China Automotive Industry Bench FAW Liberates Half a Century Road

As the founding nation’s leader, Mao Zedong personally named China’s first auto brand “Liberation”, which carries the dreams of several generations of automakers and even Chinese people. Since its inception, it has assumed the important task of revitalizing the Chinese auto industry.

The liberation of trucks and red-flag sedans is a card of FAW and a representative of the New China automobile industry. In China, there is no history of a car longer than the liberation truck. As the "root" of FAW, for more than half a century, although it has experienced many twists and turns, FAW adhered to the national brand, opened up cooperation, developed independently, and reached the world level from product design, manufacturing, and marketing to a unique Chinese car. The road to development.

In the past 30 years of reform and opening up, China's old and new heavy truck companies have established a foothold in the domestic market. They have continued to carry out technical reforms in response to their own shortfalls. Through technological upgrading and product upgrading, the products have met with market demands and their ability to withstand market risks has come a long way. In particular, after the market economy has been tempered, the competitiveness of self-owned brand truck companies has been greatly improved, becoming a dominant force in the domestic truck market. With the increasingly stringent laws and regulations, a round of technology-based joint ventures are surging in the heavy truck industry. In this sense, the autonomy of liberation is solitude, and its future is surrounded by joint ventures in the heavy-duty truck industry. Whether or not it is possible to win and independence is also the key to development. But regardless of the outcome, FAW Jiefang will become a respected Chinese brand.

"Hedong for 30 years, Hexi for 30 years." Sometimes, history can make this sentence incisively and vividly.

According to the news of Russia’s “Kommersant” on November 16, 2011, China FAW has established a joint venture with the Russian Gorky Automobile Group and will assemble the “Liberation” truck in the Miyas Ural Automobile Manufacturing Plant in 2012.

The time goes back 60 years. In 1950, when Chairman Mao visited the Soviet Union, both sides agreed that the Soviet Union would assist China in building the first truck factory. On July 13, 1956, in the new assembly line of the Changchun First Automobile Manufacturing Plant, the first domestic liberation vehicle drove off the assembly line, ending the history that China could not manufacture cars.

This CA10 truck was built by FAW based on the Gith-150 truck produced by the Soviet Moscow Stalin Automobile Factory (later changed to Lihachev Automobile Factory).

Today, the poor and white Chinese auto industry has already achieved the first in the world, and has become the largest producer and seller of commercial vehicles. The products of Chinese independent brand companies have been sold to Russia and other CIS countries and even set up factories there.

It can be said that if there is no spirit of self-reliance and self-reliance, the Chinese auto industry can hardly achieve today's achievements. A group of commercial vehicle manufacturers represented by FAW Jiefang has played a role as the mainstay.

Five turns

Perhaps many people can still see the 1953 version of the renminbi banknotes. The front view of this banknote is a truck loaded with goods. The truck is a domestically-made (old-fashioned) liberation vehicle that the Chinese people are already familiar with. This was a liberating first-generation truck. The model was the CA10 model. It took only three years from the start of construction of the factory to the release of the first liberated truck.

The reason why FAW and Liberation are the cradle of China's auto industry is that with the off-line of liberated trucks, the exploration of China's auto industry, personnel training, technology research and development, and even the development of the entire equipment industry have followed the pace.

From the preparation of the factory to the production of the product, FAW has attracted a large number of professional talents at home and abroad. At the same time as the country prepares to build an automobile production base, it also plans to build a base for the training of automotive technicians, such as the Automobile and Tractor Academy (later developed into Jilin Industrial University), which is dedicated to training. Engineers designing and manufacturing cars, tractors and engines. Later, Changchun Automobile Manufacturing School and Auto Mechanic School were established, and many auto technicians were trained. These technical talents have contributed not only to FAW but also to the subsequent rapid development of China’s auto industry and China’s auto industry.

