Chongqing - "We're going to bring a slew of partners that understand AI and can leverage in a marketplace," said Ernest Nicolas, Chief Supply Chain Officer for HP Inc., during an exclusive interview with Bridging News at the 18th Annual Meeting of the Chongqing Mayor's International Economic Advisory Council (CMIA) on September 27. "Ultimately, this will combine with the aspiration of the Chongqing government to be a smart manufacturing center of expertise,"

HP’s strategic partnership with Chongqing is poised to redefine the landscape of smart manufacturing and artificial intelligence (AI) innovation. With over 40 years of operational history in China and nearly two decades in Chongqing, HP has solidified its role as a key player in the local manufacturing ecosystem.

Ernest Nicolas, Chief Supply Chain Officer for HP Inc. (Photo/HP)

Nicolas noted that HP signed a Memorandum of Understanding (MoU) with Chongqing University last year to establish a hub of excellence in AI. This initiative has now evolved into an innovation center in collaboration with the Chongqing government, highlighting AI's role in local economic growth and technological advancement. The center aims to promote collaborative R&D projects, keeping both HP and Chongqing at the forefront of AI innovation.

Chongqing has become increasingly vital to HP's global supply chain, particularly as a PC manufacturing base. Nicolas explained that "our suppliers are very closely tied to this network of manufacturing locations that we have in Chongqing," creating a robust supply chain ecosystem that drives efficiency and productivity.

This interconnection enables HP to uphold high production standards while serving millions of consumers and commercial clients globally. Recently, the company reported its highest manufacturing output in Chongqing since the pandemic, reinforcing the city’s position as HP's largest PC manufacturing hub.

Nicolas emphasized the need for businesses to adapt as the global landscape shifts. He stated, "Every business leader right now needs to be thinking about the implications of all the elections that are happening globally." 

This awareness of geopolitical and economic factors underscores the necessity for scenario planning. HP is proactively developing resilient supply chains capable of responding to regulatory changes and market demands, ensuring uninterrupted service to its customers.

Sustainability is another cornerstone of HP's strategy, woven into the fabric of its operations. Nicolas reiterated, "Sustainability remains critical and very important for us." 

HP has adopted strategies to significantly reduce single-use plastics in Chongqing, acknowledging their potential global harm. The company regularly evaluates its plans and considers the implications for its products' movement in and out of Chongqing. HP aims to design its products with recyclability, reflecting its commitment to sustainability.

With a clear vision for the future, HP's collaboration with Chongqing exemplifies the integration of technology and sustainable practices in manufacturing. By focusing on AI, resilient supply chains, and environmental stewardship, HP aims to drive transformative change that benefits both the company and the local economy.