SINOMACH: Building Four-Wings mode for poverty alleviation

Company profile
 
Established in January 1997, China National Machinery Industry Corporation (SINOMACH) is a key state-owned enterprise directly under the central government and one of the Fortune Global 500 companies. SINOMACH is a diversified, international and comprehensive group in equipment industry dedicated to providing quality global services. The four main businesses are mechanical equipment R&D and manufacturing, project contracting, trade and services, and finance and investment. These businesses cover key industries of the national economy, including mechanics, energy, transportation, automobiles, light industry, ship building, metallurgy, construction, electronics , environmental protection and aerospace. In 2017, the Group gained operating revenue of RMB 286.1 billion and ranked 334th in Fortune Global 500.
 
Challenges
 
Since the 18th National Congress of the Communist Party of China, the CPC Central Committee with comrade Xi Jinping at the core has attached great importance to poverty alleviation, integrated it into the implemented the five-sphere integrated plan and the four-pronged comprehensive strategy, and placed it in the important position of governing the country. Poverty alleviation and development has become the common responsibility of the whole Party and society. Facing the arduous task of seeking self-improvement and development, how to integrate resource advantage and explore a poverty alleviation path based on targeted positioning and self-development is the responsibility and duty of SINOMACH, as a central SOE.
 
Solution
 
In accordance with the deployment of the Party Central Committee and the State Council and the arrangement of the local governments, SINOMACH has carried out targeted poverty alleviation operations in 15 counties (townships) in 8 provinces, including Chaotian district in Guangyuan city Sichuan province, and Gushi county and Huaibin county in Henan province. The company promotes poverty alleviation simultaneously through developing education and industry, promoting agricultural mechanization, and improving people’s livelihood and has formed a targeted poverty alleviation road with SINOMACH features, that is “education as root, industry as base, agricultural machinery as branch, and people’s livelihood as vein” to help poverty-stricken areas improve their self-development capabilities.
 
Taking education as root to inject motive force of poverty alleviation into poverty-stricken areas
 
Based on its vocational technology education platforms like machinery manufacturing and construction installation, SINOMACH vigorously promotes various forms of free vocational education. For instance, it implements full-time vocational education for school-age students from registered poor families and short-term vocational training for migrant workers, organizes teachers to hold entrepreneurship training classes for migrant workers in many towns and villages, carries out e-commerce skill training classes and sends out youth backbones to carry out education supporting activities in schools that need assistance.
 
Taking industry as base to help poverty-stricken areas successfully achieve self-development
 
It carries out targeted poverty alleviation operation through developing industries to help poverty-stricken areas achieve self-development. Firstly, it develops characteristic industries in accordance with local conditions, such as helping Yulin village in Chaotian district develop and utilize mountainous areas well, developing efficient and high-quality agriculture and cultivating a series of characteristic industries. Secondly, SINOMACH education breeds new industries, like the national intangible cultural heritage “Maliu embroidery” in northern Sichuan. It carries out embroidery skill training for left-behind poor middle-aged and elderly women, and purchases their embroidery works at market price. Thirdly, the company promotes its industries to settle in the areas that it assists and supports to provide local people with jobs. Fourthly, it conducts a new form of poverty alleviation through developing e-commerce. Relying on its e-commerce platform, the company helps Gushi county in Henan province sell special agricultural and sideline products and has expanded e-commerce business in the county and established an e-business industrial park. Fifthly, the company builds bridges and platforms so that people can find jobs near their homes. Sixthly, it coordinates development resources for the areas that it assists and supports and promotes Chaotian district to sign a cooperation agreement with the Institute of Vegetable and Flower of Chinese Academy of Agricultural Sciences.
 
Taking agricultural machinery as branch to help assisted and supported areas achieve agricultural modernization rapidly
 
Rooted in the industrial characteristics of poverty-stricken areas and focusing on the long-term development of poverty-stricken areas, the company gives full play to the maximum utility of agricultural machinery to make agricultural machinery “alive” and enrich the masses. Firstly, it helps the poor households set up agricultural machinery cooperatives. It helps Liuwei village in Huaibin county, Henan province build the “Dongfanghong agricultural machinery cooperative”. The cooperative takes Liuwei village as main farming area and radiates outwards. It exempts specially needy households from machine-ploughing fees and guarantees the rent of 20 specially needy households in the village. Secondly, it carries out poverty alleviation through promoting agricultural machinery based on the local industry. In Chaotian district of Guangyuan, Sichuan province, the company has specially researched and developed agricultural machinery and agricultural machinery technology considering the situation that many impoverished villages there take walnut as the pillar industry.
 