The first-generation liberation trucks played an important role in China's economic construction. However, due to the limited conditions at that time, until the July 15, 1986, CA1400, the second-generation 5-ton truck with the international level of the 1980s, was able to achieve vertical Conversion. At this point, the old Liberation CA10 was discontinued, and the truck CA141, independently developed by the Chinese, officially replaced the old Liberation CA10. At this point, the liberation has completed its second venture and ended the old liberation of the "30-year consistent system" history, bringing China's auto industry into a new stage of development.

Since then, FAW has been able to develop products based on market demand and trends. In the 90s of last century, in order to change the backwardness of China’s auto industry, the FAW was able to realize the dieselization and flattening of liberation trucks based on the development trend of foreign trucks in the third venture with a shortage of funds. In the late 1990s, the liberation of the fourth generation of heavy-duty 9-ton flat-head diesel vehicles came out, and FAW products entered the quasi-heavy ranks.

However, at the end of the last century, with the continuous development of the national economy, heavy trucks have become increasingly prominent in the transportation market. Heavy trucks have gradually become the first choice for large numbers of users to purchase large-scale freight vehicles, which requires FAW Liberation to develop truly heavy trucks.

However, due to the limitations of the planned economic system, FAW has always been using medium- and medium-duty trucks as its main products, failing to enter the real heavy truck field. In 1999, FAW decided to develop a large-horsepower diesel engine with advanced world standards in order to establish Liberation as an internationally renowned brand. At the time, the overall level of domestic engine development was lagging behind that of developed countries for 20 years. In the development of high-end heavy-duty diesel engines, there was a lack of resources and experience. In key technologies such as diesel engine electronic control, emission control, and overall machine development, there was a lack of support and it was difficult to develop. And know.

In order to catch up with the world's advanced level in the shortest possible time, FAW once tried to establish a joint venture with foreign companies and negotiate with the world-famous company Mercedes-Benz. However, during the negotiations, Mercedes-Benz insisted that FAW abandon its liberation of the brand, resulting in joint venture negotiations. It eventually burst because for FAW, liberation is the root, and whoever wants to lose liberation is the sinner of history.

Xu Jianyi, chairman of the FAW Group and secretary of the Party Committee, once said that liberation is the most important cornerstone of FAW's independent business. The liberation of being stronger and stronger is not only related to the liberation of its own development prospects, but also related to the overall development of FAW's autonomous system.

In this case, FAW began the development of the fifth generation of products. During this process, FAW Liberation explored a road of “open cooperation and independent innovation”, that is, firstly integrate the domestic and foreign advantageous resources and arrange products carefully. Planning, engineering design and performance development, and put forward the concept of quality cost, adopting the method of stage review, organizing the technical review of domestic and foreign technical experts, and making decisions during the review, and reducing product development costs through value engineering.

On July 15, 2004, on the occasion of the 51st anniversary of FAW's birth, the "Liberation Aowei" heavy-duty series of trucks equipped with the 6DL engine and the 5th-generation product were formally put on the market. The advent of "Aowei" has enabled Liberation to enter the heavy truck market at a high starting point. The liberation of the J5 series heavy trucks has become the main model for the liberation and expansion of the market, not only enriching the liberation product line, establishing the market position for the liberation of heavy trucks, but also laying a good foundation for participating in international competition.

However, according to the liberation of FAW, the development and production of a truly high-end heavy truck product at the same level as the international advanced level can really raise the eyebrows. Next, the development and launch of J6 is the real highlight.

Birth of J6

In fact, FAW has been planning and developing the sixth-generation product (J6) while liberating R&D production of the fifth-generation product (J5).

In 2000, when the FAW Group discussed the company's "Tenth Five-Year Plan" product plan, it proposed the concept of the simultaneous development of the full range of the next generation of heavy truck trucks. Although the market share of FAW's medium- and heavy-duty trucks was very high at the time, design and development were both adaptive product development and lacked a long-term development plan. In order to maintain the long-term competitiveness of the company, the group company decided that the technology center with the international vehicle design and test level is responsible for the development of a new generation of world-class heavy truck products with completely independent intellectual property rights to liberate the J6.

