高风简报:《重塑中国汽车业》中文版报告

尊敬的高风朋友们:
我们很高兴与各位分享一份名为重塑中国汽车业: 制造开发互联网汽车及相关智能汽车技术的报告。这是由高风咨询公司董事总经理及汽车行业责人罗威先生 (Mr. Bill Russo在近期上海花旗集团汽车会议上所发表的内容。
随着汽车工业的发展以及无线网络与移动设备的日益普及,我们可以预见车联网将为汽车工业的产品和商业模式创新提供大量机遇。
中国拥有世界最大的汽车市场,同时亦拥有世界最多的互联网和智能手机用户。中国将成为此类创新快速商业化的孵化器。中国的城市交通面临的挑战,互联移动设备的高普及率,再加上替代性交通工具的大量快速引进以及新的行业进入者带来的车辆所有权的概念,这些最终会缩短智能互联汽车技术以及相关服务商业化的时间。这类发展不仅会极大地改变车辆的特征,而且会给汽车工业的商业模式带来一场革新,以移动服务的用户为重点的商业模式将会出现,颠覆传统的”车辆所有权”模式。
欢迎您对这份报告或者我们公司的任何评论与反馈。这份报告仅是对此话题的一个概括想法。我们非常愿意当面与您全方位分享我们的数据以及观点,如果您对与我们会面感兴趣,请一定联系我们。
高风咨询公司致力于研究企业管理领域前沿之智力资本,不断与您分享最新的商业和管理思想,特别是关于中国以及中国在全球的影响等重要信息。

致以最诚挚的问候,
谢祖墀 博士
首席执行官
edward.tse@gaofengadv.com
罗威
董事总经理
林志强
总监

ck.lim@gaofengadv.com

Presentation on Internet of Vehicles at Citigroup China Auto Conference

Shanghai, China, November 14, 2014

Gao Feng’s Managing Director and Auto Practice leader Bill Russo will join a panel discussion titled Opportunities and Challenges of the China Auto Industry at 11:15am, and after this will deliver a keynote speech titled “Reinventing Mobility in China” at 12:15pm.

Topic:  Reinventing Mobility in China

With the auto industry developments and the increasingly prevalence of the wireless internet and mobile devices,  the Internet of Vehicles will create discontinuous opportunities for product and business model innovation. 
 
The conditions in China – the world’s largest auto market and the market with the largest number of both internet and “smart phone” users – will likely make it the incubator for rapid commercialization of such innovations. China’s urban transportation challenge, the high rate of adoption of connected mobile devices, combined with the rapid and aggressive introduction of alternative mobility and vehicle ownership concepts from new entrants, will ultimately compress the time needed to commercialize smart, connected car technologies and related services. Such developments will dramatically alter not just the feature content of vehicles, but may also usher in a revolution to the business model of the automotive industry – where a model focused on “users of mobility services” could emerge as a real alternative to the traditional model of “car ownership”.
 

Conference Agenda

8:00 – Breakfast / registration

8:30 – 8:45 – Opening Remarks

8:45 – 9:30 – China Economic Outlook: Moderation, Mobility and a New Normal

9:30 – 10:15 – Tri-dimensional view of the Automotive Landscape –  China, Asia, Global

10:30 – 11:15 – The Global M&A Context

11:15 – 12:15 – Panel: Opportunities and Challenges of the China Auto Industry

12:15 – 1:00 – Lunch and Keynote Session: Reinventing Mobility in China

2:00 – 3:00 – Key Developments in the China Debt Markets

 

Venue: Mandarin Oriental

Mandarin I + II LG I

111 Pudong Road (South)

Pudong, Shanghai

200120, China

+86 21 2082 9888

 

Free Seminar: Reinventing Mobility In The China Context

Free Access to the Seminar for a limited time

Reinventing Mobility in the China Context:  Internet Vehicles & Related Smart Car Technologies

 Click here to access the seminar at GlobalBusinessProfessor.com

Bill RussoBill RussoManaging Director, Gao Feng Advisory Company.

