CHINA CONSTRUCTION BANK SEMINAR SERIES
at the UK Campus of Peking University HSBC Business School
What will the UK Automotive Industry Tomorrow: Opportunity and Challenges?
Dr Paul Bhangal
On Wednesday, 17 April 2019, Dr Paul Bhangal as visiting Professor of Qinghua University, and an expert of the automotive industry, is invited to speak to China Construction Bank (CCB) Seminar Series about automotive industry development and management. He has extensive experience of over 14 years in the automotive industry as well as academia.
In his seminar, Dr Bhangal shared his expertise and opinions about the automotive industry. He gave the executives a broad summary of the auto industry in the last few years. In particular, he talked about industry leaders like BMW, Toyota, and Daimler/Chrysler and the reason for their continued success - workplace culture. Dr Bhangal highlighted that the Japanese and German’s attitudes towards work and innovation are the key reasons they are at the top of the world manufacturer’s list.
Dr Bhangal also shared his thoughts on the technological advancements that have been made in the automotive industry, especially in the development of electric vehicles and their rise in popularity. Battery electric vehicles were the #1 trend in 2017. Dr Bhangal further raised the possibility that this popularity is because of the increase in regulatory pressure towards climate awareness.
The international perspective towards the automotive industry is varied, particularly between China and US/Europe; China is very open to innovation and less regulatory, which is good for companies looking to set up automotive factories as compared to Europe. Furthermore, the new GDPR laws in the UK and the EU hinder advancements in the industry. However, data-driven industries are more popular in the USA and Germany as compared to China. Also, security systems in China is not as developed as the USA or Germany. As for the emerging African market, Dr Bhangal highlighted the problem that Africa faces - the grey market - where second-hand cars are bought from other countries and sold in Africa. As such, this grey market hinders the development of the automotive industry on the African continent.
In the second half of his talk, Dr Bhangal took the CCB executives through the key challenges faced by the automotive industry. He talked about the challenges in the form of recruitment, cultural differences, profit margins, and competitive advantages. Our CCB executives learned how the automotive industry dealt with the challenge of hiring and retaining exceptional staff, how they kept their existing customers while finding new ones, as well as how the automotive industry maintained their competitive edge by investing in tried and tested technology as well as having a well-trained staff, quality premises, and top-notch customer service. Indeed, these challenges are the same challenges faced by any industry and learning from the automotive industry can benefit the financial industry.
(Written by Dr Carryn Yong, edited and photo by Guy Liu)
|Last modified: 2019-04-30 11:04:16 by Zoe Toone||Created at: 2019-04-29 09:29:54|