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[Media interview] Ranking the first in the crane industry for 15 years, XCMG has an “insatiable” desire for improvement.

September 13, 2019

 

 


"During my visit to Africa, UNEP officials told me that two brands were popular and sold well there, Huawei and XCMG." Despite standing in the scorching sun, Wang Min, Chairman and Party Secretary of XCMG, showed no signs of fatigue, and said so in a tone of excitement, expectation, pride and sincere joy

   

As the head of XCMG, Wang Min has always insisted on a simple and unpretentious style. His speech made at the "2009 XCMG New Crane Customer Experience and Service Brand Value Commitment Conference" is a continuation of his consistent down-to-earth style, full of sincerity without any empty words.

 

 

However, in XCMG crane sector, all the insiders seem to hold that it is worthy of praise. After all, as one of XCMG competitive products, XCMG cranes ranks first the in domestic market all year round, and its leading position is unshakable.  

Especially in 2019, XCMG cranes also achieve remarkable sales performance.

 

1  Great XCMG Cranes

 

In the first half of this year, market sales and revenue of XCMG cranes realized a significant year-on-year growth. The market share remained stable at a high level of 50%. In more than 220 tons segment, XCMG accounted for more than 60% of total market share, extending the leading edge and firmly taking the leading position.

 

What is a 50% market share? No matter in which field, it is an "elusive" dream for most enterprises, but XCMG cranes has kept this figure for several years.

 

 

In other respects, Sun Jianzhong, Vice President of XCMG Machinery and General Manager of XCMG Cranes, declared, "Our innovative achievements came out frequently in the first half of this year. In March, 38 overseas models including G-generation targeted at "Southeast Asia, Middle East and Africa, Russia, North and South America and Europe were released. From January to July, more than 700 units were exported, with a total sales revenue of nearly 800 million yuan. In May, 7 Series of G1 quality-upgraded versions were launched, attracting strong attention in the industry. More than 200 upgrades redefined the high quality standards of cranes. In the same month, XCA1600, the world's largest and most powerful all-terrain crane, successfully hoisted a 140m fan in its first show in Hebei, breaking the world record of hoisting height of all-terrain crane."

 

For XCMG, the above results can be regarded as achievements, but they only represent the past. The present and the future are the key issues to think about.

 

2  A Grand Product Launch

 

 

Nearly 500 crane customers who are the most "knowledgeable" and "professional" in the industry, as well as media reporters including CCTV and Xinhua Daily attended the product launch. Such a grand lineup was enough to show the importance XCMG attached to it.

 

 

Despite the scorching summer sun, the atmosphere of the open-air press conference was very lively. Hundreds of guests were attracted by the hoisting equipment. The applause lasted for a long time. Under the intense music background, the bright yellow cranes were particularly dazzling against the blue sky, interpreting the unique "romance" of the construction machinery. Drivers drove slowly out of the factory and arranged into "W" shape in the exhibition hall, a double implication of "WORK HARD" and "WIN", and also wishes of XCMG for all strivers to achieve success in the process of hard work and development.

 

There are 18 new products in total, introduced by XCMG as follows:

 

After launching 38 global versions of the 2019 G-generation cranes, XCMG took another step to push the "G1 pilot version" to the center of the stage. G-generation system and G1 pilot version continues to improve reliability in over 100 items, 5% energy-saving upgrade and micro to millimeter mobility level upgrade.

 

 

Another "star" product is KC classic version, and it is of the "same family" with K series. The latter is the longest lasting and the most influential in the global crane market. On the basis of maintaining original advantages, KC series are setting a new record in reliability, quality and cost performance.

 

 

9 new XCMG China VI high-perfomance cranes are launched after repeated tests and verification for several years. They have already taken the lead in terms of "green" and "environmental protection", thus perfectly solving the problems of license application, transfer, value preservation and appreciation of cranes in key cities.

 

It is important to know that this is not the first time for XCMG to launch new cranes in 2019. It can be seen that XCMG has made great efforts to improve the value and level of products quickly and efficiently.

 

3  "Strong Investment" in R&D and Intelligent Manufacturing

 

According to the introduction of Sun Jianzhong, "Since 2018, XCMG has invested 550 million yuan to introduce intelligent production line, optimize manufacturing technology and process level, upgrade inspection and build an intelligent, digital and automated crane manufacturing factory. At present, we have made phased progress in intelligent manufacturing improvement, manufacturing technology improvement and quality improvement. 9 intelligent production lines are put into operation, and 149 new on-line inspection equipment are put into use. The sensitive and flexible production and manufacturing system provides a solid guarantee for improving the quality of crane products."

 

"Without technical innovation, XCMG will lose its foundation."

