400-860-0184

lynn@junhepumps.com
Sign in     Sign up       中文版 |  ENGLISH

media coverage

media coverage

02

January

2015


Junhe Pump Industry: Renewing Competition and New Advantages by Transformation and Upgrading

Junhe Pump Industry: Renewing Competition and New Advantages by Transformation and Upgrading

By Junhe Pump Industry: Renewing Competition and New Advantages by Transformation and Upgrading

  A turn of the 52-year-old turned out to be the "protagonist" of a "supporting role" enterprise. 15 years later, standing at the starting point of China's domestic water pump industry, with the investment of another new factory, Zhang Ahua led his company, together with his son Zhang Junbo, blew the horn of recreating new competitive advantages. .

  In 2008, a financial crisis swept the world. For a time, all the places are sorrowful, and the Ningbo economy, which is characterized by an export-oriented economy, is also facing severe challenges. In the moment when some private enterprises closed down or only sought self-protection, Junhe Pump Industry Co., Ltd. took this as a node and began the expansion of the company's contrarian and homeopathic upgrade. Through the extension of the industrial chain, strengthening the internal strength of the enterprise, and improving the quality of employees, we have harvested the fruits of the winter.

  With a solid foundation and solid internal strength, today's Junhe has grown into the largest new domestic water pump manufacturer in China. With 4 product series and more than 800 models of domestic water pumps, it has an annual production capacity of more than 2 million units, with an annual output value of more than 400 million yuan. The products are exported to more than 60 countries and regions, and it is an excellent manufacturer in the global pump industry.

  The achievements of Junhe are not only these. Yan Guoqing, dean of the Zhejiang Wanli College of Business, who has been paying attention to the study of Junhe, believes that in the face of the current economic climb and the challenges of industrial transformation and upgrading, Junhe is more than just a domestic pump industry. The confidence and calmness of the national singles champions has become more of a kind of challenge and opportunity to overcome the economic cycle. Extending the industrial chain to open up a new future for Junhe.

  For Junhe, the changes made in the face of the financial crisis are not the first transformation, and its creation is a transformation. In 2003, Zhang Ahua, who has been in the plastics industry for more than 20 years, is determined to get rid of "the fate of the supporting role of pump accessories", and strives to enter the water pump field to become the protagonist. With the independent development of the core components of the motor, from then on, "Junhe" as a platform to lift a new industrial banner, to achieve the efficient development of the next five years.

  When the financial crisis raged, Zhang Junbo, who has gradually stood on the front line of the market, realized that “the financial tsunami is a crisis on the surface. In fact, for Junhe, it is an opportunity, so Jun The pace of becoming stronger and bigger will not stop because of the financial crisis." Taking this as a strategy, in 2008, when other peers began to shrink, Junhe took a crucial step to extend the industrial chain and explore new economic growth points in the upstream and downstream of the entire industrial chain.

  Junhe invested tens of millions of yuan to build a cable and cable supporting base in Wuhu, Anhui Province, and tried to realize the related industry extension in another industrial gathering place. According to Zhang Junbo, “In the face of the financial crisis, we chose to speed up the construction. The first phase of the project was fully put into production in 2009. The second phase of the project has launched four production chains, which will increase the horsepower.”

  The extension of Junhe's industrial chain has been published in Anhui, but it does not stop there. With the bold investment in the aluminum industry and the motor industry, Ningbo Junhe Aluminum Co., Ltd. and Ningbo Junhe Motor Co., Ltd. came into being, and Junhe formed a complete supply chain. In other words, as long as it involves the main components on the pump, Junhe is supplied by its own wholly-owned subsidiary, which guarantees an active position in the competition of product quality and price.

  For the 15 years of Junhe, Ma Qingping, director of the Financial Center of the University of Nottingham Ningbo, China, said that “following the extension of the industrial chain, Junhe is against the trend and has taken a safe step to achieve a comprehensive layout of the entire industry chain upstream and downstream. The future of Junhe opens up more possibilities."

  Strengthening the internal strength of the enterprise to maintain the competitiveness of Junhe

  The most indispensable part of enterprise transformation is the topic of products. If the perfect industrial chain is not supported by strong R&D, it will only be on paper. If the sales are not as strong as the products, it will only be a short-lived one. Zhang Ahua understands this reason and points out that "R&D is the foundation of our development." Zhang Junbo also believes that the innovation drive is the key to the transformation and upgrading of enterprises, and the spirit of innovation should be consistent in the product development of Junhe.

  As early as 2007, Junhe launched a new series of garden pumps according to different products, and further seized the market of refined and high-end products. At present, Junhe has developed a household submersible pump from a single production, and has developed into a national singles champion that can develop and manufacture garden pumps, deep well pumps, fountain pumps, swimming pool pumps and other series of products.

  Product structure adjustment has become the driving force for product development. Junhe invests more than 10 million yuan each year to carry out technological transformation. The variety of products developed every year has been increasing. In recent years, more than ten new types of pumps have been developed every year. Zhang Junbo said, "Our total patent ownership has reached more than 60, and the company is constantly improving its hardware facilities. On the basis of establishing a provincial high-tech enterprise R&D center, we will increase investment to make the center's hardware standards reach the national level. The level of the laboratory is more conducive to us always occupy the commanding heights of the market."

