The Study On Technical Innovation Strategy Of Jilin Petrochemical Company Synthetic Resin Factory

With the increasing global technical competition in modern society, technical innovation becomes an effective strategy to foster a company's competitive competence and establish competitive advantage under an increasingly competitive market. As new technical innovations breaks out every minute, technical advancement and innovation turn out to be the leading power to effect and develop the structure of global economy and polity. In current stage, multinational company with high technical innovative ability is the leading actor in global economy and science & technology activities. When companies approach a certain stage, its financial growth pattern will change dramatically. It has to develop through technical innovation instead of increasing the input.Founded in 1964, Jilin Petrochemical Company Synthetic Resin Factory mainly produced high technology product such as liquid hydrogen and heavy water for China's national defense until mid-80 last century. Thus outstanding contribution had been devoted to China's nuclear and aviation industries by this factory. During the process restructuring from military to civil industry, new product such as hydrogen peroxide, fiber carbon were produced. With the 300 KMTA ethylene project constructed in 1995, 100 KTA ABS plant was built in Synthetic Resin Factory as a subordinate downstream project. It symbolized that ABS resin became the main product of this factory, which was the largest ABS product base with high capacity and good product quality in Petrochina. After China's entering WTO, mainland's petrochemical industries started to link up with global market; foreign ABS corporations entered and began to establish factories in mainland; meanwhile home companies reacted to increase production capacity. Under such situation, JPC Synthetic Resin Factory is facing an unprecedented challenge. In view of technical innovation strategy, JPC Synthetic Resin Factory was analyzed and discussed in this article.At the beginning of this thesis it theoretically gives a general instruction of the evolution of technical innovation and its impact on management, as well as the theories of technical innovation development worldwide. In which it suggests that technical innovation plays an indispensable role in pushing the global economy and company management. Then it describes the process of JPC Synthetic Resin Factory's technical innovation's development, and both the interior and exterior situations of JPC Synthetic Resin Factory's technical innovation are analyzed. It shows the competitive advantages and disadvantages and also clarifies the problems existing in the innovation process of the factory. Since the start-up of the ABS plant, this factory has experienced capacity enlargement, quality improving and consumption reducing. Company's competitive competence is increasing step by step. This thesis proposes three stages which ABS plant has experienced during the technical innovation process—in first stage the strategy is passive and following; in second stage the strategy is active and innovating; in third stage the strategy is playing the leading role in technical innovation. Under the guidance of general technical innovation strategy from PetroChina and JPC, six improving measures are proposed. And JPC Synthetic Resin Factory's technical innovation is case-analyzed from five aspects. Firstly, to win the market opportunity by improving production quality; secondly, to increase production margin values by developing new products; thirdly, to minimize cost by saving energy and cutting emission; fourthly, to form self-own technique by reconstructing PetroChina's advanced technique; fifthly, to enhance the competitive ability of equipments by expanding factory capacity.Based on the specific real case of Jilin Petrochemical Company Synthetic Resin Factory's technical innovation process, the technical innovation strategy of ABS enterprise was deeply explored in this thesis. Practical and feasible reference for similar corporations to build their own technical innovation strategy was given.