Research on the Operation and Management of China's

Environmental Protection Waterproof Material Enterprises based on

Big Data

Qiliang Hu

, Lingfang Cao

and Mei Zhou

School of management, Anhui Business and Technology College, JinNing Road, Hefei, China

School of Business Travel, Hefei Binhu Vocational and Technical College, FangXing Road, Hefei, China

*Corresponding author: 63665222@qq.com

Keywords: Big Data; Environmental Protection; Green; Waterproof Materials; Operations.

Abstract: Today, China pays great attention to environmental protection, and China's environmental protection and

waterproof material companies are no exception. While accelerating their own development, they also pay

attention to environmental protection investment. Relying on big data, researching China's environmental

protection waterproof material companies, and deriving the operation and management methods and

influencing factors of China's environmental protection waterproof material companies, environmental and

competitive conditions, unbalanced production capacity layout, and no incentives for dealer models. In this

way, it puts forward suggestions for structural adjustment, improvement of production capacity layout, and

improvement of the dealer model with the help of big data. In this way, we will promote the healthy operation

of China's environmental protection and waterproof material enterprises, truly achieve green environmental

protection products, and protect the environment.

1 INTRODUCTION

After the epidemic, China's economy has gradually

recovered, and all industries have entered a track of

gradual growth. However, the real estate industry has

been affected by the country's continuous

"tightening" regulation at the macro level in recent

years, and its various economic indicators show that

the entire real estate industry has gradually entered a

state of slowing growth. (1) In the "14th Five-Year

Plan", there is still a certain gap between China's

urbanization rate and developed countries, which is

only less than 60%. China’s national policy will also

focus on promoting the process of urbanization (Peng

2021). The advancement of the process of

urbanization will attract a large number of people

from rural to urban areas, which will inevitably

stimulate people’s demand for housing in the future.

The country officially lifted the three-child restriction

on June 1, 2021, encouraging everyone to have three

children, which also shows that the demand for

https://orcid.org/0000-0002-4621-048X

https://orcid.org/0000-0001-9932-7721

houses in the future market will increase. (2) The

environmental protection and waterproof industry

materials are mainly driven by the demand for

infrastructure and real estate investment. Due to the

gradual slowdown in the growth rate of the real estate

industry, the growth rate of the environmental

protection and waterproof industry will inevitably be

affected, and the speed will slow down. According to

the big data statistics of China Construction

Environmental Protection and Waterproof Industry

Association, the scale of China's environmental

protection and waterproofing industry will be 217.4

billion yuan in 2020, and companies with revenues of

more than 20 million will achieve a total revenue of

108.7 billion yuan. The environmental protection and

waterproofing industry standard has been upgraded

from the previous minimum 5-year warranty period

to 2019 to 20 years for roof environmental protection

and waterproofing, 15 years for bathroom

environmental protection and waterproofing, and 50

years for underground engineering (Nan 2021). Only

https://orcid.org/0000-0001-8157-6746

Hu, Q., Cao, L. and Zhou, M.

Research on the Operation and Management of China’s Environmental Protection Waterproof Material Enterprises based on Big Data.

DOI: 10.5220/0011342700003437

In Proceedings of the 1st International Conference on Public Management and Big Data Analysis (PMBDA 2021), pages 133-137

ISBN: 978-989-758-589-0

133

by continuously improving its own internal operation

and management capabilities can the healthy

operation and development of China's environmental

protection and waterproof material companies be

improved, which is of great significance to the

company's long-term development and

environmental protection.

2 METHODS

2.1 Big Data-based Environmental

Protection Waterproof Material

Business Operation Management

Method

Enterprise operation management includes narrow

and broad sense. The narrow sense of operation

management is mainly in the production management

process. It mainly refers to the sorting of production

process, the arrangement of production materials, the

organization of production activities, etc., to ensure

the quality and service of products and services.

Efficiency benefits (Du 2021). In a broad sense, it

covers all aspects of the business process, mainly

market-oriented organizational structure design,

production management arrangements, marketing

model selection, and product and service

management. This article discusses operation

management issues from the perspective of big data,

so the main characteristics of operation management

in a broad sense are analyzed (Wang 2018). (1) Each

company has different resources, development

history, and leaders' concepts. Therefore, the

company's operation and management capabilities

must be personalized products and cannot be easily

copied or replaced by other competitors. (2) Market

competition is actually the competition of business

operation and management. The higher the business

operation and management ability, the higher the

market’s recognition and satisfaction of the

enterprise, and the higher the market share.

Therefore, the business operation and management

ability is also the ability of the enterprise to make

profits.

