Recently, the "How to Achieve Intelligent Transformation in Manufacturing in the Post-Pandemic Era - Energy-Saving Air Compressor Stations" special conference, hosted by the Yiwu China Commodities City Machinery and Equipment Chamber of Commerce, was successfully held in Yiwu. Entrepreneurs from Zhejiang's business community gathered in Yiwu to discuss "New Opportunities for China's Manufacturing Industry After the Pandemic."
In early 2020, the COVID-19 pandemic broke out. In this war without gunfire, the manufacturing industry suffered a major blow. Some enterprises were unable to resume work and production on time, orders could not be delivered normally, and business volume dropped sharply. Data from the National Bureau of Statistics showed that China's manufacturing PMI index plummeted to 35.7% in February, a record low, even exceeding the level during the 2008 financial crisis. This conference aimed to gain insights into the development trends of the industrial equipment industry in the post-pandemic era through vertical industry analysis and cross-sectoral exchanges, helping leading enterprises in the air compressor industry chain regain confidence and find new profit growth points.
01. Historical Opportunity
Mao Keqiang, President of the Yiwu China Commodity City Machinery and Equipment Chamber of Commerce and General Manager of Yiwu Kepu Machinery Equipment Co., Ltd., stated in his speech: The manufacturing system in the early stages of the Industrial Revolution consisted of people and simple tools. Then came assembly line production; then came automated production. The evolution of manufacturing systems has never stopped. Today, it is developing towards intelligentization, and a historical opportunity is at hand.
02. Large Aftermarket
Wang Sheng, editor-in-chief of *Compressor* magazine, viewed the industry's development from a long-term, macro perspective. He stated that with intensifying industry competition, the overall profit of the air compressor industry is declining, and the market is gradually shifting from an "incremental era" to a "stock market." This "era" is shifting from production by numerous enterprises to a state of centralized production, within which the accumulated market of after-sales service represents a large market. He suggested that equipment dealerships utilize existing customer resources and keen market insight to discover new market demands, adhering to a market-oriented, channel-centric business strategy. They should also collaborate with potential manufacturers. With the arrival of the new infrastructure era, market demand in fields such as healthcare, military industry, energy-saving renovation, electronic chips, and new energy vehicles, as well as energy-saving renovation, will be further released.
03. China's Economy is Getting Better and Better
Since the March 4th meeting of the Standing Committee of the Political Bureau of the CPC Central Committee emphasized "accelerating the construction of new infrastructure such as 5G networks and the industrial internet," more and more enterprises have made it a key area for innovation to address challenges and fully utilize emerging technologies to accelerate their digital transformation. Shen Guohui, CEO of Mushroom IoT, stated that the focus of new infrastructure is on next-generation information infrastructure represented by 5G, the industrial internet, data centers, and the Internet of Things, as well as the digital transformation of traditional "Internet of Things." The use of data technology in infrastructure projects like railways, highways, and public transportation has become a consensus among political, economic, and research institutions. Characterized by "technology," "innovation," and "empowerment," it plays a significant role in supporting counter-terrorism efforts. Economic cyclical adjustments and high-quality economic development are also key factors. With the sweeping upgrades in digitalization and the leadership of new infrastructure, the overall positive trend of the Chinese economy will further improve, and the accompanying digital economy will maintain rapid growth.
04. New Technologies, New Profits
As a one-stop AIoT SaaS service provider for general industrial equipment, Mushroom IoT is one of the seven major areas of new infrastructure (industrial internet). Chen Yanjun, a senior IoT expert at Mushroom IoT, analyzed that traditional management and operation methods for air compressor stations suffer from high energy consumption, high management costs, and untimely fault response. Big data visualization technology, edge computing technology, narrowband constant pressure technology, multi-parameter multi-constraint control algorithms, and AI intelligence can achieve digital operation and intelligent control of air compressor stations in a standardized and lightweight manner. The system achieves 5-30% energy savings across the entire station. This helps equipment users maintain normal operation of their air compressor stations and reduce energy costs during challenging periods such as staff shortages and decreased business volume. It also helps equipment dealers cope with declining demand for new machine purchases and maintenance orders, creating new profit points.
05. Four Key Management Elements
At the end of the event, Fan Shaohui, co-founder of Mushroom IoT, shared that in the post-pandemic era, equipment dealerships should focus on four key elements: "people, mechanisms, customers, and models":
Emphasis on recruitment and training, boldly employing those born in the 1990s. Bosses should spend approximately 50% of their time on employee training;
Eligible companies should refine their division of labor, enabling business expansion to reach new customers and utilizing digital tools to improve organizational collaboration efficiency;
While developing new customers, deeply understand the needs of existing customers and concentrate efforts on improving the satisfaction of key customers;
In terms of models, extend product lines in multiple directions, including complete machines, accessories, digital products, gas sales, EMC, and energy saving, to improve the overall profitability of the enterprise.