Review on the management of the board of directors of Shangpin ZJS in 2020.

The business review of the Board of Directors of Shangpin ZJS (3006 16) in the first half of 2020 is as follows:

I. Overview

Affected by the COVID-19 epidemic, the company's production and operation are facing great challenges. In response to the epidemic, the company adheres to its own development proposition, carries out related work around "intensive cultivation and win-win cooperation", intensively cultivates customized furniture and supporting facilities, develops integrated cloud services, and creates "new model"+"scientific and technological infrastructure" to innovate in the direction of "making the process of realizing a better life better".

(1) The company continues to increase the investment in big data and artificial intelligence, and relies on the massive design data, marketing data and production data accumulated by itself to intensify the innovative research and development of intelligent design, intelligent marketing, intelligent manufacturing and technical infrastructure.

1, intelligent design

(1) hydrogen design upgrade. Based on tens of millions of design schemes, the system automatically extracts three-dimensional structural data, layout structural data, semantic data and renderings of rooms, and constructs three-dimensional multi-level data sets. Based on this super-large-scale data set, the company has developed a brand-new zero series apartment matching engine, automatic layout engine and 3D semantic search engine. Based on these artificial intelligence engines, hydrogen design has launched an intelligent version. Designers only need to provide floor plans and demand labels, and they can get many high-quality design schemes (including floor plans, renderings and three-dimensional scenes) within 1 minute. After the launch of the Smart Edition of Hydrogen Design, it received an average of 90,000 tasks per month and completed 270,000 high-quality design schemes, which has a positive effect on front-line staff to get design inspiration, online talk, mid-term follow-up and offline transactions.

(3) Design system upgrade. Customized design software releases the encryption lock, which is completely based on cloud and SaaS, and all design data and product data are online. Software cloud

After modernization, it has improved efficiency, reduced costs and promoted business cooperation. Online also lays the foundation for the in-depth application of big data and artificial intelligence. Personalized recommendation, dynamic workbench, intelligent layout and intelligent call sheet are integrated into the daily operation of designers, effectively improving the design effect. The core of the system is to upgrade the intelligent parametric engine, which integrates hard installation, soft installation and customization to improve the comprehensive personalized design service ability. The integrated hydrogen design, cloud consultation room, dynamic line generation, light analysis and hydropower planning functions of the newly launched integrated design system have injected new impetus into the integrated business.

(4) Cloud rendering and reconstruction. By simplifying the system processing steps and optimizing the key nodes, the goal of 60% comprehensive acceleration of light speed rendering is realized. The mesh of 3D model is optimized by machine learning algorithm, and the performance parameters of arc part are dynamically adjusted, which greatly improves the rendering effect of arc surface without increasing rendering time. The cloud rendering architecture is reconstructed, which can quickly render short videos and support various forms of short videos such as growing videos, roaming videos and scene snapshot changes. Since its release in April, it has been welcomed by designers.

2. Intelligent marketing

(1) network marketing. With the design software as the core, a large number of high-quality renderings, VR panoramas and small videos are produced every day. These contents are distributed through the content matrix of the US-Canada platform, such as meeting the US-Canada, painting, sunbathing and so on. Users' behaviors when watching content contribute various tags to the system. Artificial intelligence uses tags based on personalized recommendation algorithm, on the one hand, it pushes more matching content for users, on the other hand, it mines and analyzes user behavior data, predicts user needs, and then provides accurate personalized marketing solutions.

(2) offline management. Meijia shopping guide assistant introduces the traffic under the shopping guide line into online unified operation, and also undertakes the traffic sent online to provide customers with more humanized services. Shopping guide assistants and American business cards provide various tools for designers, shopping guides and storefronts to operate their own private domain traffic and do a good job in marketing, sales and management. Through the cooperation with Tencent, small programs such as home painting and home drying can run on the big-screen equipment of the storefront without WeChat, providing various interactive scenes and rich display content for the storefront.