2.2 Factors Influencing the Operation

of Environmentally Friendly

Waterproof Materials Companies

based on Big Data

Based on the analysis of big data, in the market

competition in the environmental protection and

waterproofing industry, most of the customers faced

are large real estate developers or state-owned

investment platforms for infrastructure construction

(Fang 2018). Environmental protection waterproof

materials generally account for only 2%-3% of the

project cost in real estate projects or infrastructure

projects. If labor costs are deducted, the proportion of

environmental protection waterproofing costs is even

less than 1.5%. Whether the building leaks or not

directly affects the product quality and corporate

image of the B-end customer, so the B-end customer's

sensitivity to the quality of environmentally friendly

waterproof materials is far greater than the price

sensitivity (Bu 2016).

Although the environmental protection and

waterproofing industry is an industry with low

barriers to entry, because B-end customers are highly

sensitive to quality, the level of technological

development and innovation capabilities of

enterprises in the industry determines whether the

company can meet the needs of different B-end

customers for environmental protection and

waterproof materials. Different requirements. The

higher the level of technological development and

innovation capabilities, the higher the quality

standards of new products, which in turn can form a

competitive advantage. Therefore, the R&D

capability of the company is also one of the key

factors in the business operation and management

capabilities.

3 RESULTS

3.1 The External Environment of

China's Environmental Protection

Waterproof Materials based on Big

Data

Through big data analysis, environmental protection

waterproof material companies have been intensively

working in the environmental protection and

waterproofing industry, and they are national high-

tech enterprises. Its products cover more than 100

varieties of building environmental protection and

waterproofing, home improvement environmental

protection and waterproofing, and have more than

200 core national patents, 2 national key new

products, and 5 FM certified products.

PMBDA 2021 - International Conference on Public Management and Big Data Analysis

134

3.2 Market Competition Status of

China's Environmental Protection

Waterproof Material Companies

based on Big Data Analysis

In 2020, the top ten rankings of the top 500

environmentally friendly waterproof material brands

for the top 500 real estate companies, it can be seen

that East yuhong has always been the highest, and the

trend is increasing. The top three brands are East

yuhong, Keshun, Hongyuan. Zhuobao ranks from the

market in 2015 No. 4, with a market share of 9%. By

2020, the market will rank No. 5, with a market share

of 6%. Its market competitiveness has shown a

downward trend in the past two years, as shown in

Table 1.

Table 1: Proportion of Top 500 Housing Enterprises' Preferred Brands of Environmentally Friendly Waterproofing Materials.

Enterprise 2015 2016 2017 2018 2019 2020

East yuhong 29% 30% 32% 25% 36% 36%

Keshun 14% 15% 20% 19% 20% 21%

Hongyuan 10% 14% 14% 19% 8% 7%

Zhuobao 9% 9% 11% 9% 8% 7%

Desheng 6% 5% 5% 9% 8% 6%

Landun 5% 5% 4% 7% 6% 6%

Yuwang 5% 4% 3% 4% 6% 5%

Yuhong 3% 4% 3% 2% 2% 5%

Daming 3% 3% 2% 2% 2% 2%

Jingyushan 1% 2% 2% 1% 2% 2%

3.3 Unbalanced Layout of China's

Environmental Protection and

Waterproof Material Production

Capacity

Through big data analysis, judging from the average

annual precipitation in various regions of China, the

rigid demand of the environmental protection

waterproof market is mainly concentrated in East

China, South China, and North China. Customers in

areas with more rainfall have higher requirements for

environmental protection and waterproof levels. And

the more developed the customers in the developed

areas, the higher the importance of environmental

protection and waterproofing and the higher the brand

awareness. Customers in the environmental

protection and waterproofing industry will also use

the supplier’s supply capacity and order response

speed, that is, the delivery radius, as the key selection

criteria during the centralized procurement process,

as shown in Table 2.

Table 2: Production capacity layout of China's environmental protection and waterproof material companies.

Enterprise East China South China West China North China

East yuhong

Shanghai, Hangzhou, Xuzhou,

Wuhu, Dezhou

Guangzhou, Huizhou,

Quanzhou

Kunming, Deyan,

Chongqing

Beijing,

Tanshang

Keshun Kunshan, Nantong, Dezhou Chongzuo, Chongqing Beijing

Yuwang Jiujiang, Chuzhou Qingyuan Meishang Xuchang

Hongyuan Changzhou Shaoguang / /

Zhuobao Suzhou Fushang, Huizhou / Tianjing

3.4 No Incentives for China's

Environmental Protection

Waterproof Material Distributor

Model

The sales model of China's environmental protection

waterproof materials is a "channel + direct sales" dual

model. If the distributor and the branch exist in the

same city, sometimes the two will compete for the

project, which not only affects the enthusiasm of the

distributors, but also discourages the enthusiasm of

internal employees. In terms of the sales model, in the

"channel + direct sales" dual model, the channel

model is divided into engineering channels and retail

channels. However, in the process of setting up the

Research on the Operation and Management of China’s Environmental Protection Waterproof Material Enterprises based on Big Data

135

internal organizational structure, the project

management network overlaps with the project

channels in marketing, which is also based on the

project management set up in each area. At present,

the management of dealers is a traditional distribution

model, which transfers the pressure of project

advancement to dealers. The amount of dealers’ funds

determines the size of the project to be undertaken

and has a certain impact on the degree of customer

adhesion, as shown in Figure 1.

