Continuing to surpass the eye-catching foreign media to visit SAIC-GM-Wuling


The line was visited by SAIC-GM-Wuling in 18 media from a number of countries in Europe and the United States. They spent a whole day interviewing SAIC-GM-Wuling. Whether it is the management department or the grass-roots workshop, every corner of the company has aroused the interest of reporters. According to reports, the focus of this overseas media interview is two. One is to use the Shanghai Auto Show to understand and report on the latest developments in the Chinese auto market. The other is to explore the reasons for the great success of General Motors in China, and visited General Motors in China’s joint ventures, SAIC-GM-Wuling located in the Southwest of China are also a focus of their attention.

SAIC-GM-Wuling had only four years of joint ventures. After leading the minivan market in 2006 with a market share of 37.3% and annual production and sales of more than 460,000 units, it continued to maintain a high growth rate of 170,000 units in the first quarter of this year. The trend, market share climbed to 46.6%, continue to lead the domestic micro-commercial vehicle market. The prominent performance of the market has caused widespread concern in the domestic media, but it has also caused some overseas media to have a keen interest. Prior to his visit, overseas media had stated that if they want to explore the success of GM in China, it is necessary to find the “secret” for the successful rise of SAIC-GM-Wuling.

Sticking to "low cost, high value"

“Low cost, high value.” A media reporter from the United States repeatedly chewed on the concept of corporate development emphasized by SAIC-GM-Wuling. Perhaps in his values, the concept of "low cost, high value" still needs to be pondered repeatedly. A media reporter from Europe, after visiting SAIC-GM-Wuling, wrote in an e-mail sent back to this newspaper: “I personally think that the success of SAIC-GM-Wuling is not accidental. It was made for SAIC and GM. While contributing, it also provides a model of corporate success for the world's automakers. Here we see a new model that may be worth promoting to the world.”

As early as in 2005 Shanghai International Auto Show, Shenyang General Motors Wuling General Manager once again clearly pointed out that: China's micro-car companies face the biggest challenge is the scale and cost, in order to obtain cost advantages, annual sales and sales of more than 300,000 vehicles. In that year, the production and sales of SAIC-GM-Wuling exceeded 300,000 units, and it was increased to 460,000 units in 2006. In 2007, the target is locked at 520,000 vehicles. The micro-car industry's profit margin is relatively low, and product substitution is more powerful, and the micro-vehicle consumer's consumption concept is becoming increasingly rational: the price is reasonable, the quality is reliable, and economical and practical does not pursue “face”. After SAIC-GM-Wuling conducted an in-depth study of industry and user needs, “low cost, high value” became a smart choice. "Low-cost" allows companies to obtain cost-competitive advantages. "Low-cost" does not mean low quality. It is premised on "high-value"; "high-value" gives products more value, meets user needs, and enterprises gain product advantages.

Therefore, Shenyang said that adherence to the "low cost, high value" principle of doing things, adhere to the bottom line of quality and cost, maintain the operating mentality of small companies and promote "lean" management, the effective implementation of these guidelines is to achieve a comprehensive overtaking of SAIC-GM-Wuling Solid foundation. After the joint venture, the pursuit of both bottom line quality and cost has a staunch effect: product quality is getting better and better, consumers are increasingly recognized, and the cost is getting lower and lower, SAIC-GM-Wuling also won the "low cost, high value "Manufacturing expert" title. In 2005, GM’s global president Wagner visited SAIC-GM-Wuling and even said that he “is not coming to speak, but to learn.” General Manager of SAIC-GM-Wuling-Shenyang also believes that internationalization is not something external, any car. Enterprises must pursue low cost and high quality. If you simply pursue low costs and ignore the quality of your products, then you cannot have sustainable competitiveness.

It needs to be digested by yourself

Prior to the joint venture, Wuling Automobile insisted on a "low-cost, simplistic" vehicle-building method. The focus was on cost competition, and the understanding of consumer demand was not deep enough. After the joint venture, not only did SAIC and GM learn the concept of management and manufacturing methods, but also its business awareness became increasingly high. "Low-cost and simplification" was also innovated as "low cost and high value." SAIC-GM-Wuling not only insisted on traditional cost competition, but also There are quality competitions, product competitions, talent competitions, system competitions and so on that are learned after joint ventures.

Under the “Chinese-foreign” joint venture model, SAIC-GM-Wuling did not forget itself, actively promoted independent innovation, and insisted on local innovation. If you simply “take it in” and fail to effectively combine and digest with the original company, the “satisfaction with water and soil” caused by the phenomenon may completely make the company “learned only to get rid of it”. Innovation does not exclude excellent results. The key to absorption is self-digestion. “Taking me as the main factor and integrating resources” is SAIC-GM-Wuling’s independent innovation model.

SAIC-GM-Wuling has introduced GM's excellent manufacturing management experience, GMS (General Global Manufacturing System). The "GMS" used is not a fully licensed transportation but combines the essence of GMS with its actual situation to form SGMW-GMS. Within SAIC-GM-Wuling, all work departments and even administrative departments strictly follow the operational elements of SGMW-GMS and actively eliminate waste, reduce costs, permeate quality awareness from all aspects, and create a more cost-effective product for the entire system. We will work hard to implement the concept of "low cost, high value" throughout all areas of the company.

Eighteen media reporters from Europe and U.S., after test drive Wuling Light, Wuling Hongtu and SPARK Le Chi, were all interested in microscopic cars with beautiful appearance and value of around 40,000 yuan. They are very good quality and the price is very low, less than 5000. The price of the dollar is incredible," the foreign reporter said.

“Wuling Light” became the fastest growing single platform vehicle model in China’s auto market in 2006. “Wuling Hongtu” is a new generation of microfabric and is favored by consumers for its innovative design and comfort. This is always the case for SAIC-GM-Wuling. In-depth attention to the needs of users, commitment to "low-cost, high value", the practice of its own independent innovation model results. It is reported that at the Shanghai Auto Show, "Light of Wuling", "Wuling Hongtu" and SPARK Le Chi also exhibited.

Steady Development and Responsibility Awareness

In the five-year growth history of joint ventures, SAIC-GM-Wuling has become a leader in the mini-vehicle market from local companies in the southwest. In accordance with the steady development mechanism of “doing well, strengthening, and further expanding” within the company, “doing a good job” has been initially achieved, and it is currently at the “strengthening” stage and is working towards the “bigger” stage. Shenyang said that SAIC-GM-Wuling insisted on “doing well, strengthening, and then expanding”, and doing a good job is to compare with oneself and strengthening the foundation; stronger is a comparison with peers to enhance competitiveness; bigger, is to become a leader in China. , an internationally competitive company.

“We must continue to work hard to maintain our leading position. From the quantitative development to the overall improvement of the management, level, and personnel quality of the company, we should say that we have achieved very good results. When companies have achieved very good results, how do companies come To reflect and realize the construction of a harmonious society, how to pay attention to the people's livelihood and how to return the society's support for it, and especially to pay attention to the disadvantaged groups in society, should become our new topic." Shenyang was in the Red Cross Angels program on March 26th. SAIC GM Wuling Pok Love Fund's inauguration ceremony so told reporters.

After one day's investigation, overseas reporters have stated that “China’s automobile growth momentum will develop very quickly and the mini-vehicle market cannot be neglected in particular. SAIC-GM-Wuling’s development experience is worth us to bring back to China.”

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