China’s economy has been the rapid growth phase of flight to quality development phase, qualitative growth of Chinese enterprises, especially large enterprises have shifted from quantity growth. Chinese enterprises to achieve sustainable growth of high-quality system task is to accelerate the formation of a system of high-quality strategic objectives of growth, the standard index system, performance evaluation system, and create and improve relevant institutional and cultural environment. Future has come. In the past, we are adhering to the “we, absorbing, integration process, dreams” and “guiding principles”, the achievements of the Chinese enterprise management “than the school catch-up” brilliant performance. We believe that the , Chinese entrepreneurs should think of “political belief, China road, global awareness, the bottom line thinking” new “guiding principles”, so we designed the next 30 years to a hundred years ago 30-year review and outlook of the Republic of vision, the middle 40 years, the next 30 years.
stood the day after tomorrow to see, based on the 2049 design starting from today the next 30 years, to continue to learn from the Western mode of thinking, innovative technology and methods continue, continue to make achievements in the future, continue to make contributions to the world. “Big but not strong” has been some criticism of that 500 Chinese enterprises, innovative spirit but lack of innovation, but strong local low degree of globalization, also well-known Chinese enterprises weaknesses. These three issues, precisely the growth of Chinese enterprises three objectives: first, from “big but not strong” to “big and strong”, the second is the “imitation follow” to “innovation lead,” and the third is from “local businesses “to” global enterprise. ” From “big but not strong” to “big and strong” After 70 years of development, Chinese enterprises have basically completed the task of bigger, stronger and has become a goal for the next 30 years continue to struggle. What is big? What is strong? We make the following analysis from six angles. First, from the “many” to “potential” China’s population, the large base, a large number of STEM (science, technology, engineering, mathematics, English acronym) personnel, in the forefront of the world in absolute terms. Our market is huge, there is enough space for economies of scale, certain products as long as the domestic market over the economies of scale points, you can gain a competitive advantage in the world market. The 2019 “Fortune” Global 500 companies list, the number of Chinese enterprises has 129, is the first time China but also in other countries for the first time on the list than the number of US companies. However, these are just the quantity, not yet sufficient lead actorPotential. We need to perform a comparative advantage strategy, “one of the best number three”, one of the best from the domestic number three in the global number one of the best three in the core industry for more oligopolistic position, a position of strength. Enterprise resource to be used by scattered to set strategic focus point; corporate action to attendance by the chaos, “the battalion gun”; the number of enterprises to be from more to less, “grass tree change”; business decisions to be made “guerrilla team “to” strategic forces “, global deployment. Second, from “full” to “office” After 70 years of growth and change, China has become the only country in the world has the whole industry chain, covering the United Nations Industrial Classification of 39 industrial categories, 191 classes and 525 subclasses to form the current range of the world’s “single copy” of the industry industrial system. But this “all” is only “big” is not strong, strong card to let people die, which would be a strategic layout. The history of Chinese technology companies have been embargoed by Western countries, blocking market and legal sanctions, hindering our growth rate but did not block our way out, we prove in domestic and international strategic layout is effective. Facing the new situation, in the future we must work hard on the strategic layout in key technologies, strategic product areas distribution business, rather than focusing on the GDP and the revenue scale. The overall architecture consists of three levels: First, the industrial system; the second is the financial system; third is confidence in the system (ie, expected regulatory system). Entity is the foundation, is financial leverage, confidence is strength. In other words, the layout is to control the real economy, and clear the good “blood” economy, and coordinate the “heart and brain” economy, the formation ratio of the three large right frame. Go layout have eyes, there is gas, only to stay alive. Enterprise layout is to seize strategic points, teams can support each other, ample reserve power, but also a peripheral alliance support. Bureau enterprises see “the three parties.” Two parties involved in a transaction, more than three parties are involved in the layout. Trading is a businessman practice, it is easy to fall into a price war. The layout is the entrepreneur approach, we must first distinguish the enemy, I, the Friends of the three parties; secondly to open cooperation, pull the Friends, authorities and authorities to enter; Third, we must determine how much must be more than the opponent