Yuchai Machinery Group: Change is the Only Way Out

The Google artificial intelligence program AlphaGo successively defeated South Korea's Go world champion Li Shishi. This news ignited unprecedented enthusiasm for artificial intelligence. Even the reputation of “the strong bastion of human wisdom” known as “Go” has been “undermined” by artificial intelligence. It seems that in the future world, artificial intelligence will be omnipotent.

Maybe you will feel that this day is still far away, but Yuchai Group, located in Yulin, Guangxi, China's largest internal-combustion engine manufacturer, has started a project called Smart Manufacturing. For this state-owned state-owned enterprise, which has a history of 65 years, intelligent manufacturing is its new support for improving core competitiveness and responding to changes.


Yuchai Group Chairman Luan Ping

Second business

At present, the Chinese economy has entered a new phase that is different from the period of high growth over the past 30 years. Entering the "new normal" of the economy and transforming the mode of development have become a hurdle for most Chinese companies. For traditional power manufacturing companies, this demand is even more urgent.

In early 2014, Yuchai proposed the implementation of "second venture", the core of which is the transformation and upgrading of the company. According to Min Ping, deputy to the National People's Congress and chairman of Guangxi Yuchai Machinery Group Co., Ltd., the second venture is actually a requirement for the development of the enterprise to a certain extent. It is also a certain degree of development of the national economy. Enterprises must comply with the development of the country. a response to the new normal economy. "The new normal under the new business has encountered new challenges: on the one hand, companies do not like the large-scale increase in orders in the past; Second, the central energy-saving emission reduction, economic restructuring and the company's products and put forward new requirements." Change is imperative.

First, go to capacity. Yuchai's annual engine production capacity has been adjusted from 1 million units to 700,000 units. According to Luan Ping, the adjustment process does not mean that the production line is simply removed and the personnel cut off. He gave reporters an example. In the past, he used the production line of farm machinery and we invested capital to reform it so that it could be used for the production of new energy and high-powered products. "We have not idled one device during the process of adjusting production capacity." Those who have retired from the original production line have been trained and transferred to other positions in the Yuchai Group. Although production capacity has been adjusted, sales revenue has not declined. "The contribution rate of the original product is generally 25%, 26%, and now all new product development is above 30%. This way, the pocket money may be more than the original, and the days are better." Fuping said.

Product innovation and high-end is also an important aspect of the second venture. In the past five years, Yuchai has extracted 5% of its sales revenue each year to support product R&D. In five years, it has invested a total of more than 3.5 billion yuan in product R&D. It has introduced light, medium, and heavy-duty engines, as well as new energy power and ship power. Other aspects of new products. On February 19, 2016, Yuchai signed a joint venture agreement with MTU, a wholly-owned subsidiary of Rolls-Royce Power Systems Co., Ltd., a world-class engine manufacturer, to establish a high-end investment in Guangxi Yulin. Engine manufacturing company. According to the agreement, the two parties will leverage on their advantages in technology, production, marketing, and services to jointly develop high-end, high-speed and high-horsepower engine products markets in China and overseas.

"If we do not completely deny the original system, we will always be able to follow the big international companies and change will be the only way out." Fuping deeply understands this. "We must do Yuchai's entire system reform and rely on my people to do it." No.” Therefore, since 2014, Yuchai has introduced more than a dozen Japanese experts from Honda, Toyota, and Nissan to set up a studio to conduct a comprehensive system re-engineering in R&D, production, manufacturing, planning, procurement, and management. . "I want Yuchai's core team to fully recognize how far we are from the world's most advanced companies, know where the difference is, and then we know how to do it." Fuping explained his original intentions, and when it comes to the results, he lamented, " This year is the third year. The effect is not normal."

It has been two years since the second venture began. Fuping believes that the overall improvement of the team and the timely change of ideas are the greatest achievements. “The core team is ready and the direction is clear. The next step we need to do is to be steadfast and bite at Castle Peak. No matter how difficult it is, go ahead.”

Manufacturing intelligence

In 2015, the State Council officially issued “Made in China 2025” and deployed a strategy to comprehensively promote the implementation of a manufacturing powerhouse. This is the first decade of China’s strategy to implement a strategy for building a strong country. "2025 Made in China" is a dream of a strong country and a dream of quality. To completely change the image of “big but not strong” manufactured by China, more depends on the company itself. In August last year, Yuchai proposed to plan to achieve smart manufacturing in 2020 at the Top 500 Chinese Enterprise Summit Forum. It is understood that the initial concept of Yuchai’s intelligent manufacturing planning has been established and will be carried out at three levels: the upper-level IT system, the smart R&D system, and the smart factory.

The core of smart manufacturing lies in the improvement of overall manufacturing capabilities. "Second entrepreneurship" has achieved remarkable results and laid the foundation for intelligent manufacturing. In June 2015, the State issued the “Notification on the Establishment of a Special Project for Intelligent Manufacturing in 2015”, and Yuchai’s “Digital and Large Engine Block Digital Casting Workshop” project was successfully approved. This project will comprehensively upgrade the casting production line and rapid prototyping workshop, and upgrade the Yuchai's large and medium-sized engine block digital casting level. Through intelligent upgrades, operating costs will drop by more than 20%, production efficiency will increase by more than 20%, defective products will drop by more than 10%, and energy efficiency will increase by more than 10%.

Robots are smart manufacturing support devices. In the automated production line of Yuchai Casting Workshop, robots have been active in 2004. At present, more than 50 robots are carrying out work such as coring, core assembly, dip coating, handling, lower core, and sand casting. Take transfer robots as an example. In the past, the positioning of the manual transporting sand cores had a large deviation, which often affected the accuracy of the cores in the next modelling of the production line. By replacing the original manual crane with the help of robots to transport the sand core, the sand core can be easily and accurately transported to the pipeline, and the efficiency is doubled.

3D printing technology is the most cutting-edge technology in the current manufacturing field. Yuchai has applied this technology to mold manufacturing. "It used to be slowly and finely-grinding by hand. It was not only time-consuming and laborious, but there was still something that could not be done. Now, as long as the design intent is input into the computer and digital printing, moldless molding can be achieved and rapid manufacturing can be achieved. For the research and development of our new product, this is a leap forward.” Fuping told reporters. It is understood that since 2006, Yuchai has started the process development and research work of "modeless rapid manufacturing technology" (one of the 3D printing technologies), and has now applied moldless rapid manufacturing technology to the trial production of new products and product lightweighting process tests. , cutting-edge high-end technology testing and other fields.

"Intelligent manufacturing is a future trend of global industrial manufacturing in the future. Whoever loses it will not keep up with the times." Yu Ping said deeply. He said, "Different industries have different connotations of intelligence. It is a topic for me to find out how our industry is called intelligent."

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