FAW Xichai Quality Procurement System Promotes Industry Progress

Since September 2014, the sales volume of FAW Xicaba engines in the overseas market has continued to increase. The number of single orders for the Xiehai Hengwei engines that were exported to only one country in South America has reached more than 1,400 units. Sales figures show that in addition to the performance of the Hengwei engine, other brands of engines such as Aowei and Conway from FAW-Wuxi also continued to sell well in overseas markets, and orders continued to crop up.

Unlike the domestic market, in the overseas market, FAW Xichai will join the world's top engine manufacturers such as Cummins, and it will be the only way to win the market in terms of product quality and cost performance. FAW Xichai has achieved continuous success in overseas markets, reflecting FAW Xichai's unique advantages in terms of quality, cost-effectiveness and other advantages compared with the world's top engine manufacturers.

The success of FAW Xichai cannot be separated from the backing of the huge number of suppliers behind it. By strictly controlling the quality of parts and components, and persisting in mutual benefit and symbiosis with suppliers, FAW Xichai has cultivated a group of core suppliers. While safeguarding the quality of its own complete machine products, it has also improved the overall quality of suppliers and promoted the entire industry. The level of technology and quality has truly formed a positive interaction with the suppliers to win the same alliance and win, providing a strong backing for their continued popularity in the market.

Joint symbiosis

From a certain point of view, the road of the rise of FAW Xichai is also a road of forging ahead together, common prosperity, and common growth together with Xichai and its suppliers. In the existing supplier system of FAW Xichai, a large number of companies and FAW Xichai have decades of cooperation history. In other words, there are many suppliers that have gradually grown up with the rise of FAW Xichai in the long-term cooperation with FAW Xichai. Most of them have followed the development of FAW Xichai since the second venture of FAW Xichai. Such as Jiangyin Xingda, Wuxi famous, Wuxi Xingyuan, etc., in the process of long-term cooperation with FAW Xichai, step by step from the local small-scale enterprises to the current industry well-known enterprises.

Since entering the fourth venture, FAW Xichai has always adhered to the symbiosis of "same-winning alliances" in the face of a large number of suppliers, and built a strong supply chain system with the same goals, shared benefits, and shared risks, and built a win-win situation for innovation and win-win cooperation. The close strategic alliance of honesty and trustworthiness and common development is an important strategic task for the company to take off as the core resource platform for building and supporting FAW Xichai. With the implementation of these measures, the quality of FAW Xichai has been effectively guaranteed and supported by the system. Along with the roots of FAW-Xichai culture and brand promotion, the core concept of FAW Xichai's “Same-winning Alliance Winning” procurement has been recognized by the supply chain and gradually influenced the supply chain's joint practice with Xichai's core corporate values ​​and corporate culture. Further promoted the progress of the entire industry

The long-term co-exitence has allowed FAW Xichai to form a large number of highly loyal suppliers while stimulating the overall progress of the industry. Like many OEMs who only named FAW Wuxi Diesel Engine Co., Ltd., FAW Xichai's supplier system also saw a large number of high-quality manufacturers, insisting that it only cooperate with FAW Xichai to provide high-quality spare parts for FAW Xichai. “The cooperation with FAW Xichai has been with us for more than 20 years. Our cooperation with the FAW Xichai has been inseparable for so many years. In the past few years, there have been many other machine manufacturers who have volunteered to cooperate with us. However, we are in a position to reject the trust and loyalty of FAW Xichai for many years of cooperation. We have only cooperated with FAW Xichai for many years. FAW Xichai has made us feel the choice we have made through practical actions. “The relevant person in charge of a core supplier of FAW Xichai was very satisfied with the opinions of the majority of suppliers of FAW Xichai.

Concentric alliance

Jiangsu Wuxi is one of the cities with the most advanced level of industrial manufacturing in China. It not only bred industry giants such as FAW Xichai, but also the domestic and foreign manufacturing companies dotted with each other are flourishingly developing here. This unique fertile soil, FAW Xichai will naturally carry out its full exploration and utilization. In terms of procurement of spare parts, FAW Xichai has taken advantage of this “geographical advantage” to the extreme, and has carried out mutually beneficial cooperative relations with around 100 local enterprises. These different levels of suppliers are effectively supporting the supply of resources from the 40-horsepower-500-horsepower series of diesel engines by FAW Xichai Conway, Hengwei, and Aowei.

The cooperation model between FAW Xichai and the surrounding suppliers is also a co-prosperity and cooperation. According to the relevant person in charge of the procurement department of FAW Xichai, in order to maximize the advantages of its own industry giants and improve the overall strength of the surrounding suppliers, in recent years, FAW Xichai has signed a special agreement with the surrounding qualified suppliers. Clarified the requirements for promotion and the provisions for rewards and punishments and promoted determination. At the same time, the master and senior technicians of FAW Xichai Group and the surrounding suppliers were paired one by one, tied up and promoted to grow and progress together. According to the data, this year, FAW Xichai assisted 36 suppliers in the surrounding area and comprehensively improved the overall strength of the surrounding suppliers.

In order to truly help suppliers solve problems and stimulate the sound development of the supply system and the entire industry, FAW Xichai established a professional audit team to formulate review rules for suppliers in accordance with actual conditions. It has implemented a total of 112 audits, identified more than 1,000 problems, and organized Improve and verify. In light of supplier production, process control, product development, and testing and control, FAW Xichai conducted detailed analysis and troubleshooting, identified bottlenecks and organized improvements, accumulatively purchased 869 sets of equipment, optimized 247 processes, and optimized 121 designs. , Tooling molds added 16224 pieces.

Talent is the most fundamental driving force for industry progress. FAW Xichai has spared no effort in providing support for the construction of its surrounding supplier systems, personnel, and other aspects. It has frequently conducted targeted training and effectively improved the quality of talents in the supplier system. At the same time, FAW Xichai attaches great importance to the promotion and sharing of experience, and actively promotes the exchange of experience among the suppliers, visits, learning and exchanges, and also instills good methods in the FAW Xichai Plant and suppliers. share it. It is understood that in recent years, in light of the progress of progress and quality issues, FAW Xichai’s dynamic organization suppliers have conducted phased discussions, jointly analyzed the causes, formulated improvement measures and implemented verification, and had a total of 135 visits, which greatly improved the number of suppliers. Supporting capabilities have boosted the overall progress of the industry.

The concept of “symbiosis” has occupied a very important position in the brand core value system of FAW Xichai. It is one of the most important cores of the FAW Xichai brand and is the most basic principle followed in the production and operation of FAW Xichai. FAW Xichai took advantage of the status of a giant in the industry, stimulating the entire industry to embark on the path of sound development of prosperity and symbiosis, and implemented the concept of “symbiosis” with practical actions, and created a new realm of symbiosis.

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