Tang Yuxiang: Selling buses to the first place in the world

Tang Yuxiang: Selling buses to the number one position in the world

Introduction: Tang Yuxiang: Selling buses to the number one position in the world. Over the past 20 years, Yutong has grown from an unknown company The repair shop has become the world's largest bus production base. The buses it produces carry 34 billion passengers every year, which is equivalent to 25 rides per year for each Chinese person! Let's take a look at the specific contents.

A

Intensive cultivation

Opening the market with the first domestic sleeper car

Yutong’s miracle began It is a kind of unique national car in China? Sleeper car.

In the early 1990s, Tang Yuxiang was a workshop director at Zhengzhou Bus Factory (the predecessor of Yutong, restructured in 1993). Since the state abolished the monopoly on purchasing and marketing, the Zhengzhou Bus Factory suffered from unsalable products. During the most difficult period, it once relied on welding security doors to make a living.

At that time, the surging wave of migrant workers made him smell business opportunities. He immediately led a team of people in the workshop to develop the first domestic sleeper car with a forward-looking vision.

Anyone who often rides in a bus knows that taking a bus for a long time is a painful experience. The domestic buses at that time not only had low technical content, but also had poor comfort. The emergence of sleeper cars is a breakthrough. It replaces the seats with sleepers, allowing passengers to sleep comfortably until they reach their destination, eliminating the fatigue of traveling. Therefore, it detonated the market as soon as it was launched.

With this car, Yutong became a market star almost overnight. In 1994, the national sales of large and medium-sized buses fell by 11%, but Yutong bucked the trend and rose by 98%! Tang Yuxiang also took advantage of the trend and became the company's deputy general manager. .

The technical content of sleeper cars is not high, and the key to their success is to seize the market demand. After Yutong, many companies also launched sleeper cars, but only Yutong, which has average strength, has achieved success. What is the reason for this? We can do well because we put in more effort. ?Tang Yuxiang explained that running a business is like farming. You must not be lazy at all and must cultivate intensively.

I am an entrepreneur, sometimes called a businessman, so I will choose the most appropriate time to do the most appropriate thing. ?Tang Yuxiang summed up his understanding of the market in one sentence.

The success of sleeper cars lies in forward thinking. After that, Yutong took the lead in launching new energy buses and new generation school buses based on market needs, both of which achieved great success. Intensive farming is also the key to Yutong's success. For more than 20 years, Yutong has been committed to building good cars and doing everything it needs to do well. As a result, it accidentally became the number one in the world.

B

Willing to invest

Be the first to go abroad and use technology to change the market

Compared with family cars, passenger cars were once said to be It is a low-tech industry among high-tech industries (automotive industry). Because historically, although there are hundreds of companies in this industry, most of them do not have independent research and development capabilities. At best, they are just a large assembly plant using truck chassis. But Tang Yuxiang believes that only by leading in technology can we become an industry leader.

To this end, Yutong invests 4% of its sales revenue and hundreds of millions of yuan in research and development every year, and has successively built the industry’s first postdoctoral workstation, the first national technology center, and the world’s leading vehicle electrophoresis production line. . ?In terms of independent research and development, I am not afraid of investment. To be the number one bus company in China, you have to have real skills. ?Tang Yuxiang said.

Because of its willingness to invest, Yutong has the strongest R&D strength and a large-scale scientific research team in the industry. In 1993, Yutong had only 18 technical staff. Today, the number exceeds 2,500.

Strong R&D capabilities and a large scientific research team have laid the foundation for Yutong to continuously achieve technological breakthroughs. Taking energy-saving technology as an example, Yutong Bus has reduced the fuel consumption of 12-meter buses to less than 20 liters per 100 kilometers through engine thermal management system, Anjietong intelligent operation system and other technologies, which is at the leading level in the country.

Electrophoresis technology is another unique skill of Yutong.

The salt spray resistance time of ordinary spraying process is only 240 hours. Yutong's vehicle electrophoresis process can extend this time to 1,000 hours, greatly improving the anti-corrosion and anti-rust capabilities of the vehicle. This technology played an important role in the hot and humid markets of Cuba and Venezuela.

Because of the existence of Yutong, the passenger car industry has become a beautiful landscape of China's automobile industry. While most passenger car companies are still trading the market for technology, Yutong has gone abroad and traded technology for the market.

C

Learn from the masters

Learn management from Western companies while taking time off

In the bus industry, Yutong’s management level is top-notch , This is inseparable from Tang Yuxiang's promotion of management transformation over the years.

