The year 2005 was very critical for Nanshan Group.
Although there is no need to go to other places to set up factories now, various constructions in Nanshan Industrial Park have not stopped for a day.
In fact, not only the provinces outside want to poach employees, but also many districts within Yangcheng want to invite Nanshan Group to set up factories.
"Mr. Cao, the approval of Xingchen Automobile's new factory has basically been completed in the past few days."
"When the district allocated land to us, it had already completed three connections and one leveling."
"Next we can prepare to arrange the construction of the factory building."
"However, specific factory planning, especially the layout of production capacity, requires the company to determine a general direction."
"Previously, we prepared based on the standard of annual output of 100,000. If we need to reserve space for expansion, we need to determine it in the early design."
"If we plan to build a factory elsewhere during the subsequent expansion of production, then the remaining land next to our vehicle factory can be given to relevant parts companies to provide supporting facilities nearby."
Luo Hongxing is the vice president in charge of production.
The construction of Xingchen Automobile's new factory building was naturally his responsibility.
However, although Cao Yang previously said that the new factory should be built with a production capacity of 100,000 years, some specific arrangements were not discussed.
Through this regular meeting of ministers, he naturally brought up this topic.
After all, such a big project has something to do with various departments.
If you don't let all departments reflect their opinions, you might have a trap waiting for you later.
"The production capacity of 100,000 is the production capacity under normal working hours and double-shift production."
“When building a factory, we must first ensure that the production capacity of the bottleneck process meets the requirements.”
“Don’t let the bottleneck process fail to meet the requirements one day when we need to switch to third shift production.”
"Although the production capacity of 100,000 units is enough for Xingchen Motors in the short term, since we want to build complete vehicles, we must at least work towards an annual output of 1 million units."
"If it cannot achieve an annual output of 1 million, its presence in the global automotive industry will not be high."
"Of course, I'm not saying that we need to prepare a production capacity of 1 million now, but the planned production line must reserve space for doubling the production capacity by then."
"That is, if there is demand in the future, we can relatively simply use the current factory buildings and land to expand production capacity by adding equipment."
"The factory here in Nanshan Industrial Park will have a production capacity of 200,000 yuan after expansion in the future. Through three shifts and weekend overtime, it can achieve a maximum production of more than 300,000 yuan, which is enough."
"If we need to increase production in the future, it will be a matter of rebuilding the factory."
Cao Yang gave a clear instruction without any hesitation.
Although according to the current planned quantity of Ziweixing, so much production capacity will not be needed in a few years.
But Star 3 and Star 2 will be launched soon.
No one knows better than Cao Yang how crazy the large SUV market will be in the future.
Chinese people like big cars, which is very similar to the United States.
As long as you have the opportunity to buy a big car, the bigger the better.
"Mr. Cao, the mold opening instructions for Ziweixing have been issued and will be completed within the next week."
"The work at Xingchen Automobile Research Institute is basically completed."
"Can we consider officially starting the research and development of Xingchen 2 or Xingchen 3 models?"
Now that the future production capacity layout has been discussed, it is natural that Yaoyongxiang will propose the research and development of new models.
Without the research and development needs for new models, the research institute would be in an embarrassing situation.
And it is true that a purple MSI cannot support such a large factory production capacity.
Therefore, it is necessary for new model projects that have already begun some early research to be officially put on the agenda.
"Mr. Rao's proposal is very timely."
"The launch meeting for the new models of Xingchen 2 and Xingchen 3 can now be arranged."
"Based on the current development of the company, I hope that Xingchen 2 can be launched in the first half of 2007 and Xingchen 3 can be launched in the second half of 2007."
"If we can do it in advance, that would be the best."
For Xingchen Motors, the most difficult engine and gearbox development issues have almost been solved.
Although the W12 engine has not officially completed research and development, there will be no problem if the prototype will be completed within this year and will enter formal mass production in the first half of next year.
Then the most important development of Xingchen 2 and Xingchen 3 is the body and chassis, interior, electrical appliances and other parts.
This is not that difficult for Nanshan Group.
Especially with Cao Yang here, he can quickly find a solution to any problem he encounters.
"Mr. Cao, if we launch two new model projects at the same time, the design and development funds will be relatively large."
"Now Xingchen Automobile does not have any income and relies on group funding for development."
"Is it possible to consider developing new models one by one?"
Dong Shengnan naturally hopes that Xingchen Automobile can develop and grow.