His career includes over 30 years of industry experience, 15 years as an automotive executive with Chrysler, and 10 years of experience in China and Asia.  Mr. Russo has worked with numerous multi-national and local Chinese firms in the formulation and implementation of their global market and product strategies.  While the Vice President of Chrysler North East Asia, Mr. Russo successfully negotiated agreements with partners and obtained required approvals from the China government to bring 6 new vehicle programs to the market in a 3-year period, while concurrently establishing an infrastructure for local sourcing and sales distribution.  Mr. Russo is a highly sought after opinion leader on the development of the China automotive industry.

HOW CONNECTED MOBILITY TECHNOLOGY IS DRIVING THE FUTURE OF THE AUTOMOTIVE INDUSTRY – PART 2

This is the second article in this 2-part series

Four key trends of the connected car paradigm

The connected car is changing the way we perceive our driving experience. We have identified four key areas of connected car technology that are shaping the industry future, driving new business models and creating a new technology paradigm.

  1. Navigation and parking

While navigation technology has become a standard feature in premium vehicles, the interactivity with other drivers and users is becoming more common and it is expected to be a standard feature in new vehicle models. Start-ups such as Waze were a key driver for the mass adoption of social platforms by drivers and it could be suggested that they were the pioneers of the connected car revolution for the wider industry. Waze was recently sold to Google for over $1B and is being integrated into Google maps providing intelligent crowdsourced information to millions around the world. Connectivity is also changing the world of parking, with a number of start-ups using smart algorithms to predict parking behaviour in real time as well as providing availability maps for drivers and municipalities. One of the key challenges in both navigation and parking analytics is the monetization of these services and we can expect to see some business model innovation in this area.

  1. Vehicle analytics

In-vehicle analytics is also creating significant opportunities for technology players. Initially this technology was mostly being used for large fleets in commercial vehicles making it possible to manage driver performance and vehicle diagnostics in real time and helping improve fleet safety and reduce maintenance costs significantly.  The positioning of such an offering for the mass consumer market has not been established, but we can expect to see this technology impact the way we maintain and insure our cars as well as features for monitoring our own family driving patterns and behaviors.

  1. Wearables

Another important factor in the connected car paradigm is the use of wearable devices and the information extracted from them. These items can be expected to assist in creating additional connectivity and in the short term will allow for connectivity for drivers in non-connected cars. For example the use of smart glasses can provide access to augmented reality navigation prior to the installation of a HUD or virtualization projector. Using data from wearable and mobile devices will provide a wealth of personalized data and will allow the vehicle to become contextually aware and therefore respond to specific driver needs better.

  1. Driver safety and autonomous driving

In the world of sensors and driver safety we have seen companies using various technologies including laser, cameras, night vision and radars to create smart driver assistance and collision avoidance systems. While initially these systems have been used for parking assistance and collision warnings for premium models, we can expect mass adoption of these systems while gradually moving toward full autonomous driving. This area is likely to be heavily guided by regulation and government policy and we can expect the adoption of full autonomous driving to be gradual and limited to specific areas.

These four key trends are an indication of the wealth of opportunities in the connected mobility space, however, while connectivity provides multiple benefits, it is also a vulnerability to core vehicle systems through its multiple wireless entry points (RDS, GPS, cellular, IR, WiFi, etc.). As vehicles become ‘smarter’, all systems become interconnected via the vehicle CANbus providing direct access to critical vehicle systems. Most recently, there has been a significant amount of work conducted around understanding the future threats in this area from simple auto-theft to more advanced cyber terrorism. A number of automotive specific cyber firms have been setup in order to build up expertise for tackling such challenges and ultimately to provide us with vehicle firewalls and other cyber security mechanism.

Connectivity driving new players into the Auto industry

While vehicle connectivity has been relatively slow to enter the global auto sector, the Chinese auto industry has shown strong commitment and vision in this area. In fact, China has already made fundamental moves to ensure that it will be a global leader in the auto mobility paradigm.