in a particular area, how fast to reach the target, to mobilize how many resources to seize the opportunity to maintain the leading position and advantages. Bureau enterprises “Three innings,” that pattern, layout and outcome. The use of “standing on the day after tomorrow to see” mode of thinking, business design first acquired the outcome, then according to the current pattern of resource mobilization for tomorrow clothBureau. For example, to enter the international market, not the market from the beginning, but starting with government policies, laws, according to the current competitive landscape changes affect the mobilization of resources, time is ripe to re-enter the market. Third, from “quantity” to “rate” the amount that is the amount, revenues, assets of the investment amount is big and so high in absolute terms, the molecular denominator of the ratio is “strong.” Data show that China’s enterprises in developed countries has not lost on the amount or volume of these indicators, but at the input-output ratio indicators, there is still a gap, which is what we call “not just big and strong.” Do first bigger and stronger, probably a majority of the basic path of business growth. From large to strong goal it is with the growth of the enterprise, the pursuit of quantity index as an indicator of the gradual conversion rate importance. Per capita, all assets, the proportion of time equal productivity in the enterprise evaluation. Fourth, the “block” to “fast” Chinese enterprises, especially the general characteristics of central and local state-owned enterprises is “are bigger,” that is, personnel, organizational huge asset especially in fixed assets. This helps society to solve the employment problem, reflecting the corporate social responsibility, but in the fierce market competition, too many employers, large organizations often resulting in slow, bureaucratic, cumbersome and complex internal coordination so on. On the other hand, China’s asset-heavy companies tend to be more severe than the cost of the asset lighter burden: First, high financial costs, working for the bank; second is the slow turnover, the transition is difficult, operational efficiency and poor efficiency. In shortening cycle, rapidly changing information society, “fast fish eat big fish” has become a general phenomenon. Requirements of the enterprise is “fast” precious in war, but also the elephant dance: transmission of information in terms of milliseconds, according to calculations per second production operations, delivery speed is calculated by the minute, online command system has been achieved. To adapt to the environment quickly, fast response to customer demand, the company’s sensitivity to the environment, tissue viability and flexibility is a must. Fifth, from “temporary” to “permanent” pursuit “Fu, Lu, Shou”, enterprises pursue the “big, strong, long time.” Seize the opportunity to grow up one o’clock brutal business is “big”, but not “strong” long-lasting “Big” is “strong”, that is, the pursuit of corporate health, steady and sustained growth. Sustained Growth of Enterprises need to build a system of five levels: First, sustainable growth as the company’s core values, and so do the strategic positioning; second is to attract even monopoly number of outstanding talents, build a team identity core values; Third, design a good incentive mechanism; Fourth, trading rules, technical standards, intellectual property rights andMonopoly of resources to form a “legal monopoly” strategy; 5 is to establish an open ecosystem to ensure effective competition inside and outside the enterprise. Enterprises to maintain long-term strong, but also firmly on the strategic direction, huge in strategic areas for investment. Sometimes not even care issue, “a city of a pool of” gains and losses, do not care about a person, a skill sacrifice a product. From “big but not strong” to “big and strong”, Chinese enterprises will adhere to the “rich and not lazy,” “strong but not tyrants.” By the “imitation follow” to “innovation leads” One, based on the enterprise ecology, competing to establish market mechanisms not a battlefield, competition is not war. Business growth requires both competition and cooperation, to establish mechanisms for cooperation and competition, to distinguish objects competition and cooperation, to grasp the scale of competition and cooperation. Not only customers and competitors on the market, as well as other stakeholders, these interest groups will form increasingly close relationship between the business grows, this relationship is divided into four layers, its tone is cooperation on the basis of certain competition relations, competing mechanism of a complex structure is superimposed. The first layer is the enterprise customer relationship; the second layer is a competitive relationship between peer companies; third layer is the business alliances; The fourth tier is the public relations business. Public relations is the first “three governance” relationship – the relationship between business and government, policy, politics; secondly relationship between enterprises and the media; relations with the law again. Four basic principles of handling relations are: customer service, competing with their peers, building industrial ecology, and the pro-government clearance. How to build Cooperation Mechanism? One