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China's manufacturing in independent innovation

Jul 25, 2018

The second meeting of the Central Committee of the financial and Economic Committee, held in July 13th, stressed that we must effectively improve the key technological innovation capability of our country, improve the ability of technological innovation, strengthen basic research, make great original breakthrough, adhere to open cooperation and innovation, expand the opening of science and technology domain and make full use of international innovation. Resources, open up diversified channels of cooperation, select the field of cooperation accurately, strengthen the cooperation of foreign science and technology in universities and scientific research institutes, and strengthen the partnership of innovation.

According to statistics, in 2017, China's R & D expenditure was 1 trillion and 750 billion yuan, the second largest in the world; the GDP ratio was 2.12%, and the investment intensity of R & D funds reached the level of the medium developed countries. The innovation ability of China's manufacturing enterprises is increasing and the innovation results are constantly emerging. The system of high speed rail, nuclear power and communication equipment has come out of the country. Major aircraft, quantum communications, and marine engineering equipment have made major technological breakthroughs.

In the course of the 40 years of reform and opening up, the process of China's manufacturing industry from weak to strong, enterprises from domestic to the international process, is also a process of innovation and opening up as the guidance, and constantly to strengthen the industrial ecological system. This process is full of originality, and can always produce good plays.

World class innovation props up China's creation

Recently, the United Nations "World Intellectual Property Organization" released a 2018 annual "global innovation index" ranking. In this ranking, China (mainland) entered the world's top 20 for the first time, rising from twenty-second last year to seventeenth. According to the report, Francis Gauri, the director general of the world intellectual property organization, said: "China's rapid rise in this list is determined by the strategic orientation of the top leadership of the country, that is, to develop world-class innovation capabilities, adjust the economic structure on the basis of knowledge intensive industries, and to rely on innovation to maintain their economic structure. National competitiveness. "

The world level innovation ability not only needs to strengthen the strength of independent innovation, but also needs to strengthen the ability of global allocation of resources. Both of them are very important and mutually promote and should not be biased. Independent innovation and global allocation of innovation resources have become two wheels driving the innovation and development of China's manufacturing industry.

As a major landmark project for China's reform and opening up and innovation and development, China's commercial flying large aircraft project, from the date of its birth, emphasizes independent innovation, and is also deploying innovative resources in the world. The globalization of the civil aircraft industry and the free flow of innovation elements in the world provide the favorable conditions for China business flying company to gather global intelligence, integrate the global resources and carry out global cooperation. At present, China commercial flying company basically forms the capacity of the main manufacturer, and establishes the management system of "taking customers as the center, adhering to the product realization and product management process, adhering to independent innovation, integrating global resources, working together efficiently, creating value for the stakeholders continuously," and constructing "China business flight as the main body," The market oriented technology research system for civil aircraft is a combination of industry, University and research.

It is understood that China's commercial aviation has achieved fruitful results in its independent innovation. 47 universities in China have taken part in the key technology research and established a collaborative innovation platform with multi professional integration, multi team collaboration and multi technology integration. Through independent innovation, China commercial flight conquered 108 key technologies, such as the design of control law of full power transmission control system, modular integrated avionics software architecture and design verification technology. It conquered a series of digital assembly techniques such as flexible holes and automatic docking of large parts, and broke through the design of the supercritical wing of a large passenger plane. With the core technology, such as analysis and verification, titanium alloy 3D printing, and skin mirror milling, we have mastered 5 categories of 4 grade 617 professional technology and 6744 standard specifications, 1125 items of patent application, 610 patents authorized, 1 national technical inventions awards, and 31 scientific and Technological Awards in Shanghai.

Hudong Zhonghua shipbuilding (Group) Co., Ltd. is also a typical case.  Hudong China has successfully developed the only ship full 3D design software with complete independent intellectual property right in China - SPD/SPDM shipbuilding design management software system. It has realized the import substitution in the 3D modeling, design and management of the digital sample ship, the cooperation of production information and so on. It is in more than 200 enterprises, universities and scientific research institutes in the country. It has been popularized and applied in more than 100 types and nearly 1000 products. The cost of importing and maintaining the national software is nearly 500 million yuan. It has set an example for the autonomous and controllable development of the basic industrial software in the shipbuilding industry, ensured the information security, and broke the form of foreign software occupation of the three-dimensional design software market of China's shipbuilding industry for more than ten years. It opened up the road of independent innovation of shipbuilding industry 3D software.