In the early stage of J6's R&D, Wu Bilei, deputy chief engineer of the Technical Center of China FAW Group Corporation, was taken to the front desk to serve as the chief designer of J6.

Wu Bilei entered the FAW Technology Center after graduating in 1992. Prior to the development of J6, he had participated in the planning and hosting of independent research and development for the release of hundreds of J3 and J4 commercial trucks. This series of successful product development laid a solid foundation for Wu Bilei and his team and accumulated a lot of data on domestic commercial vehicle products, which enabled them to confidently complete the design and development of the high-end truck J6.

It is also the support of the group that has made Wu Bilei more confident. In fact, FAW's investment in the liberation of the J6 platform is unprecedented. On the basis of summarizing the laws of the development of the international auto industry, FAW Group has launched a project to upgrade the new products and new processes in accordance with the investment focus of “1233”, namely to build a product R&D center, procurement, and marketing two networks, engines and vehicles. The three major bridge and transmission assembly and welding, painting, assembly of the three major manufacturing processes.

However, FAW Group's demand for the liberation of J6 is also proportional to investment. At the beginning of the liberation of the J6 design, FAW put the European heavy truck standard as its core R&D target. That is to say, the development standards for Liberation J6 are positioned at the international advanced level and are oriented towards the advanced European advanced truck technology.

According to FAW, this is the only way to resist the impact of imported models and gradually realize the strategic concept of liberating products for export to the European market. At the same time, J6 also needs to take into account the needs of the domestic low-end market, gradually replace the current production models after 2010, so that J6 eventually become the FAW Group to lead the market a new generation of leading products.

Such standards and requirements are difficult for Wu Bilei and his team. “The process of independent research and development is arduous. Many basic R&D starts from scratch,” said Wu Bilei. “The primary problem we faced at that time was the lack of information on international high-end heavy trucks.”

In fact, in the early stages of liberating the R&D design of the J6, the technicians could not even start: What kind of truck is the international advanced level? How each part is constructed and how is it designed? In order to answer these questions, it is necessary to study high-end technology trucks such as Volvo, Mann, Mercedes-Benz and other foreign countries to do product benchmarking. Therefore, collecting advanced product data and benchmarking international truck brands became the first thing Wu Bilei and his technical team must do.

Soon, FAW purchased several prototypes for the technical center to dismantle and conduct benchmarking analysis. The development team removed each system and tested them with instruments. According to Wu Bilei's introduction, they only did half-a-half of the standard test of the clutch control system. This is just the tip of the iceberg in the 15,000 parts and components system on trucks.

During the three years, the technology center has accumulated one after another data for benchmark analysis. In the end, J6 gradually came into being.

According to Wu Bilei's introduction, at the beginning of J6 development, more than 2,000 problems were solved. In order to expose product quality issues to the development stage as much as possible, the R&D personnel of the technology center developed a set of new test methods in accordance with the users' needs. They have experienced nearly harsh tests for six years. They put more than 80 J6 prototypes into a 3.8-million-kilometer intensive test, including the high temperatures in the Mohe region, the hot and humid heat in Hainan, the dry heat and sand in Xinjiang, and even the high altitude test in the Tibetan Plateau. Efforts have not been wasted. With the approaching day of July 15, 2007, Wu Bilei felt that she was getting closer and closer to success.

However, by January 2007, only six months after the Liberation J6 was put into production, technicians suddenly discovered that the J6's steering system was abnormal.

Subsequently, the next six months were the most memorable days for all technicians in the R&D process of J6.

As far as the steering system is concerned, as early as June 2006, when the technical center invited an Austrian steering specialist to inspect the J6 steering system, foreign experts pointed out that because the J6 steering system uses non-metallic pipe, the internal oil temperature of the system is high, With a heavy turn, there is still a gap with European truck products, and it is recommended to use metal pipes instead. The Technical Center has also adopted this proposal.

