vol. 4, #1, january february 2014, no. 35 - midea · advances newsletter, january– february, 2014...

Advances Newsletter, January– February, 2014

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Vol. 4, #1, January– February 2014, No. 35

“1 kWh per Night,” Midea’s Star Innovation

We interviewed Li Jinbo, the star of the R & D Department, who is responsible

for “1 kWh per Night” technology.


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ADVANCES Newsletter

Contents

Midea Advances Newsletter is published monthly

by the International Strategy Department of

Midea Group. We welcome all comments,

suggestions and contribution of articles, as well as

requests for subscription to our newsletter. You

can reach us by email at: [email protected]

Address:

ADVANCES, International Strategy Department

Midea HQ

No. 6 Midea Road

Beijiao, Shunde, Foshan, Guangdong

P.R.C. 528311

Tel: +86-757-2360 4714

Web: www.midea.com

Managing Editors:

Mandy Wang

Kevin McGeary

Regular Correspondents:

Alex Cheng

Matthew Smith

Himani Joshi

Amber Liu

Crystal Lun

Blinda Li

Tony Miao

Peck Zhao

Sandra Sun

James Yu

Daniel Zhang

Sue Ou

NEWSLINE

MCJV Microwave Oven

Production Line Launched PAGE 3

Laundry Division Holds the

2014 Business Management

Conference PAGE 6

Midea All DC Inverter VRF

MDVX Series Off to a Flier PAGE 5

www.midea.com

The Future of “Made in Chi-

na”: A Seminar with Filipino

Partners PAGE 11

PAGE 17

FEATURE

SNAPSHOT

PEOPLE

The star behind Midea’s

innovation PAGE 13-16

Midea CAC Wins First

National “Engineering

Meritorious Suppliers’ Luban

Prize” PAGE 7

Four Midea Water Heater

Prototypes Win Prestigious iF

Design Awards PAGE 9

Midea Holds 2nd Air-

Conditioning Seminar in Cy-

prus PAGE 8

Midea AC Wins iF Product

Design Award 2014 PAGE 10

Little Swan Makes a Splash

in the Washing Machine In-

dustry PAGE 12 Beverly Front-Loading

Washing Machine Wins iF

Design Award PAGE 9

V5X Series Product Launch

Thailand PAGE 4


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MCJV Microwave Oven

Production Line Launched By James Yu

NEWSLINE

O n January 8, 2014, staff from the Midea

Kitchen Appliances Division visited the Midea Carrier

Joint Venture (MCJV) plant in Manaus, Brazil. They

were there to celebrate the opening of MCJV factory’s

microwave oven production line as well as the formal

launch of relevant products to the consumer.

Brazil is both one of the biggest consumer markets

and biggest growth markets in Latin America. It is there-

fore one of the key countries in which Midea hopes to

develop its brand. Since its entry into the Brazilian mar-

ket in 2007, Midea has achieved encouraging results in

residential air conditioning sales. The company ranks

first on the brand market share list ahead of other well

known international household appliance brands. Moreo-

ver, since the establishment of the joint venture with

Carrier, Midea has put a lot of effort into expanding its prod-

uct line beyond air conditioners and will continue to do so.

However, due to higher foreign trade barriers and higher

tariffs on imported goods imposed by the Brazilian govern-

ment, the company is facing challenges. In order to clear for-

midable regulatory hurdles and continue its development in the

Brazilian market, MCJV has decided to invest in a production

line of microwave ovens on the basis of the air conditioning

plant in 2012. After nearly a year of preparation and construc-

tion, the production line has finally been completed and put

into use.

The first phase of the microwave oven production line is

designed to carry production capacity of 600,000 units, and

500,000 units are expected to be put into production for the

whole year. Phase two, which is to be completed in 2015, is

designed to carry a capacity of one million units. This produc-

tion line makes Midea brand microwave ovens for the local

market.

Zhu Fengtao, General Manager of Midea Kitchen Appli-

ances Division, visited the Joint Venture and the microwave

production line in Manaus to get to know more

about the line’s development. Mr. Zhu also had a

long discussion with the JV sales and marketing

team in regard to the following three years’ pro-

motional strategies in the local market for Midea

brand kitchen appliances. He also discussed the

further development of a project known as Full

Kitchen, which is aimed at enhancing Midea’s

brand image and facilitating product sales. Zhu

expressed full confidence in the cooperation be-

tween Midea International Division and Kitchen

Appliances Division, and MCJV.


