At the moment when the market is highly involuted, how to open up the blue ocean market and avoid homogeneous competition has become an urgent problem for major enterprises to solve. As one of the world's leading enterprises in the field of industrial automation, informatization and digital transformation, Rockwell Automation is constantly looking for breakthroughs in cross-border cooperation and exploring new value growth points with its keen market insight and continuous innovation spirit.
Recently, Shi An, President of Rockwell Automation (China) Co., Ltd., and Chen Ran, Vice President of China Industrial Control Network, presented a speech in the "Insight · Visionary Insights" was a great in-depth conversation.
In the program, the two industry leaders conducted in-depth discussions on how to create new demand and enhance the core competitiveness of enterprises in cross-border integration. Rockwell Automation's "cross-border upgrading" strategy was explained in detail in this discussion. By linking different fields to create a new value chain, Rockwell Automation is helping industry partners break through traditional boundaries and jointly develop a broader blue ocean market.
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Questions
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Answers
Q1
How to create new demand in cross-border innovation?
China Industrial Control Network
Chen Ran:
At the beginning of the dialogue, Chen Ran shared a set of data from the perspective of the market: in the first quarter of 2024, although the year-on-year growth rate of industrial export delivery value and fixed investment in the secondary industry showed a rebound, the performance of the PMI index and industrial capacity utilization rate was not optimistic. As a result, the challenge for the industry has shifted from a lack of capacity or productivity to a new balance between supply and demand.
How to drive supply through demand? Shi An believes that new needs must come through innovation, which requires the ability to integrate across borders to connect different knowledge and technologies. Rockwell Automation creates a "cross-border upgrade" by linking customers in different fields, so as to truly improve the ability to create demand and open up and expand new blue ocean markets.
In the current industrial environment, enterprises need to think deeply about how to improve their core competitiveness, rather than just relying on throttling to increase profits. Throttling doesn't really solve the problem. Creating a new blue ocean space requires entrepreneurs to have a clear direction and forward-looking investment, especially in the stage of science and technology innovation from 0 to 1.
With the three advantages of core technology, operational excellence and cross-border ecology, Rockwell Automation insists on doing what others can't do, doing what others can't refuse, and systematically replicates these things as much as possible, helping industrial partners to achieve blue ocean development, industrial chain extension, brand upgrading, and customer group upgrading, and realize the qualitative change from throttling to open source.
Shi An further shared his views with the case of Sauce Latte: "We can see how the cross-border cooperation and flexible production between brands can create new topics, stimulate new demand, and bring both brand influence and performance improvement to both partners. For manufacturing enterprises, it is a key strategy to open up a new blue ocean by finding the linkage space with customers and avoiding falling into fierce homogeneous competition. ”
Rockwell Automation defines itself as the main chain of producer services, which stems from the comprehensive coverage of the secondary industry, and extends to the primary and tertiary industries through digital technology, building a perspective of the whole industry chain. Through years of practice, Rockwell Automation has accumulated rich cross-industry experience, which not only improves the vision and thinking of its own team, but also provides unprecedented value to customers.
Q2
How can SMEs leverage their strengths to meet the challenges?
China Industrial Control Network
Chen Ran:
The challenges and opportunities faced by companies of different sizes are very different. In this regard, Chen Ran said that for large enterprises, they have sufficient funds, resources and time. But for small and medium-sized enterprises, the situation is very different. There are still many small and medium-sized enterprises in China that face many difficulties, not only do they lack a clear direction of development, but even if they do, they are often difficult to implement due to lack of funds and resources. For small and medium-sized enterprises, how to find a development path that suits their own characteristics?
Shi An pointed out that although small and medium-sized enterprises are small, it is this "smallness" that gives them unique advantages - flexibility and quick response. Because of their small size, they can adapt to market dynamics more agilely, accurately position and deepen their segments. In order to effectively break the situation, small and medium-sized enterprises should rely on their own flexibility and flexibility, quickly coordinate resources and take root in the market. At the same time, keep an open mind, actively embrace new things, explore new opportunities, and make strategic layouts according to the company's own DNA characteristics and advantages, so as to accurately capture every market opportunity.
At present, the entire industry is also evolving, for example, the net-zero supply chain is reshaping the global supply chain system. In this context, whoever can be the first to perceive and seize the opportunity will be able to take the lead in the competition.
Large enterprises have their own operational advantages, but small and medium-sized enterprises can easily be overwhelmed by the market if they cannot quickly improve their thinking dimensions and competitiveness. Rockwell Automation can help them think outside the box and explore new growth opportunities.
Rockwell Automation is committed to in-depth discussions with the majority of small and medium-sized enterprises, looking for new development opportunities, and helping them open up the thinking of cross-border cooperation.
Q4
How does China's manufacturing industry ride the wind and waves when going overseas?
China Industrial Control Network
Chen Ran:
At present, the competition in the manufacturing industry has been extremely fierce, and problems such as overcapacity, high product homogeneity and weak demand have become increasingly prominent. In the face of the involution phenomenon of the domestic market, more and more manufacturing enterprises have begun to set their sights on overseas markets. Chen Ran cited the data of the first quarter and pointed out that the export performance of machine tools, textile machinery, especially plastic machinery and other fields was excellent. This undoubtedly provides a new direction for enterprises looking for breakthroughs.
Nowadays, Chinese companies are actively looking to expand overseas, and by choosing to establish a business base abroad, and then reverse the strategy of influencing the domestic market, it can help enterprises bypass the fierce competition in the domestic market and give them a head start on the international stage. Shi An believes that "going overseas" is not just about selling products abroad, but also requires enterprises to really take root in overseas markets and become a localized enterprise. Through in-depth understanding of local culture and needs, we will form cooperation with local enterprises to jointly develop the market and achieve a win-win situation.
As a producer service chain owner, Rockwell Automation has a significant advantage, relying on end-to-end solutions, from blueprint planning to legal and regulatory risk assessment, to cross-border resource integration and implementation of operation and maintenance services, can provide professional support. By looking for the most professional partners in different links, Rockwell Automation is helping Chinese enterprises to go further and more steadily on the road to the sea.
The more the times develop, the more important cross-border thinking becomes, because the competition in the same industry will become more and more fierce, and the space for innovation will become smaller and smaller. Water conservancy is indisputable, this is the ecological way of Rockwell Automation. Relying on its own deep industry accumulation, innovative technical capabilities and open strategic vision, and aggregating the power of ecology, Rockwell Automation is injecting a steady stream of vitality into the sustainable development of the whole industry chain.
Insight· Visionary Insights | Dialogue with Rockwell Automation Shi'an: Cross-border Upgrading and Innovative Development of Manufacturing Industry