But why suddenly there is abnormal noise? Formally put into production in July, if this problem cannot be resolved will bring incalculable losses to the group, every R&D personnel of J6 feels great pressure. The news was passed to foreign experts. Experts calmly stated that this abnormal sound was caused by the use of metal pipes, and that European products often experienced such phenomena. Foreign experts believe that abnormal noise does not affect the performance of the vehicle, nor does it belong to quality issues. It can only occur when trucks are started in winter, and there is no problem if they are not resolved.

However, J6's R&D personnel do not think so. They want to build a truly high-end world-class heavy truck. To use the perfect quality to win the trust of users, they must solve this problem before putting into production. Soon, the technical center's R&D personnel listed various factors that may cause abnormal noise. These factors were arranged and combined to formulate 27 solutions and they began to be tested one by one. Day by day, one by one solution does not work. When the 24th plan fails, continuous work and frustration of failure make many people close to the brink of collapse.

"Time has passed more than three months, J6 put into production soon, these programs will not be how to do, we are very scared ..." Wu Bilei recalled the scene at that time, but also vividly. "Continuing the test, we can't give up." This is a common wish of all, and we hold on to their teeth.
Finally, the 25th program successfully eliminated the abnormal sound of the steering system. Speaking of his feelings about the liberation of J6, Wu Bilei said, “Every person involved in the design and development of the Technology Center has deep feelings for J6. They devote more effort and energy to J6 than their own children.”

In the 7 years of R&D history, Wu Bilei led his project team to undergo countless difficulties and setbacks, solve more than 1500 technical problems, achieve more than 300 technical innovations, and obtained more than 100 patents, 46 of which are innovations. It has been applied for the first time in domestic trucks and has obtained more than 100 patents. It has completed the development of five major platforms, 12 series and more than 300 vehicle types of “J6” products at one time. This simultaneous development of the full range of products is the first in the country.

Using its own powerful experimental verification capabilities and design analysis capabilities, FAW has successively conducted a series of meticulous and meticulous tests on the vehicle performance, various functions, road reliability, and vehicle environment adaptability of the liberation truck. Multiple rounds of test verification have provided sufficient test data for the liberation of trucks and have played an important role in ensuring the quality of product development. In the process of independent research and development for the liberation of J6, FAW obtained a total of more than 300 innovative technologies and applied for 197 national patents.

On July 15, 2007, the 6th-generation heavy-duty truck liberation J6, which was completely developed by FAW and developed six years ago, was released to the market. At the off-line ceremony, German TOA Rheinland representative Hassler issued a verification certificate to the then General Motors Liberation General Manager Xu Xianping, and announced on the spot that the Liberation J6 has reached the level of similar European models.

Xu Xianping said that J6 is a epoch-making and landmark product in the history of FAW development. It marks the basic completion of the structural adjustment of FAW truck products, from the medium-sized and quasi-heavy to a new era of heavy-duty.

On the morning of January 14, 2011, the National Science and Technology Awards Conference was held in the Great Hall of the People. China FAW's “High-quality J6 Heavy-duty Truck and Heavy-duty Diesel Engine Independent R&D and Technology Innovation” project won the first prize of the 2010 National Science and Technology Progress Award. This award made China’s high-quality heavy-duty trucks the country’s highest technology podium for the first time.

This is not only an affirmation of FAW's strength in independent research and development, but also the highest praise for Wu Bilei and his team.

From the liberation of CA10 from the first generation of products to the liberation of J6 from the sixth generation of products, all generations of liberation trucks left their mark on the historical environment at that time. In particular, the liberation of J6, from its inception to today, has accumulated sales of more than 100,000 vehicles. It is worth mentioning that in just 8 months, Liberation J6 sales have soared from 50,000 to 100,000.

