In the fifth year of Changan Automobile's official launch of the third entrepreneurship - innovation and entrepreneurship plan, the car company that ushered in its 160th birthday entered the "most Chang'an" state in history.
"Through 5 years of transformation and breakthrough, Changan Automobile's development has entered the historical 'most Chang'an' state, which has both scale, efficiency and sustainable development." On April 13, 2022, at the 2022 Changan Automobile Global Partner Conference, Zhu Huarong, chairman of Changan Automobile, said so.
Under the indiscriminate attack of the epidemic, Changan Automobile not only roughly leveled the impact of the epidemic, but also released a strong upward potential energy. In the process of racing against the epidemic, adversity not only quickly tested Changan Automobile's strategic determination, but also marked the color of Changan's efforts to transform in the past few years.
Achieve greatness in the fight against the wind and waves, and cast brilliance in the arduous struggle. After 5 years of lying down and tasting courage and more than ten years of technology accumulation, Changan Automobile finally won the "fruit" of the third entrepreneurship - innovation and entrepreneurship plan.
The "most peaceful" in history
In March this year, Chinese brands ushered in a highlight moment.
According to the data of the Association, Changan Automobile surpassed the north and south Volkswagen with 132,000 units, up 20% year-on-year, and won the monthly wholesale sales championship, with a market share of 7.3%.
In the past year, when China's auto industry fell into a supply guarantee dilemma, Changan Automobile withstood the pressure and submitted a brilliant answer sheet. According to the data, in 2021, Changan Automobile's sales exceeded 2.3 million units, an increase of 14.8% year-on-year. Among them, the sales volume of Changan Chinese brands exceeded 1.75 million units, an increase of 16.7% year-on-year. Changan's Chinese brand passenger car sales were 1.2 million units, up 23.1% year-on-year. Overseas exports exceeded 100,000 units, a new high for three consecutive years.
On the one hand, this is due to the company's precise product definition and stunning styling design. Its CS75, CS55, Yidong and UNI series products continue to sell well. In addition, the product structure has been continuously optimized, so that more than 100,000 yuan of products accounted for 70%, breaking through the so-called 150,000 yuan ceiling of Chinese brands.
On the other hand, the customer service "Project No. 1" has continued to improve, and Changan Automobile's customer satisfaction has reached the best level in history. In 2021, Changan Automobile ranked first in the sales satisfaction evaluation of the China Association of Quality; Changan brand preference reached 41.1%, ranking among the best among Chinese automobile brands; and the product quality has reached or even surpassed the level of joint venture brands of the same level.
It can be said that Changan Automobile has achieved the best results in history, whether it is in terms of brand sales scale, product innovation market performance, customer satisfaction and independent operating benefits. Behind this, Changan Automobile is constantly carrying out self-revolution with forward-looking vision and determination to break the boat.
Transformation is the only way forward
"At the moment of the new round of auto industry restructuring, Changan Automobile will face life and death if the transformation is not successful." As a leader with a great sense of distress, Zhu Huarong has said on many occasions, "Only a few car companies can survive in the future." ”
As he said, in the past year, there are 85 brands in the traditional fuel vehicle market, 34 brands with monthly sales of less than 1,000 units, and 9 brands have disappeared. It is expected that in the next 3-5 years, 80% of brands will face shutdown and turnaround.
Accelerate the transformation to an intelligent low-carbon travel technology company and become the only way out in front of the 160-year-old Changan Automobile.
Changan Automobile officially named the Changan New Energy Pure Electric Brand "Changan Deep Blue" at the Global Partnership Conference. Compared with Avita, which faces the mid-to-high-end market and undertakes the mission of brand upwards, the Deep Blue brand is mainly oriented to the "mainstream passenger car market".
The C385EV and C673EV under the Deep Blue brand will be built on the platform architecture EPA platform for the mainstream electric vehicle market, and also based on the platform is the upcoming Changan LUMIN micro-electric vehicle brand.
