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Three innovations made the success of Yuchai
An interview with the General Manager of Yuchai Machinery Co., Ltd C Li Tiansheng
    In general, Yuchai represented the success of Chinese manufacture industry. It took only 20 years for Yuchai from a small factory in the border area with hundreds of people to develop to a large-scale international enterprise that ranks the number one in production and sales of engine in China and the top one by individual factories internationally. The general manager of Yuchai Machinery Co., Ltd, Li Tiansheng told the reporter in the exclusive interview.  The huge success of Yuchai mainly relies on the continuous innovation during the past 20 years. Li Tiansheng has witnessed the whole development history of Yuchai sine he entered Yuchai in 1982 after graduated from college.
    Li Tiansheng said that the management team of Yuchai always had the intention of innovation. Yuchai is the only enterprise that does not has the support by a machine factory in Chinese combustion engine industry. In order to survive and develop, Yuchai needs to do better than the other competitors. This is why the innovation is especially important for Yuchai. Under such pressure, the entire employee of Yuchai is more active in innovative in all aspects. He said that the innovation could be summarized as the following three points: first, the innovation of enterprise system and culture; secondly, the innovation of production and technology; thirdly, the innovation of marketing operation.   

The innovative of enterprise concept 

    Li Tiansheng said: Yuchai has established a series of effective, suitable and characteristic systems on production, research, and sales for the past many years. In the meantime Yuchai created the construction and innovation of enterprise culture. This culture stimulated the working passion and potential of the employees, and improved the working efficiency and performance. Flexible system and rich enterprise culture not only gave more energy to Yuchai, but also created a special image with Yuchai character.

    As the outside environment changes, the management team of Yuchais continue renew the operation system. They strengthened the administration, clarified the property relationship, standardized the management structure between parent and subsidiary companies, and established the communication system, responsibility system, and financial supervisor designation system by adopted new information into planning, management, responsibility and encouragement systems. In the meanwhile, Director Yan Ping proposed the concept of green development and all win in harmony based on the current enterprise culture. This new idea will be the core concept to guide the future development of Yuchai. It expands the responsibility from enterprise to the society and turns the buy-sell relationship between upstream and downstream companies into the strategic cooperative relationship. It combine the healthy development of the enterprise with the harmony and progress of the society; therefore to promote the enterprise image by improveing the enterprise culture. 

Innovation of production and technology

    The innovation of production and technology was the main factor of the fast growing of Yuchai. With continuing innovation for many years, Yuchai has been produced varies of products that cover broad area and has influence both in China and overseas market. In recent year, the new product which was about 40% of the total sales was the main factor for the fast growing of Yuchai. The technical innovation also benefits the products performance and quality. Yuchai engine was well known by customers for the power, environment protection and economic efficiency. It built the technology advantage on efficiency, high quality, performance, and marketing. Yuchai becomes the number one brand of engine industry in China and so far the brand values 5.336 billion yuan. 

    Li Tiansheng recalls that every big development step of Yuchai was based on the marketing of new products. Every technical innovation and improvement in return pushed the enterprise to a new stage. From turbo engine to direct injection engine, to the supercharged engine, to turbo-charged inter-cooling engine, and to the electric control engine, every product upgrade gave huge benefit to the enterprise and increased the strength and competitiveness of the enterprise at varies degrees . 

Innovation of marketing

    Innovative marketing operation is a unique advantage for the core competitiveness of Yuchai. From provide products to service customers, Yuchai never stops innovation of marketing. Yuchai was the first to build a service network covering everywhere in China. By shortening the service radius, quantifying the service quality, and increasing the times to visit customers, Yuchai has rapidly spread the products to the whole country. Yuchais marketing concept has undergone 3 times of renovations: from selling products to selling service, and till now creating value for the customers. Yuchai proposes a series of solutions for the customers start from planning, rising funds, finding delivery sources, until to settling the delivery payment. The goal is to help users to make money and to realize all win. The new methods of market operation are not only welcomed by the users, but also followed by the others industry competitors.

    Li Tiansheng told us that currently Yuchai is hiring experts to train the sales team and will also cooperate with the professional company in order to initiate a new market mode with Yuchai character in 2008.



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