  The implementation of the "machine substitution" strategy is another way for Junhe to practice. Improving the level of enterprise automation has become the trend of the times. "Machine substitution" is an inevitable choice. Junhe is the wise choice to seize the opportunity. Junhe Motor, a subsidiary of Junhe Pump Co., has doubled its output value through “machine substitution”, but its employees have reduced by nearly 30%. Among them, the fourth-generation automatic winding machine assembly line independently developed by enterprises can take labor from 20 Dropped to four.

  “The competition between the assembly lines has also promoted the quality of products to become better and better, and the efficiency has become higher and higher. Our employees have reduced labor and increased labor income. The bigger gain is that we have gained recognition from a large number of customers. Because the process is stable and the company's products are more assured, this is our biggest gain." Zhang Junbo said with relief.

  When the transition entered the post-financial crisis era, Zhang Junbo, who tasted the sweetness, understood the importance of R&D. “The market is constantly investing in technology.” Based on this, Junhe has made greater determinations this year to overcome difficulties, including expanding reproduction, plant reconstruction, new equipment, equipment upgrades, etc., and the investment will be 70 million. the above.

  Five major projects work together to enhance the cohesion of Junhe

  Junhe's business philosophy is "people-oriented, winning by quality"?? Here, "people" is placed in front of "quality." In Junhe's eyes, every employee is the creator of Junhe's wealth. Retaining talent is the "root" of retaining Junhe.

  On the road to transformation and upgrading, it is not always beautiful. In the difficult time when the order is relatively small, Jun He put forward the call of “no layoffs, unity, and relying on R&D to manage the winter”. Jun He believes that employees and enterprises are unified and not contradictory. They have dismissed 100 employees and saved several million yuan a year. If you develop a good product, the annual profit will be more than two or three million yuan. With these old employees, Junhe does not have to worry about production after the extension of the industrial chain. Junhe not only does not lay off employees, but also recruits new employees.

  “Let every Junhe person find his own value and create value in Junhe.” Under the current situation, Zhang Junbo hopes to create a career where “people do their best and use their best” to promote healthy and happy growth and improve the quality of employees. The promotion of the township propaganda, the construction of corporate culture, and the five major projects of the people living in Xinning, strengthen the efforts of educating and retaining people, and jointly promote Junhe to become stronger and bigger.

  In order to create a good environment for talent development, Junhe actively carried out the project of upgrading staff quality. First, it invested more than 100,000 yuan to establish the "Junhe Staff Education College" to allow employees to participate in online classroom learning. At the same time, in order to improve the quality of employees and enhance the competitive advantage of enterprises, it also organized English training classes, fitter training and safety production training classes. All-level training programs at different levels and educational content, and organize all management personnel to go out to inspect famous enterprises and participate in training activities at different levels. So far, 40% of its managers have completed various vocational qualifications, academic qualifications and further training with the support of the company, and obtained the corresponding qualification certificates.

  While giving people the "fishing", Jun He attaches the same importance to giving people "fish." The “fish” here includes not only labor compensation, but also the labor environment. Pay every hour on the 20th of each month to let employees work hard; do free medical examinations for employees every year, care for the health of employees; let the excellent workers pass the help of outsiders, help them integrate into the work through the local voice announcement; carry out a number of party building activities Create a warm atmosphere for the big family; use a variety of resources to support outstanding employees to settle in the local area and take root in the city.

  On the road of the second transformation, Junhe has made great strides and made a firm move forward. With "stable strategic partners and strong R&D team" as its core competitiveness, it has grown into the most socially valuable national brand of Chinese household pumps.

  In the late autumn season, Jun He celebrated the 15th anniversary of his birthday. "Our road is at our feet, our dreams are in our hearts." Zhang Junbo told all his staff, "We will continue to shoulder the scientific and technological mission, inherit the innovation culture, constantly challenge higher goals, and create Junhe's pragmatic and stable. Excellence, technology's Evergreen Albert!"


>>Expert reviews


  Dr. Ma Qingping, Director of the Financial Center, University of Nottingham, Ningbo, China

  The pump industry is a labor intensive and technology intensive industry. As a rising star, Junhe has grasped the development trend of the industry and the pulse of market development with fifteen years of efforts, insisted on opening up the market with technological innovation, and stabilized the people with happiness project, and continued to promote the transformation and upgrading of enterprises in stages, from a workshop of less than 100 people. The production workshop has stepped into the status of an advanced enterprise in the domestic domestic water pump industry.

  After determining the transformation and upgrading objectives, Junhe constantly adjusts product structure, enriches product varieties, expands industrial layout, improves process technology, vigorously promotes independent innovation, and strengthens scientific and technological strength, from rough production to modern operation, from OEM to ODM. In the transformation, the leap-forward development of the entire enterprise was realized. In the development of Junhe, it is particularly worthy of its courage to change and the perseverance of active innovation. Once we have transformed into survival and secondary transformation for development, we have reason to believe that Junhe will go further and be more practical on the road of transformation and upgrading.


Source: China Business Times Author Kong Lu


share This:

Junhe Pumps Holding Co., Ltd. is a high-tech enterprise specialized in Researching, Developing and Manufacturing of household water pumps. the company has grown to be an excellent producer of water pump in the whole world since its foundation in 2003...

News

The gentleman good for HeSheng Brief news media coverage Industry news

Copyright 2018 © Junhe Pumps Holding Co., Ltd.   浙ICP备14000562号   浙公网安备 33020302001009号