


Core Viewpoint - GAC Group is undergoing a significant internal reform, particularly focusing on restructuring its R&D functions to enhance efficiency and adaptability, inspired by successful models like Huawei and Li Auto [1][2][4][7]. Group 1: Organizational Changes - GAC Group has established a new R&D structure, splitting the former large research institute into multiple parallel departments, including a product division and three main research institutes [2][3]. - The new R&D framework is termed "Direct Large R&D System," eliminating the previous research institute level and allowing direct reporting to GAC Group [3][4]. - The restructuring process has been ongoing for over six months, with the R&D department officially adopting the new structure on July 1 [2][4]. Group 2: Management and Process Optimization - A new department called the "Transformation and Process Management Office" has been created to facilitate strategic transformation and operational optimization within GAC Group [10]. - The aim is to implement an Integrated Product Development (IPD) process, which is designed to enhance product development success by aligning closely with user needs rather than solely technical specifications [7][10]. - The organization is moving towards a matrix management system to break down departmental silos and improve decision-making efficiency [9][10]. Group 3: Challenges and Market Performance - GAC Group faces challenges in balancing long-term structural changes with short-term sales performance, as evidenced by a decline in sales across its brands [17][18]. - The company plans to launch multiple new models across its brands this year, but previous launches have not met market expectations, indicating a need for effective execution of the new structure [17][18]. - Despite the ambitious restructuring efforts, the traditional organizational inertia remains a challenge, impacting decision-making efficiency and cross-departmental collaboration [14][15].