Dongfeng: Adhere to Open Cooperation in Independent Development


Since the establishment of Shenlong Automobile Co., Ltd. in 1992 with France’s Citroën, Dongfeng Motors has joined the world's biggest names in succession. It has been linked to more than once international multinational corporations such as PSA Peugeot Citroën, Cummins of the United States, Korea Kia, Renault of France, Honda of Japan and Nissan. Cooperation, until out of Shiyan, the layout of the country, the whole world, become an increasingly powerful large-scale automotive group.

In the joint venture and cooperation, how can we not only win the best, but also stick to independent innovation? Dongfeng Company has come out with a characteristic road.

As Zhu Fushou, general manager of Dongfeng, said: “Our goal is to develop China's east wind into a global trend. Independent innovation, independent brands, and independent business are the cornerstones of our business development, but Dongfeng has never been closed. With autonomy, we always insist on promoting self-development in open cooperation and adhere to open cooperation in independent development."

Once again, a primary school student “makes trucks. We are the level of college students. We are the primary school students for cars.” This is an interesting metaphor that reporters heard at Dongfeng Company.

The facts are similar. Dongfeng has a long history in trucks and has made outstanding achievements. In the 1960s, it became the first automobile factory to rely exclusively on domestic power construction. In the 1970s, it created a “hero car” in the lu’s shed. In the 1980’s, it leaped to the largest in the country. In the 1990s, Dongfeng “Warriors” who won the first prize of the National Science and Technology Progress Award for the development of “Baping Chai” and the new century (20.00, -0.20, -0.99%), which represented the highest standards of domestic trucks at the time, were established in the 1990s.

But whether it is "Baping" or "warriors", it is a representative of trucks and military vehicles. In terms of cars, Dongfeng started late. Dongfeng started production and sales of the sedan after the establishment of Shenlong Automobile Co., Ltd. in 1992, which was a joint venture with France’s Citroen, and the self-developed sedan was put into use later.

“Dongfeng’s truly autonomous development of passenger cars began in 2005. The first autonomous model was launched in 2009.” said Wen Wendi, deputy director of the Dongfeng Technology Center.

Of course, the Dongfeng people who once taught themselves in the field of trucks will not mind being a pupil again in the car field.

"The joint venture has a time limit. After the withdrawal of the joint venture partner, what else can we do? We must have long-term plans." Hou Yuming, party secretary of the Dongfeng Technology Center, said, "Joint ventures and cooperation must have new products in China. Together, they developed and reflected the needs of the Chinese market in their products rather than simply introducing foreign models. Over time, the level of intervention has deepened and we have more and more technologies."

What is learned in cooperation is not just technology. Dongfeng learned more advanced design and marketing concepts. “In the past it was first to make products and then to find markets. Now it is first to study the market, what the market needs, what we design, and what to produce.” Liu Guoyuan, deputy director of the Dongfeng Technology Center, said that this kind of standard learned from the joint venture company is positive. The development process has been fully applied to Dongfeng's own brand. "The market and technology must be accumulated to a certain extent before it is possible to develop. Our own brand passenger car has adopted the standard positive development process from the very beginning."

Dongfeng also learned more advanced management tools. Zhu Fushou, general manager of Dongfeng Company, said: “We have learned from our partners through joint ventures and cooperation how to build an organizational structure that is 'market-centered and customer-centric' under the market economy. This is a function of past factory functions. The organizational structure is different."

Dongfeng has also opened up an international perspective. Zhu Fushou stated that with the increase of Dongfeng's partners, they realized that in the global environment of economic integration, there must be an international concept, an international perspective, and international thinking, but also an international one. Talent support.

Strength to win the right to speak <br> <br> batch after batch of Dongfeng people learn and grow on the job.

Shi Jianpeng is a technical person trained by Dongfeng Motor's technology center. As a CAE computer simulation experiment expert, he found his position in the design of self-owned brand cars. “There is a wide gap between foreign roads and materials, and they are not suited to domestic conditions. Therefore, we must solve our own problems through our own methods.”

Dongfeng Fengshen S30 is Dongfeng's first self-owned brand sedan. In the design process of this model, they encountered the problem of easy cracking of the trunk lid. “We used CAE technology to try more than a hundred methods, and finally solved this problem by raising some key components. We passed 25,000 cases of trunk lid opening and closing experiments. The same problem has also appeared in other joint venture companies. Their cost of solution is much higher than Dongfeng."

Dongfeng Technology Center has expanded from dozens of individuals to more than 1,000 people in the development of several self-owned brand models such as the S30 and A60, from product planning, modeling, product design, technology, suppliers, quality management, industrialization preparation to after-sales service. , has formed a full value chain talent pool.

