Striving for a new journey, making contributions to a new era, great changes | let the red flag float -- Observation on the innovation and development of FAW China

The national automobile brand red flag is a household name. From the annual sales of less than 5000 vehicles to the production and sales of more than 300000 vehicles, from a single model to a diversified model... In recent years, under the background of the transformation and upgrading of the global automobile industry, China FAW Group Co., Ltd. has made great efforts to explore the road of high-quality development through reform to stimulate enterprise vitality and improve operation efficiency. At present, FAW is comprehensively promoting electrification, intelligence and networking, and expanding the upward development space of national automobile brands.

reform to make FAW "reborn"

Yang Yongxiu is a senior technician of FAW R & D institute. In recent years, FAW's accelerated reform has given him more space to display his talents. He mainly undertakes the NC processing of core precision parts such as high-end engine, gearbox and chassis independently developed by Hongqi, has overcome more than 130 technical problems, and saved more than 12 million yuan for the group company. At the age of 35, he has won the national technical expert, the National May Day Labor Medal and other honors.

"There are many young people like me in FAW. The stage is as big as your dream, technology and ability." He said.

In 2017, FAW carried out the "four abilities" reform, that is, "cadres can be promoted or demoted, employees can enter or leave, salaries can be high-energy and low, and institutions can increase or decrease". The group competed for employment, senior managers competed for posts, the average age decreased by 3 years, and the proportion of young cadres increased by 13.3%. At the same time, market-oriented restructuring of institutions to form a more professional, fine and flat structure and operation mode. The group headquarters is directly responsible for the operation of Hongqi brand.

The reform has stimulated the sense of competition, the FAW employees are more motivated, the competition for posts has become a general consensus, and the sense of crisis has also increased.

In September 2020, FAW implemented a more systematic three-year tenure reform for senior managers, setting goals before taking posts, and encouraging challenges to high goals. The matching of senior managers was completed within one week, and the average age of cadres was reduced by 1.4 years. According to the plan, these reform measures will continue to be adhered to during the 14th Five Year Plan period to continuously stimulate the entrepreneurial enthusiasm of employees.

innovation to make FAW "lively"

Since the establishment of Hongqi brand in 1958, it has become one of the representatives of Chinese national automobile high-end brands, but its market-oriented road is not smooth. Since 2018, Hongqi has focused on shaping the core of the brand and created four product series of L, s, h and Q. The sales volume exceeded 300000 in 2021, an increase of more than 60 times in four years.

Behind this, it is inseparable from the corporate culture that pays more and more attention to innovation. After the launch of Hongqi H9, H9 + models have been launched successively. H9 + models are divided into Dunhuang version, Magnolia version and Forbidden City version. These models are combined with Chinese traditional culture and refreshing.

In the first two months of this year, the sales volume of red brand reached 63800 units, a year-on-year increase of 40%.

The sales volume of Hongqi brand depends not only on marketing, but also on technical support. FAW's total R & D investment in 2021 was 21.42 billion yuan, a year-on-year increase of 3.9%, accounting for 3% of its revenue; 63 key core technology breakthroughs were made and 4757 patent applications were completed. Among them, China's first V-type 8-cylinder direct injection supercharged (v8td) engine independently designed by FAW completed trial production last year, reaching the leading level of similar models in the world. The domestic snowmobile jointly developed by FAW and China Aerospace Hi-Tech Holding Group Co.Ltd(000901) Group Co., Ltd. has broken the situation that foreign brands have monopolized China's snowmobile market for a long time.

Xu Liuping, party secretary and chairman of FAW, said that each red flag product must have more than two global launch technologies, otherwise it will not pass the product definition.

open, let FAW "go ahead"

Xu Liuping said that Hongqi aims to become the first independent high-end passenger car brand, and FAW strives to build global brand influence.

At the end of February, FAW and Byd Company Limited(002594) joint venture power battery project officially started, with a total investment of 13.5 billion yuan. After all, it will meet the supporting needs of 1 million electric vehicles and achieve an output value of more than 20 billion yuan Wang Chuanfu, chairman and President of Byd Company Limited(002594) said that Byd Company Limited(002594) will strengthen cooperation with FAW, accelerate the local and nearby transformation and implementation of green technology, and contribute to the expansion and strengthening of national automobile brands.

Win win cooperation. FAW has carried out in-depth cooperation with Huawei and other enterprises and colleges and universities such as Tsinghua University and Jilin University to expand the development space of the enterprise.

The interaction between government and enterprises is also accelerating the "leading edge" of FAW. Jilin Province, Changchun City, FAW and State Grid jointly launched the "green Jilin in Qie spring city" project, striving to put 34000 new energy taxis, online car hailing and official vehicles in three years, realize the circulation of 41000 batteries in the "battery bank", and build and operate 120 replacement power stations.

According to the plan, FAW will sell more than 6 million vehicles by 2025, with an average annual growth of about 8%; The operating revenue exceeded trillion yuan, with an average annual growth of 8% to 9%.

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