As with many Chinese private companies, BYD Auto Production workshop was “very modern.” A more than 600 meters from the production line, there are nearly a hundred workers employed, and some work is as simple as tightening a screw. Many people visited BYD production lines, do not think, “This is too far back, and people FAW Group, produced a vehicle in minutes, then it can BYD, but according to an hourly rate, not at the level of the enemy.”
With so many BYD appealed against this “backward” production line, Wang Chuanfu nothing, he believes his instincts are right, this man is out of production lines capable of large machines defeat.
Then, referring to the same tactics he has twice the rise in the battery industry as the world’s first.
In 1995, the 29-year-old Beijing was non-metal Institute Room 301, deputy director of the Wang Chuanfu suddenly quit her job, borrowed a due south to Shenzhen, from a cousin, Dell studio 1537 battery ,Dell Studio 1555 battery,Dell Studio 15 batteryXiang-Yang Lu 250 million to establish businesses BYD began to see that the battery.
Nickel-cadmium batteries that time was of the Japanese companies, an automated production line requires at least one billion investment in BYD monopolized all resources are only 250 million, banks are not lending to such enterprises.
There is no production line, we rely on people. Nickel-cadmium batteries of the structure, principle, process requirements, performance, all this is Wang Chuanfu learn about careers. Several consecutive nights, he and his business with a few friends through the night in search of information that may be the design and writing process, numb, others fully automated battery production line open for 11 and divided into a multi-channel operation at 100 turned the composition of the artificial production line, input greatly reduced.
Quickly, these “backward” battery production line put into operation, producing much cheaper than the Japanese manufacturer of nickel-cadmium batteries, quick recognition by the market on which a large number of market share.
In 1997, Wang Chuanfu phase before the verdict of the great prospects of mobile phone batteries, despite the opposition of managers, called into life lithium-ion battery.
Wang Chuanfu followed by the dismantling of nickel-cadmium battery production line experience in lithium-battery automatic production line as far as possible, “artificial”.
But the crucial question, lithium batteries are expensive clean room completed, the BYD simply can not afford to invest. During this time, has the only secondary-educated workforce BYD instead of thinking creatively with dust-free clean-room box “approach, as long as your hands dirty box operation, the same can be achieved, clean production.
“This will save money,” said the BYD employees are simple ideas to help BYD Li-ion batteries in the field of take-off. Soon after the Asian financial crisis [2.90 -1.70%] of the crisis are concerned, have a huge cost advantage of BYD were the beneficiaries of the crisis at a stroke Sanyo, Sony brand was owned daily, the complete King of the World defeated Batteries .
In July 2002 BYD in Hong Kong Main Board listing to raise a record 54 to the point of maximum offer price of H shares, a record 1.6 billion Hong Kong dollars in funds in one strike.
With a lot of money, Wang Chuanfu began to consider the re-escalation of the company. “We have done nickel-cadmium batteries in the world, the world’s second lithium batteries were found closer to the ceiling, and the need for a room for the industry to do more, but it is hoped that and they were battery-related industries. ” Ultimate Fantasy Wang Chuanfu electric car, and his logic unanimously optimistic about the future of electric cars, but the key battery technology for many years, no fundamental breakthrough, but BYD battery technology leadership position in the world, in the automotive industry a chance.
In January 2003, Wang Chuanfu low-key announcement to invest 254 million acquisition of 77% of the shares Qinchuan car.
The decision sparked a major challenge and announced the news in just two trading days, BYD (1211.HK), the market value of the evaporation of 27 billion HK dollars.
Wang Chuanfu ugly again bought on the “people” first BMW, KD476 ， TD347 ， U4873 ， D5318 ， G5266 Mercedes-Benz, Porsche and other luxury car in the world, so that engineers disassembled, then automatic vehicle line as far as possible, “artificial” to a cost to create family cars.
To put BYD foot in the automotive market, F3, for example, to gain similar to the Toyota Corolla, but the price is only about half of the year posted sales of almost 20 million units.
In 2008, BYD F6 Wang Chuanfu release of remarks began: “2015 car sales first in the country, in 2025 the world’s first!”
“Mass strategy” invincible?
Wang Chuanfu this approach, increasing at a very early, Vice President of Beijing University Guanghua School of Management, Wu Changqui attention. In his view, the car production, FAW’s auto exports is unlikely that in obtaining government support, it is very easy to get money to purchase advanced production lines, multi-use machines with fewer models. However, in this environment produced by cars, difficult to establish a cost advantage, coupled with China’s Automobile Manufacturers Industry in general, which show the design and technology, there is no international advantages, especially in the imitation of others, it is difficult to move into international markets to export, but the BYD, Geely, including the ability of private enterprises is very large, because of their cost advantages. What are the “Made in China” and attractive.
BYD over the past 15 years, relying on human sea tactics have long been accustomed to high growth, financial crisis, believing that almost all manufacturing companies that are the future of tactical advantages of low lake in China, not in industrial modernization Others, however, survived to leave Wang Chuanfu confidence “human wave tactics” Let’s go on BYD No problem!
But the “sea” also means a high level of liquidity. The BYD’s production line, the vast majority of workers dry mechanically attached, such as screws, plastic edge that is so simple and boring work day to 10 thousand hours, and many young people two or three months of trouble, and in a position in the first half the production line to do, even if an old man who may one years as the “ash-level are considered employees.” Staff often bring access to identify the human resources of the company to enormous pressure, not only BYD have the Shenzhen city and business hotel Foxconn, Huawei, and nearly all the labor-intensive businesses such worries.
“BYD is very early in labor companies have done a new definition, a highly educated, high-quality staff-intensive.” Wu Chang Qi said. The BYD, the livestock has been a technical staff of employees, engineers, until he began to cars, the importance of the marketing team to rise slowly, because of the recognized technical origin Wang Chuanfu long that the next human sea tactics to the Clash of the quality.
This change to sample BYD much sweetness. In 2008, a closed door study of 6-year-iron battery technology team at last a major breakthrough in a blow was struck, was president of a 30-million prize. And the technology to the car immediately and have been applied to a large electric vehicle power system. BYD’s electric car is down.
But in this six-year period, the team’s engineers have been slow due to a technical breakthrough in riding on a seat, and even presented his resignation from the Dell Studio 17 battery,Dell Studio 1735 battery, Dell Studio 1737 batteryChuanfu Wang, Wang Chuanfu torn to pieces, categorically said: “The observance to do no problem, what problems directly to me. in BYD, as long as I do not want you to let go, every person that you do not leave. ”
Wu Chang Qi believes that this model is China’s BYD to maximize comparative advantage into a competitive advantage, and this is a Chinese-made properties that allow multinational companies who can not learn Chinese state-owned enterprises do not learn, or even small private companies want to learn, not learn.
This is like a marathon, after 10 years of accumulation, with technological innovation route, China has, along the lines of the main actors, if enough innovative mechanism was formed ahead of the competition, the Chinese leaders come at the time. The sea of high quality talent + Chinese-style tactics of innovative mechanisms, perhaps the Chinese companies to upgrade to the right path.