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V5X Series Product Launch 2014, Thailand

By Anggie Cai

M idea Central Air Conditioner Division held the

seminar “V5X Series New Product Launch 2014” in Chatrium

Hotel Riverside, Bangkok on Jan. 23. Nearly 100 people at-

tended the seminar and it was a huge success despite the ongo-

ing political turmoil in Thailand.

The seminar began with speeches followed

by a display of new products. Products on display

included the V4 Plus Series, Mini VRF& branch

box, VRF indoor units, IMM control system and

other controllers and branches. After the introduc-

tion and agenda briefing, Dennis Lee, director of

Asia Pacific & Africa of Midea CAC Overseas

Sales Company, delivered a welcome speech to all

attendees on behalf of Midea. During the seminar,

Midea CAC signed the Exclusive Distributor

Agreement for the Thailand market.

The unveiling of the new product V5X was

one of the highlights, creating a genuine buzz at

the seminar. Its appearance alone is noteworthy,

but the V5X also has a number of useful features.

Among these is its capacity range of 8HP to 88HP

and its industry-highest efficiency. Above all, it

utilizes All DC inverter technology, twelve

low-noise techniques and five oil-control

technologies to ensure high reliability.

After the seminar a banquet was

held accompanied by activities in which

attendees could get to know each other and

enjoy a brief cultural experience.

It was the first seminar of its kind in

Thailand and, as a testament to its success,

purchase orders were made there and then.

Significant moves were made during

the seminar. These included the appoint-

ment of the Exclusive Distributor in Thai-

land and the establishment of the spare part

center covering Southeast Asia. This is

Midea CAC’s first attempt to open a global

after-sales center. This will significantly

improve the delivery of spare parts and, by

extension, improve customer satisfaction. The spare part center

is the new attempt for Midea CAC in after-sales mode, and is

also an innovative measure. The spare part center covering oth-

er regions such as Europe, the United States, and the Middle

East. will be established to expand the coverage to fulfill cus-

tomers’ needs for promptly delivered spare parts.

NEWSLINE


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Midea All DC Inverter VRF MDVX Series

Off to a Flier By Anggie Cai

S ince it was first showcased at the 2013 Air

Conditioning, Heating and Refrigerating (AHR)

Show and a subsequent national product tour, the

Midea All DC Inverter VRF MDVX Series has been

causing a stir. In October 2013, the eagerly anticipat-

ed All DC inverter VRF MDVX series was put into

mass production in the domestic market and didn’t

take long to acquire a significant market share.

Guangzhou, close to the company’s headquarters,

was the first city to take to the trend with an offer of

300 sets of MDVX for the new campus of Guang-

zhou Medical College.

Situated in the city’s Panyu Area, the new cam-

pus of Guangzhou Medical College covers an area of

1500 acres and has received investment of 2.2 billion

RMB. The secured project will cover the teaching

building, laboratory building, administrative building,

library, students and staff activities center, assembly hall, and

dormitories. Apart from providing 300 sets of All DC inverter

VRF MDVX, the installation also includes Midea screw chiller

system, split system and central AC hot water system. The total

bidding value exceeds 25 million RMB.

For Midea CAC, the ALL DC inverter VRF MDVX series

is the flagship product of the year. This is due to three particu-

larly good features. First is the high IPLV(C) reaching 7.15; it

boasts the highest-efficiency Variable Refrigerant Flow (VRF)

nationwide. Furthermore, the maximum combination capacity is

88 HP, the highest in the industry. Last but not least, perfectly

blended with a diamond cutting technique and thread design,

the aesthetics figure has caught the eye of a

wide variety of customers.

Since the domestic launch of

MDVX, there has been a positive reaction

throughout the nation. Sichuan Province has

recorded a Public Security Bureau project

with total cooling capacity of 550HP. Hunan

and Hangzhou provinces have also reported

successful projects. The VRF MDVX has

already become the “Star” product for a

large percentage of the customer base. The

booming market for the VRF MDVX series

is expected to boost the new-round of

growth for Midea Central air conditioners.

