VIEW POINT for the company's management level

Competitiveness / Framework conditions / Innovation / Industry trends

China: Social Credit System for enterprises
In the coming year, the Chinese government intends to introduce the "social credit rating system" for companies as well. The aim is to monitor and control market participants more closely. The system comprises a large number of requirements that serve as the basis for calculating the ratings given to all market participants. The behaviour of companies is to be continuously monitored and the values adjusted accordingly. If companies do not comply with all the rules, they risk serious consequences such as sanctions or even being blacklisted. There is still a lack of transparency. The evaluation criteria and the measures derived from them are unclear. In addition, the VDMA fears that not only hard criteria such as tax payments will be taken into account. During the state visit to China this week, the VDMA and the BDI have asked the Chancellor Merkel to speak "plain language" with the Chinese interlocutors on this matter. 

The VDMA office in China has prepared a presentation on the Social Credit System. It provides an overview of the planned system and how it will influence companies. Link 

The European Union Chamber of Commerce (EUCCC) in Beijing and Sinolytics have published a recent study on the subject. Here is the link to the new study. The article can be found here.

Prizes for successful young engineers
On 28 November, Peter D. Dornier, Chairman of the Walter Reiners-Stiftung (the VDMA Textile Machinery Foundation for promotion of young engineers), will present prizes to six successful young engineers in Dresden. Three prizes will be awarded in the categories dissertation and diploma/master thesis as well as three creativity prizes for the smartest bachelor's or project work. The winners come from the technical universities in Aachen, Chemnitz and Dresden. In total, more than 20 students took part in the competition. The submitted papers were reviewed by external experts and by the Foundation's Board of Directors, consisting of Messrs Dornier (Lindauer Dornier), Hampel (Monforts), Kleindorp (Memminger-Iro), Reiners (Reiners+Fürst) and Stausberg (Oerlikon). 

The VDMA member companies are very welcome to attend the event. The award ceremony will take place this year as part of the Aachen-Dresden-Denkendorf International Textile Conference:                                                                                                   

Venue: Hall 4+5, Congress Center Dresden (meeting venue).
Time: 28 November, 18:30 - approx. 19:45 (after the lectures and before the start of the festive evening).                                                                                                                         

ki.vdma.org: Machine Learning in mechanical engineering
The VDMA report illustrates the high relevance of machine learning for mechanical engineering. The VDMA has several units dealing with this topic. Here you can read all the VDMA's activities on machine learning and artificial intelligence. You will find information on new publications and guidelines, events and other useful tips for your company.                     

The textile machinery industry is dealing with this topic: On the information day "Research on Machine Learning and Artificial Intelligence" on 12 September, 120 participants included employees from four textile machinery manufacturers.

Learning intelligent control strategies by "trying them out": Reinforcement Learning Reinforcement learning is a method of machine learning that is particularly suitable for processes that are too complex to be mapped by simulation. By "rewarding" and "punishing" control strategies can be learned for very complex processes as well as for complex environmental conditions without having to model them explicitly.                                            

The guideline "Self-learning production processes - introduction strategy for reinforcement learning" supports companies with guiding questions in identifying a suitable pilot project. Toolboxes up to algorithmic approaches for self-learning production processes show the implementation, application examples clarify the procedure.

Digital market foreclosure
A new study by the IMPULS Foundation of the VDMA shows for the first time the questionable effects of protectionism on digitisation in mechanical and plant engineering. High costs for local data storage, local test regulations and the concern about the disclosure of trade secrets make market access particularly difficult for small and medium-sized enterprises. Companies are challenged to deal with an asymmetrical regulatory environment. They also have to deal with the requirements and specifications for cyber-safe operation in the development of digitally networked products. The VDMA Competence Center Industrial Security in Frankfurt is your contact for information security, security in production and security in mechanical engineering products. It is also the first point of contact for members, authorities and politicians. The complete study with detailed results is available at www.impuls-stiftung.de

Innovation performance and corporate success 
The current CMI study investigates the influence of innovation and quality performance on corporate success and how they are influenced by the areas of strategy, organization, management and culture. The fact is that innovation performance in relation to products, services and business models is more important for corporate success than quality. You can download the study here (in German only). The central results of the study are also available on the VDMA Fitness Checks platform for a self-assessment. Here you can use the Fit-for-I&Q tool to see for yourself how your company is doing on the subject of "innovation and quality" and which specific recommendations for action can help you in a targeted manner.