production and sales of diesel engines were 175,000 units, and the single-factory production and sales volume ranks first in the world.

——In 2004, the country's 3 emissions products were launched, three years ahead of national standards, and the domestic market share reached 75%.

Change: Core Concept Let Yuchao Take Off

In 2005, faced with the overall decline in the diesel engine industry, Guangxi Yuchai Group, which is a national engine industry and has a place in the world's diesel engine industry, took part in the Beibu Gulf regional economic construction and the world economic cycle. How to consciously Take on the task of leading national internal combustion engines in industrial development?

Yu Ping, chairman of Yuchai’s Board of Directors, realized that in the face of fierce competition and severe market conditions, the Group must break through the waves again, and it is inseparable from the establishment of the core corporate philosophy.

At the Yuchai Business Meeting held on February 25, 2006, Fuping proposed a “business strategy strategy of “green development, harmony and mutual benefit” based on the company’s value judgments and historical responsibility of the company, and established “ Three years to rebuild a Yuchai's goal and "future ten years development strategy."

From 2006 to 2008, over the past three years, the “Green Development, Harmony, and Win-Win” business strategy has gradually become the core concept of the group's development. Based on this, Yuchai further taps and refines its own clear mission: Excellence and leadership to meet the needs of the public's power.” Established the company's development vision: “Create a world-renowned brand, achievements of large multinational corporations.” Clearly Yuchai's future development strategy, and further extend the application of cultural concepts, and constantly enrich the product concept The cultural concepts of various application systems such as quality concepts, service concepts, production concepts, safety concepts, budget concepts, and political work concepts meet the cultural needs of each sector. At the same time, through the construction of distinctive sub-cultures, a diverse Yuchai culture has been formed, and a corporate culture system has been constructed and standardized. Such as Yuchai's marketing concept: "Professional casting brand, service creates value." Yuchai's quality policy: "Product design must be advanced conception, initiative update, perfect cycle, and repeated verification; manufacturing control must be strong and weak, set optimal , progressive responsibility, mechanism guarantees; user service should dump me all, do my best, wholeheartedly users, integrity in the world." Yuchai's safety concept: "life first, safety first", Yuchai business ideas: "excellent quality , International Yuchai, etc.

Practice has proved that this transformation of Yuchai is correct!

After many efforts, the corporate culture has been successfully transformed, the cultural concept has been deeply rooted in people's minds, and the cadres and staff have increased their confidence and morale, and the company's business development has been promoted. In 2006, when the core concept of “green development and win-win cooperation” was implemented, Yuchai launched the first domestic 4 electronically-controlled diesel engine in the country, pioneered the application of SCR exhaust after-treatment technology, and for the first time achieved synchronization with European emission standards. At the international level, 4 years ahead of the national mandatory national 4 emission standards; and the YC4W sedan diesel engine has become China’s first sedan diesel engine with independent intellectual property rights, which fills the gap in China’s sedan diesel engine; more exciting Yes, that year, production and sales of diesel engines exceeded 360,000 units, and sales revenue exceeded RMB 14 billion. The scale of production and sales maintained the top position in the domestic industry for three consecutive years; Yuchai brand excavator exported 1,099 units, and its export sales ranked the first in the Chinese excavator industry. One.

Since then, in 2007 and 2008, Yuchai has used one after another amazing result to prove the uniqueness of the company's core philosophy.

——In September 2007, Yuchai was the first company in the internal combustion engine industry in China to obtain the product “Export Verification Certificate” issued by the General Administration of Quality Supervision, Inspection and Quarantine, and obtained the Gold Pass to the international market.

——In December 2007, China launched the first domestic diesel engine of the target country, the new national 5 diesel engine marked YC6L-50 is Yuchai’s completely independent and independently developed low-emission new model, enjoying its own independent intellectual property rights. Domestic diesel engine industry leading position.

——In 2008, Yuchai Group’s sales revenue exceeded 20 billion yuan for the first time, reaching 20.84 billion yuan, an increase of 18.11% year-on-year. For the eighth consecutive year, it maintained its domestic production and sales volume in the same industry, and achieved significant positive sales revenue for eight consecutive years. increase.