By introducing the patent technology of the French GTT company, Hudong China has completed the production of the E-80 model module of the film type LNG ship in China, and obtained the accreditation certificate of the international famous classification societies, such as the French GTT company and the United States, Britain, France, Norway, Japan and so on. On this basis, through the introduction of the technology patent of the French GTT company film tank and the design and construction technology of the the Atlantic shipyard in France, the insulation box, the Yin tile tube and the pump tower are independently developed, and the special ultra-low temperature (minus 163) liquid cargo containment system, the super low temperature liquid barge system and the special power control system are conquered. In 2008, China's first LNG LNG ship was successfully delivered by Hudong China, and all the 5 LNG ships of the first batch of Guangdong and Fujian projects were delivered by the end of 2009, and a brilliant writing was written in the development of the whole Chinese LNG industry. In particular, the 22000 container ship under construction in Hudong China is the world's first super large container ship with liquefied natural gas as main power fuel. The undertaking of the project marks the great leap forward from the "follow up" to the "lead" of China's high-end marine equipment manufacturing. The next step, Huadong China will take advantage of the existing advantages of LNG ship and related products as the core, give full play to the LNG ship spillover effect, promote the LNG industry to extend from the LNG ship to large equipment, key equipment, materials, extend from the sea to the land, continue to extend the LNG industry, and become a strong LNG industry.

Innovation is the biggest driving force for enterprise development

A number of private enterprises in China have taken the lead in making full use of two domestic and foreign markets and two kinds of resources to enhance their own innovative strength and core competitiveness. Wanxiang was founded in 1969. Lu Weiding, chairman of Wanxiang Group, said that in the past 49 years, based on innovation, technological innovation is now the biggest driving force for all directions.

Since 1998, Wanxiang has begun to build a "Trinity" technology innovation system with three major elements, such as global resource integration innovation, industrial chain interaction innovation - enterprise comprehensive synergy innovation.

At the global level, Wanxiang will create a global innovation network platform for private enterprises, which will integrate endogenous innovation resources with mergers and acquisitions. It is understood that Wanxiang has acquired UAI, rocford, AI, Scheler and so on. On this basis, through digestion and absorption and innovation, it forms its own integrated technical ability to realize the transformation of "manufacturing" from "processing and manufacturing" to global resource integration, from supporting parts to modules. And then to the system integration and supporting transformation.

At the industrial level, we will build the industrial common technology innovation platform, actively implement the modular chemical plant strategy with the automobile manufacturing enterprises, and join hands with the upstream and downstream enterprises to create the independent innovation industry chain of China's auto industry. At present, Wanxiang Group has national technology center, National Laboratory of auto parts, post doctoral research station and academician workstation. It has opened laboratory with LINK, Divans and other companies in the United States. It has realized the sharing of resources, and has been developed synchronously with sea steam, SAIC general Wuling, Jianghuai and so on. The system is integrated and supplied, and it is increasing the synchronous cooperation development of automobile manufacturing system with Chery.

At the enterprise level, universal and comprehensive collaborative innovation management system can build the core technology ability through full innovation, all factor innovation and all time and space innovation. At the early stage of the system construction, the enterprise only developed more than 30 new products every year, and the contribution rate of new products was only 20%. By 2005, enterprises will develop more than 1000 new products and new varieties, and the contribution rate of new products will reach 69%. In the past more than 10 years, there are more than 50 products and technologies in the leading position in the country.

Lu Weiding said that the universal practice of a thorough open strategy, the use of all available resources, combined with all the forces that can be combined. The "three integration strategy" has been implemented by the universal independent innovation, that is, the integration of transnational corporations, the use of TNCs' scientific and technological resources, the integration of international advanced technology, the establishment of multi-point and multilevel technical support systems, the integration of international mainstream markets, and the simultaneous development of International advanced technology. At present, Wanxiang has formed a global innovation network covering more than 50 countries and regions.

