The Supply Chain Information Transparency in Industrial Internet Times Will Force Corporate Innovation

On January 6th, "2015 (Fifth) China Internet Industry Annual Conference" was held in Beijing. Huang Yinqing, vice chairman of the China Internet Association, pointed out at the annual meeting that at present, the development of China's Internet industry is in a rare opportunity period. Mobile Internet technology innovation and cross-border applications have accelerated the deep integration within and outside the industry, and the role of the Internet basic platform has become increasingly prominent. Looking forward to 2015, the cross-border integration of the Internet and traditional industries will be more extensive and profound, and the Chinese Internet will usher in even greater space for development.

-- News origins --

Industry frequently competes for enterprise-class Internet market

Not long ago, at the 2014 Baidu World Conference, Baidu launched a direct number for direct service businesses, and it has aggressively entered the field of customer relationship management and sales management. WeChat is also actively preparing for the event. With the advantage of 438 million active users, it plans to adopt a series of possibilities. The subscription office module also enters into various corporate office software markets such as OA, ERP, and CRM.

At the same time, traditional management software vendors also accelerate change. In early 2014, Kingdee initiated the transformation of “ERP+ corporate Internet services”; UF splits and restructures some of its product lines, and establishes UFIDA UPC to transform the corporate Internet and announces in a high-profile manner that “it would rather die in the path of Internetization and not in the tradition. The world is alive."

The frequent moves of the industry have also led to fierce discussions among the public on the industry Internet. Among them, the most impressive is the view that the “industrial Internet age is approaching” and that the Internet has changed people’s consumer behavior and life over the past 20 years. In the next 20 years, the Internet will change the "core of society", including "all industries, rules, and thinking."

In this regard, Zhang Di, an analyst at CCID Consulting's Electronic Information Industry Research Center, believes that enterprise-level Internet applications will become the gold mine for the next market to compete. A new wave of industrial Internet has surged.

-- Core Concern --

Industrial Internet development is the trend

With the development of technology and the continuous innovation of Internet companies, Internet giants represented by Baidu, Tencent, and Alibaba frequently shot up, a series of dazzling model innovations and mergers and acquisitions integration, layout from traditional search, social networking, games, and e-commerce. In many emerging fields such as O2O and P2P, a huge ecosystem has been established in the consumer-level market, which has constantly changed people's consumption and communication methods. The vigorous development of the Internet in the consumer field has made it possible for people to see the tremendous development space and potential of the Internet in enterprise-level applications such as industrial manufacturing and industrial collaboration. Internet companies have turned their eyes to higher value, more willingness to pay directly and stronger ability. The enterprise-level field aims to replicate the successful model of "Internet thinking" and reconstruct the traditional industrial ecology. In this case, a completely new concept, Industrial Internet, came into being.

As an emerging concept, Industrial Internet has no consistent definition in the industry. Zhang Hao introduced that the industrial Internet is a large-scale enterprise-level Internet application market that is different from the consumer Internet. It covers the entire life cycle of production and business activities of enterprises, and provides comprehensive perception, mobile applications, cloud resources and big data analysis, and reconstruction of enterprises. The internal organizational structure, production, operation, financing model, and the synergy between the company and the outside world, realize the coordinated development of industry integration and industrial ecology.

Zhang Hao believes that the development of the industrial Internet is an inevitable trend of global industrial development and an inevitable demand for China’s strategic development. He disclosed that developed countries such as Germany and the United States have taken the lead to realize the potential of the Internet in the industrial manufacturing field. Germany puts forward the concept of Industry 4.0. The core of the concept is to connect the production equipment to the network, flexibly and intelligently configure the production factors, and transform the manufacturing industry into an intelligent one. General Electric (GE) in the United States has proposed the concept of industrial Internet. It intends to use the technology of sensors, etc. to realize the connection between machines and eventually connect the human-machine interface through the network. It will combine software and big data analysis to reconstruct the global industry.

"China is in a critical period of transition from manufacturing to manufacturing in China. In August 2013, the Ministry of Industry and Information Technology took the integration of Internet and industrial innovation as a special action plan for the deep integration of informatization and industrialization (2013-2018). An important content of the book is proposed and the integration of the two technologies is an important direction for future work. It can be seen that the development of the industrial Internet is bound to be a general trend and the market prospects are bright.” said Zhang Wei.

Zhang Hao believes that the wave of industrial Internet has come. It will reshape the process chain from R&D, production, sales to collaborative cooperation in the industrial chain, and become a new blue ocean for industrial development.

