On the Reform Prospect and Future of Building Decoration Industry

“In-depth reform, innovation and development” is the voice of most of the representatives at the 11th China Construction Decoration Top 100 Summit that ended last Friday.

The organization of this summit coincided with the Third Plenary Session of the 18th CPC Central Committee in Beijing. Therefore, the analysis of the reform prospects and future of the building decoration industry has become the main topic of the delegates. Yang Zhen, president of Jinyi Building Decoration Co., Ltd., believes that the blueprint for a new economic reform described by the Third Plenary Session has brought opportunities to the decoration industry, whether it is urbanization, land reform or financial reform. How the decoration industry finds its own development coordinates and how it can keep up with the pace of reform will be an important task in the future.

It is of profound significance that the “2012 China Construction Decoration Top 100 Enterprise Development Report” passed by the Summit has given a new definition to the Chinese architectural decoration industry: “The architectural decoration industry is based on the design and construction of space and environment for buildings and other structures. The modern service industry, which is the core business, is a re-creation of the space and environment for human activities such as residence, work, entertainment, and travel.”

According to statistics, in 2012, even in the backdrop of the slowdown in China's economic growth and the continuous regulation of real estate, only the top 100 building and decoration companies had an average annual main business income of 1.588 billion yuan, an increase of 12.38% over 2011. . In the next 35 years, under the stimulation of double growth in market stocks and increments, the annual demand for the building decoration industry market in China may reach 3.6 trillion yuan in the next 35 years. By the end of 2015, the number of building decoration companies will be reduced to 120,000, and the degree of concentration will be higher and higher.

Chen Zhiwei, deputy general manager of Sino-Ocean Decoration Engineering Co., Ltd., believes that the development of the architectural decoration industry will gradually bid farewell to the tradition and connect with big data. He analyzed that, in response to increasingly stringent customer requirements, whether companies can effectively manage and improve work efficiency, the key to the scientific application of big data. In particular, with the acceleration of regional expansion, companies need to integrate big data analysis in terms of finance, manpower, material supply, project management, and customer relationships. Therefore, establishing an ERP system is imperative.

"But all of this has to be accomplished by deepening reforms and technological innovations. This is the biggest gain I have learned from the spirit of the Third Plenary Session." Chen Zhiwei said.