Although there are many ways and means for the transformation and upgrading strategy of China's production, in general, it is necessary to shift from the traditional production form that highly relies on low-cost labor force, depends on a lot of resources and energy consumption, relies on international markets and produces large quantities of low-value-added manufactured products to the one that is driven by common sense inventions and skills innovation, and combines service and business forms innovation to face domestic countries. External market, high value-added output, high skill content and the evolution of production forms of high-quality products.

From the point of view of the strategy and form of transformation and upgrading of the production industry that has been put forward at that time and the trend of international production in the future, the way of promotion of China's production is along the way of evolution from traditional production to service-oriented production, sharing economy, industrial Internet to Internet of Things.

Service-oriented production

Service-oriented production, in short, is based on the production of services and service-oriented production, is a production form of production and service integration and promotion, with the characteristics of resource integration, promoting innovation and value added. It has been nearly ten years since domestic academia discussed the integration of production and service and put forward service-oriented production. After all, it has achieved consistency in China and has become the primary direction of national production strategy. "China Making 2025" clearly points out that service-oriented production should be one of the most important ways for China's production transformation and promotion. In August 2016, the Ministry of Industry and Information Technology, the National Development and Reform Commission and the Chinese Academy of Engineering jointly issued the "Guidelines for Special Action on Service-oriented Production", which provided detailed planning and guidance for the entire production industry in China to carry out service-oriented production.

As far as the development of service-oriented production is concerned, the occurrence of service-oriented production can not be separated from the change of the development trend of international production industry. Since the 1990s, three profound innovations have taken place in the international economy and production industry. First, the whole international economy has gradually evolved into service economy. In the service age, the proportion of service economy in the whole economy of developed countries has reached 70%. Above; secondly, the production industry itself is full of service, and the income of service links in the top 500 international manufacturing enterprises accounts for the majority of the total income; thirdly, the change of consumption category, customers are no longer satisfied with the consistent products produced in large quantities, but are increasingly pursuing individualized and differentiated products, hoping to achieve better service experience together. Therefore, in this trend, the original industrial age's typical mass homogeneous and large-scale production form has been replaced by a new industrial form which is reorganized, highly flexible and then provides individualized differentiated products + full life cycle services. This is the service-oriented production form.

China's manufacturing industry will develop service-oriented production forms, which will have three remarkable characteristics: firstly, through enhancing service among enterprises and bringing about mutual coupling links, reorganizing resources such as planning, development, production and distribution of the whole industrial chain, and then more effectively improving the central competitiveness of enterprises themselves; secondly, through the combination of service and production, the production and consumption end will be fully inspired. Blending promotes, and then stimulates better skills to satisfy consumer needs; third, through continuous strengthening of service links, constantly improving the added value of products and the overall surplus of the manufacturing industry.

Sharing production

The proposition of service-oriented production and its ideas, first of all, in the early Internet era, more through the restructuring of the actual industrial chain links and service enhancement to complete the improvement of the entire production industry. In the age of network, the Internet has the ability of trans-space, low transaction cost and large-scale resource scheduling, which lays the foundation for the renewal of production forms. The sharing production derived from the sharing economy is a new production form displayed by the network economy.

The enlargement of the production scope of the shared economy is the form of the shared production. The center of the enlargement is to complete the sharing and trading of production resources in different regions on the basis of the development of the whole network skills, and then to optimize the use of production resources and reduce duplicate investment and waste in a larger scale. This will greatly help to reduce the cost of the production end and improve the power of the whole production system. The primary system of sharing production includes three aspects: one is the sharing and trading platform of production resources; the other is the transmission of production needs and the delivery of products to the system; the third is the management and quality protection system of sharing production resources, which need to be carefully discussed and dealt with in practice.

Industrial Internet

Shared production is only the first step to extend the scope of production in the network economy, which is to share and reuse the existing production resources. With the further extension of network skills in the field of production, it is ultimately necessary to form the connection and network scheduling of the whole production resources system. That is to say, the development, planning, production, transportation, service and other resources of the entire production system are finally integrated into the platform of the entire industrial Internet. In such industrial internet, the constraints of region and skill are no longer the constraints of production ability, because the resources on the whole industrial Internet can be shared and dispatched.

The development of industrial Internet will also evolve along several different stages: the first step is to complete the Internet of small-scale production resources in the initial stage, which has been completed in many enterprises; the second step is to complete the Internet of large-scale production resources (such as parks and regions) within the regional scale of enterprises; and the third step is to complete the Internet of large-scale production resources (such as parks and regions).