Rekindle 2003

Chapter 981 The idea of ​​eating a fat man in one go is not a good idea
Long Xingyuan began to consider the feasibility of this plan in his mind.

He knew that if Qinchuan Group could fully utilize Qishan's geographical advantages, its transformation would be smoother.

He stood up suddenly, his eyes shining, and then paced back and forth on the road with his hands behind his back.

At this moment, Long Xingyuan's heart was filled with complex emotions, including a deep attachment to this city and infinite longing for its future development.

This city was once glorious.

At this time, it is falling rapidly.

But now, with Qing Yun's proposal, Qishan will once again usher in a turning point.

He thought about the role that the establishment of a foundry would play in promoting the local economy, which would not only solve the employment problem of a large number of people, but also enable the economy of a region to prosper rapidly and increase local fiscal revenue.

This is not just a change in numbers, but also a reshaping of the vitality of the city of Qishan.

'The foundry that Yanhuang Group is going to build will not only optimize Qishan's industrial structure, but also promote the rapid development and growth of the industrial economy.'

Long Xingyuan's thoughts surged like the tide.

More importantly, this will retain young people. A city without young people has no future.

He knows very well that young people are the source of vitality of a city.

With the decline of industrialization, many young people choose to leave their hometowns and go to larger cities in search of opportunities.

However, the establishment of the foundry will provide them with employment opportunities in their hometown, allowing them to stay with their loved ones, while also injecting fresh blood and vitality into Qishan.

"This is an opportunity, but also a challenge." Long Xingyuan weighed the pros and cons in his mind, "I must seize this opportunity, for myself, for Qishan, and for the elders and folks here."

His heart was filled with gratitude, grateful for the opportunity brought by Qingyun, and grateful that he could be part of this change.

Long Xingyuan knew that this would be a tough battle, but he was ready. For the future of himself and Qishan, he was willing to make every effort.

"Mr. Xiaoqing, your proposal gives me hope for Qishan."

Long Xingyuan said in a deep voice, "We at Qinchuan Group are willing to explore this cooperation opportunity with you, making full use of Qishan's geographical advantages to build a competitive production and logistics base."

Long Xingyuan guarantees that the products produced by the OEM factory will be comparable to military quality. This is not only a confidence in the product quality, but also a reflection of the manufacturing strength of Qinchuan Group.

Qing Yun nodded slightly. He was satisfied with Long Xingyuan's attitude, but then his expression became serious. "Brother Long, don't be so quick to thank me. I'm not just asking for military quality. I want something higher than the current military standard."

Today's military standards...

Not really. Haha.

But objectively speaking, it's not that good.

The old bear taught us about industrialization.

But before the reform and opening up, our manufacturing system was modeled after the Russians, and it had nothing to do with standardization.

But frankly speaking, standardization and refinement are what we have learned ourselves through the painful experience of market competition after embracing the world.

"Tolerance and fit" was created, developed and improved with the development of the machinery manufacturing industry, and mainly serves the field of mechanical design and manufacturing process technology science.

This is an indispensable technical measure to ensure the interchangeability and matching of parts and to organize specialized production. It directly affects the accuracy, performance and service life of the product and is an important basic standard in mechanical manufacturing engineering.

Not to mention the coordination, the machining tolerance at this time is far from the level of precision machining.

For example, Fang Wenmo's team at Shengjing Aircraft Factory created a filing tolerance of 0.00068 mm, which leads the ultimate precision of aircraft parts processing in my country and made outstanding contributions to the safe application of key components of domestic fighter jets.

Awesome or not?
Awesome!
However, this is a fitter team of only 9 workers.

If you rely on this kind of "national craftsman" level craftsmanship team to make selfie sticks, mobile phones, MP3s and other things, Qingyun dares to say that it is better to close down as soon as possible.

He's not going to build a purely handmade Rolls-Royce.

"What I want is the qualified rate after mass production. The professional term for our electronic products is called yield rate."

Emperor Yun looked at Long Xingyuan with sharp eyes.

He knew that in the fiercely competitive market, only by reducing costs through large-scale production while ensuring quality could he gain a foothold.

“Brother Long, if you can achieve a high yield rate, I can let you do FATP, so that we can fully utilize the geographical advantages of Qishan.

If the yield rate does not meet my requirements, you can’t even process the structural parts and can only make raw materials.”

Long Xingyuan was a little confused. He had never been involved in this kind of OEM before and was not familiar with the production process of electronic products.

"Mr. Xiaoqing, what is FATP? What is the difference between it and structural parts?" He asked Qingyun sincerely.

