Inspur Blog

Supporting the new digital economy with open innovation and JDM

Under the general trend of globalization, actively embracing openness and carrying out market-based independent innovation is enterprise’s way forward. Inspur is pushing for new innovations through vigorous participation in various open source organizations, and through its JDM product development model.

Industry and technology integration raise requirements

Industries are increasingly integrating with modern technologies to revolutionize conventional ways of life. Emerging sub-sectors, the likes of smart manufacturing, online medical care, and smart logistics, require large volumes of data to be processed in real time through edge computing and AI, leading to rapid development in those areas.

Commercial prospects of AI, which was just a few years ago a fringe science, are now clearer and offer greater value. Cloud computing and big data have seen massive growth in the private sector as well. Next-generation technologies find new applications in old industries and continue to expand.

New business models, software applications, and management tools are emerging every day in this era of swift change. Indeed, “fast” is today’s most common demand, from iterations of software and algorithms, to solutions to enterprise challenges. It requires IT infrastructure to keep up with the increasing pace of business, hardware iterations, and supply efficiency.

Promoting industry innovation with JDM

In the world of IT infrastructure, a supplier’s most defining challenge is to ensure the customer’s success – develop and deploy the customer’s desired product to the customer’s data center in the shortest time possible – while keeping within its own manufacturing constraints.

Inspur manages this through its unique JDM model, which stands for Joint Design Manufacturing. A collaborative joint development process with the customer enables deeper innovation and a highly customized product which is then rapidly built and deployed at scale through Inspur’s intelligent manufacturing capabilities. When the customer is involved at every step in the product development process, they can obtain a solution that best meets their needs.

Enterprises today have come to expect sudden demand as the new normal, therefore ensuring the flexibility of supply has become a major priority for customers. Inspur’s nimble supply chain is equipped to handle the explosive growth of customer demand, which at one point surged to 140% of normal forecast supply for three consecutive months.

This level of extreme supply flexibility is hard to achieve under a conventional manufacturing model. But through JDM, Inspur establishes and maintains close supply chain cooperation with suppliers and customers. A modernized supply chain system eliminates the low efficiency of archaic email orders and Excel records in favor of data-centric processes that securely track records from material orders to logistics and streamline Inspur-to-customer communication. The JDM model also shortens Inspur’s average new product development cycle from 1.5 years to 9 months; the fastest development-to-delivery time was 3 months. The time to market for products is reduced by half, lead time reduced from 15 days to 3-7 days, annual production capacity increased by 4 times.

The digital economy driven by next-generation technologies like AI and cloud computing has become an important engine leading global economic growth. It is by extension critical that computing power and capabilities improve and diversify to support the demands of such technologies. As one of the world’s foremost data center infrastructure providers, Inspur remains committed to building a deep industry ecosystem and strengthening product innovation to serve this new digital economy.

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