Chinese Companies Respond to Global Changes with Digital Transformation

The changes of the new coronavirus pneumonia epidemic on the global economic industry chain is beginning to emerge. In this case, digital transformation is the only strategic choice for enterprises.

On May 8th, at the press conference of the Digital White Paper for Overseas Enterprises, Sun Huimin, the chief digital transformation expert of SAP China, said that the outbreak will shift the global industrial chain to the Chinese market. China will accelerate its strategy through actions such as investment and supplementary chain expansion Construction of a cluster of sex-emerging industrial chains. Digitalization will become the core driving force for future industrial change and global development.

Coincidentally. On the same day, at the "Caixin Cloud Venue" with the theme "Password for Enterprise Digitalization under the New Infrastructure Wave", Shan Zhiguang, Director of the Information and Industrial Development Department of the National Information Center, believed that the industry chain was moved out of the chain due to the outbreak Risks still exist. This is not unfounded. In fact, on January 30, H-series auto parts manufacturer F-TECH announced that the brake pedals produced by its factory in Wuhan, China will be replaced by factories in the Philippines.

"The original model of the industry chain may be rewritten, especially in the pharmaceutical, automotive, and electronics industries," Shan Zhiguang explained. "Some countries have proposed manufacturing reflow, and even the government will bear the cost of reflow. The industry chain has an impact or even an impact. "

In fact, from the perspective of the coordination of regional industrial chains, the proportion of China's industrial chain coordination is currently low. The data shows that the Pearl River Delta is 33.6%, Beijing-Tianjin-Hebei is 43.4%, and the Yangtze River Delta is 44.9%. "The industries most affected by the epidemic are auto parts, biopharmaceuticals, energy, and software information services. In the short term, at present, it is necessary to promote the resumption of production and production of enterprises, and in the long term, we must consolidate the advantages of our industrial chain." Shan Zhiguang It is believed that in the future, government functional departments should formulate policies according to the industrial chain, and protecting our entire industrial chain advantage is an important policy focus.

In the layout and competition of the global industrial chain, digital transformation is the only strategic choice for enterprises. However, the overall status of digital transformation of Chinese enterprises is not ideal. A previous survey by Accenture found that only 7% of Chinese enterprises have done a good job in digital transformation. According to IDC data, more than 80% of small and medium-sized enterprises in China are in the digital exploration stage, and more than 60% of small and medium-sized enterprises have insufficient IT expenditures.

Indeed, although the proportion of digital transformation of Chinese enterprises is increasing, it still faces challenges. The “2019 China Enterprise Digital Transformation and Data Application Survey Report” released in September last year shows that the overall digital transformation of Chinese enterprises is still in its infancy. More than 80% of the companies' data is mainly unstructured, more than 90% of the companies have internal data islands, about 80% of the companies do not recognize their data mining capabilities, and less than 40% of the companies purchase third-party data Most enterprises do not have the consciousness of seeking high-quality and compliant third-party data suppliers.

"The proportion of digital transformation of Chinese enterprises is only 25%, lower than that of 46% in Europe and 54% in the United States. More than 55% of enterprises have not completed the basic equipment digital transformation, the manufacturing industry has a digitalization rate of less than 50%, and the application of information technology The proportion of business integration is less than 20%. Therefore, in the face of the wave of digitalization, enterprises are under great pressure. "Shan Zhiguang bluntly said," If the enterprise does not transform, it is waiting for death. If the transformation is not good, it is death. This is a dilemma. "

When analyzing the challenges faced by enterprises in digital transformation, he said: "There are three challenges in transformation: one is the challenge of application scenarios, whether it is a process or a discrete enterprise, it is impossible to solve the transformation of all enterprises with a set of technical standards; two The difference is that the application scenarios are very different, and the data management and control are separated. The third is a systemic challenge. The existing architecture of the enterprise is not suitable for agile and intelligent production under digitalization, and process adjustment is required. "

Since many companies will not change, dare to change, cannot change, or even unwilling to change, although the enterprise's digital transformation is necessary in the strategic direction, it has a long way to go in the path selection, and it is impossible to accomplish it overnight. The National Development and Reform Commission and the Central Network Information Office recently launched the "Cloud Intelligence with Numbers" action, which is to solve the shortcomings of SMEs, help them upgrade their technical capabilities, and realize the digital transformation of enterprises. Shan Zhiguang believes that the current new infrastructure that is heating up not only has the same role as the traditional infrastructure, but also has the potential for future development, especially for the future industrial transformation and upgrading will have a very large role, both to solve the current The "antidote" of the problem is also the only way for the development of the enterprise and an important signal for the digital transformation of the enterprise.

"The core of digital transformation is business-driven. Through the reengineering of business processes and technological empowerment, it can improve the production efficiency and position of the global value chain." Shan Zhiguang believes that the new infrastructure is not a simple technology-driven change The parameter is to change the structure and solve the problems of function, efficiency and effect due to the structure. Its core is to drive the high-end of the entire industrial structure and the modernization of the industrial system.