The sustained and huge investment of XCMG in R&D is not only reflected by its long-term substantial investment in unique R&D platform, experimental platform and testing platform. Over the past two years, XCMG has assigned thousands of technical engineers to investigate the market, listen to opinions of the customers and collect more than 10,000 innovative suggestions from customers, and continuously optimized and upgraded products according to different application conditions, different climatic conditions, different geomorphic features and different application requirements, so as to enhance the high adaptability of product applications.

 

 

All these efforts will eventually be embodied in the products. 9 G1 core technologies are applied in the 18 XCMG cranes released this time, including 2 global industry-pioneering technologies, 3 firstly-published technologies and 4 international advanced technologies. Among the 32 products, 111 domestic patents are declared and 15 overseas patents are authorized.

 

"All the technical innovations will be extended to enhance the value of users." XCMG announced.

 

At this product launch, XCMG once again pioneered the industry. It introduced the "experience + evaluation" model and invited expert customers. Ten people were selected from hundreds of thousands of crane customers nationwide to evaluate new products, share the experience and put forward suggestions for improvements

 

 

It is reported that the product evaluation officers are masters in the field of cranes. They have the right to directly communicate with XCMG about the design and improvement of XCMG products and supervise the products and services of XCMG. "The right of product design, R&D and service evaluation is directly given to users, fully reflecting the confidence of XCMG”

 

XCMG has never become dizzy with success for long-term dominance in the industry. XCMG has always put customers first, but the actual attraction lies in the most basic "two cores" , namely products and services.

 

4  Upgrading of "Two Cores"

 

In addition to the 18 latest products, XCMG also released a piece of big news, "126" Golden Special Service Brand Value Commitment. It is the first "Golden Standard" initiated by XCMG for the service of crane industry.

 

"The volume of Chinese crane market takes the top spot in the world, while the severe operation conditions are also globally rare." Under the joint initiation of Wang Min and the executives of XCMG Cranes, the "126" service brand value commitment was officially launched.

 

 

At the same time, the second batch of "Golden Special Service" teams of XCMG Cranes in 2019 were also ready to start. Following the first batch of 7 service teams and more than 30 service Vehicles on the journey, 18 service teams and 38 service Vehicles started to travel around the country to fulfill new service commitment.

 

For users, service represents experience and value. For XCMG cranes, service represents respect for the market and users. For industry, service represents determination and confidence of XCMG to lead the industry out of price war, out of simple scale competition and towards high-value and high-quality development.

 

Zhang Hanxu, General Manager of XCMG Cranes Sales Company, said, "Service, is definitely one of the biggest sore point for Chinese customers. It is better to put into practice than to talk empty words. At this product launch, "service brand" and "service commitment" of XCMG cranes were completely exposed to the experience and supervision of all users.

 

"We will make every possible effort to improve service quality and value." Sun Jianzhong said firmly.

 

5  "There is no shortcut for equipment manufacturing."

 

Among the construction machinery enterprises in China, XCMG has a fairly long history. It can be traced back to the Eighth Arsenal of the Eight Route Army in south Shandong founded by General Xu Shiyou in 1943. Over the past 76 years, XCMG has grown step by step to hold the first place in China for 30 consecutive years and successfully rank the sixth in the global construction machinery industry. It has been 30 years since the founding of XCMG.

 

XCMG once experienced the ravages of war during own development, and thus it has always had an unusual "aggressive" gene. The gene develops into unique core values of "shouldering great responsibilities, doing the right thing and developing generalship".

 

In the view of Wang Min, XCMG has a strong influence in the Chinese market and is the No. 1 brand; however, in the international market, it should possess the ability to compete with the traditional long-established multinational companies on the same platform.

 

 

XCMG has made remarkable achievements in cranes. As early as 2012, XCMG ranked the first in the global mobile crane field. Last year, XCMG won the "China Grand Awards for Industry". To Wang Min's delight, a large number of self-trained engineers of XCMG have become masters in the industry, and many standards of XCMG have also adopted as international standards.

 

Wang Min is gratified that XCMG crane has been leading every upgrading and breakthrough in major achievements in the industry.

 

Chairman Wang has been paying attention to and thinking about how to continuously deliver strong positive energy and high value to the upstream and downstream of industrial chain as well as global users at any time. The executives of XCMG cranes to go deep into the front line of the market, listen to and collect the needs of customers.

 

 

Among all XCMG sectors, Cranes has the longest history of development, and has maintained leading position for decades. But they are well aware that "sustainable development in the future, like a giant wheel, can never be achieved overnight. Tough will, firm belief, long-term layout and grand ambition are all indispensable driving wheels."

 

As Wang Min said, "In terms of overseas distribution and sales revenue, XCMG is making great strides to achieve the goals of World Top 5 & Top 3. We hope that the international revenue will reach 50%. It is very important that globalization strategy should be continuously promoted and international layout should be more precise. In the first half of this year, XCMG brand and self-support export ranked the first among all Chinese brands once again, and its leading edge was widening."

 

 


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