reason to find areas of cooperation. For example, industry standard jointly developed, the core component of joint development, joint venture rapidly expand, patent exchange cost savings, sharing resources to build the value chain. The second is rational in choosing partners. Outstanding enterprises to be good “chickens to lay eggs,” “borrowed boat” “through the ladder upstairs.” Profit sharing and seek the right Control Engineering Copyright , the strategic focus points; open and cooperation, build ecosystem. Second, based on the strength of enterprises, to build the presence of “seven forces model” Enterprise Alliance, Enterprise Group, largely determines the competitive landscape of enterprise, and government policies and regulations changing threat is huge. Therefore, we added two already an indispensable factor in the traditional Potter “five forces model” based on the construction of a new “seven forces model” (see figure). The sixth is the ability to force partners. Not only is competition between enterprises, as well as cooperation. The power of collaboration has become a core component of the competitiveness of enterprises. Previous competition between individual enterprises is becoming a competition between the enterprise value chain, into a competition between business groups and consortia. Therefore, the number and nature of business collaboration within the enterprise group is an important new factor affecting the competitiveness of enterprises. The seventh force is a threat to force government policy or rule changes. Due to instability or sudden change in policy, such as interest down, the stock market listing rules changes, changes in real estate control policy, tax policy changes, are included in the “Entity List” and so on, will suddenly appear crisis, in extreme cases may even be placed in the enterprise death. Third, based Everlasting, corporate design heritage more than a century Japanese companies have thousands of Japanese companies pursue “so long”, and that Japanese business people “heritage” values, “improvement” management mode, “linear” mode of thinking, “longitudinal order” organizational models and features “cooperation-oriented” ecological model has a lot of industry. The contemporary Chinese enterprises are pursuing “bigger”, which Chinese business people and “strong” values, “innovative” management style, “Book of Changes” mode of thinking, “horizontal order” organizational models and “competition-oriented” business eco-mode are closely related. However, as Chinese enterprises to develop high-quality and maturity, some Chinese companies seek to do for a long time will become strong demand, some management methods of Japanese companies will continue to be something to learn from. Japan to improve learning, learning American innovation, sustainable growth and thus learn Japanese, may become a trend. Built to Last, First, and survival benefits. Life a hundred years is a generation, a generation company, but 34 years, the older generation of entrepreneurs are shift, modern China is big business on the world stage, China’s enterprise specializes in the field of intelligent information industry is beginning, the era of Chinese management advantage is coming . Companies need to do for a long time, we need to build enterprise management system and mechanism “left who can go on to grow to survive”, in other words, is the establishment of “no-life management system” by the life of natural persons into corporate life, really life begins organizations – we called the “law of life.” Organized life of an enterprise to be dry from generation to generation, passed from generation to generation, from generation to generation change, generation after generation to become stronger. What people each generation business goals and tasks? That is, business resources to prepare for the post after a generation or generations. These resources include five kinds. The first resource is talent. We want to personnel selection and training of personnel. ToInvestment in basic education from primary school, to the selection of boy genius, to work hard in training a large number of science and engineering talent, to establish mechanisms to promote enterprise talented people. The second resource is a property. Valuable life is not the possession, but tradition is to leave more assets to the next generation, and enable them to continue to maintain asset value. Entrepreneur’s duty is to create wealth, the asset value for the benefit of the world. The third is resource materials, including land, sea, air, space, cyberspace and so on. The fourth resource is data. Human, financial and material behind common items or general equivalent is the data, everything can be reduced to data. We need to study what data is (WHAT) – is the value of the data, the data is, assets, data is power. We need to study how the data pipe (HOW) – how to create, how to trade, how to collect, how to organize, how to pricing, how to transfer and how to control and so on. Future Society may have been coded digital superposition state or quantum entanglement, a “supercomputer” by leaps and bounds, “cloud computing” around the Octagon. The fifth resource is power. We want to set up some organizations, occupy some seats, develop some rules, to master certain rights. To people, financial, material, the number of these resources from