3. Intelligent manufacturing

(1) Supply chain system upgrade. Due to the opening of the intelligent manufacturing base in East China, the intelligent supply chain system has also upgraded the AI analysis engine accordingly. Using dynamic data to predict the sales volume in each region, through monitoring, simulation, simulation, procurement command, delivery and automatic replenishment, the automatic optimal matching of supply and demand resources in many places can be realized, the overall work efficiency and warehouse utilization rate can be improved, and the capital occupation can be reduced.

(2) Upgrade the order splitting and scheduling system. The intelligent order sorting system upgraded the automatic order sorting engine, the proportion of automatic order sorting continued to rise, the number of errors was reduced, the customized packaging module was improved, and the packaging efficiency was significantly improved. The intelligent scheduling system upgrades the layout algorithm, improves the cloud layout module, improves the material utilization rate, optimizes the production batch organization module and the production planning module, and improves the accuracy of the production plan and the utilization rate of the warehouse.

(3) Intelligent equipment and production line upgrade. With the commissioning of intelligent manufacturing base in East China, a large number of self-developed production equipment is on the front line. The woodworking door panel sorting line realizes full-line automation of loading, scanning, grabbing, storing, sorting, taking out and discharging, reduces intermediate handling and scheduling links and realizes unmanned operation. The sorting line of plastic suction door panel strengthens the vulnerable parts of plastic suction door panel, which not only meets the requirements of high efficiency but also realizes zero damage. Brand-new automatic cutting workstation, visual inspection equipment for sheet defects based on artificial intelligence, and automatic labeling equipment have all landed in East China Zhi Zhi Base, meeting the larger, more efficient and customized production requirements of Xinzhi Base.

4, science and technology infrastructure

Relying on the network of thousands of terminal stores and more than 10000 designers in China, the existing three databases (room type database, product database and scheme database) are comprehensively upgraded with the help of AI cloud technology, so as to create large databases of all kinds of room types, portraits of customers at different life stages, different professional labels and different style design cases in all regions and buildings in China. At present, there are nearly 100 cities' housing structure data and housing information under construction, and a large database of decoration schemes based on AI intelligent design is also under construction. At present, there are about 8,000 buildings covered, and there are more than 550,000 families with plans. The construction of large-scale database greatly improves the design efficiency and scheme quality, liberates designers, turns them into consultants, and provides users with more efficient and personalized high-quality design services.

(2) The company has established a research and development platform for cooperation with master products, combined with the design trend of luxury houses at home and abroad, created a new style of self-contained products, and made efforts to equip the whole house with accessories to provide customers with better self-contained solutions.

1, the company joined hands with designer Chen to launch "Master Space-Chen's Works", which is a brand-new upgrade of the company's products and models. The breakthrough of this series of products is the integration of whole house hard clothes+whole house furniture+whole house soft clothes. The design is versatile, diverse and environment-friendly, and it truly realizes one-stop bag check-in from rough to home.

At the same time, the company cooperated with Italian designer LELE to release a novel work "Silent Van Gogh" with aesthetic skills. This series has added warm natural materials such as wood grain, leather, cotton and linen imaginatively, and with the help of modern technology of metal and glass, it presents a new contemporary design that respects nature and quality, and enhances the company's product image.

2. Accessories continue to adhere to the principle of high quality, high value and diversification, and check for missing parts. Guest restaurant accessories, around the lifestyles of all kinds of people, have deeply developed "home+series" such as Meng Chong family, gourmet, dreamer, Renda family, intelligent family and happy family; Bedroom accessories, efforts have been made to increase and optimize the "bed+mattress" package, and the mattress category has been further improved because of the introduction of leading anti-bacterial and anti-mite technology; Cabinet accessories, two new series products (brest and Milan skyline series) were launched in the first half of the year, and Midea kitchen appliance brand was newly introduced. Continue to cooperate with well-known kitchen appliances brands such as Boss and Tai Fang, and actively implant kitchen appliances in live events to enhance customer stickiness. The matching marketing of kitchen cabinets adheres to the core of nine thousand nine hundred and ninety-nine explosion package of kitchen cabinets, and innovatively introduces 12800 upgrade package to provide customers with more choices. (3) The company uses BIM virtual decoration system and central planning and dispatching system at the top of the airport tower to empower the full assembly management of Christmas birds, laying the foundation stone for the full assembly delivery to the whole country. At the same time, we will strengthen the recruitment of HOMKOO members, innovate and develop HOMKOO members' cloud business, and help them effectively implement the integrated aggregation strategy. 1. Christmas bird seamlessly integrates with the front-end "integrated design system" through the "BIM virtual decoration system". By simulating the whole decoration process, it empowers designers to automatically generate work instructions, work orders, material lists and material distribution instructions, providing accurate basis for subsequent construction processes, construction standards, material stocking and material distribution.

