Amjin’s sin, Jianghuai’s tears

On April 2, according to the Anhui Provincial Commission for Discipline Inspection, the former party secretary and chairman of Anhui Jianghuai Automobile Group Holdings Co., Ltd. An Jin was suspected of serious violations of discipline and law, and is currently undergoing disciplinary review and supervision investigation by the Anhui Provincial Commission for Discipline Inspection., No matter what the final result is, compared with Chery in the same province and the banner of Anhui army, Jianghuai can no longer carry it. All this was expected in the “Left Yan’an to the Left, Amgen to the Right” published by the “Automobile Commune” in 2017., “Jianghuai is disappointing.” Last year, at a media event in Chery, an employee who had worked in Chery for many years inadvertently talked about Jianghuai, “I think when Lao Zuo was there, Jianghuai was called a scenery, now ……” He shook his head and didn’t go on, but everyone knows how bleak the present and future of Jianghuai is., Chery and Jianghuai are both two major state-owned enterprises in Anhui Province. One made his fortune from a thatched hut, and the other started from a small factory with undulating and winding rice ridges. Both have a history of endless roads and success. But now, Chery still has the capital to compete in the era of new energy, and the only way out for Jianghuai seems to be “contract manufacturing”. Not many people remember the declaration of “relying on others is better than relying on yourself” in Jianghuai in Zuo Yan’an era., Sales in place, profits long-term negative, into the “Amgen era”, is the turning point of Jianghuai. This turning point is mainly reflected in the sales volume data and financial data., In 2012, Amgen took over from Zuo Yan ‘an at a high level. In that year, the annual sales volume of Jianghuai cars was 449000. If the overall trend of sales growth during Zuo Yan ‘an period can be continued, the day when Jianghuai breaks through the annual sales level of 500000 cars will not be far away., Unfortunately, if this does not hold. During Amgen’s nine years in office, JAC’s sales curve quickly flattened after a brief peak., Riding on the market of China’s car market, the annual sales volume of Jianghuai once reached 643000 in 2016. Since then, China’s car market has come out of the bonus period, and consumers have made high-quality demands for car products. Jianghuai’s passenger car sales have dropped, and 643000 cars have become the peak that Jianghuai cannot return to so far., In contrast, the “left Yan’an era”, Jianghuai new car sales continue to pierce the ceiling., From the sales volume of 954 vehicles when Zuo Yan ‘an was just appointed factory director in 1990 to 1992 and 1993, the sales volume of special chassis for Jianghuai buses exceeded 5000 and 10000 vehicles respectively. Zuo Yan ‘an, relying on the strategy of “concentrating superior resources to focus on the development of special chassis for buses and developing complete vehicles in a timely manner”, led Jianghuai to the dilemma of no salary and to the halo of ranking first in the country in sales volume of bus chassis. In 2011, Jianghuai exceeded the annual sales volume of 500000 vehicles, and the sales revenue also increased from 30 million to 36.6 billion yuan., During Zuo Yan’an’s 21 years in office, the average annual compound growth rate of sales volume and sales revenue of Jianghuai automobile was as high as 34.5 and 40.3 respectively. From a local state-owned enterprise on the verge of bankruptcy to a listed company with tens of billions of assets, Jianghuai’s family history was once called “Jianghuai phenomenon” by the industry “., The horizontal contrast with Chery can also reflect the stagnation of Jianghuai after entering the “Amjin era. In 2015, Jianghuai and Chery sold 500000 vehicles a year at the same time. The difference is that after the two, Jianghuai is still hovering around the edge of 500000 vehicles, while Chery has sold 1 million vehicles a year since 2022., What is even more ironic is that after the “Amjin era”, Jianghuai’s sales have stagnated, but the overall profit has fallen precipitously., Since 2016, Jianghuai’s non-net profit has never turned positive. From Amjin’s rise to power in 2012 to its abdication in 2012, Jianghuai’s net profit after deduction of fees totaled -360200 yuan. Moreover, Jianghuai’s non-net profit in 2021 fell by nearly 600 percent compared with 2012., From the perspective of net profit, after removing government subsidies, Jianghuai’s net profit was negative for two consecutive years from 2015 to 2016. According to the rule that the stock market will be delisted after three consecutive years of losses, if no country makes a move, Jianghuai is likely to have already withdrawn from the stock market., Leaving aside the financial data, the decline in Jianghuai’s performance is the most intuitive manifestation. “Automobile Commune” once met an old worker who worked in the chassis workshop of Jianghuai near Jiangqi Village, the earliest residential area of Jianghuai Automobile. On his way home from school to pick up his grandson, he hurriedly said to “Automobile Commune”, “It’s hard to say anything else, but obviously, the income is much less than before.”, Don’t care about people, don’t care about technology. Behind the two transcripts of the two chairmen of Zuo Yan’an, An Jin and Jianghuai are their different business operations. As industry insiders commented, Zuo Yan’an pays attention to people’s hearts and heaven, and Amjin pays more attention to reputation and effect. “Zuo Yan’an era”, Jianghuai’s various systems fully reflect the leaders’ attention to people., “The winner, too.” It is said that this is a word that Zuo Yan’an often talks about. It is precisely because of the realization that people are the most precious