Wanli Tire of South China Rubber Tire Co., Ltd.-Innovation Course

At the end of 1980s, China presented a prosperous development prospect. 1988, Guangzhou South China Rubber Tire Co., Ltd. officially obtained the approval certificate of Sino-foreign joint venture, and obtained the technical license of annual output of 300,000 sets of passenger cars, light truck semi-steel radial tires and heavy truck all-steel radial tires. At this time, Hua Lun Company was born in a good opportunity of China's reform and opening up, and the opening of the country also gave Hua Lun Company the opportunity to introduce Firestone technology from the United States. At that time, the major tire factories in China mainly used bias tires, and the introduction of Hua Lun Company gave China tire industry a full range of radial tire production technology. Although only some ordinary tire production technology was introduced at that time, it laid the foundation for Hua Lun Company to have advanced independent technology.

China's modern industrial system started with technology introduction and development in 1980s, and experienced the pains of reform and development in 1990s. The digestion, absorption, application and popularization of imported technology is a key to the success of enterprises, because there are many examples of enterprises closing down at a loss because imported technology cannot be transformed into productivity. Hua Lun company is also facing such trouble. Before 1998, Hua Lun Company was troubled by the difficulty in product sales and low profit. By the end of 1997, Hua Lun Company had accumulated losses of 280 million yuan, with potential losses of more than1000000 yuan. As a result, the enterprise could not operate normally, was forced to stop production and was on the verge of bankruptcy.

At that time, due to the restriction of automobile consumption level, the domestic semi-steel radial tire market was mainly concentrated in middle and low-grade tires, and the competition among tire manufacturers was fierce. The high-grade automobile tire market is mainly in developed countries, with high technical content and high added value. Before 2003, high-grade products were monopolized by eight international tire groups such as Michelin, and no domestic manufacturers could produce them. What Hua Lun Company needs to do is to tap the internal R&D potential on the basis of introducing production technology from flint and tire size, develop high-tech products with "Wan Li" characteristics as soon as possible, and enhance the competitiveness of enterprises in domestic and foreign markets, so as to transform technology into productivity and solve the problems of difficult sales and low profits. For the survival and long-term development of Hua Lun Company, Hua Lun people turned their attention to the high-end market, and gradually embarked on the road of independent technological innovation facing the international high-end market by absorbing, digesting, developing, upgrading and recreating the imported technology. Starting from 1999, V-class tires (240 km/h) were produced. In 2002, 17 and18 "W-class tires (270 km/h) were successfully introduced, and in 2003, 20Y-class tires (300 km/h) were introduced, which laid the foundation for the high performance of China wheels. Hua Lun is the first manufacturer in China that can develop and produce high-performance automobile tires. At present, among domestic tire enterprises, Hua Lun is the only one that has formed a complete independent innovation system and product research and development capability on the basis of introducing technology and is in line with international standards.

In the face of the downturn of enterprises, Hua Lun people are not discouraged, and the whole company is United in fighting with difficulties. As a result, Hua Lun Company started a more difficult but passionate road of "turning losses into profits". Starting from internal management, Hua Lun Company mobilizes the enthusiasm of employees from all aspects, and at the same time concentrates on independent technological innovation, thus the enterprise presents a new atmosphere. In 2000, Hua Lun Company turned losses into profits for the first time, achieving a profit of1552,200 yuan, and its sales revenue exceeded 500 million yuan for the first time, ranking among the large enterprises in China.

The year 2000 is the last year for Hua Lun Company to achieve the goal of "turning losses into profits in three years" at the national, provincial and municipal levels. Hua Lun people made rational use of this opportunity and carried out a series of rectification measures in the enterprise. In order to give full play to the enthusiasm and creativity of employees, we constantly strengthen team building and organize various labor competitions and on-the-job training for many times; Two-level accounting was implemented in the production workshop, which mobilized the enthusiasm of employees, and various small inventions and small technological innovations came into being, saving production costs and prompting managers and operators at all levels in each production workshop to really care about products; Increase management technology progress award and employee rationalization suggestion award to mobilize employees' small inventions and creations to improve and improve their work more effectively; On the mechanism of employing people, Hua Lun Company "doesn't ask how much it knows, only asks how much it will do; No matter how much you do, you only care about whether the effect is good or not. "This employment strategy has made Hua Lun a stage for gathering talents. Personnel classification starts from three categories: management, technology and technician, which makes people give full play to their talents and greatly mobilizes the enthusiasm of talents in all aspects; The innovative idea of "producing a batch, developing a batch and reserving a batch" has enabled Hua Lun Company to continuously improve its independent technological innovation capability, grasp the development trend and direction of the industry, and form the most complete product line in the domestic tire industry, with more than 10 series and 1200 pattern specifications. At this time, Hua Lun Company also put forward many new development concepts, such as "high standard, strict requirements, meticulous and pragmatic" working methods, in order to further promote employees to establish a correct working attitude, so as to build high-quality tire products. On April 9, 2002, Guangzhou South China Rubber Tire Co., Ltd. was officially changed from a joint venture company to a domestic enterprise. At the same time, due to its outstanding performance in independent technological innovation and enterprise management, Hua Lun Company got the support of national policies and enjoyed the debt-to-equity swap policy, which effectively solved the problem of high corporate debt ratio in the past. At this time, Hua Lun Company got rid of the shackles and obstacles of development better, and was able to soar in the vast sky of rubber industry more easily.

