On January 12th, 2023, with the theme of "Welcome the change, Create new strategy", Fucheng Group's 2022 year-end management work conference was successfully held. The meeting was attended by a total of 64 participants, of whom 28 were from the headquarters and 36 were from the subsidiaries.
The meeting started with the annual summary report. Each department summarised its performance over the year, reported on matters submitted for consideration, reviewed the shortcomings of the department, and at the same time clarified the policy objectives and key tasks for 2023, as well as elaborated and shared the medium and long-term plans of the department.
Next, Mr. Tang Mingjie, Deputy General Manager of the Group, gave a summary of the Group's operational work. In 2022, the Group's operation system will focus on the core work of "Lean Operation Management System (FLM 2.0) Construction", and will continue to consolidate the basic management of the operation system, build a lean operation system and enhance core competitiveness. The report emphasized the importance of production safety and shared the "Hine's Law" and "DuPont's Ten Safety Principles". 2023 will see the Operations Centre increase its efforts to promote lean improvement and continue to foster a lean improvement culture.
Mr. Sun Jiahong, Executive Deputy General Manager of the Group, then made a report on "2022 Annual Summary and 2023 Annual Work Planning", which pointed out that there are great deficiencies in our current time management, communication and knowledge management, and also explained the detailed knowledge system from the VUCA era, business strategy execution model BEM, accounting information standardisation and talent quality model; the report concluded with At the end of the report, it was pointed out that the management focus for the year 2023 would be on functional construction, product responsibility and cost control.
The report was followed by a review of each department's report and work over the year by Ms. Huang Yaojun, Deputy Chairman of the Group, who affirmed the work of each department in the first half of the year, pointed out the shortcomings in their work and also analysed the market trend.
The three-year epidemic brought a lot of inconvenience to our work and life, especially after the national epidemic control policy was liberalised at the end of 2022, and the short-lived outbreak made us feel the impact of the epidemic, including the threat to life. The "Golden Nine and Silver Ten" season of previous years was "cold" in 2022. On the one hand, the liberalisation of the epidemic across the country caused a certain impact on both the supply and consumer purchase of car; On the other hand, due to the economic situation, residents' income expectations have been lowered and the confidence of the middle and lower income first-time buyer groups in consumption has been sluggish.
Looking ahead to the new year, under the influence of favourable factors such as the liberalisation of epidemic prevention and control, the gradual recovery of chip supply, as well as policy support and auto exports, the auto market will be generally positive in 2023. However, the macroeconomic recovery will still face greater resistance in 2023 due to factors such as the international political and economic situation, rising commodity prices and an ageing population. Although the relaxation of epidemic control will bring some stimulating effect to the economy, it will take some time for the epidemic to stabilise and recover of consumer confidence. Moreover, policies such as the purchase tax reduction in 2022 have led to some consumption already been released early in 2022, with dealers ending the year with high inventories and pressure to destock in 2023. The CCA forecasts total vehicle sales of 27.6 million units in 2023, up 3% year-on-year; of which 23.8 million passenger cars, up 1.3% year-on-year; 3.8 million commercial vehicles, up 15% year-on-year; and 9 million new energy vehicles, up 35% year-on-year, with new energy penetration further increasing to 32.6%. 2023 will be a challenging year, as the general environment is still under pressure.
Finally, Mr. Fang Yisheng, Chairman of the Group, expressed his gratitude to all the staff for their efforts and dedication over the past year, and shared and exchanged ideas on the company's business development with everyone under the theme of "Gathering our strength for development, forging ahead and grasping implementation".
In 2022, continued to be affected by the market environment such as the shortage of chips, the increase in the price of raw materials for batteries and the outbreak of the new crown epidemic, which led to the reduction of production by many Fucheng supporting OEMS. To everyone's work report, performance display, experience summary and the development of the coming year's work plan to give recognition. It was also hoped that everyone could convey the spirit of the meeting internally and implement the established work plan seriously. At the same time, he also sent greetings and wishes to all staff.
In 2022, the IPO audit of the enterprise was launched, the overall evalsuation of the operation was good, the operation and management of the company continued to develop for the better and steadily moved towards the capital market; the development strategy of the company was further defined and implemented in an orderly manner; the site selection and preliminary infrastructure design of the Hefei plant was completed; the BMW business & overseas business expansion achieved remarkable results, the number of new energy customers increased by 7, new customers and new products are the development and sales growth of the enterprise Technology trends in the automotive industry in 2022: dual carbon strategy - new energy vehicles have a bright future, lightweight design of whole vehicles - demand for composite materials explodes, digital R&D of whole vehicles - application of new intelligent technologies accelerates industry change, consumption downgrading and upgrading exist simultaneously, huge business opportunities in the automotive stock after-market. In terms of customers and products, we have to maintain continuous growth and innovation, focus on quality customers and models, implement differentiated competition, and carry out new product introduction and market layout; this year, the company has established an operation centre, which should organise all factories to learn from each other's successful experience, and also go out and bring in, learn from advanced enterprises by benchmarking, and vigorously promote lean production; safety production and environmental protection work should be talked about in every management meeting. Safety and environmental protection must be discussed at every management meeting, and must be constantly monitored and prevented.
In 2020, the company put forward the "540321" strategy for the first time, through 2 years’ efforts, has made a lot of achievements, our work should be oriented to the target results! We must continue to build the core competitiveness of Fucheng.
Excellence in business, we are on the way ......
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