When Wei Yeyong, who was the fifth general manager of Shanghai Hino, took office, it was the third year in a row that Shanghai Hino was losing money. Losses for three years, Wei Yeyong's future in Shanghai Hino was considered by the industry to be the same as his predecessor, and he was not sure about Shanghai Hino’s stop loss. However, in the happy Chinese Olympic Year, the market began to favor the small and exquisite enterprise of Shanghai Hino. In 2008, Shanghai Hino achieved its first profit since its establishment - RMB 35 million. “The most difficult time for the company has already passed.†Recalling the scene of that year, Wei Eryong knew that Shanghai Hirano would begin to recover through years of hardship.
Small business high quality
“We are a small company.†Every time Wei Eyong introduces Shanghai Hino, he mentions “small†words. This is not Wei Yeyong's self-deprecation. On the model, Shanghai Hino is indeed not very big in China's engine industry, and even a bit too exquisite.
In 2007, when Wei Yeyong took office, Shanghai Yeye's employees were around 280, that is to say, there were only 340 people who were making progress while turning losses into losses. A school academy will be able to sit up and down Shanghai Hino to open a general assembly.
For Hino, the parent company of Shanghai Hino, Shanghai Hino is small. For the former partner Shichai, Shanghai Hino is still small. However, it is this "small" Shanghai Hino that stirs up China's high-end engine market, relying not only on a joint venture brand, but also has an admirable quality.
Relying on the brand and quality to win the favor of the market, this is also the original intention of Hino to come to the Chinese market. To do it, we must do a high-end engine. From now on, the high-end line of Shanghai Hino is correct.
At the beginning of the establishment of Shanghai Hino, China's auto industry did not have a very good high-end engine. This is a cake that has been temporarily ignored and unable to be divided in the industry. In the face of difficult problems, Shanghai Hino directly targeted the Euro III emission standards. The slogan of leading market technology for two years is Shanghai Hino’s confidence in its own technology.
Advanced and mature technology platform is the advantage of Shanghai Hino. In 2004, Hino introduced a mature Hinoou III product P11C series engine from the market. After several years of development, the current P11C series has gained a firm foothold in the domestic commercial vehicle market. In order to complete the product lineage and achieve a wider range of power coverage, at the end of 2007, Hino introduced new H08E series products for the global market. At the same time, it also introduced J05E series engines with a smaller power range for excavation, which is not only suitable for commercial use in China. The development of the car market is also part of the Hino China strategy.
In the face of rising emission standards, Shanghai Hino has also launched two engines using EGR (Exhaust Gas Recirculation) clean combustion technology for the forthcoming National IV Standard and applied two new technologies: First, Hino Advanced Electronics Steplessly adjustable EGR valve control system, with efficient EGR cooler, through the CAN communication ECU control EGR in the entire range of effective operation; Second, the use of VGT (variable geometry turbocharger), turbine blade through CAN Communication is driven by the servo motor to change the nozzle angle steplessly, enabling the engine to operate in high-efficiency areas at high and low speeds, widening the peak torque range, improving transient response, and improving economy. The target markets of Shanghai Hinoou IV and Euro III products are basically the same, and they are positioned in domestic high-end markets such as large-scale high-grade passenger cars, semi-trailer tractors, cement mixers and pump trucks with high reliability, durability, and comprehensive performance.
Thanks to its superior quality, although the engine price of Shanghai Hino is about 20% higher than that of domestic engines, it still wins the hearts of many large customers. Sany Heavy Industry and Valin have long been the most important customers of Shanghai Hino, only their orders. It reached half of the total market sales of Shanghai Hino.
At present, some of the domestic engine 500,000 kilometers may have to wear the shaft, change the shaft, and Shanghai Hino engine can do 1 million kilometers without major repairs, can fully meet the needs of domestic high-end market, small and exquisite Shanghai Hino played a world with quality.
"Abandoned" does not give up
Shanghai Hino, who sailed forward, has suffered a series of losses in addition to the loss for three consecutive years. “Using fashionable sentences, we are 'abandoned'.†An employee of Shanghai Hino talked about the separation and used a playful description.
On October 15, 2007, the once ambitious Shangchai Co., Ltd. held an extraordinary general meeting of shareholders to consider and pass the proposal of the company to the current controlling shareholder Shanghai Electric Group Transfer Co., Ltd. to hold a 50% stake in Shanghai Hino as Shanghai Electric Group to Shanghai Automotive. Transfer of the 0.32% stake in Shanghai Shichai. Analysts believe that: “Shanghai Hino has been in a losing position since its establishment in October 2003. Given the characteristics of the Hino Department affiliated with Toyota Motor Corporation of Japan, it is difficult to have a future in Shanghai Automotive.â€
Recalling the changes of that year, Wei Eyyong did not complain that he felt that he had not been included in the eyes of the Fa as a result of the initial loss. It is not a pity. Failure to follow Shangchai's entry into SAIC Motor Group has resulted in the loss of an opportunity to switch from an independent engine supplier to a vehicle company that belongs to an engine company. However, Shanghai Hino has gained greater opportunities for development.
"Shangqi has its own commercial vehicle and engine strategy. Even if you give this engine company to them, it will not be considered in a strategic way. Shanghai Hino will not necessarily have better development because SAIC has its own strategic considerations. Hino also has its own strategic plan.†For the separation, Wei Eyeon looked very thoroughly. In fact, Shanghai Hino, which has already soloed alone, is neither a “quality asset†for both groups, neither SAIC nor electrical.