Through the "Airport Tower Central Planning and Dispatching System" established in Guangzhou, Christmas Bird Assembly can remotely dispatch the construction progress and material distribution of assembly customers in Guangzhou and Foshan. On the one hand, through the construction instructions, command and dispatch the construction of the construction site, send project managers and workers of various types to enter the site for construction, and at the same time send project supervisors to the site for technical disclosure and node acceptance to ensure that the site is completed on time and with good quality. On the other hand, through the material scheduling, stocking and distribution instructions, the scheduling, stocking and distribution of main and auxiliary materials are scheduled to solve the material supply chain problem of the construction site and ensure the construction progress of the construction site. At present, the central planning and dispatching system at the top of the tower has the ability to empower other self-operated cities except Guangfo (as of the disclosure date of the semi-annual report, the system has begun to empower Christmas birds in Nanjing), laying a solid foundation for the national distribution of Christmas birds.

In the first half of the year, the company also continued to strengthen the delivery quality and word-of-mouth marketing of the Christmas bird assembly site. First of all, the company built the model room "Mars" designed and built by the designer Chen, which won the satisfaction of the industry and customers with its professional design and enhanced space storage; Secondly, the company develops the whole package delivery technology, constantly upgrades the technology (thin tile pasting technology, wood floor plywood pasting technology, double-layer cloth tape pasting technology, horizontal bar pasting technology) and implements it on site; Thirdly, relying on the continuous discussion and iteration of process research and development base, construction process optimization, project manager training certification, front-end process training and so on. , will continue to optimize the construction process, improve the professional quality of site management personnel. While continuously optimizing the standard technology, the company has successively certified 745 industrial workers, 2 17 project managers and 39 installation managers, and trained about 588 front-end technicians, thus creating a "Christmas Island" for the platform operation of project managers and industrial workers. Finally, the company attaches great importance to the whole process experience of customers, protects the professional image of the construction site, builds a 5S standard demonstration site, and pays attention to the whole house 1: 1 for word-of-mouth marketing through model houses.

At present, China is in the middle and late stage of urbanization, and the new housing market in first-tier cities tends to be saturated, and the market gradually enters the era of stock housing. The demand for renovation of stock houses is gradually being released, and the market development potential after home improvement is huge. Christmas birds in first-tier cities are assembled by themselves, which can well match the reloading needs of such stock houses. In the first half of 2020, there were 8 17 households in Guangzhou, Foshan and Chengdu, with 476 households delivered. The income of self-operated Christmas birds (full caliber, including furniture) reached about 94 million yuan (including about 68 million yuan in the second quarter, up 20% year-on-year), and the monthly income of benchmark designers in Guangzhou exceeded 6.5438+0.8 million. With the further decline of the epidemic situation and the gradual opening of more self-operated cities, the self-operated self-assembly of Christmas birds will present more room for development.