The unique context of China’s urban transportation challenge, the high rate of adoption of mobile device connectivity, combined with the rapid and aggressive introduction of alternative mobility and ownership concepts will compress the time needed to commercialize smart, connected car technology and related services.

However, while China holds a tremendous ability to scale the manufacturing of its auto industry, its corporate structures lack the flexibility required for the development of new ‘out of the box’ technology and therefore it requires an external source of innovation to support this area of growth.

Prof Steven Spiegel of UCLA presented a model of ‘Importing Innovation’ from small innovative nations to large industrial superpowers. He presents the notion of economic complementarity between the US and small countries such as Israel, Singapore or Finland as drivers of ideas and innovation.

By way of example, Israel, dubbed the start-up nation, is known for its disproportional number of successful start-ups, doctors, scientists, engineers, registered patents and NASDAQ listed companies and could offer a unique development platform for major industrial countries such as the US or China. Israel’s experience in developing world class military technology combined with its leadership in mobile technology makes it a unique potential partner for the Chinese Auto industry in its quest for seamlessly integrating connectivity into cars.

Such collaborations could act as a powerful springboard for the Chinese industry in its path to establish global leadership in the auto industry.

————————————————————————————-

End of Part 2 (of 2)

Click here to read Part 1

For further discussion, please contact the authors:
Bill Russo
Managing Director,
Gao Feng Advisory Company
bill.russo@gaofengadv.com

Chee-Kiang Lim
Principal,
Gao Feng Advisory Company
ck.lim@gaofengadv.com

Guy Pross
Managing Partner,
31ºNorth Innovation Exchange
guy.pross@31degreesnorth.com 

Uri Kushnir
Managing Partner,
31ºNorth Innovation Exchange
uri.kushnir@31degreesnorth.com 

How Connected Mobility Technology Is Driving The Future Of The Automotive Industry – Part 1

After over 20 years of advances in the world of mobile connectivity, big data and social networks, technology is now rapidly infiltrating the traditional realm of the automotive industry and shaping it to be at the forefront of global technology.

This new form of “connected mobility” is driving new technologies in the world of navigation, analytics, driver safety, driver assistance and information virtualization.  The challenge of understanding the opportunities and the threats (both cyber and physical) of this new industry will set the scene for a new competitive environment for both traditional OEMs and non-traditional players looking to establish themselves as the global leader of connected mobility.

At the same time, the rapid emergence of markets like China has changed the nature of competition in the 21st Century global auto industry as well as the commercialization pathway for such technology frontiers.  The rapid embrace of mobile connectivity by Chinese mobile device users, combined with the commercial aggressiveness of China’s internet giants will create conditions conducive to the rapid commercialization of smart connected car technologies.  As the leading automotive market, China is poised to revolutionize the global automotive industry, especially in the area of the Internet of Vehicles, making mobile vehicle connectivity the next great frontier of automotive innovation.

Traditional industries remain unchanged across 10 decades…

For over 100 years, our global economy has been reliant on traditional industries for fuelling our economies and for the production of goods and services.  From energy, through water and resources we have seen little change in these sectors since their inception, many of them using the same fundamental technologies. However, in recent years we have seen technological advances slowly being deployed across these industries, a trend that we expect will impact the very foundation of these sectors.

While much of our traditional industry backbone has been trapped in the industrial era of the early 1900’s, more modern sectors have shifted through the Information Era of the mid 1900’s to the knowledge era of the 2000’s.  This lack of progress can mostly be attributed to the conservative nature of traditional industries as well as the general lack of reform and cost and complexity for transitioning from old legacy platforms.

After 20 years of technological advances, traditional industries are shifting…

Following 20 years of significant advances in technology, the market conditions are now in place for a fundamental shift in industrial technologies.  Four key technological game changers are driving this transformation – cloud computing, big data, social networks and mobile/connected technologies.  The convergence of these technologies is expected to revolutionize business, society and industry, disrupting old business models and creating new ones.