NEWSLINE


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Laundry Division Holds the 2014 Business

Management Conference By Blinda Li

M idea’s Laundry Division held its

2014 Business Management Conference from

January 2 to 4 in a bid to further deepen strategic

transformation, concentrate efforts on promot-

ing product competitiveness and innovation

competency and improve its overall execution. A

total of 170 representatives consisting of middle

and senior managers and outstanding employees

of the division were in attendance. The confer-

ence included brainstorming workshops, training

on transformation and execution, promotion and

implementation of the Division’s operating strat-

egies in 2014. There was also a panel discussion

during which product innovation and marketing was discussed.

On the first day of the meeting, senior managers conduct-

ed in-depth discussions on topics such as the problems that had

restricted the deeper transformation of the Division and sug-

gested solutions.

On January 3, all participants received training in

“transformation and execution”. Mr. Xu Zheng, Vice President

of GE China, talked about the classic example of IBM with par-

ticipants. He elaborated on the crises that the IT giant had faced

down the years, the nature of and the solutions to such crises,

pictured the modes and processes of enterprise transformation,

and analyzed and summed up how the company overcame its

problems. During the lecture, the participants held heated group

discussions on transformation and execution, presented and

exchanged viewpoints, and contributed valuable opinions on the

future development of the Division. After the

training session, the Chief Officer of the Opera-

tion and Human Resources Department intro-

duced the development plans of the Division in

the new year so that the management staff at the

lecture could better understand their targets and

responsibilities. Then all participants were divid-

ed into different groups to attend the panel dis-

cussions on 8 topics such as domestic sales com-

petency improvement and brainstorm solutions.

On January 4, the 13 department officers of the

Division each gave 15-minute unscripted speech-

es about the results made in the panel discussions

the previous night, focusing on the summariza-

tion of work, raising issues and proposing solu-

tions. To ensure the implementation of responsi-

bilities and the fulfillment of tasks, the General

Manager of the Division entered into the 2014

operating responsibility contracts with the department officers

on site. In addition, the Conference also witnessed the awarding

of the top 10 employees and top 5 outstanding teams in 2013.

This was aimed at inspiring and encouraging all participants.

NEWSLINE


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Midea CAC Wins First National “Engineering

Meritorious Suppliers’ Luban Prize” By Anggie Cai

T he Commercial Air Conditioner Technology and

Industry Application Seminar was recently held in Shunde. More

than 400 people attended the event, including leaders from

Heating Ventilation and Air-conditioning (HVAC) industry as-

sociations, industry experts, designers, distributors,

and academics. All witnessed the moment when

Midea CAC was presented the highest award in the

construction industry- the “Engineering Meritori-

ous Suppliers’ Luban Prize”

"China Constructional Engineering Luban

Prize" has long been recognized as the most pres-

tigious award in the Chinese construction industry.

This award was established in 1987 and the ap-

praisal and selection has since been organized and

conducted by the China Construction Industry

Association (CCIA). The Luban Prize is now rec-

ognized across the industry as a guaranteed mark

of quality.

In a bid to spread the Luban Prize spirit of

“quality first” and share advanced industry

knowledge, CCIA and The Asia Construction Sci-

ence and Technology Information Research Institute jointly set

up the HVAC application promotion center, and carried out the

appraisal.

Midea CAC has consistently been at the forefront of the

HVAC industry in technology, quality and service. Last year saw

Midea CAC launch two particularly important products - one

was the dual stage full falling film centrifugal chiller with COP 7

under AHRI condition, the other was the All DC inverter VRF

MDVX series. These products represent a significant step for

Midea CAC on the road of product development and innova-

tion.

In terms of customer service, Midea CAC has set up a one

-stop service system comprised of “prior-service”, ”ongoing-

service” and “after-service”. The service system is strong enough

to cover the entire nation with over 3000 Midea authorized serv-

ers. In the process of project scheming and design, Midea CAC

has assigned engineers to assist in the project proposal analysis

to ensure that the work goes smoothly. Before construction

begins, a Midea CAC technician coaches the installation compa-

ny to optimize the construction drawings through on-site in-

spection. During construction, a Midea CAC technician is on

site, offering technical support and instruction.