wealth of an enterprise, so Zuo Yan’an emphasizes the cohesion of people within the enterprise and the self-evolution of employees. One of the important strategic measures of Zuo Yan’an’s tenure is to build the team into a “learning organization”. For this reason, he launched the “40+4 project” to promote the establishment of JAC University. Finally, the “corporate university” has become a catalyst for the competitiveness of Jianghuai market., However, when Jianghuai entered the “Amjin era”, the corporate culture of learning was gradually weakened. Amjin did not seem to care whether the employees maintained self-iteration, or in other words, he did not care about people., Therefore, we can see that since Amjin took office, the old officials who made contributions to Jianghuai in the “Zuo Yan ‘an era”, Wang Chaoyun, Lin Xiaohu and Zhao Houzhu, left one after another. When evaluating Amjin, the most frequently used word by Jianghuai employees is “going its own way”., Previously, some media interviewed Amjin: “For airborne troops and local talents, which aspects should we focus more on?” Amjin retorted: “… What is the purpose of seeking talents? It is to solve problems. Then what problems do you think I haven’t thought of or haven’t solved… You emphasize talents, but I emphasize the system…” Compared with talents, Amjin is obviously more concerned about its own voice and personal prestige in the enterprise., The people he doesn’t care about include not only the employees of Jianghuai, but also the users of Jianghuai. Jianghuai in the “Zuo Yan ‘an era” will take the opportunity of a screw’s inadequate service to publish a “letter to users”. However, Jianghuai in the “Amjin era” has repeatedly fallen into fraud scandals and even been stripped of his underpants at the “3.15” party., Amjin doesn’t care about people, doesn’t care about technology., “To protect R & D is to protect the future” is Jianghuai Automobile R & D Center.The college students are familiar with a slogan, but unfortunately this is only a slogan of Amjin. Just like the “Amjin era”, the generous R & D investment in Jianghuai’s financial report is just an official article that hides people’s eyes., It is understood that “Jianghuai’s so-called research and development expenses include a lot of things. Apart from commercial vehicles and passenger cars, which are real research and development investments, other miscellaneous funds such as public welfare projects, buildings and bases built by Jianghuai are included. As a large state-owned enterprise, Jianghuai often needs to help Anhui Province in poverty alleviation, and the expenses are also recorded in the research and development account.”, Another Jianghuai employee told the “automobile commune”: “You don’t know the waste in the development process now…” It means that the leadership’s opinion is about the development process, and even some R & D executives left Jianghuai because of “having a bad time with Ann.”, The Jianghuai that switched to the “Amgen era” is no longer the Jianghuai that bought Isuzu chassis drawings for one kilogram in 50 yuan, nor the Jianghuai that bought out modern H-1 technology (the prototype of the first generation of Ruifeng) for more than 100 million US dollars. Of course, it is no longer the Jianghuai that will introduce 6000 tons of frame presses to produce the new “Golfa” when the market share of heavy trucks is still unknown., It is estimated that Zuo Yan’an would not have thought that his worry that “if technology is controlled by foreign capital, it will eventually lose the glory of the national brand” will one day become a reality in Amgen. Jianghuai in the “Amjin era” lacks independent research and development capabilities. In order to survive, it can only hold the thighs of friends and merchants., “embrace the left and the right”. In 2016, Jianghuai and Weilai Automobile signed a strategic cooperation framework agreement. The two sides expect the overall cooperation scale to be about 10 billion to jointly promote the cooperation of new energy vehicles and intelligent connected automobile industry chain. A year later, by the government, JAC and Volkswagen set up a new energy joint venture., Although subjectively, this may only be a project for him to be re-elected at the age of 60, but objectively, these two projects have indeed won more time windows for Jianghuai to survive., According to media statistics, Jianghuai earned 3.038 billion from Weilai from 2018 to 2022 by “OEM” for Weilai. In 2023, Jianghuai successfully cashed in 4.5 billion by selling two factories to Weilai. For Jianghuai, whose profitability in the vehicle business is worrying, although it is not decent to be a “Party B”, what you get is real money after all., Similarly, in order to survive, Jianghuai does not mind turning itself into a joint venture. In 2020, Volkswagen will increase its capital to Jianghuai Volkswagen, and Volkswagen’s equity will reach 75%. Jianghuai Volkswagen will naturally become Volkswagen Anhui, and Jianghuai will be completely marginalized., At the same time, Jianghuai Holdings, the parent company of Jianghuai, is no longer an independent holding, but Volkswagen accounts for 50% of the shares. Since then, Jianghuai has become a thorough Sino-foreign joint venture. The paradox of history is that in the “Zuo Yan ‘an era”, Jianghuai paid too much attention to brand autonomy, which led to the failure of the joint venture with South Korea Hyundai, while Jianghuai in the “Amgen era” has long lost the confidence to stand upright in front of foreign capital., Now, with the help of new leaders, Jianghuai seems to be looking for all the possibilities for breakthroughs in the new energy era. However, I don’t know when the riddled holes left by Amgen in Jianghuai will be healed., return to the first electric network home>