Taking people’s livelihood as vein to make the poor move forward in warmth and the sense of gain
 
Through building schools, mending roads, digging wells, renovating dilapidated buildings and carrying out relocation, the company has kept improving rural infrastructure, and built the village committee, nursing home and cultural square, and equipped villages with garbage bins and garbage trucks, effectively meeting the basic livelihood needs of people in the poverty-stricken areas and making them feel the real love and warmth.
 
Achievement
 
Social benefit
 
In the aspect of promoting poverty alleviation through education, Hefei General Machinery Research Institute educates native Gushi students for free; Deyang Installation Technology College receives 100 poor students from Guangyuan for free; the company sends out youth backbones to carry out education supporting activities in schools that need assistance, repairs school buildings for Yudong township primary school, helps nearly 3,000 children from registered poor families, and establishes SINOMACH education poverty alleviation incentive fund in Gushi, Huaibin and Chaotian district respectively.
 
In the aspect of alleviating poverty with industries, the Huaibin poverty alleviation project of SINOMACH will have an annual average sales volume of 300 million yuan, achieve an average tax revenue of 10 million yuan and provide over 1200 jobs, among which over 200 are for registered poor people, after it is completed and put into operation. The company puts an initial investment of 100,000 yuan to purchase Maliu embroidery works at market price and use them for enterprise culture building and as business gifts. It provides scientific and technological support to help over 50,000 vegetable farmers in Chaotian district, Guangyuan, Sichuan province get rid of poverty and become rich. It has built a county-level e-commerce operation system consisting of 1 county-level operation center, 6 township operation centers and 194 village-level service stations.
 
In the aspect of carrying out poverty alleviation through promoting agricultural machinery, the company has donated some agricultural machineries worth millions of yuan to establish the “Dongfanghong agricultural machinery cooperative” in Liuwei village, Huaibin county, Henan province. It has launched the “targeted poverty alleviation campaign through agricultural machinery” in Siyang county, Suqian city, Jiangsu province, donated 11 sets of Jiefushi rotary tiller, carried out agricultural machinery technical training, provided designated after-sales services and expanded sales channels. In view of the situation that the poverty-stricken villages in Chaotian district take walnut as the pillar industry, the company has specially researched and developed the walnut peeling and drying machines and put them into use.
 
In terms of promoting poverty alleviation through developing people’s livelihood, the company has input more than 2 million yuan on rural road construction and village committee construction. It has supported the construction of transportation and other infrastructure in designated areas, helped Huaibin county construct convenience service facilities, built 12 roads, and dug and renovated 3 reservoirs. The company also spends nearly one million yuan to help 90 poor households and 270 people in Gushi county, Henan province, deal with the problem of production and living water shortage.
 
Economic benefit
 
While actively fulfilling its corporate social responsibility, SINOMACH has further cultivated the sense of social responsibility of SINOMACH people and continuously improved the awareness and ability of all members to fulfill their responsibilities. The company enhances its attraction of employment, increases and reserves professional and technical personnel, and alleviates the difficulty in employment. Based on the needs of its own industrial layout, the company has gained more development resources and the projects are implemented. It expands sales channels of products, improves the recognition and reputation of its products and services, and gains higher user loyalty. In addition, SINOMACH assumes social responsibility actively and has implemented targeted self-development poverty alleviation and established a responsible brand image of central enterprise.
 
Prospect
 
In the decisive stage of winning the battle against poverty, SINOMACH will further innovate in its measures, enrich and improve the “Four-Wings” alleviate poverty mode with SINOMACH features, that is “education as root, industry as base, agricultural machinery as branch, and people’s livelihood as vein”. With greater effectiveness, it will help poor areas and poor people to enter the "well-off era" as scheduled.