In the final assembly plant of Dongfeng Passenger Car Company, several display boards for process improvement projects were erected. The staff of the workshop, Mr. Ge Shilin, told the reporter that these were all thought by the workers on the production line. For example, in the DP-16 position, workers originally stood and their toolbox racks were behind them. A process required 47 steps and turned 10 times, which took 0.57 minutes. After adding an accompanying trolley and changing the position of the toolbox, the operator can sit on the trolley and the toolbox can also be easily accessed, reducing the time to 0.17 points. "With this small change, in this production line, the labor cost can be saved by 8,773 yuan per year."

In the end, these Dongfeng people won the right to speak with their strength. Xia Hong, deputy dean of the Passenger Vehicle R&D Institute of Dongfeng Technology Center, said: “When we cooperated with Dongfeng Nissan, we felt that any technology that the Chinese have already formed is open to the outside world; if it is not, they will hold it. ”

Shenlong Motors Co., Ltd. is Dongfeng's first vehicle joint venture and was founded 22 years ago. The deputy head of the Technical Center of Shenlong Motor Co., Ltd. Tan Minqiang said with emotion: “The improvement in the past 10 years has been very large and our capabilities have been recognized by foreign parties. When we did projects 10 years ago, a large number of on-site craftsmen were French. Now one In the project, there are few French personnel, and we have pioneered breakthroughs in the fields of manufacturing and craftsmanship, and the excellent experience in this area has started to be exported to the French side. In terms of supplier selection, China has been able to make decisions for itself in the past 10 years. Our product research and development capabilities have also been recognized. In the future, in emerging markets such as Southeast Asia, China will become the center of R&D strength.”

In fact, Dongfeng has cooperated with PSA Peugeot Citroen Group for 22 years. Both parties have continuously improved the cooperation level and expanded the scope of cooperation. This is the epitome that Dongfeng has won the right to speak with strength. In the strategic alliance agreement recently signed by both parties, the core technology of the French passenger car has been fully open to the Chinese side. “This grand agreement will allow us to achieve scale-based improvement in our own business, and technological capabilities, independent research and development efficiency, and independent brand quality will all achieve leapfrog changes. Dongfeng Company may have to reduce its exploration process for three to five years in its own business. Zhu Fushou said.

After the challenge is an opportunity <br> <br> self-development through cooperation, easier said than done. In the current market, the self-owned brand cars cannot be sold at a high price, and they can only be profitable, unprofitable, or even loss-making. One side is a self-owned brand car with difficult profits, and the other is a joint venture vehicle with high profits but a large profit distribution to foreign parties. Most Chinese auto companies face the dilemma of choice. The joint-venture brand is now putting down more and more, extending to the low-end market, and even worsening the days of self-owned brands.

Dongfeng’s autonomous passenger vehicles are faced with a cruel fact: The first self-branded products started to be launched in 2009, and only two years of rapid growth after entering the market will face a micro-environment or even a potential zero growth environment in the future.

In 2013, Dongfeng sold 1.271 million of its own-brand autos, ranking third in the industry from the industry's third, an increase of 13.4% year-on-year. Of which, the sales of self-owned branded passenger vehicles accounted for 565,600, ranking third in the industry from industry fourth, which was a year-on-year increase of 27.3%, and the growth rate was 2.4 times that of the industry. This figure reflects, on the one hand, Dongfeng’s achievements in developing its own business, and on the other, it reflects the hardships of Dongfeng’s development of its own business. Because in accordance with Dongfeng's large-scale independent strategic plan, in 2018, self-branded automobiles will need to reach 3 million vehicles. However, the 1.271 million vehicles in 2013 will have to be increased to 3 million within five years. Today, China's auto sales have entered a slight increase. It is obviously very pressureful.

Although Dongfeng Company did not achieve ideal sales during the implementation of the plan, it completed a large amount of basic work in its own business. The top-level design of the self-owned passenger vehicle and the naming rules for future products are all well-organized. The research and development of key technologies such as complete vehicles, gearboxes and engines have also been successfully implemented and the standardization process has been explored.

Zhu Fushou firmly believes that challenges are the opportunities behind it. “We should not be too pessimistic. On the one hand, self-owned brand passenger cars are obviously improving, and products are better than generation one generation. On the other hand, the concept of consumers is also changing. In the past, cars have become an identity face and they tend to buy high-end cars. Now they are The more it returns to the nature of 'alternative tools', the better the cost-effective autonomous passenger car's consumption environment will become better and better."

He also revealed that in the development of self-owned passenger vehicles, Dongfeng will continue to adhere to the platform, scale, system, and information development. "A platform is best to reach a production scale of 1.9 million or even 2 million, so that economies of scale will come out. Next we will focus on our own brand's technology reserves, focus on platform strategy, and pay more attention to independent brand building. In addition, with the With the advent of car networking, the Internet, and automotive e-commerce, the automotive industry will face revolutionary changes and we need to be prepared."


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