Supply Chain Information Transparency Will Force Corporate Innovation

The maturity of cloud computing, big data, the Internet of Things, and the mobile Internet has enabled each industry to have the ability to collect, transmit, and process big data. The industry is inseparable from big data, and the foundation of all this is naturally internetization. All three industries are faced with the problem of "re-engineering". For agriculture and agro-industry, the food traceability projects that people are most concerned about need to rely on the Internet to operate; for the service industry, O2O has helped them to take a step forward and to have business processes on the Internet. For industrial manufacturing, Guo Chongqing, an academician of the Chinese Academy of Engineering, believes that digitalization, intelligence, and interconnection are the future trends, and that links such as R&D, design, production, sales, and service must be based on Internet technology. By then, materials and data in the Internet will be mapped one by one, and the flow of data information will “bear” the flow of materials. All production will use big data to guide planning and drive operations, and supply chain information tends to be transparent.

Some experts believe that the supply chain information transparency, the company's core competitiveness will only innovation. Taking the mobile phone industry as an example, the rise of Apple is the best example. Earlier, in a TV station accused Apple iphone6 ​​of the actual cost of only 1,227 yuan "Oolong" incident, to take the cost of materials to approximate the cost of the product, as a "cottage machine" approach is criticized. Material information is transparent, anyone can calculate the cost of manufacturing, but the true value of the product is reflected in innovation.

Apple has entered and succeeded when the mobile phone market has matured. It can be seen that the scale of competitors does not have real competitiveness. Therefore, other brands of mobile phones are also the same, as long as they insist on innovation will have an opportunity. Industrial Internet will make the supply chain information more transparent and reduce the threshold of manufacturing, but at the same time force corporate innovation.

Some experts predict that the industrial Internet will certainly change the existing industrial structure. For China, it can accelerate China's manufacturing process to China.

In this regard, Zhang Hao said that the industrial Internet covers various industrial chain links from R&D, production, sales to collaborative cooperation, and will bring about all-round reshaping of the entire industrial chain process.

--expert's point--

Nuggets new blue ocean needs to see the nature of reasonable response

For how to dig up the gold industry, the new blue ocean, Zhang Hao thinks that we should first look at the essence and think about "changing" and "changing."

Zhang Hao pointed out that in the face of the industrial Internet, all walks of life have also experienced some irrational phenomena. Some have followed the trend, blindly invested, and some have dismissed it and rejected it. This is because they did not see the essence of the Internet industry. Caused. Industrial Internet is the propeller of industrial upgrading, and it is the trend of the times. However, it is not a panacea and cannot cure all diseases.

What the industry Internet brings is a change in technology, mode, and thinking. Some basic principles of commercial operations, such as the user’s demand orientation, product quality protection, and technological innovation to promote development, have not changed, even The Internet age is better explained. Enterprises should adapt to trends, combine their own and industry characteristics, find a connection point with the Internet, and choose a viable Internet road.

For software and Internet companies, Zhang Jian suggested that it should promote the development of its own products to platform and ecological, and at the same time strengthen product safety and stability.


"Software companies should strengthen the interaction and integration among their different product modules, establish a unified management platform, help enterprises to strengthen interorganizational collaboration and promote the development of products to mobile. Internet companies should actively build public platforms such as e-commerce platforms and clouds. Computing platforms, software application service platforms, etc., to guide industry users to access, for the enterprise to reduce the difficulty and cost of the Internet. "Zhang Hao said.

As far as the enterprises in the traditional industries are concerned, Zhang Jian believes that the top-level design should be strengthened, and that it should respond reasonably to its own and industry characteristics. Before entering into the industrial Internet field, companies should first think clearly about three issues: the company's own needs do not need the Internet, what links need, and how to operate? Only by doing a top-level design at the strategic level, can we step out of the first step of Internetization. While enjoying the convenience brought by the Internet, it is necessary to pay close attention to the changes in business models brought about by the Industrial Internet and the innovation of business models, and make preparations in advance to meet new opportunities and challenges.

"It is undeniable that the new wave of the industrial Internet has come. With the development of technology and the innovation of models, the Industrial Internet will inevitably promote the upgrading of the industry and become a new blue ocean full of business opportunities. Enterprises can only be viewed with a positive and inclusive attitude. It, insight into opportunities, adjust itself, relying on the new wave of the Internet industry in order to seek greater development of their own. "Zhang Wei stressed.

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