On February 21, Yuchai Machinery Co., Ltd. (Yuchai Machinery) held the signing ceremony for letters of business target responsibility in 2014. All persons in charge of projects signed letters of business target responsibility with Chairman Yan Ping and General Manager Wu Qiwei of Yuchai Machinery. Present were Yuchai Machinery's senior executives and leaders of all departments above the deputy level.

At the ceremony, 13 senior executives like Wu Qiwei, Ning Xingyong and Wang Limin signed letters of business target responsibility for Class A projects with Yan, i.e. letters of responsibility for projects the chairman is concerned about. 11 senior executives like Ning Xingyong, Wang Limin and Lin Zhiqiang signed business target responsibility for Class B projects with Wu Qiwei.

Before signing of letters of business target responsibility, Qin Xiaohong, chief economic manager of Yuchai machinery, reported completion of major special projects in 2013 in such aspects as projects the chairman was concerned about, income-yielding special projects, special market projects, special R & D projects and special quality projects.

Wu Qiwei introduced the KPI indicators and major special indicators for senior executives in 2014. Wu said, most of the KPI indicators for senior executives have been quantized on the basis of last year according to the company's management requirements, such as new product development, new product yield, delivery cycle of new products and turnover days of inventory for sales.

Also, Wu introduced information like targets of the company's Class A and B projects and persons in charge.

Yan Ping delivered a speech at the ceremony. He said, our evaluation of projects the chairman was concerned about and projects senior executives were responsible for was defective and lack effective data support, the evaluation indicators of letters of responsibility signed this year have been improved on the basis of last year and will enhance the company's management level if they are fulfilled.

Management must value data, change to data management and take data as the evaluation criterion for management performance. Efforts should be made to advance work through indicator quantification to promote fulfillment of indicators, Yan stressed, the management department should supervise and manage all departments and systems, and the budget department should conduct data monitoring effectively. Also, he required that leaders signing letters of responsibility should assume responsibilities, all systems and departments should pass on these responsibilities and targets, make arrangements and highlight key points.

Yan said, "second startup" is actually cultivating competitiveness to Yuchai Machinery. Besides high quality, our products should have high cost performance. We must face up to the problem that there a wide gap between our products and world branded products in the international market, judge competition in the future market, further expand our service radius and our advantages in parts matching and product cost, and enhance Yuchai's independence and competitiveness.

(Yang Mingze)