Yuchai Machinery Co., Ltd. has recently held 2013 Medium-term Supplier Symposium in Hangzhou under the theme of "Lean Operation, Collaborative Innovation". Led by Chairman Yan Ping and General Manager Wu Qiwei of Yuchai Machinery, the leading body exchanged ideas with the representatives of 18 suppliers on lean supply chain building and major project management.

At the symposium, Chen Ningbin, vice general manager of Yuchai Machinery, reported the work in the first half of this year, the fulfillment of the work plan adopted at the supplier conference early this year as well as the advancement of major project management. According to him, in the first half of this year, parts quality indictors improved significantly; lean supply chain projects progressed smoothly and some have achieved encouraging results, for example, Guilin Fuda's crankshaft rejection ratio decreased nearly 12 percent.

The representatives discussed issues such as lean operation, Yuchai's major project management and how suppliers work closely with Yuchai. They agreed that it is imperative to conduct lean operation, hoping that Yuchai will share more data with suppliers in joint design and instruct those starting late in lean operation. Aiming at the issue of major project management, the representatives introduced the implementation experience of respective companies, too.

Wu Qiwei, general manager of Yuchai Machinery, delivered an important speech on the issues. Lean supply chain building should be advanced continuously and Yuchai should communicate with suppliers and move forward in exploration, he said, adding that Yuchai has begun to implement the reform of major project management and will distribute relevant processes of Yuchai's major projects to suppliers afterwards for full understanding and absorption, thereby gearing suppliers to Yuchai in terms of manufacturing, system, delivery and cost.

Yan delivered a concluding speech. He said, Yuchai's supply chain system has tended to developing harmoniously after system building over the years, but the system remains deficient in depth and breadth, thus efforts should be made to forge a new partnership with suppliers not available in the industry and characteristic of Yuchai. Afterwards Yuchai will reduce its capacity building investment in some fields, and set aside some space for construction by insightful suppliers willing to make investment. Yan also raised requirements to the supplier confederation, hoping that the supplier conference should be reformed, be practical and innovative, and be able to truly resolve problems.

In the afternoon, Yuchai Machinery held Yuchai Petronas Industrial Oil Promotion Conference in association with Yuchai Petronas Lubricants Co., Ltd. and Yuchai Machinery Monopoly Development Co., Ltd.

(Yang Youchun)