This “adversity” market competitiveness further proves that the core concept of “green development, harmony and mutual benefit” is the historical positioning of Yuchai Group in the new period, the ideological foundation of cultural construction, and a guide to development and progress. , is the general strategy of business activities.

Outlook: Internationalization Lets Yuchai Expect New Heights

Every change in history has allowed Yuchai to make significant progress. Standing on a new historical starting point, Yuchai has a more ambitious goal.

At the beginning of 2008, the state approved the implementation of the “Guangxi Beibu Gulf Economic Zone Development Plan”, marking the opening up of the Guangxi Beibu Gulf Economic Zone into the national development strategy, and also marking the golden opportunity for the development of Guangxi and Guangxi Beibu Gulf Economic Zone. It opened a new chapter of great openness, great development, great cooperation and great development.

How to integrate into the process of global economic integration and integrate into the opening and development of the Guangxi Beibu Gulf Economic Zone to realize the scientific development, harmonious development, and leap-forward development of the Group so that it will always be the first brand in the power industry?

On October 16, 2008, Yu Ping’s board of directors Yu Ping stated clearly at the fourth congress of the Communist Party of China’s Guangxi Yuchai Machinery Group Corporation that internationalization is Yuchai’s development of market space, optimization of industrial structure, and development of resources. , For technological advantages, breaking through trade barriers, and nurturing the inevitable choice of internationally competitive large multinational corporations.

Yes, “advancement to internationalization and the road of sustainable development” is an important symbol of Yuchai’s transformation from “Made in China” to “Created in China”, and is the direction of future development of the company.

To this end, Yuchai has been “strengthening and growing, sustainable development” as the group’s internationalization strategy guiding ideology, and “building a world-renowned brand and accomplishing a large multinational enterprise group” as the Group's international strategic positioning.

The strategic plan established in accordance with the positioning and guiding ideology of Yuchai Group's internationalization is:

——Future development strategy: Initiate joint ventures and cooperation between domestic and international and accelerate the introduction and application of new and high technologies, expand the industrial chain around the main business, focus on the development of diesel engines, construction machinery, special vehicles, auto parts, automotive chemicals and logistics, etc. Related industrial products, integrating technological advantages, to build Yuchai aircraft carrier, further enhance the competitiveness of the international market, make "Yuchai Machinery" become a world-renowned brand, and build Yuchai into a large multinational enterprise group.

- Pan-Beibu Gulf Economic Zone Strategy: The engine will enter the Pan-Beibu Gulf area within five years; the construction machinery will strive to become the pan-Beibu Gulf excavator market within five years; the logistics international network will take shape within five years.

——Advancement of international development strategy: Before 2010, take Asia, Africa, Latin America and Eastern Europe as target markets, focusing on breakthroughs in Southeast Asia, and achieve annual exports of 100,000 engines; from 2010 to 2015, gradually enter North America, Western Europe and other developed countries. In the national market, 300,000 engines are exported each year, accounting for 30% of annual sales.

In order to strengthen internationalization, Yuchai joined the Global Compact in May 2008 and promised to abide by the UN's ten agreements, publish the company's sustainability report every year, test the company's social responsibility achievements, and participate in the ISO 26000 social responsibility standards as an observer. Formulate, participate at the source and agree with international standards of social responsibility. With the responsibility to enhance the driving force, Yuchai is trying hard to be an international company with a truly social responsibility.

From the integration of the Pan-Beibu Gulf economic cooperation into the international development stage, Yuchai Group has fully brought into full play its own advantages, adhering to the core philosophy of “green development, harmonious and win-win”, insisting on “green” as the starting point, emphasizing “made in China. "To create in China," from the "industrial manufacturing" to "green manufacturing" a clear internationalization strategy, will undoubtedly lead Yuchai from the regional gold rush to the global layout and development, from the short-term behavior to the long-term goal. We have reason to believe that under the guidance of the “Green Development, Harmony and Win-Win” core philosophy and the “Excellent Quality, International Yuchai” business philosophy, the Yuchai Group will continue to score brilliant achievements in continuous innovation and innovation.

Titanium And Titanium Alloy

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