2. In the first half of 2020, the company continued to develop the market layout of HOMKOO Cloud. By the end of the reporting period, the number of members of HOMKOO Integrated Cloud was 3,000, and HOMKOO Integrated Cloud has become a leading integrated empowerment platform in terms of the number of members and the regional distribution of members in the industry. In order to help all cloud members occupy more market share, the company also carried out a series of innovations in the first half of the year:

(1) established a customized brand of Mako MRKOQ, which was specially built for HOMKOO cloud members, helping members to realize integrated design and sales of software and hardware more quickly. As a professional brand of cabinet customization, Ma MRKOQ was born for the integration of software and hardware. Ma MRKOQ system and HOMKOO integrated cloud platform AI integrated design system "K system space" are perfectly integrated, and can be directly integrated and synchronized in the same AI design software. From the beginning of design, we can consider the functional structure of space, the extraction of design elements and the shaping of home style to ensure the harmony and unity of home space in function and style to the greatest extent.

(2) Affected by the epidemic, HOMKOO's integrated cloud platform has created a new working mode, leading thousands of members across the country to actively resume work and production. The brand-new online sales model, combined with innovative system service capabilities, allows Quanyun members to stay at home and take orders with a measuring ruler. Designers can refresh customers' consumption experience through non-contact measuring ruler, efficient design consultation rounds and online communication and interaction. Online live broadcast, offline linkage, HOMKOO integrated cloud platform launched online live broadcast and offline member participation to help members sign bills quickly and help clinch a deal.

(3) In addition, through institutional and technological innovation, the company continuously optimizes the intelligent supply chain system, improves the level of supply chain coordination and reduces the total cost of the supply chain. In the first half of 2020, HOMKOO's self-contained cloud supply chain system * * * launched 233 new products, constantly enriching the supply chain categories and meeting the diversified market demand. The company uses big data to formulate a reasonable procurement strategy to ensure that the fluctuation of sales forecast can be controlled within a reasonable range, and to ensure that the arrangement of procurement scale and frequency is coordinated with the needs of enterprises. Through the above-mentioned series of measures, HOMKOO Quanyun's channel revenue (full caliber, including furniture accessories) reached about 654.38+56 million yuan in the first half of 2020, up by 565.438+0% year-on-year (including 654.38+09 million yuan in the second quarter, up by 94% year-on-year), and furniture accessories increased by 654.38 in the second quarter.

(IV) The company strengthens the innovation of O2O marketing drainage mode, and through the organization of New Home Network MCN, strives to innovate live broadcast content, seize the new highland of 5G, and realize the closed loop of commercial realization.

1. The company continued to strengthen cooperation with Tencent, Ali, Tik Tok, Easy Car and other platforms, and built a multi-platform operation mode combining quality and efficiency.

In the first half of the year, the company continued to deepen its social cooperation with Tencent, focusing on the content ecological matrix of official WeChat account, circle of friends, applet and video number, and jointly conducted marketing drainage with the official WeChat account of Shangpin ZJS brand with14.42 million fans, the official WeChat account of Wei Yi customized brand with 8.24 million fans, "Designer A Shuang" and "wuli Design Sister" with over 3.2 million fans. At the same time, 1 1 wechat applet was launched, and the total reading volume in the first half of the year exceeded10.3 million. In the first half of the year, the company also continued to deepen cooperation with Ali and other retail platforms. The company began to build a live broadcast benchmark for household industry categories and carried out a number of live broadcast activities. The number of viewers in a single live broadcast exceeded 400,000.

In the first half of the year, the company's new home network MCN organization also cooperated with mainstream short video platforms such as Tik Tok and Aauto Quicker, increasing the number of fans by more than 40 million at a high speed, and the total number of fans in the whole network was 65.438+0.6 billion. Among them, 1 fan account is 32 million, 3 fan accounts100000, and 17 fan account is 3 million.

2. Through the professional MCN organization of New Home Network, strive to innovate the live broadcast content and seize the new highland of 5G in advance.

With the advanced layout on the short video track, a brand-new home network MCN organization has been built, and nearly 300 IP experts have been independently hatched, opening up the whole link from video, live broadcast, to interactive comments by fans, to private fan operation and offline realization. In the 3 15 big-name live group buying festival, more than 20 major IP's in the home furnishing industry, including "Designer A Shuang" and "wuli Design Sister", with a total of about10.2 billion fans, were all dispatched, and broadcast synchronously on four mainstream live short video platforms in the form of "main venue+sub-venue", and thousands of terminal stores across the country cooperated offline, which achieved good results.

