Travel Story: Shanghai, Chengdu, Chongqing
Chalmers students arrive in Chengdu to support Volvo Cars in their new Chinese environment
31 May 2011
During our last night in Chengdu we meet with adventurous ElinStoij and Maria Dickmark. Elin and Maria are both from Chalmers but are currently working on their master thesis in Chengdu. Last semester the two friends started exchanging ideas for doing a master thesis in mainland China due to the future potential in this fast growing economy. When we meet them they had already begun collecting empirical data in Chengdu. Their thesis will investigate how Chinese co-workers will view Volvo Cars corporate culture and the company's processes. In this way they will support Volvo Cars in highlighting important differences and expand a foundation for greater learning between the different cultures, in both directions.
CITO visits Volvo Cars in Chengdu
30 May 2011
Chengdu Car City where Swedish premium quality meets with Chinese cost control
Upon arriving to Volvo Cars' office the future plant spot is nothing but a vast area of mud and rubble. Within a few years there will however be a big plant covering these fields and these barren lands will be the workplace for thousands of people. We met with the carefully handpicked team of engineers whom will start up the factory. John-Erik Hermanson, Plant Director, expresses the thrill of starting up a plant from scratch. He adds that Volvo Cars has not done this since the mid sixties, when Volvo opened the plant in Torslanda followed by another plant in Ghent. This large scale project truly demands expertise and one of the employees admits that they are really good at what they do. One of the Chinese managers also tells us that he chose Volvo Cars because of the great growth potential of the company and adds that many Chinese senior engineers like him have experience in setting up plants. Together the team will benefit from the lower costs of manufacturing in China while maintaining top quality premium cars for the growing demand.
ABB in Chongqing
27 May 2011
Since 1998 ABB has had production facilities in Chongqing. We met Magnus Ström, president of ABB Chongqing, to talk about ABB and see their production, but also about living abroad.
ABB makes a wide variety of products in different places all around the world, and in Chongqing they have specialized in big scale transformers. Transformers from the factory in Chongqing were used in the famous Three Gorges Project, the building of the world's largest dam. From the start in 1998 most of the products produced were made for the Chinese market, but the recent years have been more export-oriented. Magnus mentioned the increasing competition from Chinese manufacturers as the reason why ABB have to be one step ahead and stay innovative.
Being foreigner in China for several years, Magnus have experience of the Chinese culture and integrating with the Chinese people. As foreigners are so few in China, especially in Chongqing and eastern China, foreigners are very well treated. In our short visit in Chongqing we had time to experience this several times.
Volvo Cars in Chongqing
26 May 2011
In Chongqing, "Right at the Heart of China", Volvo Cars have a joint venture with the Chinese car-manufacturer Changan. We were there and met the Volvo employees and had a tour by the production line.
We met Volvo's Program & Operations Director JörgenHåkansson, who told us about Volvo's operations in Chongqing. Volvo Cars in Chongqing is part of CFMA, Changan Ford Mazda Automobile Co., Ltd., originally sharing production with Ford and Mazda in the same facilities. Ford started this joint venture with Changan in 2001 and the first Volvo car produced in China, the S40, started production in Chongqing by 2006. Today not only the S40 is made here, but also the S80L, a longer version of the S80 especially made for the Chinese market. You can read more about Volvo Cars in Chongqing in our new Asia Magazine 17.
Swedish Trade Council Shanghai
23 May 2011
With a very nice view over modern Shanghai Van Houng, Country Manager East China, works for the Swedish Trade Council.
When in Shanghai we met Van Houng, former CITO and Chalmers alumni. Van gave us his view of Shanghai and China, and what the Swedish Trade Council does for Swedish companies wanting to establish themselves in China. The council have grown a lot the last years, from around 20 employees four years ago to around 40 today. Van also told us that he recently had visits from the Swedish minister of commerce, but also from the Swedish King and the crown princess. China's growth clearly is of interest for Swedish companies and the Swedish government.
The new Volvo Cars headquarters
24 May 2011
CITO visits Volvo Cars new headquarters in the outskirts of Shanghai, and meet with the Vice President of Product Development, Lars Nyborg.
Northwest of the Shanghai city centre lies the Jiading district. The area is already a hub for some car manufacturers and their suppliers but will in the future expand to become an even more important region for the Chinese car industry. Here Volvo Cars are expanding by setting up a new HQ for the Chinese market. The Vice President of Product Development Lars Nyborg recently arrived joining several other expatriates and local employees at the new complex in Jiading. Together they are building the new organization using the main HQ in Gothenburg as a model. Upon writing this the organization is growing in a rapid phase and the empty spaces in the complex should soon enough be filled with engineers.
Lars showed us around the complex and we were happy to see two divisional managers facing each other in a ping pong duel during the lunch break. The atmosphere is relaxed and welcoming.
Jon Borgas and Martin Johansson
Oriflame in Shanghai
23 May 2011
In Shanghai we had another meeting with a Chalmers and CITO alumni, Daniel Hahn who is sales manager for Oriflame in Shanghai.
Oriflame is one of the largest direct sellers of cosmetics in the world, today active in 62 countries. As a direct seller Oriflame use consulars, ordinary people selling Oriflame's products for a provision, instead of using traditional resellers and salesmen. Daniel has been working for Oriflame in one and a half year and been a critical part of the successful launch of the Oriflame's Wellness products in China. With Wellness Oriflame expanded their reach from only cosmetics to also include nutritional products. You will be able to read more about Daniel and other Chalmers alumni in next issue of Asia Magazine's special alumni article.
Jon Borgas and Martin Johansson
Precimeter in Shanghai
20 May 2011
For an upcoming Asia Magazine article about Chalmers alumni in China, we visited ElinLidén, General Manager at Precimeter in Shanghai, for an interview.
After studying at Chalmers Elin went to Shanghai for Chinese language studies for a year. The language studies partially gave Elin the opportunity to start up a representation office from scratch for Precimeter in Shanghai two years ago. Precimeter is a Swedish based company that creates solutions for aluminium processing companies all over the world. Elin told us a little about her job and how it is to live in Shanghai. As being responsible at Precimeter she is able to travel in a lot in China when doing business, so far she has been in 20 of China's provinces. Being westerner but also female gives her a lot of special attention by customers, making her a very familiar face in the aluminium business.
Jon Borgas and Martin Johansson
Volvo Cars Sales Office in Shanghai
19 May 2011
When visiting Shanghai CITO had the opportunity to visit Volvo Cars' sales office. There we met the two expatriates Ulf Modig and Andreas Gustavsson.
Volvo's office in Shanghai offers functions such as sales, marketing and service for the Chinese market. Ulf has been working in the office a bit more than a year while Andreas had worked from first of April this year. They described the Shanghai market and their working environment as very energetic and exiting. Working close to the end customer both Ulf and Andreas often faced different issues requiring the use of their expertise in varieties of ways in order to provide the new Chinese customers with top satisfying solutions.
dreas' tip to Chalmers students wanting to work in Shanghai is to search for larger Swedish companies expanding in China, as many opportunities should be with these companies.
Jon Borgas and Martin Johansson