However, as the Minister of Finance, she has concerns about launching two new models at the same time.
People from other fields may not easily stand up to oppose it.
But she had to step up.
Otherwise, we may have to burn over ten to two billion R&D expenses next year.
Even if we save a little bit, it will cost 7 to 8 billion.
This is very exaggerated.
You know, the purchasing power of money now and money twenty years from now are completely different.
"Boss Dong's worries are not unreasonable. Or should we start the development of a large SUV model first, and when this model is almost developed, we can then start another model?"
Yao Yongxiang's heart was a little conflicted at this time.
The company is about to launch a new model, and he, the head of R&D, is naturally happy.
Otherwise, how can we reflect the importance of R&D if there are no new models to develop, and how can we have the nerve to expand the scale of R&D?
But if he launched two new models at the same time, he felt there was a bit of pressure.
Especially one of them is a sports car.
He had never been exposed to this before.
Even in China, there are no people with development experience in this area.
Whether it is an SUV or an MPV, they are all relatively popular models.
But sports cars are really niche models.
The design requirements of many parts inside are very different from other models.
He was really worried that it would not work out when the time came.
If we can have another year to accumulate experience, the entire development team can run in better.
At the same time, we can also recruit more experienced talents from domestic and foreign countries to join the company, and then we will be much more confident.
"Although we launched two new models at the same time, the production time is at least half a year behind us."
"This has taken into account the problem of insufficient development man hours for the R&D team."
"It also takes into consideration that everyone lacks some relevant development experience for sports cars."
"So there is no big problem in starting these two models at the same time."
Cao Yang has already thought about the pace of new model development.
Naturally, he won't change his mind because of Yao Yongxiang's worries.
Worrying is actually a good thing.
This means there is pressure.
If there is no pressure at all when working in a company, the team's growth rate will definitely be very slow.
"I agree with Mr. Cao's point of view."
"The company is about to start building a new factory. If there are too few models, the capacity utilization rate will be very low."
"Developing more models will be beneficial to the company's rapid development."
Before Wai Yongxiang could say anything, Luo Hongxing stood up and expressed his support.
He is worried that even the 100,000-capacity production plant currently planned to be built will take many years to fill up the production capacity, let alone expansion of production.
At that time, all the pressure will be on him, the vice president of production.
After all, if capacity utilization is low, then various shared costs will be high.
When the cost of new models fails to reach the target, it is estimated that the finance department will chase the production department and purchasing department to reduce costs.
"From a publicity perspective, the company really needs several models."
"And our current three products have completely different market positionings and completely different vehicle types."
"At that time, we can make a good confirmation of the market performance, and then consider the positioning of the fourth model."
Zeng Tingting naturally supports Cao Yang.
The more types of car models there are, the better the sales department can do its job.
Otherwise, some consumers want a certain type of car, and you simply don’t have it.
That would be embarrassing.
Besides, although the sales volume of sports cars may not be very high, it is very helpful to enhance brand power.
Since Xingchen Automobile is taking a high-end route, sports cars are indispensable.
Even to a certain extent, the sports car will represent the appearance of Xingchen Automobile and be the touchstone of various new technologies.
"Actually, our research institute doesn't think either Xingchen 2 or Xingchen 3 is bad."
“I just want to better develop the model to perfection.”
"Of course, if we want to launch two models at the same time, I also support it."
"We just need help from the Human Resources Department to recruit more experienced engineers as soon as possible to join our team."
Yao Yongxiang does not really object to the simultaneous development of two cars.
He just doesn't have the confidence.
Now that everyone seems to support the development of two cars at the same time, he will naturally not come out to oppose it again.
Just taking this opportunity, he will definitely ask for resources from the company.
"Now our company's salary is constantly rising, and it is becoming more attractive to people in the automotive industry."
"In addition, more and more college students have graduated in recent years, and the competitive pressure for employment has become greater than a few years ago."
"So whether it's recruiting fresh college students or recruiting from the public, the difficulty is lower than before."
"If you put forward any talents the institute needs, our Human Resources Department will fully cooperate."
Liu Youmei now also has a rare strength.
The company pays well and has a bright future.
There are more talents in the market and competition has become fiercer.
In this case, the work of their human resources department naturally became easier.
"Each department will go back and review it to see what preparations need to be done."
"The new model project launch meeting will be officially held next week to determine the main development indicators of each model."
