Dongfeng Automobile Great Adjustment and Promotion

In the first half of this year, Dongfeng Motor announced its “Twelfth Five-Year Plan” and its production and sales targets were directed to a scale of 5 million vehicles. In order to achieve this production and marketing goal, Dongfeng Motor has established two key tasks: to speed up the transformation of development methods and accelerate the pace of independent development.

In terms of production and sales volume, Dongfeng Motor is China's second-largest auto group after SAIC Motor, but it ranks first in economic efficiency.

From 2000 to 2010, the sales volume of Dongfeng Motor soared from more than 200,000 to more than 2.6 million. The continuous enlargement of the scale also requires the “big synergy” of the Group’s various business segments.

Since Dongfeng Motor's organizational restructuring began in July this year, Dongfeng Motors has begun to promote the synergies of the Group's business units and strengthen the Group's control.

Great adjustment In April of this year, Zhu Fushou, who had served as president of Dongfeng Motor Group Co., Ltd., became the general manager of Dongfeng Motor Corporation.

As the “Zhao Zhuang School” of Dongfeng Motor, Zhu Fushou is also the first general manager of Dongfeng Motor to be produced through the “Global Maritime Election”. After Zhu Fushou took office more than two months later on July 4, Dongfeng Motor held a cadre meeting and announced the adjustment of the company's organizational structure and adjustment of the leadership division of labor.

The main content of the organizational restructuring is to sort out, adjust, and supplement the existing organization and functions of the company's headquarters.

Dongfeng Motor’s four major commercial vehicles, light commercial vehicles, self-owned brand passenger vehicles and joint ventures are under the charge of the four vice presidents of Tong Dongcheng, Ouyang Jie, Liu Weidong and Zhou Wenjie.

The core of this restructuring of Dongfeng Group is to change the previous single point management of the group leader, and to exert its overall management and coordination effects on its subsidiaries in accordance with the type of business and the division of divisions.

In addition, as a pilot unit for the reform of the board of directors of state-owned enterprises, Dongfeng Motor has continuously explored its decision-making and working mechanisms.

“Dongfeng’s scale has grown rapidly over the past few years. It is clear that different stages and scales should ensure that companies have different organizational structures to protect. This is a need for rapid growth of the company.” Zhu Fushou pointed out, “Twelve Five In the “stage”, the company’s organizational structure must be able to support the Group’s efforts in strategic management, centralized coordination, unification of Dongfeng’s image, and coordination of new and old businesses.

Dongfeng Motor Chairman Xu Ping said at the conference of the Dongfeng Limited New Mid-term Business Plan in July: “As the leader of Dongfeng Motor Corporation, more and more people feel that our market growth has not kept pace with the changes and business brought by the market. The challenge, which also means that the east wind needs to be reorganized."

After the “Twelfth Five-Year Plan” of Dongfeng Motor was announced, Dachao’s autonomy, large-scale commercial vehicles, and taxi rides frequently appeared. In fact, these arguments are a manifestation of Dongfengdaji's concept of cooperation.

Lei Ping, the manager of the Dongfeng Motor Company, stated that Dongfeng Motors avoids all companies from building a complete system, because one small company does not have such a large capacity investment, and Dongfeng Motor, as a group, through synergy, through information technology, Research focused on public technology, which can greatly reduce costs for individualized demands.

This year, Dongfeng Motor will have sales of more than 3 million vehicles, which has increased tenfold in ten years.

For Dongfeng Motor, the synergy effect was not obvious when the sales volume was over 200,000 units. However, after the sales volume reached 3 million units, the synergies between the various business units will definitely produce greater results.

The ultimate goal of the grand collaboration is autonomy. At the internal meeting of Dongfeng Motor on October 28th, Zhu Fushou stated that the strong Dongfeng large self-owned brand passenger car is the company's most important strategic task. We will vigorously promote the collaboration of self-owned brand passenger vehicles and strive to explore synergies in key platforms such as product platforms, engines, marketing networks, management, and personnel, and promote Dongfeng’s own-brand passenger vehicle business under the Fengshen brand and the Greater China brand. The three joint fronts, including the joint venture's own brand, have accelerated development.

In addition to endogenous development, Dongfeng Motor’s self-determination strategy will also break through the industry restructuring. During the “Twelfth Five-Year Plan” period, Dongfeng Motor’s own-brand passenger cars will have to reach 2 million vehicles, while the sales volume of self-owned brand passenger vehicles just reached 350,000 last year.