"We can only develop by ourselves." This is the answer given by Shanghai Hirano. In 2007, the sales of Shanghai Hino was only 3,100 units. In 2008, it increased to 9,000 units, including P11C and J08. In 2009, it sold 11,600 units. From being "abandoned" to a sales stage of one year, Shanghai Hino achieved self-leap. Can be abandoned, but they can not give up, if not adhere to the year, the Shanghai Hino may have long been ignorant of the Chinese automotive industry in the development of the flood.
Exquisite management
In Hino, Shanghai, when a reporter went to visit the production workshop, he was first required to bring a safety helmet. An engine company also had to bring a safety helmet to visit. This was the first time in the journalist's interview career.
At the scene, the reporter saw that there was no dust in the production area, just as if it had not yet been put into production. Even if the dust is common in some companies, there is nothing wrong with it. The number on the LED screen on the shop floor continues to jump, showing the progress of each production line. According to Yao Nianhua, director of the Shanghai Hino workshop, the cleanliness of the production workshop is all done by the operators themselves.
In order to ensure the quality, the workshop requires that the gloves are not too dirty, so the publicity board is affixed with dirty gloves and clean gloves for comparison. The operator can visually know what to do. "Even when the Japanese Toyota representative came to visit, he said: 'You don't have a bit of oil in your workshop. It's actually cleaner than the Japanese factory!'" Said Yao Yaohua with a look of pride. [next]
The workers of the factory all need workers to do, so the Shanghai Hino Engine has always attached importance to staff training and team building since its establishment. The operator of the workshop is mainly technical students and secondary technical students, with an average age of 20 years. In order to shape them into usable materials, Shanghai Hino invested 20 million yuan in business skills training from 2004 to 2005. On the one hand, 20 Japanese people were invited to the factory. The Japanese taught one action and one action. This trained 100 people a year. On the other hand, about a quarter of the outstanding employees are dispatched to the Hino Engine Factory in Japan for retraining to ensure the technical skills of the first-line production workers.
The emphasis on quality and responsibility is that ordinary domestic companies cannot compare with Shanghai Hino. Wei Aiyong told the “Car Watch†that when the crankshaft was just beginning to be tested, the technical requirements of Shanghai Hino were much higher than those of other companies. In terms of inspections, the general enterprises did sample inspections and 100 of them could only pump smoke. Three tests were done, but Shanghai Hino used a full test for a long period of time. “Every crankshaft comes out and every piece of data has to undergo a rigorous inspection.†For Shanghai Hino, where there were only two hundred people at the time, such workload was huge. There are two groups of workers in the inspection workshop. They do shift work 24 hours a day and can only do 500 to 600 vehicles a month. This lasts for six months. The quality of the crankshaft has stabilized and it has gradually resumed its regular inspection. "They are very serious at every step, being very careful, for fear of any problems."
One of the things that made Wei Yeyong feel more emotional is that there is no concept of wearing parts. “In the past, we used to say that Pistons and others were wearing parts and that the repair rate was particularly high, but Hino completely overturned my past understanding. There is no concept of wearing parts here.†They think that every component has a fixed life expectancy. , as long as the quality and quantity are good, daily use is also correct, all parts and components can be used to the specified time limit, there is no problem of large repair rate.
Face localization
According to Wei Yeyong, four of the five key components of Shanghai Hino’s engine have been domesticated: the body, the crankshaft, the camshaft, and the connecting rod. Currently, only the cylinder head needs to be imported from Japan. Although it cannot be done now, after the localization of the body, the next localization goal of Shanghai Hino is the cylinder head. As a joint-venture company, localization and localization can well reduce production costs. High quality does not mean high prices, steadily promotes localization, can significantly reduce production costs, and is conducive to expanding the market. If we rely on imports to maintain High quality will eventually lose users.
To promote localization, Shanghai Hino has its own understanding. "Domesticization can be profitable, but it cannot be done at the expense of quality. Quality is the highest priority at any time. It is better to make less money or make money slowly, not to have the slightest quality in sloppy, authentic Hino quality, It is the goal pursued by Shanghai Hiroshi." Wei Yeyong said.
In Hino, Shanghai, it is extra cautious to localized parts and components trial production. It is easy to postpone difficulties and steadily advances. The localization rate is close to 60%. This year, the localization plan for the engine body has been implemented. The realization of the localization of the machine not only reduces the production cost. It also means that the production capacity is further released. Localization is good, but Shanghai Hino has its own pains.
Shanghai Suno Sales Minister Sun Gangxin told reporters that the key components have gradually become localized in the past four years, but the decline in the entire production cost is not obvious, mainly because the output is too small, if the gross margin is constantly compressed, the company is very dangerous, and the most pressing task is Rapid expansion. In Hino, the object of the complaint is not the customer, but their own after-sales service provider. Due to the high quality of the Shanghai Hino Engine, “not earning your money†is already a mouthpiece of these service providers, and this simple complaint is , is the best reward that the market issues to Shanghai Hino.
For the future development, Sin Bo Yang, general manager of Shanghai Hino’s new appointment in Japan, stressed that China’s diesel engine, truck market and passenger car market will continue to develop in the same way. Among these, Shanghai’s Hino can only say that it is very large scale. A small company. How to obtain more stable development in this huge market in China is the basic point of thinking of Shanghai Hirano.
With the completion of Hino's auto plant, GAC Hino, Shanghai Hino has also started supplying engines to GAC Hino's trucks. Xianbo Yang said that the future positioning of Shanghai Hino is still an independent engine plant.
"In the future, we must make better use of Hino's technology, not only to supply GAC, but also to supply general OEMs." The key work in the future is not only to increase production capacity and further improve quality, but also to formulate new products in accordance with China's exhaust emission regulations. Production Plan.
"Although we have seen a substantial increase in sales volume, we must also devote great efforts to other details. We must do our best."
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