Douglas Hsu's End-of-Year Dinner Address

        In addition to explaining the past year's operating performance and the key direction of the next year, I hope that no matter how the economic situation changes, as long as we bring the spirit of the Far Eastern Group into full play, make concerted efforts to change and apply new technology, we will surely be able to compete calmly and win vitality like the protagonists of the 007 series movies.

        In 2018, the group's overall pre-tax net profit and revenue reached a record high. According to the data of Fortune Global 500 in 2018, the group's annual revenue can not only be listed in Fortune Global 500, but also rank more than 100 global enterprises. Far Eastern New Century Corporation, the parent company, was named 149 of the best employers in the world in 2018 by Forbes, in other words, Far Easter Global 500. N Group has officially jumped onto the world stage.
        
         Next year, Far Eastern Group will be set up for 70 years. Many colleagues are looking forward to celebrating it well, but considering that celebration is not necessarily suitable for the social atmosphere, they decided to make a systematic consolidation of the public welfare input of companies over the years so that all sectors of the world can understand the group's public welfare efforts, including our decades of continuous use of hospitals, schools, foundations and other platforms to pay tribute to the community. Even factories and department stores around the country have been exerting the spirit of good-neighbourliness and continuing to convey their concern for the land. Although the founders always taught us to "do good without knowing it", people are accustomed to doing good in silence and seldom publicize it. However, in the era of noise and information disorder, it is sometimes necessary to express timely in order to enhance the public's understanding of us. The collection of Far Eastern Group's long-standing public welfare efforts can serve as an important footnote to the new milestone of the Group on the one hand, and also let colleagues and all sectors of society see our intention of "taking it from society and using it for society". In the future, these public welfare efforts will extend to more corners of the world with the expansion of Far Eastern Group affiliated enterprise.
        
         In fact, I care more about how the group moves to the next 70 years than about celebrating its 70th anniversary. Although the current foundation of Far Eastern Group can continue to operate for five or ten years even without transformation, in the long run, it will inevitably be engulfed by the torrents of the times. Many world-renowned enterprises are forced to withdraw from the historical arena because the pace of reform is not fast enough, which not only makes people feel sad, but also reminds us to be vigilant at all times. In a rapidly changing environment, besides facing the public, the way must be adjusted. In all aspects, it should also be transformed and transformed. Even the leading industries such as Ford and JC Penny, which once chattered about for a while, have to actively reform and reorganize with the needs of the times. Companies should speed up the transformation, especially in the organizational structure, keep pace with the times, and have complete successor planning and training. Training policy.
        
         In addition, with the development of globalization, companies must not only train multilingual talents, but also meet the world standards in accounting system, financial information and other forms of statements in order to communicate in the same language with all walks of life. Not only that, the Far Eastern Group, which has entered 70 years, must also face the future with a new blueprint for development.
        
         At the supply chain side, each enterprise should understand its role in the supply chain and the relationship with other enterprises; at the business model side, it is necessary to examine whether the current business model is appropriate and what business model should be adjusted in the future in order to enhance the strength of enterprises in the industry. The most important objectives of 2019 are to move from low price to high value; from simplification to diversification; from entity operation to online sales; from regional enterprises to global enterprises; from traditional business model to innovative business model; from bulk single production to differentiated products; from passive supply drive to active demand pull.
        
         Of course, in the new economic era, companies should also make good use of new technology and innovative thinking to introduce advanced technologies such as Artificial Intelligence, Blockchain, Cloud Computing, Big Data, Mobile, Internet of Things (IoT) into supply chain and business model. Fast transition.
        
         In the process of transformation, there are six key issues that deserve your deep consideration, including: how serious is the threat of digitization to the current business model? What is the best business model for future development? What is the competitive advantage in the new economy? How to make good use of mobile technology to connect with the Internet? Do you have the ability of organizational transformation at present? Do managers at all levels have transformational leadership? Leadership is particularly important. Leadership must be brought into play in order to drive the next generation and accelerate change.
        
         Globalized business competition, Sino-US trade frictions, Britain's de-European deadlock, German-French internal affairs, slowing down of China's economic growth and other complex political and economic situations are bound to bring serious challenges to the global prosperity in 2019, but as long as companies actively transform and strive for breakthroughs, strengthen domestic links with group-related enterprises, give full play to group synergies, exert external efforts and politics. Communication between the government and all walks of life, I believe that Far Eastern Group will be able to stand firm in the new economic era and achieve its goals!