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NGC: Facing the higher goal of “Outlook beyond Comparison”

Published: 2009-02-13



On Jan 10th, Premier Wen Jiabao visited Nanjing High Speed Gear Manufacturing Co., Ltd. and praised the company that ‘during the freezing climate of the financial crisis, your business outlook is still as positive as it was in spring time.” For a period, all major media cited “Outlook beyond Comparison” to describe NGC.

And the following scenarios may provide you some answers as to how NGC responded to such praise.

(Scenario 1)   On Jan 22nd, a reporter went to NGC and saw a picture of Premier Wen’s visit on many employees computer desktop. They could recall everything that happened and would not miss out a word nor the smallest action of the Premier during his visit.

(Scenario 2)  On Jan 15th, the top management of NGC convened a meeting to discuss what  the proper meaning of “Outlook beyond Compare” was and how to keep calm when the company faces fast development.

(Scenario 3)   On Jan 21st, the company has been fully booked for the whole year, and some orders are still waiting to go into production. The leaders in charge of production held a meeting to discuss how to increase the efficiency of production.

NGC has numerous reasons for their good reputation: In only ten years, NGC has grown from a small company with annual sales of only over 100 million RMB to a big enterprise with net assets of nearly 5 billion RMB, becoming a transmission equipment manufacturer with strong competitive edge and potential in the global gear industry. In 2007, the company’s revenue was 1.9 billion RMB. The sales had more than doubled in 2008 and this year the company expects a growth of over 50%. Since 2005, the company has been putting great efforts into the wind power market, and within 3 years the wind gear equipment has covered 1/2 of the company’s products. NGC has been listed as No. 3 in the world for wind turbine transmission equipment manufacturers.

The chairman of NGC clearly stated that the world wind power market will maintain an annual growth of over 20% and will continue to increase for more than 20 years, and the gear box equipment is the core component with biggest technical challenges within the wind turbine generators. In 2006 NGC was only capable of producing gearboxes smaller than 1 MW. Now the 1.5-2.5 MW gearboxes have already become the company’s mainstream products and at the same time NGC is moving towards the high end market, expanding its product range to the generator section integrating wind power equipment.

What’s more, NGC is aiming at the high speed train and urban rail transportation market. The design, manufacturing, and model experimental work of the high speed locomotive transmission has been completed and was approved by Alstom, the leading company in global rail transportation facilities in July 2008. Now NGC has become an important member of Alstom’s global supply chain and won the Alstom contract of San Diego Line No. 4. The company is now actively conducting cooperation with Bombardier in the development of various locomotive transmission equipments. Now the subways in Shanghai and Nanjing have applied gear transmission equipment from NGC, who are now step by step realizing their goal of localizing the  transmission components of locomotives.

This year, NGC has given top priority to talented people for the development of the company, in line with its tradition of taking the talent as the driver of development. “Turn to overseas in search of experienced and talented quality management; look domestically to recruit over one hundred outstanding graduates from famous universities such as Tsinghua University and Jiaotong University and find experienced blue collar workers from around China”, stated Mr. Hu Yueming. Planning a detailed promotion route for the employees, training for new staff, English training for all employees…..the HR department has a full working calendar for the new year.

Mr. Hu believes that the persistent pursuit of the entire factory staff will for sure bring to effect the wish of Premier Wen of “having a better result this year over that of the last year”.

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