Thinking: Three Key Points for the Transformation of Agricultural Machinery Enterprises in 2017

[ China Agricultural Machinery Industry News ] In the current normal of economic development, "transformation and upgrading" has become a hot topic in all walks of life, and the agricultural machinery industry is no different. There are indications that the agricultural machinery market has passed the "inflection point" in 2016. It is expected that the adjustment of “deep transformation” will continue in 2017 and will pick up in 2018. At the end of the year, in the face of the more challenging 2017, how to put it into action and concretize the concept of “transformation and upgrading”? This is undoubtedly the focus of attention of agricultural machinery.

Thinking: Three Key Points for the Transformation of Agricultural Machinery Enterprises in 2017
"Zhou Yi" has a saying, "The benevolent sees the benevolence, the wise sees the wisdom", no matter the other, the agricultural machinery enterprises in the specific business operations, the following three aspects deserve deep thinking.
Make the company "light, do special"
"Greed for corruption" is a common phenomenon among Chinese companies. In the traditional concept, we can't see which company can't do it. First of all, we must look at the size of the company. In fact, this kind of cognition is not unreasonable, but it is not exhaustive. comprehensive. As the market competition intensifies, the growth space of enterprises is rapidly compressed, and the advantages of resources are gradually exhausted. If they do not innovate in time and do not follow the market transformation in time, they will become very passive. Enterprises blindly pursue "big and complete" and will appear. The weakness of the difficulty of turning around and the relative lack of flexibility makes the scale effect without quality become a heavy burden. Just like the agricultural machinery industry, the national scale has reached the global level in 2012, but the overall level of competition is at a medium-low level. This kind of crux stems from the fact that many agricultural machinery companies are too aggressive in their pursuit of scale.
In the current market environment, agricultural machinery enterprises should be light and professional, focus on their advantages, and do well in the fields they are good at, both to do "subtraction" and "addition."
The enterprise "does light and specializes" and has three methods of subtraction: one is to strip the inferior industry. For example, when there is a farmer's machine company, when the real estate is hot in the past few years, a large amount of money is used to build a house. In recent years, the funds that have been put in have become a burden, which has affected the development of the main business of agricultural machinery. Therefore, timely judgment and timely The divestiture of inferior industries is one of the keys to avoiding risks. The second is to cut down the inferior business. In recent years, the traditional agricultural machinery business is facing newer changes, such as single-cylinder small four-wheel, agricultural tricycle, backpack-type harvester and other products, which have already entered the phase-out upgrade channel. Enterprises with such products as the main industry should make timely decisions. Businesses that are at a loss for more than 3 years should be chopped off in time to upgrade new products. At the same time, for large-scale enterprises, they can't do the industry's “one of the best” money-losing business, and must conduct system analysis, upgrade, or optimization, or increase efficiency... ...the third is to optimize the business module. The implementation of light asset management by agricultural machinery manufacturing enterprises is one of the effective ways. The specific mode is that the whole machine manufacturing enterprise undertakes the core component manufacturing, the overall assembly and the whole process quality control, and the specialized processing enterprises undertake other components matching through the specialization module. Management, the formation of a community of interests with products as the main carrier, in order to effectively reduce their own manufacturing burden, resist risks, and enhance operational flexibility.
Second, enterprises "do light, do special", there are three additions: First, the introduction of professional talent. No matter when, professional talents are an indispensable part of agricultural machinery enterprises. In fact, enterprises that really value talents are rare. Many companies are willing to invest heavily in equipment, but they are not willing to spend money on talent introduction. In actual operations, when self-reliance is not enough to support the progress of enterprises, it must be solved through talent introduction. The more the industry slows down. The more important it is. The second is to increase technological innovation. Nowadays, since then, innovation is the inexhaustible motive force to support and promote the progress of enterprises. Agricultural machinery enterprises should increase innovation, especially in technology research and development, process improvement, increase investment, introduce talents, encourage innovation, and promote products to intelligence. Chemical, chemical, lean upgrade, market development. The third is to enhance the value of competition. The competition in the agricultural machinery market is fierce. Any enterprise can't avoid the test of price competition. To win, we must try to avoid low-price competition and actively expand value competition while ensuring “high quality and low cost”. “To provide customers with a total solution” is implemented in specific actions, such as coordinating related agricultural materials, logistics, grain processing and other enterprises, providing users with services such as “planting, managing, receiving, transporting and selling”. The value of providing a single business and service for agricultural machinery products is much higher, while strong companies should expand their global vision and actively participate in global competition.
Products "work fine, strong"
In recent years, the importance of "products" in the market competition factors has become increasingly prominent. The rise and fall of any enterprise is closely related to its products. The so-called "innovation drives development, products are related to life and death", this is true. How agricultural machinery enterprises make products seems to be a cliché, and each has its own way. However, in the stage of market transformation, how to upgrade products is a big issue. Looking at today's domestic agricultural machinery market, the low-end competition in products is fierce and the homogenization is serious. If you want to break through, you must make the products refined and strong.
To make products more refined is to talk about quality; to make products stronger, it is in terms of competitiveness, the two are indispensable, the following three points must be done.
, market-oriented, establish a competitive "window" product. In 2016, under the influence of national grain planting structure adjustment, full mechanization promotion, and “grain reforming” policies, the domestic agricultural machinery market has undergone fundamental changes. The mainstream of market sales has gradually shifted from traditional categories to emerging categories with large rigid demand. The niche products such as animal husbandry, cash crops, gardens, vegetables, and drying are wonderful. At the same time, the trend of productization and intelligence is obvious. The demand for large horsepower tractors, large feed combine harvesters, and large-scale tillage machinery is strong. It is expected that this trend will continue in the next three years. “The trend of the times is irreversible”. Agricultural machinery enterprises must take market-oriented and carefully evaluate their own products, figure out the advantages and disadvantages of existing products and their growth, and establish superior products through product upgrades, new entry or cooperation. Grasp the market "window" and achieve improvement.

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