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The Necessity of Informationization Construction in the Transformer Industry

Due to the fact that the main users of transformer manufacturing enterprises are the power sector, many leaders of transformer enterprises believe that as long as they establish good relationships with them, the enterprise can develop and there is no need for information technology construction. This viewpoint of weak information awareness seriously affects the informationization construction of the transformer manufacturing industry, resulting in low level of enterprise information infrastructure management, insufficient investment in informationization construction, and few applications of e-commerce. In fact, the vast majority of transformer manufacturing enterprises have the following problems:


(1) The market response is slow, customers often complain, and there are loopholes in marketing. In the information age, the speed of response to rapidly changing markets has become the key to determining a company's competitive advantage. Transformer manufacturing enterprises have a wide variety and specifications. Without establishing a sales information system, it is difficult to handle a large amount of product and customer information to ensure customer satisfaction with pre-sales, in sales, and after-sales services. It is also difficult to manage sales personnel and customers in a timely and effective manner, in order to improve the enthusiasm of sales personnel and reduce loopholes for business personnel to embezzle public funds and individual customers with low reputation to owe or default on accounts.


(2) The phenomenon of delayed delivery is common, and the contract fulfillment rate is not high. In recent years, due to the power shortage, the demand for transformers has increased, and the order quantity of transformer manufacturing enterprises has generally increased. But a problem that comes with it is the prominent phenomenon of many companies not delivering goods on time, and the low rate of contract on-time performance. There are reasons for insufficient production capacity, insufficient working capital, and the tight supply of silicon steel sheets in the past two years. In general, delayed delivery is most affected by production capacity. In fact, in many cases, it is not a true lack of production capacity, but rather a lack of balance in production capacity.


(3) The level of digital design and manufacturing is relatively low. In design, computer-aided drawing and the use of Excel to calculate electromagnetic schemes are more commonly used, while the use of computer programs for computer-aided design (CAD) is rare. Using 3D CAD design is even less common. Only true CAD can effectively reduce design costs, improve design efficiency, and ensure design quality.


(4) Quality problems are common, and the first pass rate of products is low. Due to the imperfect quality system, the IS09001 quality assurance system has not been truly implemented. Except for a few enterprises such as Siemens in Jinan, the vast majority of enterprises have not implemented the Six Sigma quality management method. Therefore, the first pass rate of transformer finished product testing is low, mostly below the Three Sigma quality level, resulting in frequent rework and high quality costs. The defect rate required for the Three Sigma quality level is 0.27%, which means a pass rate of 99.73%. Not to mention the Six Sigma quality level, which requires a defect rate of 3.4 parts per million, almost zero defects.


(5) Accounts receivable and inventory occupy a large proportion of funds, and working capital is tight. Due to the impact of rising raw material prices, transformer prices have increased in the past two years, coupled with an increase in order volume, many enterprises have tight working capital. From an internal perspective, many reasons for the tight working capital of enterprises are the high proportion of accounts receivable and inventory occupying funds, resulting in insufficient cash flow.


(6) The level of supply management is low, and many transformer manufacturing enterprises have not established good supply relationships, lack win-win thinking, and even basic business procedures are not sound, such as the lack of contracts, resulting in many loopholes in supply work and easily causing losses to the company. Almost none adopt supply chain management. With the help of enterprise informatization, it is possible to fully utilize the resource information of the enterprise, carry out business process restructuring, change the organizational and management mode of the enterprise, introduce modern management concepts, achieve rational and scientific decision-making, and effectively solve the above problems.