The car giant started by marrying the daughter of the king

Chapter 333 BMW Supply Chain

The driving effect of the industrial chain is very large.

There are tens of thousands of parts involved in a car. It is impossible for any car manufacturer to produce all of them by itself, and BMW is no exception.

But for BMW, it certainly hopes that its supporting factories can be located in Shenzhen or the Pearl River Delta region. This will minimize transportation costs and improve the flexibility of production adjustments.

At the beginning, no one knew what level of business BMW could achieve, so naturally no one would go to Shenzhen to build a factory just to supply BMW cars.

Now that the monthly sales of BMW Light have exceeded 10,000, the situation is naturally different.

"Director, I don't think BMW's request is particularly excessive. We supply them with so many parts, and it's troublesome to transport them every time."

Tang Riyue, Jiang Hui's nominal apprentice, is now the director of the bearing workshop of the Capital Automobile Accessories Factory.

However, the scale of the staff he manages as the director is completely different from a few years ago.

It can be said that he is the most powerful workshop director in the Capital Automobile Accessories Factory.

He also knows very well what is the main reason for his current achievements.

This time, the BMW Purchasing Department contacted us, hoping that the Capital Auto Parts Factory could go to Shenzhen to build a factory and move the production lines for the BMW Sunshine and subsequent models to Shenzhen.

Naturally, there could not be complete unanimity in the factory regarding this requirement.

Over the years, the Capital Auto Parts Factory has been producing in the capital area, and all of its workers have registered residence in the capital.

If you go to Shenzhen, you will face a lot of problems.

Not to mention other things, just assigning people to manage and operate the new factory is a big problem.

In recent years, the Capital Auto Parts Factory has had very good business and good operating conditions, and its welfare benefits are naturally much better than those of ordinary factories.

Therefore, whether it is workers or management and technical personnel, there are probably not many people who are willing to leave their hometowns and the capital to work in Shenzhen.

Besides, for the Capital Automobile Accessories Factory, building a new factory in Shenzhen is likely to increase production costs.

They also heard that the workers in Shenzhen were paid higher wages.

Even if we arrange personnel from the current factory, we must increase the salary and bonus to encourage everyone to sign up actively.

Otherwise, no one would be so willing to contribute.

"We are actually trying to find a solution to the transportation problem. We have even set up a special transportation team in the factory."

"BMW can't force us to go to Shenzhen just for their own convenience."

He Qingquan used to be the chief engineer of the Capital Automobile Accessories Factory and has now been successfully promoted to factory director.

People are in different positions, so naturally they consider issues from different perspectives.

In the past, he had had many dealings with Jiang Hui and was very willing to cooperate with various requests put forward by Jiang Hui.

Now Jiang Hui has gone to BMW, and the Capital Auto Parts Factory has successfully obtained a number of orders.

But now that they are asked to build factories in Shenzhen, the situation is different.

Once this decision was made, He Qingquan felt that he would face many troubles within the factory in the future.

So he was unwilling to go.

"Although the factory has its own fleet, using trucks to transport parts from the capital to Shenzhen is too expensive and takes too long, and there are many accidents along the way."

"Last week, BMW almost stopped production because of our parts supply problem."

"That's why they are asking us to build a factory in Shenzhen."

Tang Riyue could understand why He Qingquan was reluctant to build a branch factory in Shenzhen, but this time his idea was different from He Qingquan's.

Tang Riyue, fully aware of how thick Jiang Hui's thighs are, is ready to follow Jiang Hui's decisions in the future.

"Building a factory in another place is not something that can be done simply by our factory saying it is okay. We also need the approval of the higher authorities. Let's discuss this matter after the factory committee has discussed it."

He Qingquan didn't want to continue discussing this issue with Tang Riyue.

He wondered if he could use the tactic of procrastination to delay the matter.

"Director, if we don't build a factory in Shenzhen, I'm worried that BMW will consider purchasing parts from other supporting factories."

