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Through constant exploration and innovation, Huayou has carried out independent innovation in the R & D system, having established the "one-team and two-mechanism" innovation system. The core team is an innovative team centered on the technological R&D center, assuming the task of developing future new technologies and new products. The internal open mechanism is an innovative mechanism based on the technical force of the manufacturing and project developments to carry out technological improvements, cost control, and quality improvement. The external open mechanism is an innovative mechanism based on institutions of higher education, and R&D institutions to carry out the introduction of R&D results, technological breakthroughs, and technological consultancy.

A sound and complete R&D management system has been established around a system, including "product development control procedures", "R&D project management approach", "Implementing rules for project acceptance", "files management approach", and other systems, to standardize the management of the development process; the "technology results management approach", "patent management approach" and "external paper publication management approach" stipulate specific provisions on the management of R & D results; the "incentives on technological innovation and technological progresses", "the technical titles appointment management approach", "employee performance appraisal management approach" and other R & D incentives serve to ensure the enthusiasm in research and development; the “confidentiality regulations", "external exchange management approach", and "laboratory management system" serve as the supporting systems to better promote and protect the healthy development of technological innovation activities.

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