The universal innovation project has realized the technological breakthroughs of automobile chassis system integrated development technology, ABS technology and hub bearing unit, completed the transformation and upgrading from two level suppliers to first level suppliers to zero level suppliers (synchronous design), and ABS technology broke the long-term technical blockade of foreign countries and promoted the technology. The independent innovation of the domestic auto parts industry.

More creatively enhancing the strength of independent innovation

In strengthening the strength of independent innovation, Geely creatively promotes the global innovation resources for their own use and strength by conforming to global coordination in conformity with international rules. Li Shufu, chairman of Geely Holding Company, said Geely's global synergy is in the process of practice and exploration. Li Shufu says Geely's global synergy is mainly the story of Geely and Volvo, although Li Shufu humbly says "how much success can't be achieved", but it does not reduce its creativity.

In 2010, Geely delivered a 100% stake in Volvo Car Corp as a whole with Ford Motor Co. Volvo sold 370 thousand vehicles in that year and made a lot of losses. After Geely took over Volvo, it established the right strategic direction for Volvo and helped Volvo to restore its competitiveness in the market. It began to produce effects in 2011, whether sales or profits were growing almost every year.

Li Shufu believes that this is mainly due to the high degree of coordination and cooperation between Geely and Volvo. Geely has successful experience in cost control, helping Volvo to reduce costs, and Volvo helps Geely improve R & D, quality control and other aspects. Two companies do joint research on projects of common concern, especially the common research on some basic theories and basic modules. In this case, two companies Great progress has been made.

One of the typical examples is Geely and Volvo jointly developed the CMA architecture. "This fundamental thing is a process of turning theory into reality and turning imagination into physical objects. We feel that this is a very proud achievement." Li Shufu said, next, Geely and Volvo will continue to work together, and may also develop a higher level of infrastructure, and gilli will go to the world and have a lot of synergy with Volvo.

In the future, the pattern, concept and existing form of the automobile industry in the world will be different from that of the present. The key is that the automobile enterprises should have the real ability of development, design and operation. At present, Geely has invested hundreds of billions of R & D costs each year, set up five design centers around the world, combined with the trend of global fashion elements to carry out original design, and set up different engineering centers to turn the design imagination into reality.

It is understood that Geely has formed the forward R & D capability of the whole vehicle, developed the CMA, BMA and other platforms, and formed independent innovation ability in automotive power assembly, engine, gearbox and all electronic controllers. It can independently define and independently develop tools, systems and processes in the process of R & D. Shen Ziyu, deputy director of the Institute of Geely Automotive Research, said that Geely's independent research and development ability has made domestic car R & D talents have a real experience of developing the core technology of the whole vehicle, making it possible for talents to master core technology and attract more talent to Geely, and promote the improvement of Geely technical level.

While enhancing independent innovation and global synergy, Geely is making efforts to build the capability of simultaneous development of industrial chains. Now the components system used by Geely is mainly the system of Korea, Japan, America and Europe, and the proportion of China's parts and components system is not high enough. "China's auto companies can only drive these auto parts enterprises only if they have the capability of independent innovation and independent design and have a certain scale." Li Shufu said, "we are now very patient with China's parts enterprises to enhance their ability to synchronize research and development."

Although the road is endless and faraway, I still want to pursue the truth in the world. Whether it is independent innovation or the promotion of endogenous resources of global innovation resources is a process of pragmatic exploration and accumulation. Although it acquired Volvo in 2010, it first entered the market in 2012 and has entered the world top 500 for 7 consecutive years, but Geely still lost money in 2014.  However, in 2017, the total sales of Geely sold 1 million 240 thousand vehicles, 63% year-on-year, net profit of 10 billion 600 million yuan, a year-on-year increase of 108%; the cumulative sales volume increased by 44% in the month of 1~6 in 2018, and the net profit increased by more than 50% year on year. In 2018, Geely ranked the 267th in Fortune 500, and climbed 208 in 7 years. Behind the data, it is thick and thin. The innovative strength of China's manufacturing industry also needs to be accumulated on the road of independent innovation and global allocation of innovative resources to contribute more wisdom and strength to the global manufacturing industry.