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    Home > Coatings News > Paints and Coatings Market > Evergrande Strategic Procurement 2.0 era Three tree engineering coatings with Evergrande Group win-win development.

    Evergrande Strategic Procurement 2.0 era Three tree engineering coatings with Evergrande Group win-win development.

    • Last Update: 2020-08-28
    • Source: Internet
    • Author: User
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    On December 9, 2016, one of the highest-spec real estate industry chain builders event in China, the 5th anniversary of the Youce Platform, was held at the Wanda Wenhua Hotel in Changsha, where nearly half of the top 100 enterprises and hundreds of domestic executives who indicated the supply of building materials products jointly attended the event, bringing an unprecedented feast of ideas and exchanges to the industry upstream and downstream.as China's leading real estate enterprises, but also a pivotal platform of large-scale real estate buyers. At the event, Mr. Xu Wen, Chairman of Evergrande Group Materials Company, shared the road and future work plan of Evergrande's 10-year strategic procurement.Xu Wen: Thank you very much to the China Real Estate Association and Utze Platform for giving Evergrande materials this opportunity, and peers, excellent partners to share Evergrande materials collection experience, first of all, want to share with you Evergrande 10 years of strategic procurement distance and achievements.
    Evergrande's collection system is from 2007, Evergrande set up a special materials equipment company, responsible for evergrande group of all fine decoration and important materials and equipment centralized procurement work, to 2016 just through 10 years, during which Evergrande has also made good achievements, including procurement volume, 2008 procurement volume is 600 million, as of the end of November this year procurement of more than 13 billion, is expected to reach more than 14 billion in 2016 procurement amount. Based on Evergrande's strategic development over the next three years, we expect total procurement to be between $25 billion and $30 billion in three years. Has reached the level of medium real estate scale.10 years of development, Evergrande partners in 2009 only 100, now reached 400, and gradually increased. Materials and equipment category more than 200, materials have about 200. Among them are well-known brands at home and abroad and our cooperation. Including the domestic Baosheng, Europe, are the industry's top 10 enterprises, or even the top 3 enterprises.
    with Evergrande's development, I personally believe that the important achievement is to grow together with our suppliers and partners, which is a more proud achievement. Many enterprises with us have been determined to go down, their own has also been developed and developed.
    Together with partners to grow three typical
    thrive trees
    is the first time in 2009 and Evergrande to do engineering orders, before doing retail, after 10 years of development, Evergrande did a better job, each year by Evergrande as an excellent supplier, because
    paint
    industry volume itself is relatively small, but also reached nearly 100 million yuan. The most important is that China's top 100 has more than 40 with his strategic cooperation, the industry has achieved a good reputation.Zhuhai's Hua pin wood industry, we have been working together for 10 years, the first year of cooperation amount is only a few million, when only 38 people, rent a very old plant, after 10 years of development, has become our very important partner, as of this year has been more than 400 million. From the engineering industry is the number one enterprise. Companies including Vanke have established strategic partnerships.
    Haier Group, Evergrande the earliest cooperation from the cabinet, because Haier itself is very strong overall strength, the last aspect of different categories to expand cooperation, comprehensive cooperation, followed by cooperation in kitchen electricity, ware ceramics, including fine decoration of comprehensive cooperation.
    three cases from different latitudes, reflecting the growth process of mutual benefit and win-win cooperation with Evergrande.
    the next three years, we want to reach 20 billion to 30 billion procurement, facing ten years and eight years after the unpredictable procurement volume, after reflection and summary, 10 years has gone through a certain progress. But in many ways it hasn't done much better. Including the current management structure, management system, management concept, but also can not adapt to the current scale of enterprise development. Can not adapt to the future development, but also can not adapt to social change. Therefore, we have conducted a lot of internal discussion and research, decided to specifically in six areas ready to make detailed improvements and promotions.
    first, raise the threshold for cooperation. Evergrande has two standards for cooperation. First, the international well-known brands and the industry's top three, we purchase more focus, more focus on the industry's top three.
    second, pay more attention to high quality, excellent price. In the past in Evergrande development, product cost-effective to win, and now gradually transform, Evergrande's product quality is getting higher and higher, the price is getting higher and higher. Evergrande put forward the principle of high quality and good price, not all product prices are in a starting line, many brands have his value. Different products, different grade positioning we will choose different price system. Arrangements in our different properties for use, so that this year we have been purchasing for each category, we through the group's internal three latitude system, to assess the top ten in each industry, the industry's top three, will also entrust a third party to assess, including the best platform, industry top 100, preferred brand, we will form the national top ten standards for each industry, and the national top three standards.
