More than ten years ago, as the spare part department of GM, Delphi came to Shanghai China. Our strategy is to follow our customers. At that time, Pudong had just opened to the outside world. Then GM and Volkswagen set up their factories in Pudong. So we followed them. Shanghai’s culture attracted Delphi more and more. Nowadays, Delphi has set up 14 companies in China, nine of which are located in Shanghai. We invested more than 350 million dollars in Shanghai. They are about 78% in our total investment in China. Now Delphi grows to be the largest wire manufacture, the largest auto air-condition system supplier, the largest catalyses supplier, and the largest auto battery supplier in China. What’s more, Delphi is the only one factory that can offer the whole engine management system in China. Delphi roots deeply in Shanghai and develops with China automobile industry. Merged in the development of Shanghai, Supporting the development of Shanghai Since the entrance of Delphi into Shanghai, Delphi has set up Shanghai Delphi International Battery co. Ltd., Shanghai Parker Electric co. Ltd. Shanghai Delco Electronics & Instrumentation co. Ltd and Shanghai Delphi Automotive Chassis co. Ltd. In 1999, Delphi moved the region headquarter to Pudong Shanghai. On Sep 30th 2002, Delphi accepted the certificate of the first turn multinational headquarters from the former Mayor Chen Liangyu. Now, Delphi invested 240 billion dollars in Pudong and 350 billion dollars Shanghai, and employed over 4000 people in Shanghai. Shanghai’s attraction also supports the development of Delphi. The development of Shanghai has attracted more and more multinational companies to Shanghai. Delphi’s important customers also came here. And we can get the suppliers financial and accountant sevice from this companies. Without the support from Shanghai, it’s pretty hard for us to develop so rapidly in China. Ten years ago, we just had nine employees and two customers in China. But now, we employee more than 7000 people, and supply products for almost all the car factories in China. In 1995, our revenue in China is 20 million dollars. In 2003, the figure was US$650 million, which increased by 50%. Except supplying for the Chinese auto manufactures, we still exported our products to Europe and America and we got the revenue of 20 million dollars. Delphi also enlarged the purchase in China. We purchased 20 million dollars in China last year and most of those are purchased in Shanghai. All the actions show Delphi’s strategy that we will root in Pudong, stand in Shanghai, affect China, look at the world. Transferring the advanced technologies, Driving tomorrow technologies Delphi believes: only keeping creating, can we keep our advantage. By introducing advanced technologies, Delphi China always leads in the market of engine management system, wire products, battery. Being the largest battery supplier in China, the product of Shanghai Delphi International Battery co. Ltd. is the first choice of the local car manufactures. We share 24% of the market. In September 2003, Delphi invested US$12 million to import the advanced Multec 3 production line to Shanghai. The technology has been put into application in America and Europe in 2002. And we brought it to Shanghai in the second year. The action fully showed we valued Shanghai very much. To keep our leading place in Shanghai, the technology is the key. Delphi China is willing to transfer the advanced technologies to local auto manufactures. Up to now, we have signed eight contracts, six of which are Shanghai factories. And the measure greatly helped them to compete with other companies worldwide Introducing advanced management skills, making a first-class enterprise The advanced manage system can help the company to solve the problems in the process of development. The original company of Shanghai Delphi Parker Electric Co., Ltd. is Shanghai Sanlian auto wire manufacture, a small company in Anting Jiading. When it became the joint venture, Delphi brought the advanced manage system and increased the goal of the company. To be a world class company is the same purpose of both sides. In 2002, Delphi China invested 83 million dollars to reorganized the companies in Shanghai Baicheng, Guangzhou into the new Shanghai Delphi Parker Electric Co., Ltd. (headquartered in Shanghai). After a year’s coordination, now the company has become a company with high reputation and the largest wire supplier. The sales revenue was US$300 million. It is the largest tax payment household in Jiading District. Now, Delphi’s companies in China have passed ISO9001 and QS9000 Qualification Certificate. Delphi’s theory of accurate management has been deeply rooted in China. By decreasing the cost, increasing the quality, we only made six bad products per million products. Enlarging the local research, Focusing on training local talents. As the first spare part manufacture coming to China, Delphi got a little profit. And now since other spare part companies have already come to China, how can Delphi keep its advantage? Because Delphi China had developed greatly in China, Delphi headquarter has decided to establish the large world class technology center, which can match with the large market of China. 2003 12, Delphi Group claimed that it had decided to set up the first research center in China –Delphi (China) Tech & Research co.ltd. It is among five biggest research center of Delphi in the world. The establishment of the research center showed that Delphi had changed its role from manufacture to research and manufacture. The first term will have been completed by 2005.6. And 500 Chinese and foreign experts and researchers will work there. The whole project will have been finished by 2009, before the EXPO2010. Then there will be 1400 people working there. The Delphi research center is very important to Delphi China, so we must employee the talents with passion and dreams. To reach this goal, Delphi set up Delphi-Tsinghua research academy in Tsinghua University. The academy focuses on training manager and talents of technology. In 2004.7, Delphi set up its first scholarship and graduate management training project in Tongji University. This project is aimed to the students who are good at their subjects. We provide the opportunities for them to work in our company in their summer vacations. When they are graduated, Delphi will employ them if they are willing. The CEO of Delphi took part in the sign ceremony himself and said: We initial this project to encourage students to be trained in the auto industry, promote Chinese auto industry, and train more and more local talents for Chinese auto industry. Delphi fully believes the future of Chinese auto industry. Our near goal in China is: Made China become an important research manufacture base by the end of 2008, made Shanghai become the core manufacture base. We believe that Shanghai will still be the leading place in Delphi China. |