"After all, there are factories in Guangzhou that can produce parts similar to ours."

Seeing that He Qingquan didn't want to pay attention to him, Tang Riyue directly threw out his trump card.

Although BMW didn't say this directly, this result is entirely possible.

"Given the level of Yangcheng Automobile Manufacturing Plant, how high can their supporting manufacturers be? There is no way they can compare with us!"

"If BMW could really find a qualified supporting manufacturer in Guangzhou, it wouldn't have traveled thousands of miles to purchase from us."

After He Qingquan said this, Tang Riyue felt a chill in his heart.

He had a premonition that he was about to face a major choice in his life.

There seems to be no point in continuing to argue at this moment. I can only go back and think about it first.

……

"Director, several major supporting factories in the capital area have no intention of building branches in Shenzhen. Whether it is the Capital Automobile Accessories Factory or the Capital Gear Factory, the news we have heard is not very ideal."

As the head of BMW's purchasing department, Wang Feng wants to take advantage of the BMW Light's monthly sales of over 10,000 units to improve the structure of the supply chain.

Unexpectedly, things didn't go smoothly at the beginning.

At this time, it is natural to seek support from Jiang Hui.

"If a person indulges in his comfort zone for a long time, he will lose motivation and develop procrastination. He will lose the ambition to make progress in everything and the courage to strive for the best. He will just live his life day by day and muddle through."

“Some successful people would say that they succeeded because the difficult circumstances forced them to work hard. If I hadn’t worked hard at the time, I would have had no chance of survival.”

“From this we can see that the natural law of survival of the fittest forces people to work harder than others. It is also the motivation generated by the sense of crisis that ultimately leads to the success of one’s career.”

“The existence of enterprises is actually the same as that of human beings.”

"Whether it's the Capital Auto Parts Factory or the Capital Gear Factory, they are all in their own comfort zone. They have no motivation to innovate and are unwilling to take risks."

"If things continue like this, the good times won't last forever, and there's no need for us to keep pampering them."

Originally, Jiang Hui wanted Nanshan Technology to vigorously develop the automotive parts industry and take control of the most critical parts of a car.

However, as the first product of BMW, BMW Light could not use a large number of parts produced by Nanshan Technology in order to meet the deadline, and could only choose suitable manufacturers from domestic supporting factories. At the beginning, each supporting factory did not feel the impact that this order might bring to their own factory, but Jiang Hui actually knew it.

This time, inviting relevant supporting factories to Shenzhen to build a factory is actually a test for everyone by Jiang Hui.

Jiang Hui would definitely not trick such actively cooperating manufacturers into building a factory and then kick them out.

There are so many parts in a car, so Nanshan Technology must focus on developing one part first.

Jiang Hui can easily arrange parts for those supporting factories that have not come to Shenzhen to build factories.

But judging from the current results, not many people are willing to come.

"The performance of these factories is indeed a bit disappointing. The parts production sites are so far away from the OEMs, and the transportation costs are high. There is also no guarantee of stable supply."

"Especially now that rail capacity is very tight, it's hard to even find a train car."

"Since they are unwilling to build a factory, Nanshan Technology can officially start production of the parts it has developed."

"Anyway, the parts used in BMW cars are all drawn by our R&D center, and the supporting factories only process them according to the drawings. For Nanshan Technology, it is not as difficult as imagined to produce these parts."

"Even most of the equipment can be produced by domestic manufacturers, and only a few key ones need to be imported from abroad."

"As a major foreign exchange earner, there is definitely no problem for BMW Technology to use foreign exchange to import several devices."

Wang Feng was also very unhappy with those supporting factories. Since Jiang Hui was consciously trying to support the development of Nanshan Technology, now was the best opportunity.

Use courtesy before force, and you won’t have to worry about the supporting factories having objections in the future.

"Well, you should communicate and coordinate with several departments and get Nanshan Technology to move as soon as possible."

"We just happened to buy a large piece of land in the district. If it were left idle there, it would put the relevant leaders in a passive position."

