How Does the Dongfeng and Volvo Alliance Shiyan Work?
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Dongfeng and Volvo have formed an international commercial vehicle alliance. It is both a rare opportunity and a severe challenge to the Shiyan, which has been hailed as the "China Truck Capital."
High pressure for transformation and upgrading
At present, China's auto overcapacity, especially the overcapacity of commercial vehicles, is inevitable. Going overseas is the best choice for Chinese auto companies. In the international market, although China's commercial vehicles have a cost-effective advantage, but in terms of performance, environmental protection, safety, lightweight, compared with the international large-scale commercial vehicle companies, there is still a considerable gap: there are many rough processing products, deep processing There are few products; there are many general products, and there are few famous products; there are many products with low value-added products and high value-added products with less than three phenomena. Traditional industries account for a large proportion, while those with high technology content and high added value have a lower proportion; product structures are similar, the main industry is not prominent, and competitiveness is not strong. Shiyan's large number of auto parts companies are engaged in the production of low-end, low-value-added auto parts, and these products only account for about 20% of the total cost of their parts in the vehicle. Due to the low product entry threshold, a large number of enterprises in Shiyan have formed vicious competition. For example, stamping and welding products, the market price is calculated based on the net weight of finished products, and the factors such as material utilization and product processing difficulty are not considered at all.
Profit space is shrinking
As upstream steel and raw material prices have risen, and downstream prices have been competitively priced, parts and components manufacturers in the cracks are fighting prices and marketing, and the profit margin is getting smaller and smaller. Among the 59 parts and components companies that Shiyan has drawn, there are 29 on the margin of zero profit and 14 loss-making enterprises. The relative advantages of local business growth have been severely squeezed, and the relative disadvantages of growth have been further amplified, and some companies have not yet received enough development to be trapped or closed down. The transformation of enterprises is not timely, lack of innovation stamina, resulting in the company's living space is getting smaller and smaller. At present, 20% of the companies occupy 80% of the market share. A considerable part of them do not have R&D and production capabilities at all, and they only engage in OEM or agency sales. They are at the critical point of life and death. They are careless and even careless. Will lose the original market, all eliminated.
Its own quality must be improved
Over-reliance on Dongfeng's products and technology lines, once the macroeconomic situation is unfavorable, companies are in no position to control their products, and do not possess core competitiveness. The production is not stable, and the employees have large mobility. During the production process, the employees cannot meet the equipment and production process requirements, causing the equipment to be used arbitrarily and the accuracy is reduced. The staff culture and technical quality are not high, and the shortage of scientific and technological personnel and the serious loss of scientific and technological personnel directly affect the independent innovation of the company. With a small amount of capital, it is also difficult to cope with risks such as high technological innovation costs and long payback periods. With high labor costs, the auto industry has a strong seasonality and is very busy in seasons. In the off-season, workers only need half of the busy season. However, the demand for downstream host plants is often sudden. New recruits need training and cannot meet production requirements. In order to cope with this problem, companies must maintain a surplus of employees all the year round, resulting in production under construction, large wages, and high labor costs.
The core competitiveness must be enhanced
In addition to the entire vehicle parts and components group, the development of many small and medium-sized component companies always depends on personal relationships and even personal interests to determine the business strategy. The management of some vehicle manufacturing companies is not standardized. The managers of the company only care about the immediate interests of the individual. The suppliers with good relationship are the suppliers of category A, and the relationship is later on. Generally, an entire vehicle company will have many suppliers for the same component. The supplier's assessment is not implemented by relying on the system. The management of such parts and components industry has neither a clear capital bond nor a technological bond. Only the relationship and interest ties have hindered the normal development of the auto parts industry. In addition, after some enterprises have a certain foundation for development, they have little awareness of pioneering and competing for advanced positions and cannot seek greater development. Most private auto parts companies are family-owned, and the root cause of family-based management is the company’s managers’ desire for excessive control of corporate assets. They are concerned about the safety of assets that are out of direct control. It is this market environment that lacks institutional arrangements and institutional constraints that makes it difficult for enterprises to expand, industrial integration is difficult, and the structure is difficult to adjust. The concept of people-oriented has not been taken to the heart in the true sense, and the vital interests of employees have not been guaranteed in the enterprise. In the three certifications of quality, environment and safety, the environment and safety did not attract sufficient attention.
Operating environment to be improved
The lack of funds restricts the rapid development of local enterprises. Most companies lack effective mortgage assets, some companies have weak credit concepts, and their credit evaluation grades are not high; private enterprises' credit guarantee systems are not perfect, and private companies are not the guarantee institutions for insured entities, leading banks to “credit†private enterprises. , fear of credit, refused to loan." The development funds of private enterprises mainly come from primitive accumulation and private lending, and the proportion of loans through financial institutions is not high. In addition, the development of direct financing systems for private enterprises lags behind, and it is difficult for private enterprises to obtain bond financing and risk investment. In particular, the use of acceptances has led to supporting enterprises facing difficulties in survival. In addition, the service system is not perfect, and there is no supporting support policy. The business environment for the company needs to be further improved. The existing business counseling, credit guarantees, and institutional services in Shiyan City are still insufficient. There are no efficient platforms such as talent exchanges, technology exchanges, property rights transactions, and technological achievements.
In view of this, Dongfeng and the Volvo Alliance are not only facing an opportunity for the Shiyan Auto Parts Industry, but also facing a life-and-death-like test. Shiyan Auto Parts Industry is only facing the reality, finding the right gap, adjusting the structure, and upgrading the grade in order to catch up with the new pace of industrial development and quickly integrate into the international market.
1. Raised Characters: The room number must be raised or embossed to allow tactile reading by individuals with visual impairments.
2. Braille: ADA signs must include Grade 2 Braille, which is a system of raised dots that allows individuals with visual impairments to read through touch.
3. High Contrast: The color contrast between the background and the characters must be high to ensure readability for people with low vision.
4. Pictograms: In addition to the room number, ADA signs may include pictograms or symbols to provide additional information, such as indicating accessible restrooms or wheelchair accessibility.
5. Mounting Height: ADA guidelines specify the appropriate mounting height for room number signs to ensure they are easily visible and accessible for individuals using wheelchairs or mobility aids.
It is important for public buildings, such as hotels, hospitals, and offices, to have ADA room number signs to ensure equal access and navigation for everyone, regardless of their abilities.