A transformational impact on the automotive industry

The industrial technology revolution is particularly visible in the automotive industry, an industry that for 100 years relied on engineering innovation and is rapidly becoming more dependent on digital demands and mobile connectivity.  This is on top of traditional industry challenges such as cost pressures, diverging markets, and a shifting industry landscape.

There is also a growing sentiment that OEMs cannot simply turn to their traditional toolbox. OEMs will need to review and adjust their strategic priorities, deploy the appropriate investments and resources, and develop new skills to execute these strategic objectives.  Accordingly, we have seen the automotive industry focusing on innovation more than ever before with fourteen automakers among the top 50 most innovative companies (in BCG’s 2013 survey) with the focus on innovation in four areas: power train, lightweight materials, connectivity, and active safety/assisted driving.

We have also seen OEMs working with open innovation as a paradigm to drive external ideas and internal incubation.  Using open innovation platforms, OEMs are boosting innovation capacity and harnessing the talents of people outside their organisations.  This method is enabling OEMs identify new requirements, unarticulated needs or existing market needs, accompanied by innovative solutions in the form of new technologies, new services or new uses of existing technology.

The challenge for OEMs will be to effectively develop processes for integrating technology into their product lines and through this to find new ways of achieving a competitive advantage in the marketplace.  This will also uncover the need for supporting new business models and vehicle ownership trends (such as vehicle leasing models or car sharing schemes).  One mega-trend we are seeing in the market is the development of connected car technology.  This technology is already revolutionizing the auto industry and is likely to be one of the key differentiators in the auto industry of the next few years.

End of Part 1

For further discussion, please contact the authors:
Bill Russo
Managing Director,
Gao Feng Advisory Company
bill.russo@gaofengadv.com

Chee-Kiang Lim
Principal,
Gao Feng Advisory Company
ck.lim@gaofengadv.com

Guy Pross
Managing Partner,
31ºNorth Innovation Exchange
guy.pross@31degreesnorth.com 

Uri Kushnir
Managing Partner,
31ºNorth Innovation Exchange
uri.kushnir@31degreesnorth.com 

Reinventing Mobility in the China Context

We are pleased to share with you a briefing paper titled Reinventing Mobility in the China Context: Building the Internet of Mobility & Related Smart Car Technologies.  With the auto industry developments and the increasingly prevalence of the wireless internet and mobile devices, we expect that the Internet of Vehicles will create discontinuous opportunities for product and business model innovation.

We believe the conditions in China – the world’s largest auto market and the market with the largest number of both internet and “smart phone” users – will likely make it the incubator for rapid commercialization of such innovations. China’s urban transportation challenge, the high rate of adoption of connected mobile devices, combined with the rapid and aggressive introduction of alternative mobility and vehicle ownership concepts from new entrants, will ultimately compress the time needed to commercialize smart, connected car technologies and related services. Such developments will dramatically alter not just the feature content of vehicles, but may also usher in a revolution to the business model of the automotive industry – where a model focused on “users of mobility services” could emerge as a real alternative to the traditional model of “car ownership”.

We welcome your comments and feedback on our briefing paper or in general about our firm. This briefing paper simply serves as a “teaser” document on this topic.  We would be glad to meet you in person to share our data and perspectives in a fuller manner. Please let us know if you are interested in meeting.

Thought leadership is core to what Gao Feng does.  We will, from time to time, share with you our latest thinking on business and management, especially as it relates to China and China’s role in the world.

Best Regards,

Dr. Edward Tse
CEO, Gao Feng Advisory Company
edward.tse@gaofengadv.com

Bill Russo
Managing Director, Gao Feng Advisory Company
bill.russo@gaofengadv.com

Chee-Kiang Lim
Principal, Gao Feng Advisory Company
ck.lim@gaofengadv.com

Click here to view the presentation:
Reinventing Mobility in the China Context

Tel: +86 10 8557 0676 (Beijing); +852 2588 3554 (Hong Kong); +86 21 5117 5853 (Shanghai)

Gao Feng website: www.gaofengadv.com