The specific matters of new models will certainly be discussed endlessly at the regular ministerial meeting.
So Cao Yang didn't waste any more time and directly set the general direction.
In the following week, various departments took action.
The launch meeting of the new models of Xingchen 2 and Xingchen 3 will be officially held soon.
The sales department and research institute, as the key clarifiers of model market research and model positioning, naturally have to report and confirm with Cao Yang in advance before meeting.
Many times, whether in a company or elsewhere, what is presented in meetings is more about process.
The real reporting work is completed before the meeting.
Otherwise, if you rashly throw some proposals into a very formal meeting, it might cause chaos.
"Mr. Cao, in the current domestic car market, there are basically no large SUVs with a length of more than 5 meters."
"This is basically a full-size SUV that can reach over five meters."
"Currently, except for Ford's Lincoln Navigator and General Motors' Cadillac Escalade, there are very few other car companies involved in this market."
"Just like BMW, there is no such model until now."
"Mercedes-Benz and Porsche are no exception. They don't produce this type of car."
“Can our SUV’s positioning be appropriately adjusted downward?”
"I think the BMW X5 and Mercedes-Benz ML series are very suitable benchmark models."
Cao Tingting immediately felt a lot of pressure.
Although the report prepared by the sales department comprehensively analyzed the situation of various SUV models, the final conclusion was obviously not in the direction Cao Yang said.
"I also think what Minister Zeng said is reasonable. The current market performance of the BMW X5 is very good."
"A 6.0L V12 racing engine is installed. After some adjustments by the designer, it has 700 horsepower and an acceleration time of only 4.7 seconds from 100 kilometers. Another thing that excites some consumers is that it only requires no You can run the entire New North in eight minutes.”
"Now our W12 engine is already under development. According to our current design parameters, it will definitely perform better than the BMW X5."
"The likelihood of success is very high."
Rao Yongxiang and Zeng Tingting had an affair before.
They all feel that SUVs of the X5 level are the best-selling among high-end SUVs on the market.
So I thought that the second model of Xingchen Motors could be designed as this type of SUV.
"The BMW X5 is a brand-new model launched in 1999, and I have quite a deep impression on it."
"If I remember correctly, the length, width and height of the X5 currently on the market are 4666mm, 1872mm, 1750mm respectively, and the wheelbase is 2819mm."
"As a model that has been delayed for five years, its front face shape is similar to that of the BMW 3 Series and BMW 5 Series. It is nothing more than installing the front face of a car on an SUV."
"First of all, I don't approve of this method of operation at all."
"A car is a car, and an SUV is an SUV. We can't fool consumers like this."
"Of course, I also know that in the current automobile industry, the most mainstream product is still a sedan."
"Each car company has relatively few SUV models, and they have not received sufficient attention."
"Consumers don't have a very deep understanding of the concept of SUVs, so models like this don't cause BMW to raise too many questions."
"Even many consumers will still be very happy to buy the X5."
"However, everyone should know that it is not that the BMW X5 is too good, but that the BMW X5 does not have any big competitors now."
"The only decent Mercedes-Benz ML, but its appearance is too old-fashioned."
"That's why everyone thinks the BMW X5 is the most luxurious SUV now."
"Even the Land Rover Range Rover is not far behind it."
"However, if you actually pay more attention, you will find that the SUV craze has already begun."
"Especially in the Chinese market, there are already very clear signs that SUVs will be the fastest-growing market segment in the future."
"Look at Zefeng Honda's CRV, even if it was affected by the Great Wall Motors crash test incident."
"Now, with just a slight discount, sales have surged again."
"Great Wall Motor's H6, Chery's Tiggo, and BYD's S6 models are all selling pretty well."
"And SUV models of the same level are priced at a premium compared to sedans, which is very important."
"So I can tell you clearly that Xingchen Motors' future profit will be in its SUV models."
"We will definitely produce SUV models of the BMW X5 level in the future."
“It wouldn’t be surprising to even produce more than one.”
"but not now."
"Xingchen Automobile is a luxury brand that takes a high-end route. We must establish this sense of luxury. The models we first launch must be as high-end as possible."
Cao Yang seriously discussed his opinions with Zeng Tingting and Yao Yongxiang.
There are really few large SUVs nowadays.
But it doesn’t mean that consumers are not interested.
"Mr. Cao, I completely agree with SUV as the focus of future development."
"But the size of the first model is 5.2 meters long, and the wheelbase is more than 3 meters. Is this a bit exaggerated?"
