The Way Study On Enhancing Core-Competence In LanZhou M&E Factory

LanZhou railway machinery and electricity factory is a professional enterprise whose core business is in manufacturing accessories for internal-combustion locomotive engine and the electric power motorcycle. With its ever-changing business environment, new opportunities and challenges are brought along side. Therefore, it is vital for the enterprise to have unique and sustainable competitive advantage and strengthen its ability to adjust the market condition. How to achieve this goal is the theme of this thesis.The thesis begins with the analysis of the external business environment and internal resource of the enterprise; identify some core competencies as well as some major problems. Research shows under current market condition of the locomotive accessories, the gap between its production system and the ever expanding market demand continue to grow and the production system can't adjust to the fast growing market. As a result, the sustainable development of enterprise is seriously impacted.And then, based on the value chain theories, in order to address the above mentioned problem and increase its core competencies, the thesis proposes the optimization of production system and management of outsourcing. Based on research results, this should be addressed in two areas. On the one hand, the value of the product needs to be carefully studied in order to identify the core value of the product and the right value adding process. In addition, the production process of all products needs to be optimized based on the break down value structure of all the products and their corresponding manufacture abilities. On the other hand, on the basis of carrying out value chain analysis, the thesis proposes outsourcing of some of the products. Furthermore, it suggests a scientific and rational outsourcing management system after careful study of the current outsourcing situation existed within the company. This can be leveraged by the company to set up more efficient production system.Base on the value chain analysis, the proposal put forth in the thesis to increase the enterprise's core competencies. It will also certainly increase effectively the enterprise's ability to adjust the dynamics of the market place, achieve the optimization of the hole enterprise realize enterprise' whole optimization and improve its competitiveness. Therefore, it has practical value to the healthy growth of the enterprise.