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The 2022 Mid year Business Work Conference of Fucheng Group Successfully Ends
Time:2022-07-19

On July 18th, 2022, with the theme of "Building Dreams and Setting Sail", the Fucheng Group's 2022 annual mid-year management work conference was successfully held; based on the current epidemic situation, this conference was still held in the form of video link, with a total of 6 venues. A total of 226 participants attended the meeting, including 180 participants from headquarters and 46 participants from subsidiaries.

 

The meeting started with the half-yearly operation work report. Each department summarised its performance over the past six months, reviewed the deficiencies in the department, and at the same time clarified the work priorities and work targets for the second half of the year, and elaborated and shared the top-level design planning of the department.

 

Next, Mr. Tang Mingjie, Deputy General Manager of the Group, summarised the Group's operation work over the past six months. In the first half of the year, a series of work was carried out in the Group's operation, among which the construction of the Group's Lean Operation System (FLM 2.0) was the core work, focusing on eight modules: TPS, IT, QC, TPM, LOG, WO, HR and EHS, to benchmark, refine and deepen the work and strengthen the Group's operation foundation management capability.

 

Afterwards, Mr. Sun Jiahong, Executive Deputy General Manager of the Group, delivered a keynote speech with the theme of [planning and then moving, "eating from the bowl, looking at the pot and thinking about the field", constantly strengthening our advantages and making more profits in a lasting way], from product trends, product development, integrated positioning, operation management, procurement management, financial management, Smart Factory, Management Model, Intangible Assets, Knowledge Management, Security and other 11 dimensions to explain the detailed knowledge system.

 

Immediately afterwards, Ms. Huang Yaojun, Deputy Chairman of the Group, commented on the reports of each department and the work of the first half of the year, affirming the work of each department in the first half of the year and pointing out the shortcomings in the work, as well as analyzing the market trend.

 

Influenced by multiple factors such as the epidemic, lack of cores, the Russia-Ukraine war and the US interest rate, especially the epidemic control in Shanghai, some of OEMs supply chains were broken and the OEMs were forced to adjust their plans, consumers were less willing to buy cars; domestic car sales suffered a heavy setback from March to June, with domestic car sales in the first half of the year only In terms of market segmentation, new energy vehicles performed well, with sales of 2.6 million units in the first half of the year, an increase of nearly 1.2 times year-on-year, and a market share of 21.6%. Many major manufacturers took layoff measures during the period to cope with the uncertainty in the market. Against this macro background, the Group achieved a sales of $784 million in the first half of the year, achieving 84.3% of the first half target and still achieving a +7.4% growth compared to the last year. The company still maintained solid operations and good financial performance, thanks to the efforts of all departments for their work in the first half of the year.

 

After a sluggish in the first half of the year, the second half of the year was expected to see a blowout, and many brands prepared for this, with OEMs putting the launch of their heavyweight models into the second half of the year, and some OEMs adopting a pre-sale model to make up for the loss of sales in the first half of the year; many subsidy policies were introduced one after another, including "car subsidies", "car subsidies to the countryside" and "half purchase tax", From a comprehensive point of view, the second half of the year will probably see a "blowout consumption".

 

The EV has been upgraded to a national strategy. With the policy support, new models driven by product power and the release of supply flexibility, the CMA predicts that China's auto sales are expected to reach 27 million units in 2022, of which new energy vehicle sales are expected to reach 5.5 million units, an increase of more than 56% year-on-year. The EV, intelligent and networked cars have become the inevitable trend of development. We should plan ahead, continue to solidify the basic management, and do a good job in managing the cost cutting while opening up the source.

 

People's life is a struggle. If you like to give up, there will be more and more excuses, and if you like to struggle, there will be more and more ways; We believe that with the joint efforts of everyone, Fucheng will become better and better!

 

Lastly, Mr. Fang Yisheng, Chairman of the Group, concluded his speech with the theme of "concentrate on the development, forge ahead and grasp the implementation", and exchanged ideas on the company's business development with everyone. First of all, he reviewed the car sales situation and the company's operation in the first half of 2022, and all the work was being carried out in an orderly manner. We should be brave enough to overcome challenges and difficulties. Next, we will put forward requirements and expectations for the second half of the year in terms of production and operation, market development and new product research and development, and strategic planning for development.

 

The year of 2022 is the " 1st year of an era of strategy" of the Fucheng Group. With strategy as the leader, we will examine the situation, think about the changes and plan far ahead, and break the situation. I believe that we will achieve better results in the second half of the year.

Excellence in business, we are on the way ......


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