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August 8, 2018
As China's economy continues to grow, the country is paying greater attention to quality improvement and cost efficiencies. The Party's 19th National Congress report clearly put forward, for the first time, the policy of “put quality first, build the nation on quality”. The pursuit of high quality has evidently become a national consensus.
Since the country’s opening up, China has achieved continuous, stable and rapid economic development, which has been accompanied by a huge improvement in the quality of its products. China's Manufacturing Quality Competitiveness Index rose from 76.28 in 2000 to 83.51 in 2015, while its efforts in promoting quality have given China a solid competitive edge in certain sectors. For example, the success rate and reliability of its Long March rockets are among the highest in the world, while the failure rates of its high-speed trains are much lower than the world’s average.
Nevertheless, China appears to be still lagging behind more advanced countries in terms of quality improvement. First, China’s efficiency when it comes to improving quality is low. China ranks only 13th in the world in terms of overall quality level, falling far behind countries that include the United States, Japan, and Germany. Second, in many industries, such as chips and engines, the country is facing bottlenecks due to quality concerns. Finally, China’s brands rarely enjoy a high reputation for quality. The impression of global consumers on Chinese products often remains “low price” and “poor quality”.
Dr. Guo Zheng, Deputy Secretary-General of the Shanghai Association for Quality, who was a speaker at “Minitab Insights China 2018” in Shanghai on May 8th, believes that “in order to implement quality reforms, Chinese enterprises must first strengthen quality management.”
According to Dr. Guo, in a transformative era of fast-changing industries and technologies, recent developments in quality improvement revolve around four major trends or facts. Firstly, the Internet has redefined quality and quality management by bringing about interconnectivity, which amplifies the impact of quality management and allows enterprises to accurately identify consumer needs at a faster pace. Also, Big Data cloud platforms are supporting new developments in quality management, by helping companies conduct more accurate analysis based on Big Data. Furthermore, the advent of the so-called “Experience Economy” is turning customers’ holistic experiences into a basis for evaluating enterprises’ quality. Lastly, risk-based systematic thinking is the key to the sustainable development and continuous improvement in the quality of a company.
“It has always been the responsibility and motivation of Chinese enterprises to provide satisfying products and services, as well as make our world and our lives better,” said Dr. Guo, who exhorted local companies to make quality a priority and cost efficiencies a prime target in order to deliver a continual improvement in the quality of Chinese products as well as a brighter future.