Through the above series of innovative 020 marketing drainage models, the number of online scales of the company increased by 46% in the first half of the year, and increased by 67% in the second quarter. Because the live broadcast is shorter, faster and cheaper in the path of connecting companies and consumers (the number of free channel meters accounted for 38% in the second quarter, up 9% compared with the same period of last year), the online meter cost of the company decreased by 36% in the first half of the year. Although the impact of the epidemic has lengthened the consumer's decision-making cycle and slowed down the consumer's furniture consumption demand, it has also laid a solid foundation for the performance repair in the second half of the year because of the substantial increase in the number of online scales.

(V) The company's operation was greatly affected by the epidemic, but it has basically returned to normal since the second quarter, and it also benefited from the company's deep cultivation of the channel market and strong brand promotion.

1, the company continues to deepen the channel market and strive to join its own cities. The company invited experts and scholars such as Ma Guangyuan, Ye Tan, a famous financial critic, and Qin Shuo, a famous financial observer, and held many expert classes with the themes of Vision for the New Decade, The Rise of Great Powers in 2020-Everyone's Life under the Recovery of Real Estate Chain, and Insight into the New Future of Business. At the same time, the company increased its investment promotion efforts in self-operated cities, recruited big businessmen to open big stores in key cities, improved the city market share and investment promotion quality, and enhanced the brand exposure of the company. By the end of the reporting period, the total number of franchised stores in the company reached 2,247 (including stores under renovation), the total number of directly operated stores in the company was 93, and the number of franchised stores in self-operated cities reached 18 1 home (including stores under renovation).

In the first half of the year when the epidemic was seriously affected, on the basis of more than 20 years of good operation, the company gave full play to the advantages of online technology and team, and used small programs and software developed by the company, such as treasure measuring, communication treasure, scheme treasure, American and Canadian, painter and so on. Combined with the third-party video conference software, users can stay at home, enjoy the design and communication confirmation of non-contact measuring ruler and non-contact scheme, and meet the demand of customers for "non-contact purchase of furniture".

The company also strengthened the meticulous management of storefronts, optimized service processes and strengthened design management. Store innovation activities, take advantage of online live broadcast, use the main venue mode, classify invitations according to customer categories, and strengthen the linkage of stores across the country. At the same time, we will promote the utilization rate of hydrogen design, strengthen the interactive scene drills in three sites, such as ward rounds, and communicate with customers in depth before making plans to improve the design service level.

2. During the reporting period, Shangpin ZJS brand launched a new spokesperson, Zhao, to spread a positive attitude towards life to the public through dialogue between Zhao and young people; The company conducts expert classes, online and offline synchronization, and the live broadcast of each event is watched by over one million viewers online, and 400+ articles are published in finance, comprehensive portals, videos and apps. , combined with media delivery, realize brand exposure and enhance brand volume; The company continued to carry out the "Aishang Plan" and donated 624 sets of desks and chairs to primary schools in remote mountainous areas of Xinjiang, Guizhou, Guangxi, Guangdong, Shaanxi and Gansu.

Wei Yi Custom Brand plans to release the "New Generation All-inclusive" strategy, providing one-stop services including whole house hard clothes, whole house soft clothes, whole house matching furniture, whole house custom furniture, kitchen appliances, etc., so as to realize the idea of consumers moving from rough houses to handbags; Brand communication is distributed all over the country, and advertisements are placed in national core hubs (domestic airports, high-speed railway station, and high-speed anti-aircraft guns), covering 10 cities, and the cumulative delivery volume is 144, among which Guangzhou Baiyun Airport (600004)t 1 T2 Airport occupies the core media of first-tier key cities such as Beijing, Shanghai and Shenzhen; The brand and Anjuke * * * jointly launched the "Yunjuke" Thousand Stores Program, and now more than 600 online stores have been opened in 177 cities nationwide. Through the above measures, the number of offline companies also increased by 4% in the second quarter. Except for Wuhan and Beijing, which were greatly affected by the epidemic in the early stage, the retail receipts of direct and self-operated franchise terminals in other self-operated cities increased by about 14% in the second quarter.