Moreover, a monitoring engineer oversees the whole pro-

cess to make sure everything is in order. After installation, the

technician helps the installer complete the commissioning and

acceptance inspection. The one-stop service system has received

highly praise nationwide and helped Midea CAC secure thou-

sands of good contracts.

With its adherence to the philosophy of “customer satis-

faction above all”, Midea CAC has held the Title of Commercial

AC Champion in the domestic market for years. As a model of

service in the HAVC industry, the quality assurance and sound

service system is one of the driving forces behind Midea CAC’s

globalization.

The speed reduction clutch is an important component of

any household washing machine, but lacks standardized specifi-

cations. After much study and analysis, Midea’s Laundry Divi-

sion developed its “Technical Specifications for Speed Reduc-

tion Clutches of Household Washing Machines”. This standard

details the design for speed reduction clutches for impeller-type

washing machines specified in “Household and Similar Electri-

cal Washing Machines” (GB/T4288), thereby filling the previ-

ous standards gap for this washing machine component.

This specification benefits appliance and component man-

ufacturers alike, by facilitating greater cooperation between

them, and allowing for more efficient and cost-effective mainte-

nance.

NEWSLINE


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Midea Holds 2nd Air Conditioning

Seminar in Cyprus By Alexander Zheng

T he 2nd Midea A/C Seminar was

held in Hilton Nicosia in Cyprus on Dec.

11, 2013 to showcase Midea’s new air-

conditioning products for 2014. The event

was jointly held by CED Electric, the

Midea Brand Distributor and Midea Resi-

dential A/C (RAC) and Commercial A/C

(CAC) Division.

Despite the inauspicious economic

situation in Cyprus, the event was a suc-

cess. Over 150 people attended including

distributors and local media.

Mr. Demos Xiourouppas, the Direc-

tor of CED Electric Distributor, which has

been co-operating with Midea Since 1997,

gave the opening speech, asserting his con-

fidence in the continued success of Midea

products and CED’s service.

“The 45-year growth pattern of Midea and CED’s tireless

efforts to become more professional will go along with your

experience and training will help cement Midea’s position in

the mind of the Cypriot consumer, ” Xiourouppas told the

crowd.

The new products on display in-

cluded the largest commercial air-

conditioning DC inverter on the product

line VRV/VRF –ATW and the split-

home air-conditioner with European

Energy Level - Premier and Fairwind

Series.

These were presented by Midea

RAC employees Kevin Lee and Alexan-

der Zheng and CAC colleague Melinda

Mel. The products received praise for

both their appearance and the features

that they have. However, some customers

commented that improvements can still

be made in the products’ ease of installa-

tion.

NEWSLINE


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Four Midea Water Heater Prototypes Win

Prestigious iF Design Awards By Matthew Smith

S ince 1954, the world-renowned International Forum

Design GmbH (iF), based in Hanover, Germany, has held an

annual design competition which honors the world’s best indus-

trial design. In its first entry of water heater designs to the An-

nual iF Design Competition, Midea came away with four sepa-

rate awards for its sleek and sophisticated concept designs. The

competition included Samsung, Panasonic, Philips and Electro-

lux.

Midea’s four designs, the electrical 50JL, and the gas-

powered HP4S, HZ2, and LE5Q, represent one more step for-

ward in the company’s quest to become recognized around the

world as a leading designer of household appliances.

The 50JL electrical storage heater boasts a unique modular

that allows a household to scale the system up and down for

cases in which the number of people living there increases or

decreases. Different tank sizes can be adapted to the base unit to

accommodate changes in a household’s needs.

The health-conscious consumer will feel a special appreci-

ation for the HP4S gas-powered instant heater, with its simpli-

fied, one-touch cleaning program, which flushes out and cleans

the entire system, drastically reducing any chance of internal

bacterial growth.

The LE5Q gas-powered instant heater presents an attrac-

tive main interface, which will be familiar to smartphone users.

Much like these phones, the interface of the LE5Q is bright and

interactive through an entirely touch-sensitive display.