Figure 1: Traditional Distribution Model.

4 CONCLUSIONS AND

RECOMMENDATIONS

4.1 Relying on Big Data to Market-

Oriented Organizational Structure

Adjustment

Improve the sales model, combine the direct sales

model in the marketing network with the internal

engineering management of the enterprise, and

integrate the engineering channels in the channels,

thus establishing a multi-dimensional engineering

marketing network. Through regional integration, the

original engineering project network has been

optimized, which is conducive to engineering

channels to give play to their regional advantages on

the basis of the original sales, complementing direct

sales, and at the same time shift the focus of dealers

to retail channels to build a civil building materials

marketing network.

4.2 Relying on Big Data to Improve

Production Capacity Layout with

Distribution Radius

The optimization of the organizational structure of

China's environmental protection and waterproof

material enterprises has avoided the plethora of

institutional personnel, stimulated the enthusiasm of

distributors in various places, and also helped to

release more energy to expand the layout of the

enterprise's production capacity. Considering the

distribution radius of the company, increase

production bases in East China, Central South and

Northwest China. As the current industry standards

are improving, all kinds of small environmental

protection and waterproofing companies are

gradually being eliminated. You can take advantage

of brand and technological innovation to acquire or

merge small and medium-sized environmental

protection and waterproofing companies in the

proposed investment area. This can achieve low

investment, short time, and rapid improvement of

production capacity layout.

4.3 Relying on Big Data to Improve the

Dealer Model with Incentives as the

Guide

Improve the dealer model, shift from the past

cooperation model to the partnership model, that is,

the dealers who have been approved by the company

will jointly invest in the establishment of an industrial

investment company in a certain proportion. After the

establishment of the new company, when the project

Purchase Distribution

Traditional Distribution Model

Environmental protection waterproof material enterprise

Distributor A

Distributor C

Distributor B

Construction 2

Construction fund

Waterproof

material

Construction 3

Construction 1

PMBDA 2021 - International Conference on Public Management and Big Data Analysis

136

needs to be advanced, it will provide more favorable

credit conditions to reduce the financial pressure on

the dealers.

The partnership-style distribution model, with

equity as the link, embodies the concept of revenue

sharing and risk sharing, and provides dealers with a

higher level of cooperation platform, effectively

strengthening the enthusiasm of dealers, and reducing

the direct sales process and channels of the company.

The possibility of conflict in sales, as shown in Figure

Figure 2: Partnership Dealer Model.

ACKNOWLEDGMENTS

This paper was supported by the key natural science

project fund of Anhui Provincial Department of

Education (Grant No: KJ2019A1169), Anhui

Provincial Department of Education University

Excellent Talents Support Program Project (Grant

No: gxyqZD2021057), and 2021 Special Projects of

China Higher Education Association (Grant No:

21ZJD17), National Business Education and

Research "14th Five-Year Plan" Project (Grant No:

SKJYKT-210569).

REFERENCES

Bu, Y.W. (2016). Application analysis of energy-saving and

environmentally friendly green decorative materials in

building decoration construction [J]. Building

Materials and Decoration. 43, 20-21.

Du, X.X. Xin, B.J. Wang, C. (2021). Research progress of

fluorine-free environmentally friendly waterproof and

moisture-permeable textile materials [J]. Modern

Textile Technology. 03, 23-29.

Fang, M. (2018). The importance and feasibility of modern

building environmental protection materials [J].

Science and Technology Innovation. 15, 101-103.

Nan, Y.T. (2021). Application of new energy-saving and

environmentally-friendly materials in highway

engineering [J]. China High-tech. 11, 138-139.

Peng, F. A. (2021). series of reports on the award-winning

projects of the Building Materials Science and

Technology Award-Responsibility and dreams make

better and more environmentally friendly waterproof

coatings [J]. China Building Materials. 09, 104-105.

Wang, M. (2018). Talking about the application of green

building materials in ecological housing [J]. China

Construction. 12, 130-131.

Discount Purchase Distribution

Discount

Purchase

Flexible

dividend

Partner Model Based on Big Data: Sharing Benefits and Risks

Partner industry investment enterprise

Distributor A

Distributor C

Distributor B

Construction 2

Construction

fund

Waterproof

material

Construction 3

Construction 1

Waterproof material enterprise Partner distributor

49% Shareholding 51% Shareholding

Research on the Operation and Management of China’s Environmental Protection Waterproof Material Enterprises based on Big Data

137