Study On CVT Operation Optimization For Adapting China Wind Market

As a result of China s rapid economic development in recent years, China s power demand has exceeded its supply by a big margin. To face this difficult situation, the Chinese government has been encouraging companies develop energy substitutes. It is now generally acknowledged that wind power has become a first choice in renewable energy due to its rich resources, low construction cost and high efficiency. Recently, the component suppliers are mushrooming to join the market with fierce competition. In order to change from the simple price competition to the core value, it is necessary to develop wind turbine techniques which are most adaptable to the actual China s wind conditions in order to establish their own technical barriers; to form an effective supply chain strategic alliance to reduce costs incurred in logistics and maintenance. This seems to be the only way to survive the long-term development of the wind power business.CVT is a wholly foreign-owned manufacturing enterprise which concentrates on the production of wind converters. After nearly a decade of development of the China s wind market, the products and managing philosophy introduced from aboard are unable to meet the demands of the current Chinese market. In order to meet China s wind power change needs, and in order to meet the fierce competition, CVT needs to improve its full operational processes to increase its core competitiveness and maximize its profits. With this in mind, the present thesis makes an attempt to conduct a study on CVT operation optimization for adapting China wind market. On the basis of detailed analyses of CVT s current situation, the thesis points out that to meet its needs, CVT should devote more of its energy to develop its wind power systems that are most adaptable to the actual China s wind source conditions so as to create its own technical barriers, form an effective supply chain strategic alliance to reduce costs incurred in maintenance and other aspects. The thesis argues that in order to adapt itself to the changes in the macro-environment of China s wind power, CVT should wisely choose its technique policy, optimize its supply chain, and, on the basis of its new workshop design layout, improve its operation completely and comprehensively, so as to increase CVT s core competitiveness, maximize its profits, and keeps its leading position in the field.For an exploration of CVT operation of optimization for adapting itself to China wind market, the writer of the thesis, first in the first chapter, presents an introduction of the technique development of China s wind power systems, of the situations concerning costs incurred in logistics of winder power business, and of CVT s current operation. The thesis discovers that the problem that CVT currently faces is that CVT has no definite plan for its technique policy, and that CVT s supply chain is not totally up to the demands of China s current wind power macro-environment. In the second chapter, a detailed comparative study is offered of the lines of different wind power systems, which results in a tentative suggestion that direct-driving wind turbine system seems more suitable, and this means that it is necessary for CVT to develop in advance direct-drive wind turbine systems and promote its production capacity. Also given in chapter three is a detailed introduction of CVT s current situation of wind power chain and that of China s as well: A large number of wind power companies have emerged, making the competition in the wind power industry even more fierce, and so in order to win the competition, wind power companies have to form a strategic alliance to reduce logistics costs and increase their own additional values. After an overall comparison of the situations before and after the improvement, for example, establishing the nearest assemble center, the fourth chapter analyses, in terms of the current situation of the wind power production chain, the basic factors, the logistics conditions, the non-logistics relations between production units, and the general plan layout of the present CVT s production base. The fifth chapter presents the conclusion drawn on the basis of large amounts of data that wise choice of technique policy, establishment of a strategic alliance among the wind power spare parts enterprises, setting-up of a new assemble center ! all this can optimize CVT s operation in adapting itself to China s wind market, and even optimize as well the whole wind power industry and promote the good circulation among China s wind power enterprises.