In the past, it was a time for Hua Lun to accumulate strength. After encountering a good development environment, the energy accumulated by Hua Lun Company for many years finally began to bloom beautifully. The output increased from 1kloc-0/.0733 million units in 1997 to 8 million units in 2007, and the sales revenue increased from 290 million yuan in10.997 to 3 billion yuan in 2007, maintaining an annual growth rate of more than 20%. Comprehensive strength ranks among the best in the same industry in China. At the same time of enterprise development, Hua Lun Company has been exploring its own development path.

Technically, Hua Lun Company digested the technology imported from Firestone and successfully upgraded it, forming a unique "Wan Li Technology System" in the national tire industry. From June 2005 to February 2005, Hua Lun Company was officially approved by the National Development and Reform Commission, Ministry of Finance, General Administration of Customs and State Taxation Administration of The People's Republic of China, and became a national enterprise technology center. In addition, Hua Lun Company is also a National Laboratory (CNAS) and a high-tech enterprise in Guangdong Province. Independent intellectual property system (14 patented technologies) has been formed in technologies such as high-performance radial car tires, snow-patterned tires and run-flat tires, which has filled more than 20 gaps in domestic design and production, and the technology research and development capability is basically synchronized with the international advanced level. In 2004, a 22-inch high-performance radial tire for passenger cars was developed to fill the domestic gap. In July 2005, it developed a 24-inch high-performance radial tire for passenger cars, which is the first manufacturer in China and the sixth in the world. In April, 2007, it developed a 26-inch high-performance passenger car radial tire, which is the first manufacturer in China and the seventh in the world. In May 2007, we developed a run-flat tire, which is the first manufacturer in China and the tenth in the world. In May 2008, on the basis of the original technology, Hua Lun people made persistent efforts to develop the 28-inch ultra-high performance radial tire for passenger cars, becoming the first design and production enterprise in China and the fifth in the world.

In terms of sales, Hua Lun Company has gradually cultivated a strong brand awareness and made efforts to promote sales with brands. In 2004, Wanli brand all-steel radial tire won the title of "China famous brand product"; In 2007, it won the title of "China Famous Brand Product" again. At the same time, Wanli brand radial tire is also a famous brand product and trademark in Guangdong Province. In foreign markets, China Wheel Company began to develop African customers. In 2002, it successfully developed European markets, American markets and other 120 national and regional markets. Now, Wanli brand is a China tire brand with high influence in European and American markets, which is a hard-won achievement of tire sales in China. With this remarkable achievement, "Wan Li" brand was rated as "the export brand that the Ministry of Commerce focuses on cultivating and developing" by the Ministry of Commerce. In recent years, "Wanli" tire has attracted the attention of merchants from all over the world at the global tire exhibitions such as Las Vegas, Frankfurt and Bologna, and is known as "the best tire in China". In the domestic market, based on its excellent product quality and advanced technical ability, Wanli Tire has been matched with many well-known domestic automobile manufacturers such as FAW-Volkswagen, FAW Pentium, FAW Hongqi, faw liberation, FAW Dongfeng, Hainan Mazda and Zhengzhou Nissan, and has a complete sales network in 32 provinces, municipalities and autonomous regions across the country. Hua Lun Company also promoted the popularity of Crystal brand through a series of large-scale activities. In July, 2007, Wanli Tire was named "2007 Third Pan-Pearl River Delta Rally", which became a special tire for the whole process, which also made more professional drivers know the excellent performance of national brands. At the same time, this activity also promoted Hua Lun's "Wan Li" brand to consumers in all directions, laying a solid foundation for seizing the market in Guangdong and even the whole Pan-Pearl River Delta region. In March 2008, the "Guangdong Wan Li Celebrity Football Club" supported by Wan Li Tire was formally established. The club aims to integrate resources from all walks of life, take football as a platform, take charity as its purpose, and use the influence of famous football clubs in Guangdong to promote the cultivation of football reserve forces and revitalize Guangdong football.

In terms of corporate culture, pragmatic and innovative corporate culture has been integrated into the blood of China people, and "being the best tire in China and creating a world-famous brand in China" has become the working goal of all employees. If you have money, you want to source, and if you have money, you want to make progress. While developing, Hua Lun strives to repay the society and assume social responsibilities: donating to build Hope Primary School, children who are out of school, donating blood, donating money and materials for the Indian Ocean tsunami, the snowstorm in 2008 and the Sichuan earthquake ... At present, with the development of social economy and the rapid development of China automobile industry, the development of tire industry has gradually formed a trend of establishing large tire enterprises with assets as the link and brands as the leader, so as to improve production concentration and enhance competitive advantage.

In order to better seize the business opportunities in the tire industry and enhance the comprehensive strength of enterprises, Hua Lun Company gradually expanded its production capacity based on its advanced research and development, from 300,000 sets at the beginning of its establishment to 6,543.8+0.99 sets of 6,543.8+0.5 million sets, 3 million sets in 2003, 4.5 million sets in 2004 and 5.5 million sets in 2006 and 2007. In 2005, Hua Lun invested and built a new production base-Guangzhou Fengli Rubber Tire Co., Ltd. in Renhe Industrial Park, Aotou Town, Conghua City. The project of 5 million sets/year and a half steel radial tires of Fengli Company will be put into production in 2008, the project of 4 million sets/year all-steel radial tires is under construction, and the first phase of the project of 2 million sets/year all-steel radial tires is about to start. According to the company's development plan, it is planned to develop Panyu and Conghua into international large-scale tire enterprises with an overall output of more than 20 million pieces and sales income of 10 billion yuan in about five years. By then, the development of Hua Lun Company will have a higher and newer platform. Hua Lun Company also strives to complete the share reform and listing in 2009, and bring it into the enterprise development plan with a better attitude.