Marketing transformation

Prior to the liberation of FAW, FAW had always maintained an advantage in the medium-heavy vehicles sector and had repeatedly won the first place in the industry. After the introduction of high-end heavy trucks, in addition to constantly enriching products, the transformation of marketing has become a top priority.

In fact, in 2004, before and after the liberation of the fifth generation of products, the liberation began to fully implement the Toyota production method, the introduction of FAW-Volkswagen management model, to achieve management reform, and out of a traditional state-owned enterprises in the case of a joint venture with the advanced international management model. The road has increased the overall market competitiveness of the emancipatory brand. On this basis, Liberation proposed creating a lean marketing team to achieve lean marketing management. For example, FAW Liberation has implemented unified sales management for its two major bases in Changchun and Qingdao. It has implemented order management for the first time in the sales of new products, and has laid the foundation for the liberation of other products.

In addition, FAW’s liberation began to implement a series of changes in products and services. In the aspect of products, the sequence of the new generation of main products such as Liberation Aowei, Liwei, etc. has been continuously expanded to form a broad platform and a series of development patterns. In terms of services, the liberation vigorously promoted the implementation of the six new service commitments. At the same time, the massive “movement of the true feelings of the summer with heart” service month activity was carried out nationwide.
In 2005, Liberation implemented the "1122" strategy, which is to adhere to "users first" in its business philosophy; to adhere to "plans first" in its business management; to implement two standardized processes of sales management and after-sales service to achieve customer relationship management and Two promotion of marketing management level; “planning first” as the main management line, and customer relationship management as the support, strengthening the system's transport control capabilities and means, fully stimulating the operational efficiency of the liberation marketing system, and gradually liberating the marketing team To lean.

However, due to changes in laws and regulations, the domestic heavy-duty truck industry suffered a downturn. Due to the lack of predictability of the national regulations and policies environment, the e-liberation brand that had ranked first in the nation for seven consecutive years was also met with tremendous challenges this year.

However, all this did not change the revolutionary exploration of FAW’s liberation in marketing. The marketing system shifts from "sales-target-oriented" to "share-target-oriented", and the overall share target, the share target of the share, the target of market share, the target of regional share, and the target of agent share constitute a step-by-step target system. This will make the work of the marketing system more scientific and more closely integrated with market demand, structure, and competition.

Focusing on the core evaluation system of the share, the marketing management model of the product line has been implemented liberation, and specialized product line teams with traction, dumping, loading, and special-purpose products as the main lines have basically formed a complete line of marketing workflows for each line. The research on market segments has become more in-depth and meticulous, and the market demand structure and changing trends have been more accurately grasped. The support and guidance for the promotion of the products of the Shang Dynasty and the agency commodities are more targeted.

After adjustments in marketing, coupled with the strong product power of the liberation of J6, in 2009 and 2010, FAW liberation has returned to the status of the boss.

FAW Liberation has not stopped its exploration in marketing. Based on the 4P marketing theory, combining the market characteristics and marketing experience of medium-heavy trucks and innovative marketing theories, FAW integrates services and spare parts essential to truck marketing into 4P theory. Formed 4P 2S market analysis tools with product, price, channel, promotion, service, and spare parts as the six core elements.

The achieved results are also obvious. For example, as a tractor that liberates a superior product, after analyzing with the “4P 2S” tool, it shows that the 320 to 360 horsepower still has a shortcoming of liberation. When it is liberated, it concentrates resources to attack this market, and by the end of 2010. Its market share has increased by 19%, and the role of the "4P 2S" analysis tool is evident.

FAW once engaged in an essay of “liberating change of destiny”. More than a thousand articles from 25 provinces, cities, and autonomous regions nationwide flew into the organizing committee in a snow-like manner. Each participant narrated “liberation” with examples of their own enrichment. "Changes brought to their lives. Henan Jiaozuo No. 8 Company, for example, was originally a bankrupt company and had only 50 old Soviet vehicles. Since the employees raised funds to “liberate”, the eight companies are just like the “God of Wealth.” Now the company already has more than 3,000 liberation vehicles. Zhou Xiajun of Anhui Ningguo was originally a driver of the liberation car. After he contracted the limousine to run and transported, he embarked on a prosperous road. From a car to several cars, from the agents that liberate products to service providers, they liberated. This cake was made bigger and bigger by him.

