The national automobile brand Hongqi is a household name. From less than 5,000 vehicles sold annually to more than 300,000 vehicles produced and sold, from single models to diversified models... In recent years, under the background of the transformation and upgrading of the global automobile industry, China FAW Group Co., Ltd. has stimulated enterprise vitality and improved operational efficiency through reform, and strived to explore the road of high-quality development. At present, FAW is comprehensively promoting electrification, intelligence and networking, and expanding the upward development space of national automobile brands.
Citizens experiencing the Faw-Hongqi E-HS9 model. Photo by Xinhua News Agency reporter Zhang Jian
Reform, let FAW "reborn"
Yang Yongxiu is a senior technician at FAW R&D Institute. In recent years, FAW's accelerated reform has given him more space to display his talents, and he mainly undertakes the CNC machining of core precision components such as high-end engines, gearboxes and chassis independently developed by Hongqi, and has overcome more than 130 technical problems and created more than 12 million yuan in value for the group company. At the age of 35, he has won honors such as National Technical Expert and National May Day Labor Medal.
"There are many young people like FAW like me, how big the dream is, how strong the technology is, how big the ability is, how big the stage is." He said.
In 2017, FAW carried out the "four energy" reform, that is, "cadres can go up and down, employees can go in and out, salaries can be high and low, and institutions can increase and decrease", the whole group can compete, senior managers compete for posts, the average age drops by 3 years, and the proportion of young cadres increases by 13.3%. At the same time, the market-oriented reorganization of the organization, the formation of a more professional, fine, flat structure and operation mode, the group headquarters is directly responsible for the operation of the Hongqi brand.
The reform has stimulated a sense of competition, FAW employees have become more motivated, competition has become a general consensus, and the sense of crisis has also increased.
In September 2020, FAW implemented a more systematic reform of the new three-year tenure of senior managers, setting goals before taking up posts, and encouraging challenges to high goals. The senior manager match was completed within one week, and the average age of the 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 and continue to stimulate the enthusiasm of employees for entrepreneurship.
Innovation, let FAW "live the tiger"
Since the establishment of the Hongqi brand in 1958, it has become one of the representatives of China's national automobile high-end brands, but its market-oriented road is not smooth. Since 2018, Hongqi has highlighted the brand core and created four major product series of L, S, H and Q, with sales exceeding 300,000 vehicles in 2021, an increase of more than 60 times in 4 years.
Behind this is inseparable from the corporate culture that pays more and more attention to innovation. After the launch of the Hongqi H9, H9+ models have also been launched, and the H9+ models are divided into Dunhuang version, Magnolia version and Forbidden City version, which are combined with traditional Chinese culture and refreshing.
In the first two months of this year, the sales volume of red brand brands reached 63,800 units, an increase of 40% year-on-year.
FAW and China Aerospace Science and Technology Group Co., Ltd. jointly developed a domestic snowmobile. Photo by Xinhua News Agency reporter Zhang Jian
The sales volume of the Hongqi brand not only relies on marketing, but also on the support of technology. FAW's total R&D investment in 2021 was 21.42 billion yuan, an increase of 3.9% year-on-year, accounting for 3% of revenue; 63 key core technology breakthroughs were made, and 4,757 patent applications were completed. Among them, the 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 Science and Technology Group Co., Ltd. has broken the long-term monopoly of foreign brands in China's snowmobile market.
Xu Liuping, secretary of the party committee and chairman of FAW, said that every Hongqi product must have more than two global first technology, otherwise it will not pass from the time of product definition.
Open, let FAW "walk in the forefront"
Xu Liuping said that Hongqi aims to become the first high-end passenger car brand independently, and FAW strives to build global brand influence.
Faww and BYD joint venture project started construction. Photo by Xinhua News Agency reporter Zhang Jian
At the end of February, the joint venture power battery project between FAW and BYD officially started, with a total investment of 13.5 billion yuan, which will meet the supporting needs of 1 million electric vehicles and achieve an output value of more than 20 billion yuan after full production. Wang Chuanfu, chairman and president of BYD Co., Ltd., said that BYD will strengthen cooperation with FAW to accelerate the local transformation of green technology and contribute to making the national automobile brand bigger and stronger.
Cooperation is a win-win situation. FAW has carried out in-depth cooperation with enterprises such as Huawei, as well as universities such as Tsinghua University and Jilin University, to expand the space for enterprise development.
The interaction between government and enterprises is also accelerating FAW's "walking in the forefront". Jilin Province, Changchun City, FAW and State Grid jointly launched the "Flag E Spring City Green Jilin" project, and strive to use 34,000 new energy taxis, online ride-hailing vehicles and official vehicles in three years to achieve a "battery bank" circulation battery scale of 41,000 pieces, and build and operate 120 new and replacement power stations.
According to the plan, by 2025, FAW will achieve sales of more than 6 million vehicles, an average annual growth rate of about 8%, and operating income of more than one trillion yuan, with an average annual growth rate of 8% to 9%. (End)