The final winning design is another gas-powered instant

heater, but the HZ2 distinguishes itself by embracing the emerg-

ing “Internet of Things” trend, which typically includes

smartphone-controllable household appliances. This concept

design would allow a user to control temperature and receive

status updates using a phone, tablet, or other computer, from

any location.

NEWSLINE

Beverly Front-loading Washing Machine

Wins iF Product Design Award By Blinda Li

T he TD85-1406VID front-

loading washer, a product in the

Laundry Division’s Beverly Series,

beat thousands of competitors to the

2014 iF product design award. This

is a milestone for the laundry divi-

sion.

The winner will be permitted

to use the iF label, go into the iF

yearbook and have the APP promo-

tion opportunity, which will wield

significant and favorable influence

upon the buildup of the Midea

brand and the promotion of Midea

products internationally.

The TD85-1406VID touchscreen washing machine is a

product under the Little Swan Brand.

During the design of the product, the

developers paid particular consideration

to the consumer. Concepts it pioneered

include the automatic adding of deter-

gent. Its color touchscreen even brings a

little fun to the process of doing laundry.

Even the frailest and most immobile

users can open the door simply by touch-

ing a button. The inner tube design fea-

turing lifting ribs and water cube

(rubbing and mixing) delivers optimal

washing performance.


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Midea AC Wins iF Product

Design Award 2014 By Crystal Lun

T his year has started off with yet

more great news for Midea as the Midea AC

design model “ZL split” won the iF Product

design award 2014 for its innovative design.

iF design award was founded in Germany

in 1954. It is a highly competitive international

award. The appraisal takes into account a varie-

ty of perspectives including design quality, per-

formance, convenience, innovation and brand-

ing. Midea’s winning product was in competi-

tion with 4600 works from 55 countries.

The ZL split has a modern minimalistic

design with fine lines and a smooth outer body.

It is designed to be similar to its predecessors

yet even simpler. Its inverter control system

and intelligent technology make it even more

easy to use for customers.

The innovations and quality designs are the work of

Midea’s industrial design center. The award is a testament to the

good direction the center is going in and is a huge boost at the

start of 2014. Let’s demand Midea push itself and go from

strength to strength in the coming year.

Midea AC Certified with PIQ Mark

At the end of last year, the 2013 consumer electronics &

information technology index evaluation news conference and

the 15th national consumer electronics technology annual meet-

ing was held in Beijing. Two Midea air conditioners domestic

models were certified with PIQ

(Product Intelligence Quotient) mark,

one is the standing YA100 and the other

is the split range QA100. A product’s

PIQ comprehensively reflects its intel-

lectuality.

With the progress of science and

technology, especially with the develop-

ment of network information and cloud

technology, intelligent household appli-

ances products have become ubiquitous.

However, there are plenty of good and

bad examples of these products and

customers need help being able to dis-

cern. This PIQ mark will help students

figure out what quality really is.

NEWSLINE


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The future of “Made in China”: A Seminar

with Filipino Partners By Shine Li

C apping a process that began a little over a year ago,

Midea Group finally debuted on the Shenzhen Stock Exchange

(SZSE) on September 18th, becoming a fully public company.

Prior to this, Midea Group was privately-held, structured

with its most significant companies as subsidiaries directly un-

derneath it, the most notable of those being the SZSE-listed GD

Midea, which was responsible for the Group’s core business of

designing and manufacturing air conditioners, as well as refrige

“If you consider that 30 million Midea microwave ovens were

sold in one year, then you

will find that on average,

8,291 of them a day were

sold on the market. If you

consider that the working

day lasts 8 hours, you can

calculate that within this

time, an average of around 3

Midea microwave ovens were

sold every second. This gives

a good sense of the kind of

scale we’re talking about.” –

Rafael Hechanova Jr., Vice

President, Concepcion In-

dustrial Corp.

The above quote was

expressed to a group of over

200 dealers on January 21st at a seminar attended by over 200

dealers visiting Midea headquarters from the Philippines. Con-

cepcion and Midea have formed a new joint venture named

Concepcion Midea Inc. Philippines (CMIP) to help expand

Midea’s presence in the Southeast Asian country.

