On June 24, the Group's Human Resources and Administration Headquarters held a quarterly cadre work report meeting at the Lizhu Industrial Park. Group President Tang Yanggang delivered a summary speech at the meeting, where he elaborated on the significant importance of the "Talent Strategy" among the three major strategies and how to implement it, providing direction for the optimization of organizational structures and cadre training in various units and departments.

President Tang said that in the next three years, the company will face very difficult situations. Although it is challenging, as long as we work diligently and meticulously, the company can still maintain continuous profit growth. How can we ensure this growth?

First, we must maximize the old products and advantageous areas: on one hand, in the production process, we need to achieve excellence in cost, quality, safety, and environmental protection; on the other hand, we must find every possible way to expand our sales through market sales.

Second, although we do not have many new products in the short term, as long as we do a solid job in launching the new products that have already been planned, it will also bring stable growth to the company.

Third, we must expedite the layout and implementation of new product research and development: first, we need to speed up the products under development; second, for the products that have already been approved, we need to obtain the necessary permits as soon as possible to ensure that new varieties are launched continuously within three years.

Through these methods and means, we will help Lizhu get through the three years of difficulties. I believe that through everyone's unremitting efforts, starting from 2022, Lizhu will take off and maintain a high-speed growth trend.

To successfully complete the above tasks, it is essential to establish a cadre team that can fight tough battles.

First, we need to break the previous cadre appointment mechanism and establish a cadre management model that allows for upward and downward mobility. The company's principle for employing people is summed up in eight words: "Only talent is used, both virtue and talent are required." We cannot rely solely on seniority, nor can we only look at qualifications and education; we must also consider the ability to solve problems, and cadres must not remain in their positions without achieving results.

Second, we need to build a good cadre assessment mechanism. Starting this year, cadres at the bottom of the assessment in each unit of the group will be replaced after two consecutive quarters, allowing capable and responsible individuals to take their place. Through assessments, those who perform well should be genuinely recognized, while those who do poorly must bear corresponding responsibilities. Lizhu is a company that embraces all talents, so the heads of each enterprise must establish a scientific, fair, and transparent assessment mechanism to select and retain outstanding talents and eliminate those who do not adapt to the company's development.

Third, we must adhere to the dual approach of internal training and external recruitment. Lizhu has many platforms and needs many outstanding talents, but the current feeling is that "there are too few people when needed." This indicates that the quality of our cadre team still needs significant improvement, and we must accelerate the training of reserve talents. The leaders of each unit must take the role of "HR manager" seriously, as the competition among enterprises ultimately boils down to talent competition.

I hope that each unit will put more effort into optimizing organizational structures and selecting and training talents. The group headquarters has already set an example in adjusting organizational structures, personnel allocation, and optimizing institutions. Each unit and department must do a good job in personnel optimization, with systematic planning to improve work efficiency.

Finally, President Tang said: I hope everyone will do a good job in evaluating core cadres. Cadres at the bottom should reflect well and seriously improve their shortcomings. Everyone has flaws and should continuously summarize and enhance themselves. The company is governed by systems, and once a system is established, it must be implemented effectively. At the same time, I hope everyone has a correct understanding of cadre evaluation; the purpose of cadre evaluation is to enhance the company's performance and the growth speed of cadres, and there should be no misunderstanding.

In summary, I hope everyone is full of confidence in themselves and also in the company!