Upon hearing this, Emperor Yun patiently explained to him,

"FATP is the abbreviation for Final Assembly, Test and Packing, which is the final assembly, testing and packaging location of the product."

He knew that Long Xingyuan needed to understand these basic knowledge in order to better grasp the direction of the cooperation.

"From the perspective of the industrial chain, the suppliers of an electronic product, or you can understand it as the component providers under the concept of large-scale foundry, can be roughly divided into the following categories." Yun Di began to speak slowly, counting on his fingers.

"Let me start from the very beginning. The first link is the production of raw materials, such as aluminum ingots and steel plates used to produce metal casings, particles for plastic products, glass for panels, various tapes, and raw materials for foam.

Although the profit margins of these raw materials may not be very high, their strength lies in huge supply and easy automated production.

Its products have a long production cycle and high barriers to entry, so they belong to the upper-middle level of the food chain.

The supply of this type of raw materials is basically monopolized by foreign companies. China is short of raw materials. There is no solution for now, but it is being solved. "

The silicon materials that Qingyun is going to work on next fall into this area.

He licked his lips and continued, "The second link is the OEM of structural parts, such as shells, screws, cut panels, packaging boxes, reinforcement plates, shafts, tapes, foam, conductive fabrics, etc.

The technical content of these things is relatively low, and they place more emphasis on cost control. They are labor or capital intensive industries, which is also what Qishan can start to do on a large scale at present.

After all, labor costs are a huge cost, and we have a natural cost advantage in this regard.”

At this point, seeing the disdain in Long Xingyuan's eyes, Qing Yun patted his shoulder.

"Don't think it's low-end, you have to take it one step at a time."

Long Xingyuan did not refute him, but handed him a cigarette, "What about the third category?"

Qing Yun lit a cigarette, exhaled a puff of smoke, and then slowly said, "The third category is module OEM, which is the parts that the final assembly plant buys and directly installs into the system, such as cameras, screen assemblies, keyboards, card slots, batteries, speakers, motors, etc."

As he spoke, he took out his mobile phone, removed the back cover to reveal the components inside, and gestured as he spoke.

"This is a technology- and capital-intensive industry, and because of the large volume and good profits, it is a hotspot for supply chain competition.

for example……"

He pointed to the battery in his hand and said, "Look, this battery of mine is not an original one, but a Scud battery, which is produced by the Scud company in Fujian."

In the era of removable batteries, no good person can go out without carrying two or three batteries.

The Scud battery was the king of that era.

Long Xingyuan frowned, feeling that this was...difficult.

Emperor Yun laughed, "Do you know how difficult it is?"

Long Xingyuan smoked his cigarette dejectedly and nodded.

He suddenly realized that Yanhuang Group only makes electronic products.

As for this so-called third-category OEM, the technical difficulty...

I'm afraid it's not something that those laid-off workers can accomplish.

Qing Yun continued, "The fourth link in the industry chain is what I call FATP, the final assembly factory, which buys the products from the first two links, assembles the final products on the production line, and tests and packages them to meet the standards for sale.

In this process, the OEM factory does not actually produce anything new; it is a purely labor or capital intensive industry.

That is, the first link manufacturers produce building materials, the second link manufacturers sell tiles and cement, the third link module manufacturers sell home appliances and furniture, and the fourth link FATP is a decoration company that buys these and installs them according to the owner's requirements. "

After hearing this, Long Xingyuan frowned and smoked his cigarette without any interest.

After a while, he asked doubtfully, "That is, the second and fourth links, because they belong to the 'capital or labor-intensive' industries you mentioned, so we can join them, right?"

Qing Yun nodded, and then spoke sincerely, "Brother Long, let me correct you. We are not entering the second and fourth stages now.

We only have the second stage, and we can’t do the fourth stage yet.”

As expected, Long Xingyuan, who was obviously unconvinced, followed his neck and asked, "Then why not go directly to the fourth stage?"

Qing Yun smiled helplessly, "As I said before, we have to take one step at a time and eat one bite at a time. It's good enough to have something to eat now.

It would be good if Qishan could figure out the second link within three years.

If they had not accumulated several years of experience in the second stage and had directly entered FATP, I can guarantee that the OEM factories in Qishan would have lost everything.”

Although he also understood Long Xingyuan's mentality.

After all, people of that era had a mysterious confidence and romantic spirit in craftsmanship.

At that time, people generally believed that as long as they exerted their subjective initiative, there would be no problem that could not be solved.

That's true, but it takes a process.

Even Foxconn started from the second stage, and after spending more than ten years cultivating a large group of backbone forces, it slowly moved towards the fourth stage.

It is totally impossible for Long Xingyuan to eat a lot of fat in one breath.

……

(End of this chapter)