The seminar was held to introduce the joint venture’s pri-

mary brand to CMIP’s local channel partners, by a series of

presentations given by Midea executives and tours of Midea’s

head office, production facilities and research center.

Opening the seminar was Justin Liu of Midea’s Interna-

tional Division (MID), in charge of India and ASEAN markets,

who offered a warm welcome to the guests. Arthur Huang, the

Marketing Director of MID, gave the guests an introduction to

Midea’s current situation, and spoke of future company strategy.

Also on hand to speak were Scott Fu, General Manager of

International Sales at Laundry Division, Pandy Pang, Head of

International Marketing at Kitchen Appliances Division, and

Simon Zhu, General Manager of International Sales at Small

Domestic Appliances Division.

Following the speeches, the guests were taken on a tour of

Midea’s Air Conditioning Research Institute and the microwave

oven factory. Many of them were visiting the company for the

first time and the feeling seemed to be unanimous: “The scale

on which Midea works and the technology it uses has far sur-

passed my expectations,” said one visitor.

CMIP officially began operating in December, and as part

of the bid to hurry its

entry into the Philippines

market, CIC was invited

to attend a series of ac-

tivities in Shunde and

Guangzhou, with the

purpose of this particular

seminar to outline plans

and strategies and culti-

vate collaboration be-

tween the companies.

The Philippines is coun-

try of 98 million consum-

ers, and a GDP that has

grown an average of 7%

over the past 10 years, so

it is very much one of

southeast Asia’s emerging economies. The past 10 years have

seen growth in the housing market and an increase in the in-

comes of the young. These factors have caused a surge in de-

mand for household appliances.

The Concepcion Midea joint venture was formed to seize

this opportunity by building an enduring brand in the Philip-

pines using the cutting-edge technology combined with its

knowledge of and familiarity with the market.

Jacqueline Ong, the CEO of Abenson, the largest home

appliances chain in the Philippines, had some words of encour-

agement for the joint venture: “Several decades ago, ‘Made in

Japan’ and ‘Made in Korea’ carried connotations of being low in

quality. Now those countries boast a large number of top

brands. China is on the same path in its exports to the Philip-

pines and the rest of the world.”

NEWSLINE


12

Little Swan Makes a Splash in the Washing

Machine Industry By Blinda Li

L ast year was a particularly significant one for the

washing machine industry. The market saw rapidly increased

competition and diversified development trends. In this context,

quality alone is not enough to stay ahead of the pack. Innovation

and variety are needed to meet ever changing consumer demand.

To explore the way ahead, senior industry executives organized

the 2013 Summit Conference for the China Washing Machine

Industry themed “Change by Energy Efficiency, Way for Intelli-

gent Cleaning” in Beijing once in the middle of 2013 and again

at the end of the year.

According to data acquired through market surveys, the

sales volume of front-loading machines increased sharply as of

January 2013. Sources also said that the market share of front-

loading machines exceeded that of top-loading machines.

Against a backdrop in which foreign brands are trying to con-

quer the Chinese market, a change is silently taking place in Chi-

na’s washing machine industry, and the key trail blazer is Little

Swan, one of the leading domestic washing machine brands. Just

as these changes were taking place, Little Swan stepped up its

new product R & D by virtue of its inherent capacity in inde-

pendent innovation. Its “Pure Delight (Chunzhen) 2.0” made an

instant splash in the market.

In terms of performance, price, appearance, and energy

efficiency, the Pure Delight (Chunzhen) 2.0 Collection has

proved to be the right product at the right time. Its core func-

tion ATC is known in the industry as a “New Cleaning Hori-

zon”, as it blows traditional front-loading machines out of the

water.. Pure Delight (Chunzhen) 2.0 Collection’s intelligent

washing program can automatically sense the weight of a bundle

of clothes and regulate the washing time accordingly.

Not only does Pure Delight 2.0 (Chunzhen)

Collection manage the clothes cleaning intelligently, but

also enables consumers to purchase products of diversi-

fied functions and options (like frequency conversion or

constant frequency), in order to offer consumers deep-

cleaning, highly clean, energy-saving, environmentally-

friendly, low-carbon, and high-end products. It is worth

pointing out that at this Summit Conference, Little

Swan won the “Trustworthy Brand Prize” of the wash-

ing machine industry.