Zeng Tingting still wants to work hard, after all, no car like this can be found on the market.
Xingchen Automobile is equivalent to exploring a new market.
This makes her very stressed.
"The longer the body length, the greater the chassis strength needs to be."
"The difficulty index of strengthening the chassis strength is relatively high. Even some national giants have not mastered enough technology."
"The vast majority of models on the market designed for markets outside the United States are generally less than 4.8 meters in length."
"SUVs are even shorter."
"Mr. Cao, how about we also design an SUV that is larger than the X5, but not over 5 meters?"
Rao Yongxiang is also making a last-ditch effort.
It's not that the two of them are going to confront Cao Yang, it's just that Cao Yang's request is a bit exaggerated.
The success of Escalade and Navigator is due to the special car-using environment in the United States.
How many units of these two models have been sold outside the United States?
"It's no exaggeration. Since it's a large SUV, if it's less than 5 meters long, how big is it?"
"Although most of our domestic car companies are Japanese and European models, or imitate their cars."
"But in fact, the domestic car-using environment and hobbies are most similar to the American market."
"According to my plan, in the future Xingchen Motors will have more SUV models than all other models combined."
"It's like a car. Now we have Ziweixing. At most, one more model will be enough."
"As for sports cars, after the Xingchen 3, another model will basically be enough."
"As for MPVs, when the market matures in the future, we can build one, but not many."
"The remaining energy will be devoted to SUV models."
"Full-size SUVs, large SUVs, medium-to-large SUVs and medium-sized SUVs can all be considered."
"Even for SUV models of the same size, we can create one model based on the differences between urban SUVs and true off-road SUVs."
No one knows better than Cao Yang how popular SUV models will be in the future.
No one knows better than Cao Yang how easy it is to earn money on SUV models.
So Zeng Tingting and Rao Yongxiang were both very surprised after hearing this.
"Mr. Cao, is it possible that Xingchen Motors is going to go astray?"
"They focus on SUV models, but now it is said that they have fallen into a loss-making situation."
Zeng Tingting was very anxious when she saw that Cao Yang was going to focus on SUV models.
There will definitely be no problem in getting one or two SUVs.
But putting your treasure on an SUV makes people worried.
"How about we first try to design a 5.2-meter large SUV like Mr. Cao?"
“After seeing the market response later, will you consider other options?”
Yao Yongxiang was also a little scared.
He quickly agreed to Cao Yang's previous proposal.
Otherwise, it would be scary if Cao Yang directly adjusts Xingchen 3 and Xingchen 2 to SUV models later, or even more radically launches several SUV models at the same time.
"No problem, the size of the model has been decided, and I will personally participate in the design of the model's appearance."
"As for the engine and gearbox, there's not much to say."
"It will definitely use a W12 engine and an 8AT automatic transmission."
"In terms of chassis design, one thing we must pay attention to is that a four-wheel drive system must be included."
"SUVs of this level must be equipped with all-wheel drive systems as standard."
For such a large-size SUV, Cao Yang naturally has to personally participate in various designs, otherwise it may really be sold on the street.
But with your own participation, you can at least ensure that it goes offline.
"The four-wheel drive system has now become the focus of the development of Nanshan Automobile Parts, and we are working together with the Xingchen Automobile Research Institute."
"But a good four-wheel drive system is still quite difficult."
"Fortunately, our group has sufficient technology accumulation in bearings, gears and control systems, and the four-wheel drive system has the strongest demand for these three types of technologies."
The technology of basic parts is strong enough, and the difficulty of developing some assembly parts can be reduced a lot.
Otherwise, even if you design a very good assembly, the parts produced in the end may not meet the design requirements.
"The sales department and research institute should not be afraid of spending money when determining the equipment of a model."
"How luxurious it comes."
"Wooden-grain armrests, soft-packed center console, branded audio, seat heating and ventilation, everything can be installed."
"Anyway, the wool comes from the sheep. The price of such a large SUV model will definitely not be low."
"Otherwise, there will be no way to leave enough pricing space for large SUVs and medium-sized SUVs."
When Cao Yang said this, Zeng Tingting was happy and worried at the same time.
It’s easy to understand why I’m happy. When a sales person is planning a new car model, he is afraid that this equipment will not be used due to cost issues, and that configuration will be too expensive.
As for worries, they are worried that the price will be too high and they will not be sold.
(End of chapter)