Following this conversation between Jiang Hui and Wang Feng, BMW began a major adjustment to its supply chain.

Those companies that can continue to follow the development of BMW's supply chain are destined to enjoy many dividends in the future.

Those manufacturers who missed the opportunity will begin to become lost in the crowd.

Of course, this change will definitely take time to be seen, and no one has felt the change yet.

……

"Master, I heard that the factory has officially decided not to build a branch in Shenzhen."

"I am totally against this decision. If there is no way to guarantee the supply of key parts nearby, it will definitely be detrimental to the development of BMW. But Director He doesn't want to take the risk now, and I can't convince him."

Tang Riyue has also been having a very difficult time during this period.

He had a very comfortable time at the Capital Automobile Accessories Factory in recent years.

Since factory leaders such as He Qingquan knew his relationship with Jiang Hui, they took good care of him.

In addition, the factory's performance is relatively good, so Tang Riyue, the director of the bearing workshop, naturally has a good salary.

But as a state-owned enterprise, no matter how good it is, it is only better than other factories in the surrounding area or compared with the difficult times in the past.

No matter how much money is earned in the factory, it is impossible to directly double everyone's salary.

So in recent years some people have gone to the Chaoyang Motorcycle Manufacturing Factory.

Tang Riyue had been conflicted before, but in the end Jiang Hui let him stay at the Capital Automobile Accessories Factory first.

At the moment, Tang Riyue felt that he would soon be unable to stay at the Capital Automobile Accessories Factory, so he went to Jiang Hui to communicate first.

"Director He called me and specifically talked about this matter. I respect his choice."

Naturally, there was no need for Jiang Hui to talk about anything else in front of Tang Riyue.

Anyway, they were ready to let Nanshan Technology show its strength and start to enter the auto parts industry in an all-round way. So the Capital Auto Parts Factory's reluctance to build a branch factory actually helped Nanshan Technology to a certain extent.

Jiang Hui doesn't have to worry about being in the wrong when a group of supporting factories go to the ministry to complain.

"Master, not everyone in the factory supports this decision. Some people, in particular, are willing to go because they heard that the overall salary level in Shenzhen is much higher than in the capital."

"You said it yourself, that's just a few individuals. Most people definitely don't want to leave the capital."

"That's true, but I do have an idea, I don't know if it's feasible."

Tang Riyue would definitely not argue with Jiang Hui, but was ready to quickly put forward his ideas.

After all, he also knew that Jiang Hui's time was very precious.

"Whether it is feasible or not, you won't know until you tell me!"

Jiang Hui answered without commenting.

"I want to bring a few people with higher technical skills and come directly to Shencheng to join you, Master."

"Since the Capital Automobile Accessories Factory is unwilling to build a factory in Shenzhen, BMW can build a parts workshop in Shenzhen and take some of the parts produced by the Capital Automobile Accessories Factory to the factory for production."

"Let's not talk about other things first. I have full confidence that we can produce various bearing parts such as wheel hub bearings."

"And I can also bring a few people in charge of technology and quality to help."

After Tang Riyue said this, he waited anxiously for Jiang Hui's reaction on the other end of the microphone.

It was only a few seconds, but he felt like many years had passed.

"No problem. If you bring people with you, no matter how many people you bring, I can accommodate them here."

"The newly established Nanshan Technology will be mainly responsible for the production of various parts and components. The position of deputy factory director will be reserved for you for the time being."

"Others who are suitable will be assigned corresponding positions."

"Everyone's salary can at least double from the current level, and it would not be surprising if it were even quadrupled."

"As long as you have completed a one-year probation period and the company recognizes your performance, you can be given priority in housing allocation."

Jiang Hui naturally had no reason to object to Tang Riyue's action.

Nanshan Technology is now worried about not being able to find suitable personnel, so the more people who jump over from the Capital Automobile Accessories Factory, the better.

As for whether this would offend anyone, I couldn't care less.

(End of this chapter)