According to insiders, changes in the washing

machine market will continue. Competition is becoming

increasingly fierce. Only through investment and inno-

vations in R & D can the brand exert its advantages in

the market and in turn win over consumers.

FEATURE


13

The Star Behind Midea’s Innovation

By Mandy Wang & Kevin Mcgeary

Li Jinbo

Li Jinbo, the manager of Midea’s research &

development department

In air-conditioner manufacturing, Midea is always trying

to make the next step in efficiency and energy

conservation, especially in the ultra-competitive age of

inverter air conditioners. These attempts have led Midea

to break a number of records. This is made possible by the

company’s research and development (R & D)

department. Advances approached this department for an

interview to give its members their richly-deserved

moment in the spotlight.

The backbone of this department is Li Jinbo. Li

has been working in the department for 13 years and in

2012 received national level recognition as a “model

worker.” In 2011, Midea’s Full DC Inverter air conditioner

– the production of which he presided over – won a

national efficiency award.

Li Jinbo graduated in July 2000 from Huazhong

University of Science and Technology where he majored in

refrigeration technology and cryogenic equipment. He also

gained a qualification in Information Technology while he

was there. He entered the R & D team of Midea’s air

conditioner department shortly after graduating and has

been there ever since. This has led to the applications of 28

patents for inventions and 20 utility model patents.

Moreover, Li’s overall contribution in energy saving,

emissions reduction and lowering production costs have

been immeasurable.

ADV: Statistics released by China Market Monitor show that “1

kWh per night” models ranks in the “hot sale” list in China’s

retail market throughout first half year of 2013. It was also

unquestionably the star of the air conditioning industry when it

came to energy conservation. It won the “Appliance Prize” at

the China Household Appliances Expo and the “Product

Creation Prize” at the International Consumer Electronics

PEOPLE


14

The Star Behind Midea’s Innovation (cont.)

PEOPLE

Show in Berlin. Moreover, Midea’s 35KB product and 35LB

product saw a 14.44% increase and 4.19% increase in sales

respectively. When you made these achievements, did the

department and team enjoy a celebration? What about you and

your family? Or did you just keep working as normal?

Li Jinbo: Our team had a modest celebration. After celebrating,

we all returned to our stations to do our jobs. Everybody did

the same.

ADV: Midea has reported that in the “technology month” of

October 2013, you guys won another prize. Can you tell us

about that?

Li Jinbo: At the 18th annual science and technology meeting

on Oct. 18, we were briefed on future strategies and priorities in

science and technology. We were also lauded for our

“outstanding” work in technological innovation in 2012-2013.

Our team was given a 5 million RMB award for the 1 kWh per

night technology.

ADV: Exactly how long was the project? Can you give us a

brief introduction to the whole process?

Li Jinbo: The project to bring the dream of 1kWh per night

technology to life officially began on Jan. 21, 2011. The

research and development work was completed on Aug. 20,

2012. We went through 15 changes in the process and the

whole thing took 572 days. After that it started to enter people’s

households, but the whole thing only really sunk in when the

China Light Industry Federation confirmed that the technology

had been appraised as an international leader.

ADV: To make this happen, Midea carefully selected its team.

Can you introduce the team, which departments and fields were

the members selected from?

Li Jinbo: Midea selected the members with the strongest

credentials. Their backgrounds included refrigeration

technology, control systems, ventilation systems and motor


Team responsible for “1kWh per Night” in front of the Research Center


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PEOPLE

technology. There were 265 engineers, accounting for about a

third of the team. The cost of the R & D amounted to 80

million RMB.

ADV: What technological problems did you encounter? How

did you overcome them?

Li Jinbo: There really were a

lot of obstacles along the way.

The team had to just pull

together to get through them.

The hardest thing was

achieving the goal of 1 kWh

while maintaining the quality

of the cooling system. To do

this we had to conduct

numerous experiments and

the prototypes were tested

under various conditions

We used four factories and

100 different prototypes over

a period of nearly 2 months,

with different members of the

teams comparing their

findings. After we found that

there had been no machine

problems after 2 months, the

product could be released

onto the market in Sept. 2012.