Ii. risks faced by the company and countermeasures 1. The risks brought by the joining mode will help the company to save capital investment, expand the national marketing network with the help of the advantages of franchisees, reduce investment risks and realize the rapid expansion of the company's business scale. At present, franchisees play an important role in the company's sales, but if the company's important franchisees change, it will have an adverse impact on the company's operating performance. The company signs franchise contracts with franchisees to manage the number, location and sales performance of franchisees, thus realizing the company's development strategy. However, franchisees are independent of the company in human, financial and material aspects, and are not completely consistent with the interests of the company. Franchisees may deviate from the company's goals when implementing the company's intentions and implementing the company's development strategy. If the franchisee seriously breaches the contract or fails to meet the company's requirements in management, the company will terminate or not renew its franchise contract, which will affect the company's sales revenue. The company has formulated the standard operation guidelines for franchise stores, stipulated the franchise conditions, opening form and unified operation mode of specialty stores, and made relevant agreements on site selection, decoration and daily operation in the franchise contract signed with franchisees. With the increasing number of franchisees, if the management ability of franchisees is not improved accordingly, or franchisees do not operate according to the company's unified standards, it will affect the company's brand image and adversely affect the company's expansion of sales channels. 2. Risk of Intensified Market Competition As a new sub-industry of furniture industry, custom-made furniture attracts more and more consumer groups with its advantages of satisfying consumers' individual needs, high space utilization rate and comprehensive service, and the custom-made furniture industry presents a rapid development trend, which will lead to the custom-made furniture enterprises in the custom-made furniture industry to expand their products to the whole house furniture. At the same time, the rapid development of customized furniture has also attracted some traditional finished furniture manufacturers to transform into the field of customized furniture; In addition, home improvement companies, flooring companies and other home furnishing companies have set foot in the custom furniture industry because they are optimistic about the custom furniture market. Therefore, the competition in custom-made furniture industry will probably be further intensified due to the increase in the number of custom-made furniture enterprises, which will lead to the market competition of custom-made furniture industry gradually changing from price competition to comprehensive competition in product design, production efficiency and cost, custom-made service, channel construction and brand marketing, which will increase the investment of custom-made furniture enterprises in brand marketing and further affect their profitability. If the company can't maintain its advantages in product design, production efficiency and cost, customized service, channel construction and brand marketing, the market competition in the customized furniture industry will intensify, which may adversely affect the company's profitability. 3. Risk of product and service quality With people's attention to the quality of healthy life, consumers have higher and higher requirements for environmental protection indicators such as formaldehyde content of furniture products and quality of customized furniture products. Although the company strictly screened the suppliers of raw materials such as plates, and set up a testing center to sample and test the indicators in the warehousing of plate raw materials and finished products to ensure that the product quality meets national and industry standards. If the company has problems in supplier management and the quality measures are not implemented properly, there may be a risk that the quality of the company's products will not satisfy consumers, thus adversely affecting the company's brand and performance. At the same time, in order to meet the personalized needs of consumers, customized furniture needs to be equipped with personalized design, door-to-door measurement, door-to-door installation and other services. If the company provides services such as design, measuring ruler and installation to consumers, consumers will have service complaints and other matters, which will adversely affect the company's brand, and then may adversely affect the company's product sales and business performance. 4. Risk of seasonal fluctuation of business. The furniture industry in which the company is located has certain seasonality, which is closely related to the seasonality of domestic residents' housing decoration. The company's annual operating income structure is characterized by low in the first half and high in the second half, especially in the first quarter, the company's operating performance is relatively poor, and there is a risk of seasonal fluctuation. 5. Risk of sudden major public health events * * * The company's services need a lot of offline work, such as measurement, delivery, installation and after-sales service. Faced with this risk, the company will also actively carry out changes, timely put forward the strategy of "new mode+technical infrastructure", use "live broadcast +IP" to open a new situation of attracting customers in the home furnishing industry, make full use of online tools to provide customers with services such as measurement, design and scheme communication, reconstruct a new online marketing and service model in the home furnishing industry, and strive to minimize the impact of the epidemic. However, major public health emergencies similar to those in the first half of 2020 will still have a great impact on the company's production and operation.