    Another in the partners already working together, will put forward higher standards and requirements, in the past based on the selection of partners are the industry's top ten and international brands, Evergrande on their management, whether it is strength, refinement or not high enough, or more extensive." So there are still flaws, not perfect. Evergrande around the specific cooperation in three latitudes, a supply of security, quality assurance, service assurance, partners put forward more detailed and specific standard requirements.
    first requires partners to set up inventory, can not take orders after production, there must be an annual demand of 20% as a safety inventory. Also require suppliers as long as I strategic cooperation, must unconditionally accept my order, we often do not do, this is not allowed. Delivery guarantee specific to which day of delivery, allowing error of one day, if more than this time to carry out severe penalties. Quality assurance agreed on the factory, which factory produced, to ensure quality to eliminate idle work. Service assurance requirements to improve, and Evergrande cooperation to have a dedicated team. Now also improve, to achieve 30 days without reason return mechanism, our Evergrande procurement is a department inside, the external is entirely a service sector, we have to be in accordance with the requirements of marketization, to carry out this kind of service. For example, we used to order once a month, and then put forward slogans, we are now socialized enterprises, Taobao, JD., shopping has never been stipulated to buy only once a month, is certainly want to buy. So put forward the slogan "all on-site orders can be issued at any time", of course, the reform has a process, now from once a month orders to the next two orders, including returns should also be perfected. Future services are also to self-improvement, delivery to the site to return, within 30 days of full return. Therefore, three aspects of future partners, especially strategic partners have put forward higher standards and requirements. If you do not meet the requirements to withdraw from cooperation with Evergrande.
    of course, Evergrande has always been a win-win enterprise, so many higher requirements for suppliers, what can we give suppliers? For suppliers who can meet the capacity and response, we will sign a contract in the next three years, will sign the contract for the next three years, the supply of the next three years locked in, to give suppliers a long-term stable supply, to achieve this improvement. Otherwise, I don't think short-term behavior will do that.
    second is to improve operational efficiency. At the beginning is in accordance with the business process to do, there is planning department, distribution department, settlement department, according to a business process to do, and now I think that whether it is efficiency, in all aspects can not meet this requirement, so the internal changes have been made, the plan to push settlement, the entire business unit integrated into the operations department, each order issued, to the final arrival site by a department responsible for, including payment. Therefore, more efficient, in addition to this, we have more focus on product research and quality control. A special materials technology department and quality management department have been set up. Operational efficiency at the same time to strengthen the new technology, new materials research, as well as quality control. Internally, a new architecture was approved last week and is already running under the new architecture.
    Ther is to improve the distribution capacity of logistics, the past should be point-to-point, suppliers such as the boss of electrical appliances Hangzhou directly sent to the country, if it is 200 project distribution, is the factory to 200 sites, the current distribution system is perfect, on-time delivery rate reached more than 95%, but we are still not satisfied, hope to go further, so the next step to build Evergrande's own logistics and distribution system. In principle, each province in the country set up a transit warehouse, suppliers in the future to send goods to the transit warehouse. There are two advantages, the future quality control, transit warehouse, site time is tight, goods and more, if the quality of unqualified situation will be a dilemma, if returned to the site this side anxious to hand over the building, do not return to the quality defects, while sampling inspection and time, so the quality control has important significance. After being sent to the transit warehouse, the first step is to carry out quality acceptance, in accordance with quality standards, the original model for acceptance and smoking. Qualified and then sent to the site, in order to achieve 100% zero defects.
    Another is to ensure that the project arrived on time and accurately, we are currently superior delivery cycle, generally normal is a month's time, because to prepare, distribution and so on, because of this reason the project site may be reported in advance, or overstation of the situation, resulting in a backlog of materials on site." After the future construction of transit warehouse, will put an end to the problem of on-site backlog, may be 7 days, this site needs 1000 units, 7 days in advance to the order, 7 days from Changsha to Yueyang, this time is completely enough. So this is a historic reform and breakthrough, this must be done, the work is ready to start.
    fourth is to improve quality control, Evergrande is the fine decoration of the building, a standardized operation has a certain amount of time. Many products used in the past 10 years, but we will pay more attention to the market mainstream products-oriented quality of continuous improvement, research the market. Including around the new health, environmental protection, green, our latest 2017 decoration standards, such as the addition of a new wind and haze removal system, for China's relatively bad haze situation. Including other aspects, we will move according to the market. At the same time, the internal development of a unified product quality standards, product acceptance standards, product protection standards, combined with the market mainstream product standards, combined with Evergrande's situation, to develop a more stringent standard than the market. It can not be said that the quality of things used in engineering is worse than the market retail, while the implementation of the construction of headquarters-based and on-site acceptance of the combination of the system. In the future a large number of quality management is at headquarters, this reform has added a lot of personnel. A total of 155 people, headquarters is currently about 100 people, the country's 400 on-site acceptance, the addition of 50 material quality and technical engineers. Specially increase the control of material research and quality research. It is a reform to be controlled by headquarters in the future. In the past is on-site-based, on-site acceptance, the future is the headquarters unified control. At the same time will strengthen the quality control of the factory, headquarters personnel focus on the control of suppliers of the factory, while the management chain will be more extended to the control of raw materials, especially the control of air, environmental indicators, will control plywood, such environmentally friendly raw materials, semi-finished products control.
    Fifth is to improve the level of information technology, Evergrande material supply development was established in 2007, we were all hand-ordered, all fax, and then used the user's order platform, and then the use of SAP system, we hope to adapt to market changes. Be able to mobile Internet, mobile terminals to popularize, including the user's interface, can be as good as Taobao JD., so the future regardless of monthly, annual measurement, and standing inventory measurement, in the information technology is more strengthened. Good use, fast, mobile aspects will have higher goals and requirements.
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