There were a total of 8

products released onto the

market.

ADV: Since September 2012,

Midea has been distributing products that boast the 1kWh per

night technology. Customers have been known to go into

stores and specifically request these products. How does this

success make you feel? How do you plan to build on it?

Li Jinbo: My teammates are awesome. Everybody has already

given so much to this project. The 5 million RMB award has

been divided across the team.

The need to innovate will never stop. Even more and even

greater products will enter the market, making life even better

for the consumer.

ADV: I’ve seen some articles about you. One said you and your

wife were trying to find time to take your daughter to Disney

World in Hong Kong. At

that time she had just started

Kindergarten, now she is

about to start primary

school. Now that the project

has been successfully

completed, have you fulfilled

your promise to your

daughter? Do you all carry

on as before?

Li Jinbo: The R & D work

is still very demanding. Much

to my shame, I still haven’t

fulfilled the promise. I am

waiting for a more relaxing

time to take her.

ADV: When working in R &

D, product innovation is

very important. How do you

stay creative?

Li Jinbo: Firstly, you have to

maintain a genuine interest

in technology; Secondly, you

have to be studious and keep

the customer in mind. When

they are using the product,

what problems, discomforts and inconveniences will they

encounter? You need to do your own research on customer

experiences and be sensitive to their needs.

ADV: As a technology professional, what qualities and abilities

do you think a person needs for the job?



16


PEOPLE

Li Jinbo: Number one, love what you do. Number two, follow

the latest developments. For example, I work in refrigeration

systems, but I keep on top of the news from other fields such

as IT. You don’t have to be highly proficient in these fields, but

you need to understand in outline what is going on in them.

You can’t allow yourself to stagnate. That is why I don’t

consider myself to be solely involved with refrigeration

systems.

ADV: The R & D department is divided between the domestic

one and the international one. How do the two departments

normally work? Do you cooperate? 1 kWh per night products

were first marketed in the domestic market, then only later in

overseas markets. How did the sharing process for this product

work?

Li Jinbo: The domestic and international R & D departments

exist independently of each other, but we sometimes cooperate.

We have one laboratory where a variety of experiments are

always taking place and different experiments – as well as the

two different departments – are generally kept apart.

ADV: What is your opinion on the future of your industry and

the products that will be released?

Li Jinbo: Future products will need to become even more

energy efficient, even more environmentally friendly, and even

more intelligent, increasing the comfort and convenience to the

consumer.

Product Introduction

In the December issue of ADVANCES, we told you

that the Midea Residential Air Conditioner “1 kWh per Night”

Won Marketing Award 2013. When the Midea “1 kWh per

night” air conditioner series firstly came out to market, doubts

were raised as to whether the “1kWh per night” technology

was really feasible. To ease concerns from customers, Midea

carried out a customer experience event in March. 500

consumers countrywide volunteered to participate in this event

to test and record the actual power consumption of the series

to be as low as 1 kWh per night. In this opening issue of

ADVANCES of 2014, we will dig into more details to

introduce the team behind this top sale product, but before

that, let us show you more about this star product.

Midea’s “1 kWh per Night” technology represents the

overcoming of some of the biggest puzzles in the tech industry.

It is an international leader in both speed and energy efficiency.

Statistics released by China Market Monitor show that models

with this feature topped in the “hot sale” list in China’s retail

market throughout first half year of 2013. During the “Golden

week” holiday period of 2013, the total retail volume of Midea

air conditioners was found to have increased on the previous

year by 80%, with all Midea air conditioner products seeing a

growth in sales volume.

Midea has been researching inverter air-conditioning

technology for over a decade. As far back as 1999, Midea

released the full DC inverter air conditioner - SY191B. Midea

continues to be committed to this the leading and most energy-

efficient air-conditioning technology in the domestic market

and particularly in developed countries.

In technological terms, Midea has gained certain

advantages in the field of inverter air conditioning technology

over the past decade and a half. More important than its

mastery of the technology is its complete industrial chain. In

market terms, Midea has been leading the domestic market for a

long time and its advantages in this area include the strength of

its market research.



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vol. 4, #1, january february 2014, no. 35 - midea · advances newsletter, january– february, 2014...

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