In order to strengthen the market offensive, Changan Automobile's global products will be accelerated. Avita currently plans to have 4 vehicle products, covering the main segments of the mid-to-high-end market.
In the face of the mainstream passenger car market, Changan Automobile plans to launch 21 new products in the future, including 5 deep blue brands, and will launch C385EV, C673EV, UNI-KPHEV, UNI-V PHEV, Auchan Z6-PHEV A total of 5 new products in 2022, and the first mass-produced hydrogen fuel cell car in China will also be unveiled. In the scooter market, LUMIN will launch 4 new products in the future to meet the needs of national boutique transportation.
In the future, Changan Automobile will further optimize the brand strategy and positioning of Changan UNI, Changan Passenger Vehicle, Auchan and Kaicheng, and make a comprehensive transformation to electrification and electrification.
From the current brand and model planning, we can see the general layout of Changan Automobile in the field of new energy - Avita mainly focuses on the middle and high-end, deep blue for the mainstream market, LUMIN positioning to transport mini cars, while UNI and Auchan are more inclined to the hybrid market.
It is worth noting that by 2025, Changan Automobile is expected to invest more than 80 billion yuan in key areas such as new energy, intelligence, scientific and technological innovation, and digital transformation, and accelerate the construction of core capabilities in the field of transformation. It can be seen that under the general trend of new energy and intelligent vehicles, Changan Automobile will also promote the Shangri-La plan and the Beidou Tianshu plan at full speed, and continue to escort the realization of the goal of enterprise transformation.
The sea of stars, go to the future together
There are two sides to everything, and the other side of the crisis is also an opportunity.
The outbreak of the epidemic has tormented China's automotive industry from supply assurance. However, at the same time, it also allows enterprises to pay more attention to supply chain risk prevention and sustainable development of enterprise operations, and begins to prepare for the establishment of relevant risk prevention monitoring mechanisms, which will undoubtedly in turn promote the further improvement of enterprise competitiveness.
Changan Automobile has set a good example for the industry.
In the face of a more complex situation and perhaps more severe market challenges, in addition to continuing to go all out to compete for resources and do everything possible to meet customer needs, Changan Automobile has further improved the cost competitiveness of the supply chain.
On the one hand, Changan Automobile will optimize and reduce the status of parts through platform modularization, expand the output value scale of single parts, and improve the resource utilization efficiency of supplier partners. On the other hand, we hope that supplier partners will increase their efforts to reduce costs and make every effort to promote the cost reduction of VAVE technology. "Our common cost reduction target is 5 percent, which must be met to the letter." Wang Jun, president of Changan Automobile, said.
In addition, Changan Automobile will transform the traditional commercial partnership based on "buying and selling", and create a strategic supplier partnership system with five characteristics of "transparency, synergy, balance, sustainability and separation" in accordance with the principles of joint development of technology, cost sharing, sharing of property rights results and sharing of later benefits.
Around the demand side, in addition to completely reconstructing the service system, Changan Automobile is also promoting the transformation of the traditional batch sales model to a new model of co-creation and win-win results. More importantly, in order to accelerate the construction of a strategic dealer system, Changan Automobile will also lead all partners to jointly transform into new marketing based on new energy vehicles.
In order to innovate the institutional mechanism, stimulate the internal vitality, and promote the common development of employees and enterprises, Changan Automobile will also implement organizational optimization and reconstruction, promote the organizational reform of "small headquarters + business group + sharing platform + incubation and innovation", establish a "smile curve" management logic, and form a matrix and flat management model.
At the level of incentive mechanism, Changan Automobile has also implemented the equity incentive of core employees, which closely bundles the interests of employees and the development of the company, so as to realize the same breath and common destiny of employees and the company.
One person can go fast, but a group of people can go further. The 160-year-old Changan Automobile is leading a group of people to the sea of stars. A stronger Chang'an may be in the near future.