Zhang Bing, general manager of FAW Liberation Sales Co., told reporters that “liberation of trucks and money-making machines” is the slogan that liberated the brand in recent years. It is forming a win-win culture.

First dream

The FAW Group, which once used the "First Automobile, First Partner" as its slogan, has always had the enthusiasm of "contending for the first place."

The FAW Liberation Championship has been a glorious champion for seven consecutive years in the medium-to-heavy truck field. Since 2005, however, FAW Liberation has not received the title of heavy truck sales for many years. Although it was later promoted to the boss position in some years, it was not stable. At present, although with the strength of J6, FAW still has a competitive advantage in the field of heavy trucks, but the "first" glory is no longer there, and in the light truck market, FAW and Beiqi Futian have no strength compared to those who come from behind. far. At present, Beiqi Foton not only ranks first in the domestic commercial vehicle market for five consecutive years, but its light truck sales also far ahead of FAW.

However, for the first pursuit, liberation never gave up.

In 2011, the overall sales volume of the domestic heavy-duty truck market fell by 129,000 units, a decrease of 10%. Among them, the number of tractors dropped by 105,600, a drop of 29%. The tractor has always been the fist product of FAW liberation. However, under the background of the overall downturn in the industry, the liberation marketing system has withstood severe market tests, and “Strong” tractors maintain a market share advantage of 40%. At the same time, breakthroughs have also been made in various market segments: the market share of dump trucks has increased by 1%; the market share of 8x2 trucks has increased by 2%; the market share of lightweight 8x4 trucks has increased by 7%; cement mixing The market share of the car has increased by 2%, and it has achieved sales of 3,000 vehicles throughout the year, representing a year-on-year increase of 50%.

On December 29th, 2011, the FAW Liberation 2012 Business Annual Meeting was held in Guangzhou with the theme of “raising the capacity, adjusting the structure, strengthening the service, and pursuing the first”.

A total of 2,000 leaders from FAW Group Corporation, FAW Jiefang Company, and Liberation Agents, Service Providers, and Special Purpose Vehicle Partners from across the country issued a cry for “striving for first place” and proposed to strive to reach 210,000 units in 2012. Sales target.

In fact, the situation facing liberation is still severe. The number of domestic manufacturers in the medium- and heavy-duty truck market is constantly increasing. Competing goods are constantly upgraded, and the competitive environment facing liberation is becoming more severe. This will open up the market development capabilities, management and management capabilities, and services for the liberation marketing system. The guarantee ability has put forward higher requirements.

According to Zhang Bing, general manager of FAW Jiefang Automobile Sales Co., Ltd., in 2012, FAW Jiefang will expand its market segmentation model by strengthening its share-based target management, improve its marketing system, and recognize market capabilities. Through the application of 4P 2S tools in various market segments, it will accurately grasp the competition in the terminal market, implement effective marketing strategies, and improve the marketing system's terminal market development capabilities.

In 2012, the tenth anniversary of the establishment of the “Touched Service” brand was lifted. According to Xu Xianzhi, secretary of the party committee and deputy general manager of FAW Jiefang Automobile Co., Ltd., this will be another opportunity to elevate and improve service levels. He said, “The Chinese truck market is already In the era of product functionality and quality homogenization, the competitiveness of manufacturers will be reflected in services. Liberation will regard moving services as a means to liberate core competitiveness."

In fact, according to FAW’s emancipation, as a car company with a history of 55 years, its experience and mentality have precipitated far higher than the ranking. After all, China’s FAW liberation has relied on independent innovation to emerge a Chinese style. Development path.

No matter what, "Yong Zheng First" is an immortal dream.