Tang Yuxiang’s emphasis on management began in 1998. That year, Yutong built the largest bus production base in Asia in Zhengzhou, which was several times larger than before. Looking at the endless new factory area, his face was filled with sadness. ?Before 1998, Yutong relied on people to govern, and I was in charge of everything. There was a system but no process. After the company expanded, things became unmanageable. ?Tang Yuxiang recalled. Tang Yuxiang immediately realized that there was a management problem. After that, he spent a year learning in detail about various advanced management models at home and abroad, and finally decided to learn from Western teachers.

In 2002, Yutong was the first in the industry to introduce an ERP system. The project was handled by PricewaterhouseCoopers and the world's number one SAP company provided the system. The project cost tens of millions of yuan and took just over a year. Just put it into use. Three years after the implementation of ERP, Yutong has achieved zero inventory of 80% of key parts and all consumable parts, which has greatly improved customer response speed and capital turnover efficiency.

Management transformation that has lasted for many years has allowed Yutong to gradually distance itself from its competitors. In 2008, due to the booming market sales, many peers lost orders due to engine shortages, but Yutong was not affected at all.

Nowadays, Yutong’s tens of billions of funds flow in and out every year, basically without his signature. He basically doesn’t care about methods, standards, and things within the budget. Intervention will only occur when special cases are encountered. Tang Yuxiang was freed from complicated affairs and therefore had more time for himself.

In 2010, Tang Yuxiang took the opportunity of a business trip to visit the Shanghai World Expo Park for three days. Many people are curious: Is the head of Yutong really so idle? Tang Yuxiang said with a smile: It is better now than before, but he is not idle yet. ?

D

Home service

Become China’s business card in South America

In 2003, Yutong became the industry leader in China Later, he began to turn his attention overseas.

South America is Tang Yuxiang’s focus. Domestic companies have tried to compete there before, but due to quality reasons and the inability to keep up with repair and maintenance facilities, they had to fail and leave a bad impression on the local area. Tang Yuxiang decided to change this situation. What Yutong Bus has to do in overseas markets is to build up the reputation of Chinese buses first and make Chinese brands dignified in the world. ?he said.

In order to smooth the market, Tang Yuxiang has been to Cuba for three consecutive years to conduct research with local sales. Some subordinates think that Yutong only needs to sell cars. Tang Yuxiang's answer is: "I don't allow it!" Only sell cars where the service can reach them. This has become Yutong's market principle.

Cuba is a country short of money, so Tang Yuxiang set a rule specifically for this: they are allowed to sell on credit, with no upper limit. During the financial crisis in 2008, many foreign companies withdrew, but Yutong insisted on staying. Not only did he stay, he also provided the other party with $5 million in accessories. With this relationship, Yutong has been going smoothly in Cuba. By 2016, it has sold a total of 5,827 buses, with a market share of more than 90%, so that almost all buses running on the streets of Cuba are Yutong brand.

Through a series of internal and external efforts, Yutong has won a good reputation in the South American market and has become a local business card of China. Even the Deputy Minister of Transportation of Cuba praised: Yutong is Cuba’s highway manufacturer. The king of.

?

E

Don’t be a flying pig

Respect and build a solid reputation

Tang Yuxiang is a person with a big picture. Many years ago, he realized that if Yutong wanted to become stronger and bigger, it must go abroad and occupy a certain position in the international market.

At the same time, he is a person who can keep his head down and likes to do things in a down-to-earth manner.

Regarding the flying pig theory that has become popular in recent years, Tang Yuxiang said: "As soon as the wind stops, the flying pig will fall down." We are not going to be flying pigs, we have to do our homework well. ?

After more than ten years of working in South America, Yutong has harvested a Cuban model, the core of which is to build a solid reputation.

Europe is the most high-end and most mature market in the world. It is not easy for Tang Yuxiang to copy this model, so he is more patient than ever.

When Yutong entered Europe, it spent several years building a team of more than 200 people. They were responsible for developing the most suitable products for Europe, and through extensive market research, they conducted pre-entry preparations. Prepare.

For Tang Yuxiang, this is a battle where only victory is allowed and no defeat is allowed. He adopted a steady and steady strategy. ?What we want is not just one thing or one place at a time. We need to do a good job in a down-to-earth manner, and we will do it to the extent required. Tang Yuxiang said: "The more important point is that Yutong has no expectations for sales and profits in the European market. It will improve slowly and take its time." ?

Tang Yuxiang always laughs off praises and awards such as Yutong’s performance rising year after year and becoming China’s business card overseas. Tang Yuxiang is not interested in being ranked No. 1 in global sales. In his view, Yutong still lags behind Western companies in core technologies such as engines, gearboxes, and axles. Compared with these empty names, what he cares more about is to allow Yutong to continue to develop healthily, so that more than 20,000 employees can have food to eat and live a good life. ;