[Company News] On February 19, Mr. Su Ertian, Board Chairman and Chief Executive Officer of Global New Material International Holdings Limited (stock code: 06616.HK, GNMI, hereinafter referred to as GNMI), met with a visiting team from Germany. Several global business integration experts from Ernst & Young held special working talks to conduct in-depth discussions on global business layout planning, organizational optimization and globalization strategy implementation. Georg Beckmann, head of M&A integration consulting services at Ernst & Young in Germany, Switzerland and Austria, René Barth, human resources transaction consulting expert, and Kannie Kong, organizational development and human resources expert, attended the meeting together. The two sides reached various consensuses on the global business layout planning and long-term development of GNMI.

Focus on agile layout and standardized operation

The two sides will clearly build a project management system with “a lean professional team” as the core. While ensuring the rapid landing of key businesses in the international market, they will reserve flexible adjustment space to cope with the dynamic business environment. In response to the needs of global operations, Ernst & Young will assist GNMI in creating a “scalable target operation model” and support the future large-scale development of multiple regions and categories through standardized process design and digital tool deployment. In addition, the two sides plan to accelerate the improvement of the independent operation capabilities of the target business in the fields of technology research and development, supply chain management and market development, so as to lay a solid foundation for the global layout.

Talent Strategy and Cross-cultural Integration in Parallel

Concerning the challenge of international talents, GNMI announced the launch of the “Future Growth Plan” to strengthen the cohesion and organizational vitality of the core team through equity incentives, cross-cultural training system and global career development channel design. The simultaneously promoted “Leadership Transformation Project” will focus on cultivating the global management thinking of functional department heads, and help the management transform from localized operation to cross-border collaboration. Ernst & Young’s expert team emphasized that cultural integration and talent localization will become the key factors of success as enterprises seek overseas expansion.

Release synergy and target the high-end market

The two sides will integrate the industrial resources of GNMI and the global network advantages of Ernst & Young, establish a joint customer management mechanism, and plan to achieve a significant increase in sales coverage within 2025, aiming at the European high-end new materials market. Su Ertian pointed out that Europe and the Americas, as global new material technology highlands, are the core focus of the company’s internationalization strategy and this cooperation will accelerate the transformation of technological achievements and the output of high-value-added products.

Digital platform empowers global collaboration

Relying on Ernst & Young’s global digital resources, GNMI will build an intelligent collaborative system covering supply chain, R&D innovation and customer management. The first batch of modules is expected to be put into operation in the second half of 2025. The system aims to realize real-time cross-border data interoperability and dynamic resource allocation, and provide intelligent support for global business decision-making.

In his summary, Su Ertian mentioned, “The cooperation with Ernst & Young marks the systematic implementation stage of the company’s globalization strategy. Through the layout of ‘strategic planning-organizational capabilities-digital infrastructure’ integration, we are committed to becoming a globally competitive innovation leader in the field of new materials. ”

Georg Beckmann, an expert at Ernst & Young, said, “GNMI has demonstrated the forward-looking vision of Chinese new materials enterprises in the globalization process, and Ernst & Young will provide them with full-cycle support from strategic design to implementation.”

Zhou Fangchao, Vice President of GNMI, Mai Xingqiang, Chief Financial Officer, Zhu Chunlin, Chief Integration Officer and other senior executives participated in the meeting. The two sides stated that a special working group will be set up in the follow-up to promote the implementation of cooperation rules.