Three. Analysis of core competitiveness During the reporting period, the company's core competitiveness has not changed, mainly in the following aspects: 1. Advantages of Leading Industry Informatization Fiona Fang Software pioneered the leading virtual reality technology, providing digital transformation and construction for the transformation and upgrading of traditional furniture enterprises, and the cloud technology platform with cloud design and big data application as the core entered the practical application stage. Fiona Fang software industry project solutions have been extended to all fields such as civil furniture, building materials, kitchen wardrobes and office furniture, and the project implementation and integration have been highly specialized. Through these years of continuous innovation, Fiona Fang Software has formed an efficient software tool chain in the sales and production of customized furniture products. Through innovative technologies such as Internet, big data, cloud computing, AI artificial intelligence and agile supply chain management, Fiona Fang Software empowers traditional home improvement enterprises with a new industrial model, reconstructs the industrial chain and value chain of home improvement industry, innovates and changes the traditional home improvement model, and upgrades it to a modern comprehensive business model. 2. Advantages of One-stop Whole House Matching With excellent scene interaction ability, information technology ability of seamless connection between front and back data, and comprehensive ability of designing, selling, purchasing and supplying other products from other manufacturers, the company continuously broadens the category boundaries while providing home improvement panel furniture, and realizes one-stop matching of home improvement main and auxiliary materials, assembled background walls, whole house customized furniture, supporting household products, electrical appliances and other household categories. The company will continue to effectively integrate all kinds of household products, expand the extension of categories and services, and extend the advantages of full-chain service accumulated in the field of self-made panel furniture to more product categories, truly providing consumers with one-stop whole house. 3. Advantages of large-scale flexible customization In view of the disadvantages of traditional production mode, the company boldly reformed innovative technologies, built an intelligent production platform based on cloud computing and artificial intelligence, used Industry 4.0 to open up back-end manufacturing, closely integrated production technology with information technology, and implemented all-round digital services to meet the individual needs of consumers to the greatest extent. The company uses the leading flexible production line, self-developed robots and automated warehouse intelligent logistics to build the Industry 4.0 intelligent manufacturing factory, changing "people directing machine work" into "machines directing machine work". The company uses the automatic intelligent system of inspection and disassembly, production scheduling and supply, and the process control system based on two-dimensional code to control the process, and uses the Internet of Things technology of transparent factory MES system to obtain the status of each production equipment. Based on big data and artificial intelligence algorithm, the dynamic matching of production resources and production tasks is realized, and finally the final production is realized through electronic sawing and equipment information conversion technology of NC machining center. 4. Advantages of leading the whole house furniture customization: Whole house customization requires higher information capabilities such as front-end design, back-end production, and seamless connection of front-end and back-end data. The company seized the key point of the whole house furniture customization and took the lead in starting the whole house furniture customization. At present, the company has more than 65,438+00 years of experience in customizing whole house furniture. Compared with peer companies, in recent years, it has only begun to transform from single products to multi-category whole house furniture. The company has accumulated certain advantages in software design, order review, production and delivery of whole house customization. 5. Advantages of the sales channel combining 5.O2O online marketing and offline store sales. At present, the company has established online channels of O2O Internet marketing platform operated by offline stores and new homes. The organic combination of online marketing and offline sales has greatly enhanced the company's competitiveness and laid a marketing network foundation for ensuring the company's rapid expansion. The company takes a new house. Com is an online marketing platform, which expands customer coverage, effectively diverts online consumers from physical stores and realizes sales. Establish direct stores in key cities and strengthen the control ability of physical store sales channels. Vigorously developing franchise stores nationwide is conducive to the rapid development of the company's business scale.