Strengthen Yumen New Product Development And Management Of The Petroleum Machinery Factory

Founded in 1939, Yumen petroleum machinery factory is the first oilfield machinery in China following the birth of Yumen oilfield, and is the sole one which can produce the auxiliary equipment "three sucker" for oil extraction (sucker rod, sucker pump and pumping unit). The key equipments were introduced from USA and Japan, etc. The significant products are sucker rod, sucker pump and pumping unit with brand "yushi". And it also manufactures drilling and mining equipment as well as pressing cracking vehicles. The manufacturing capacity is more than 10 thousand tons with its sales over 100 million RMB per annum. The factory belongs to medium and small-sized state-owned enterprises.As for state-owned enterprises, especial the medium and small-sized state-owned enterprises concerned, a number of those factories are weak competing capability, hard operating, lack of vigor, and facing bankruptcy. Why? An important even vital reason is that the ability of developing management of new products is weak. Facing violent rivalry and fast changing market, enterprises must provide, for the purpose of surviving, development, and profit, those products satisfying customers' demands. So sluggishness means being kicked out of the market. The challenge of market economy requires enterprises promptly respond to market and establish quick-reaction mechanisms and managing systems. Applying new managing ways and organizational evaluation syndrome enable enterprises to maintain their competitive strength for invincible position. In the view of this point, it is essential to study their developing management of new products.Because of internal restructuring, China National Petroleum Corporation separated the non-core business from core business. Defined as a non-core business department, Yumen suffered successive loss resulting from the diversification of the external dependent market, the unitary production structure and the products with weak competitive capability. Confronting this difficult situation, the factory realized that only entering lager market could it survive and develop in light of insight investigation and research. Meanwhile, if one wants to take a firm standin this market, he should have anticipatory thought to research and develop new products meeting market needs. So, step-by-step, Yumen got out of predicament through strengthening developing management of new products in the direction to potential demands in market, and developing a series of new products with great prospect. This paper probes into some problems on the basis of the analysis about Yemen's developing management of new products in recent years. And it put forward countermeasures and suggestion, which provides practical reference for developing management of new products of medium and small-sized state-owned enterprises.This paper comprises of two parts: the first part is discusses the importance of developing management of new products, this part is composed of three chapters. The second is about how to do well developing management of new products, this part is composed of four chapters. Yumen petroleum machinery factory possesses common features of ordinary medium and small-sized state-owned enterprises, so the problems existing in developing and managing are very representative. As a result, it useful of reference for other medium and small-sized state-owned enterprises. This paper begins from the fact of Yumen petroleum machinery factory. Since developing management of new products is a complicated engineering system, which involves the internal and external environments in addition to HR, finance and material, it is hard to avoid some limitation in consideration of our own conditions.