Wang Tiankai: Adjustment And Challenge Of The Textile Industry During The 12Th Five-Year

"Change and layout -- new impetus

The new positioning "2011 China Textile Innovation annual meeting" was held in Beijing today (December 16th).

China

Wang Tiankai: Dear Zhu Hong, chief engineer, distinguished leaders, distinguished guests and friends, good morning!

I am very glad to have this opportunity to make a simple communication and exchange with you on the topic of innovation.

As we all know, this year is the beginning of the implementation of the "12th Five-Year plan". At the same time, China's accession to the WTO 10th anniversary is the key period for China's textile industry to enter the building of a powerful country. We know that the just concluded central economic work conference has put forward four important aspects for our future economic work, including firmly grasping the need to expand domestic demand. We must firmly adhere to such a solid foundation of the real economy. We must firmly grasp the pace of accelerating reform and innovation, and firmly grasp the improvement of people's livelihood.

Again, to speed up reform and innovation.

We know that China Textile Innovation annual conference is the annual industry event of our China Federation of textile industry. It carries the mission of our industry's innovation and development.

Today, it should be said that such a annual meeting is even more important. This time, just like what the moderator said, we, including some experts and scholars from the government, including enterprises, including macroeconomic research departments, have come to attend this annual meeting. First of all, I would like to express my heartfelt thanks and sincere respect on behalf of the China Federation of textile industry.

The economic performance of our textile industry this year should make our innovation work more urgent. Although the main indicators reflecting the growth of our industry, including the gross industrial output value, the output of large categories of products, the output value of clothing retail, domestic sales, export volume, fixed assets investment and average profit margin, are basically at a normal level of growth. According to the figures of the National Bureau of statistics and the enterprises above the customs scale, the whole industry figures of the customs sector basically maintain an increase of more than two figures.

However, under the constraints of international market demand, domestic raw material price fluctuations, monetary policy tightening, RMB appreciation factors and labor costs rising, the number of export volume decline is obvious now, and profit growth is falling down one by one. Under the pressure of small and medium-sized micro enterprises operating below scale, the adjustment and innovation work of our industry is facing new challenges.

The economic performance of our textile industry this year should make our innovation work more urgent. Although the main indicators reflecting the economic growth of our industry, including gross industrial output value, the output of large categories of products, clothing retail, domestic sales, export volume, fixed assets investment and average profit margin, are basically at a normal level of growth. According to the figures of the National Bureau of statistics and the enterprises above the customs scale, the whole industry figures of the customs sector basically maintain an increase of more than two figures.

However, under the constraints of international market demand, domestic raw material price fluctuations, monetary policy tightening, RMB appreciation, factors and labor costs rising and so on, our current export volume decline trend is obvious, profit growth has dropped one by one. Under the pressure of small and medium-sized micro enterprises operating below scale is relatively large, so that our industry's own adjustment and innovation work is facing new challenges.

If we classify these complicated problems and some of them are caused by the current policy situation and external environment, some of them are inevitable for our industrial pformation and must exist for a long time.

At present, the contradiction between the expansion of our economic scale and the resources and environment is becoming increasingly prominent. The pace of pformation and upgrading brought about by the tightening of the international market is still a slow contradiction. The space for the development of low cost enterprises is becoming smaller and smaller, the management innovation ability is not strong, the added value of products and services is low, it is difficult to cope with the contradiction of rising costs, and it is difficult to obtain the competitive advantage under the circumstance of great changes in the market environment.

At present, we can not fully control the improvement of the external situation, and we need to do everything we can to do what we can and make continuous progress in innovation. This is an important guarantee for the healthy development of our industry.

When it comes to innovation, I don't think it needs to be rendered and embellished with various words.

To sum up, innovation should be the soul and driving force of our efforts to promote the cause of textile power. Around this core, combined with our own reality, this innovation should cover and expand to technological innovation, management innovation, product innovation, system and mechanism innovation, and, of course, the innovation of our own concept, which is a comprehensive interrelated and very practical systematic work.

