What should those small and medium-sized machinery manufacturers do in Face of the Era of Industrial

Under the guidance of relevant industrial policies such as China made 2025 powerful nation strategy and other related industrial policies, the transformation and upgrading of the mechanical industry and the development of innovation are continuing to advance. China's manufacturing sector has entered a recovery phase in 2017. In the first half of the year, the machinery industry revenue increased by 11.6% year on year with the  profit increased by 14.69% year on year. In the first half of 2017, a total of 75,069 excavators were sold with an increase of 100.5 percent year-on-year.

There are many sub-industries in the machinery industry with a wide coverage of product and the uneven technical level. Typically speaking, small and medium-sized machinery manufacturers have fewer than 1,000 employees, but the competitors are not only local similar companies, but also large companies which is trying to subvert the current landscape. Most small and medium-sized machinery manufacturing enterprises is characterised by majoring in discreting, minoring in technological process and with emphasis on the assembly. What’s more, their level of automation is relatively low, and the quality and productivity of the products depend largely on the technical level of the workers, and the automation is mainly in the unit level, such as the CNC machine tool and the flexible manufacturing system. In order to meet the multiple demands of the customer towards products and the diverse business strategy of the corporate, small and medium-sized machinery manufacturing enterprises are showing to produce more varieties with small batch. At the same time, product structure and process becomes more and more complex with a short development cycle and more varieties in parallel.

The whole process from research and development to manufacturing is greatly influenced by the change of market demand, which often changes and causes some abnormal events. Its variability mainly stems from two factors: one is the external factor of the enterprise, such as the customer's demand for orders and the change of the delivery date, the insertion of new orders and the shortage of raw materials; The second is the internal factor of the enterprise, including the design change, process change, repair of the process and parts, the machine failure, etc. In the new round of industrial revolution, how to stand out from the fierce competition is the problem faced by all small and medium-sized machinery manufacturers.

At present, Germany "industry 4.0" is being hotly discussed in the world's manufacturing industry while "made in China 2025" is more concerned in the industry. And the same focus of both of them is in intelligent manufacturing. Intelligent manufacturing will lead to a new round of industrial revolution, which will definitely lead to profound changes in China's manufacturing industry.

era of 4.0
According to IDC's report, advanced technology creates a differentiating advantage.

According to the IDC survey, small and medium-sized mechanical manufacturers are beginning to realize that advanced technology plays an important role in building strategic advantages. These companies believe that adopting technology can help them increase their income and improve productivity. But what is more striking is that they strongly believe that advanced technology can give them an indispensable competitive advantage on the road to success.

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