Challenge: EWA's initial task was to conduct a thorough due diligence of the client’s China business strategy and make detailed recommendations on implementation. Upon assumption of the Project Management role, the lead EWA consultant was faced with coordinating the activities of selected teams from the 3 partners with a variety of work practices, ethics and agendas. Additionally, the majority of the individuals selected by the Chinese partner did not speak English. With this team, the EWA Project Manager set out to establish the JV as a legal entity as well as prepare for all the post formation activities necessary to ensure sustained operations. The major challenge was to develop and imbue in the JV a culture of high quality and state-of-the-art manufacturing capable of producing to western standards as well as establishing the ethics and transparency required in western business practices.

Solution: EWA worked with our client for a total of 8 months to initiate a world-class heavy industrial manufacturing facility in Shanghai. EWA developed a detailed list of tasks necessary to establish the facility within client’s schedule and budget. This was committed to a project management tool with assigned responsibility and resource estimates/tracking. After the initial activity in the U.S, the lead EWA consultant established an office in the JV facility in Shanghai and spent the next 6 months leading the project.

1. The initial task of obtaining the business license was accomplished.
2. The lead EWA consultant was appointed as the 1st General Manager immediately upon issuance of the Business License
• All the post-formation business requirements were completed (various ‘chops’, Customs Certificate, Tax Certificate, Bank accounts, etc)
• The staff was identified, hired, and training initiated
• Facility refurbishment and equipment fit-up initiated
• First Product introduction activities initiated
• JV Senior management team (all Chinese) jointly develops statements of /Mission, Vision and Values governing the conduct of business for the JV.
• Local supply chain identification and qualification initiated in support of the client's overall 'Low Cost Geo' sourcing strategy
3. The EWA GM also established the JV's BOD:
• Individual sub-committees (for Audit, Compensation and Intellectual Property/Sales & Marketing) to oversee the JV business practices
• BOD/subcommittee guidance written
• 1st full BOD meeting conducted in China within 1 month of receipt of Business License
4. The EWA GM worked closely with the client HR executive and a local headhunter in selecting highly qualified senior management for the JV including the CFO, HR manager and permanent General Manager. The EWA GM turned the facility over to the permanent General Manager.
5. EWA lead consultant wrote a detailed After Action Review (AAR) for the client with ‘lessons learned’ to assist the client as they moved forward in expanding their China marketplace presence.

Result: EWA successfully implemented the client’s JV establishing a manufacturing facility capable of producing heavy industrial products meeting western quality standards with a supporting business structure characterized by a strong ethical base and transparency. Our client is now manufacturing their industrial products for the China market. This effort is resulting in a significant market for the client and is providing a growing revenue stream based on their ability to manufacture in China.

THIS CLIENT IS SERVING AS A REFERENCE FOR EWA. PLEASE CONTACT EWA FOR CLIENT CONTACT INFORMATION.