FAW-_chongqingservice_0306.docVIP免费

FAWChongqingServiceStationINTERVIEWDATE:5May2025INTERVIEWERNAME:PaulGaoIntervieweeNameMr.ZhangBenquanPositionGeneralManagerCompanyandAddress118DaPingZhengJie,ChongqingTelephone/Fax0-13808390797BackgroundTheFAWChongqingservicestationisoneoffourserviceJieFangtruckservicestationsinChongqing.ItistherepairfactoryunderChongqingYuzhouAutoFactory,whichisnowpartoftheJiaLingGroup(oneofChina’slargestmotorcyclemanufacturers)Itsparentcompanymakesagriculturaltrucks,andisinseriousfinancialdifficultyinrecentyears(itlostRMB10millionlastyear)Therepairfactoryisdividedintotwoparts:onepartofthefactoryisanexclusiveJieFangtruckservicestation,andtheotherpartisanexclusiveNanjingIvecoservicestation.Butthesetwoservicestationsaremanagedseparately(botharecontractmanagedbytheirmanagers)Thereare52peopleworkingattheJieFangservicestation.AccordingtoMr.Zhang,theservicestationprobablyonlyneeds20-30people.BusinessPerformanceTotalrevenuein1999wasRMB2.9million,includingServiceperformedon3,000trucksRMB2millionfromservice,includingRMB300KfromwarrantyserviceRMB900KfrompartssalesItmadeanetprofitofRMB260KafterpayingitsparentRMB250KoftaxItsmajorcostcomponentisemployeesalary,averagesalaryforitsworkersisRMB9500peryear(whichishighbylocalstandard),thehighestpaidtechnicianmadeRMB17,000lastyear.ItisstillowedRMB200KbyFAWforwarrantyserviceprovided.FAWisnormallyveryslowtorepayitsservicestationsforwarrantyserviceprovided,whichhascausedmanyofitsservicestationstorequirecustomercashpaymentsinadvance,andreturnthepaymenttocustomersaftertheyhavebeenpaidbyFAW1PartsMr.ZhangmaintainsapartsinventoryofRMB1.4million,whichincludesover2000SKUsOfitstotalpartssalesin1999andcurrentpartsinventory,40%areJieFanglighttruckpartsOfthetotalinventory,RMB400-500KareenginepartsAlmostallofitspartssalesareretailsalestoendusers,anditsretailmarginaverages20%Mr.ZhangonlygotRMB300KofpartsfromFAW’sChengdupartscenterlastyear(allcamefromwarrantyrepayment),therestareallpurchasedfromFAW’ssuppliersdirectlybecauseFAW’spartcenterpriceisnormallyatleast30%higherthansupplierpriceMr.ZhanggotmostofhisenginepartsdirectlyfromWuxiDieselandDalianDiesel’sChengdupartscenterastheirpriceisnotmuchhigherthanpartsfromotherchannelsProblemswithFAWLoworderfulfilmentratioforpartsfromFAW’sChengduPartscenter.AccordingtoMr.Zhang,FAW’sChengdupartscenterisonlyabletomeetlessthan60%ofhispartsorders,sometimesaslowas10%.Incomparison,Mr.Zhangclaimsthathispartsshophasanavailabilityratioof70%Slowpaymentforwarrantyserviceprovided.Mr.ZhangisstillowedRMB200KbyFAW,anditnormallytakesatleast4-5monthsforFAWtoprocesswarrantyservicepaymentFAWreimbursesservicestationsfortravelexpenseswhentheytravellongdistancetoproviderepairservicetocustomers.However,itonlypaysservicestationsforactualserviceprovisiontime,notthetraveltime,whichcantakeasmuchas5-8hours.Becauseservicetechniciansarepaidbasedonhourlyservicefees(theygetRMB3.75anhourforserviceprovided),theydon’tgetpaidforthetraveltimebyeitherFAWortheservicestation.Asaresult,techniciansdonotwanttotraveloutsideChongqingtoprovideservice,becauseitnormallymeansmakinglessmoneyFutureplans:JiaLingGroupplanstoexpanditsvehicleservicebusinessandhasidentifiedalargeplotoflandwhichwillbeusedtobuild“3in1”dealerships(Thelocationofthecurrentservicestationisnotveryconvenientlyaccessiblebecauseitisaonewaystreet)Mr.Zhangisalsointerestedindeveloping“3in1”capabilities.However,hefeelsfor“3in1”dealershipstobesuccessful,JieFangneedstoincreasethesizeofitsparcintheregionprovidesupporttodealersintheformoffreeinventory(Mr.Zhang’sservicestationdoesnothavethecapitalrequiredtoorderasizeablevehicleinventoryfromFAW)2