At present, in the industry, it also includes the formulation of our society, and more about technology innovation and product innovation. This is not bad, but it is often easy to get rid of management innovation, system innovation, concept innovation and mode innovation to talk about technology and product innovation.

Looking back on the history of China, China does not lack the innovation of major scientific and technological inventions. What is missing is the ability to pform invention results into commercial effects.

China's four great inventions have not helped China to establish any competitive advantage in commerce. History has proved that whether innovation is really successful is ultimately whether it can really win the market.

For this reason, we need to consider and promote the innovation work of the industry in an all-round way. Here, I will briefly talk about four ideas in terms of innovative ideas and methods.

First, innovation must first establish a correct concept of management and development.

China has entered the stage of GDP per capita in the new era. The cost advantage of the textile industry is weakened. We must take the innovation capability as the core to improve the comparative advantage.

Over the years, from scale expansion to quality improvement pformation, from low-cost competition to differential competition, from leapfrog development to sustainable development pformation, although some pformation methods, development modes and innovative business models have already had some good practices, but it can not be denied that even in the past two years, driven by short-term interests, extensive development of enterprises and low-level duplication of construction still exist.

Therefore, to grasp the overall development of the industry and establish a correct concept of business development is the most important prerequisite for our innovative work.

Second, innovation should be overall design and systematic operation.

During the "12th Five-Year" period, the textile industry should make efforts in four aspects, namely, science and technology, brand, sustainable development and talents.

Enterprises are the main body of the four strategic goals. They need to make overall design and system operation for innovation. Any innovation process is not isolated. The achievements of a scientific and technological innovation are closely related to the support of design, R & D, talent mechanism, standard system, funds and policies.

If industrialization is closely related to product development, technology and technology, manufacturing, industrial chain coordination, and marketing channel construction, all these interrelated links need to be linked up and matched, and obstacles must be excluded. Only by forming a complete and efficient innovation chain can we ensure that the results of innovation will eventually pform to market value and social benefits.

Third, innovation needs science and pragmatism.

The scientific, advanced and practical achievements of innovation should be based on an objective basis, and must not be fraudulent. It needs a scientific attitude, industry ethics, professional ethics and social responsibilities. Any speculation that disregards the objective facts will not only hurt itself, but also affect the image of the whole industry.

Innovation is not only an exploration of the unknown field, but also a test of our ideological realm and moral standard.

At present, China has entered the stage of accelerating the upgrading of consumption structure. People pay more and more attention to the improvement of quality of life, and pay attention to health and environmental protection. This has provided great space for independent innovation of textile enterprises, and at the same time, it has also put forward more stringent requirements.

Fourth, innovation needs persistence and long-term mechanism.

The sustainable development of industry and enterprises are facing increasingly fierce market competition. If there is no continuous innovation, they will encounter the fate of being eliminated.

To establish an innovative long-term mechanism, enterprises must have the investment of capital, the protection of human resources and management system. The government and industry need policy support and comprehensive services to form the support of institutions and undertakings, so as to provide a good external environment for enterprises' innovation.

It is also necessary to establish an innovation system of industry, University and research with complementary advantages and mutual benefits.

These are just some preliminary ideas and opinions on innovation, which are for your reference and advice.

Today's innovation year will give awards to 60 companies that won the product development award in 2011 as usual.

According to the data provided by the textile products center, 52.75% of the output value of the new products of my company is far higher than the average level of 7.04% of the textile industry, with an average profit margin of 12.29%, which is higher than the 1.55 percentage points I mentioned last year, far higher than the average profit level of 5.06% in the first half of the whole industry, and the average investment cost of R & D is 4.33%, which is also far higher than the average level of the industry.

Our 60 enterprises have made great progress in the field of product development, advanced practical technology, quality management, profitability and social responsibility consciousness. They are examples of innovation in our industry, and we should focus on learning and promoting their experience.