generation to generation, we have the layout of power, stood on the day after tomorrow layout; in products, technology key points at key layout in the industry, geographical, form oligopoly structure, building leaders authority. Human, financial, material, number, weight Control Engineering Copyright , for a big country and a big country posterity the survival of enterprises, are indispensable. Fourth, based on centuries target, 30-year planning blueprint 1) change from a system of governance perspective, we have 70 years of Chinese enterprises is divided into seven stages: from project-based, factory system, entrepreneurship, Ltd., joint stock companies, virtual ownership system to mixed ownership. This is our business from small to big, from big to strong, from following the lead from a leading international leader in history. It has gone through five stages before, after two stages heavy tasks. Today, mixed ownership has become the forefront of the reform of corporate governance. 2) from the practice of international business growth perspective, we Chinese enterprises into five stages of growth. The first stage is the dummies, selling resources, emphasis on low labor costs, resource exchange foreign currency; the second phase of selling products, attention to quality, service and price; the third stage sell-scale to large-scale manufacturing to reduce costs and achieve the price advantage; The fourth stage sellTechnology and equipment, high-speed rail, communications equipment, construction began local leader; fifth stage began selling rule criteria, participation in international organizations, and standards for voice, rule-making power. Such as Huawei, State Grid, China Guangdong Nuclear, in the car, Dajiang Innovation, BYD, and Tencent, Alibaba, Baidu and other Internet companies. 3) From the political and business relationships change of view, probably divided into five stages. Government and enterprise integration, decentralization, separating the political and business cooperation to create environment-oriented government, our political and business relations between government and enterprises did not go to the other extreme type of divide and conquer Europe from the traditional business model dependent, but form the type of cooperation between government and enterprises of the East – Japan is typical of the type of cooperation between government and enterprises. The future, we assume that the government should build toward a better business environment of “creative environment” The government improved. Fifth, to explore effective management 1) the management of growth based on the growth of change. Future high-quality growth stage of the shift or change lanes of Chinese enterprises, enterprises generally face major problems is how to effectively manage the growth, which is a major challenge for entrepreneurs. We should note that the four trap on the growth path – unknown direction and speed do not control, do not repair the road and do not prevent the crisis. (1) unknown direction, and strategic mistakes that have to do certain things, mainly in investment is speculation, excessive diversification; (2) the speed is not controlled, resulting in “step on the gas” and “brakes” of the movement disorders ; (3) the road is not repair, is the cost of “a brain” and “long stature” imbalance, companies do not form an effective management and control system can not be established “left who can run” and “inanimate management system”; (4 ) does not prevent the crisis, it is to deal with the anti-risk measures Seizing an opportunity and mistakes. 2) management of change. Blind change hazards. Huawei has seven treatment change firmly opposed: firmly opposed to perfectionism! Firmly opposed to complicated philosophy! Firmly opposed to blind innovation! No local optimization firmly opposed to the overall efficiency improvement! Firmly opposed to not change the overall concept of leading cadres! Firmly opposed to no practical experience of business people to participate in change! Firmly opposed not been fully demonstrated the process to try it! The purpose is to lead the era of change, cohesion and stimulate vitality. Competitive enterprises will strengthen cohesion. For example, he emphasizes team-oriented, emphasizing win the celebrated toast, Baize desperate rescue, rigorous assessment of cadres. Performance ability and political integrity to performance first, Germany rejected, only to assign the post. Adhere to the “three evils”: anti-laziness, anti hills, anti-corruption. This resultsCohesion. But this cohesion and companies need expansionary paradox, such as “no clean water to fish, is clear there are no people.” Anti-Corruption Corruption is absolutely necessary, but can not influence the innovation of outdated laws and regulations, to create a good environment for the growth and innovation of enterprises and entrepreneurs. Corporate customer service, around the market; the government to serve the community, people turn around; all serve the country, the future of China around the turn. Stimulate the vitality of the expansion is to strengthen the force. To expand we must respect the individuality, encourage assault; stimulate the vitality of , we should not the person, and then test things Xiankao people. Expansion itself is a dissipation of cohesion, cohesion goals in order to survive, clenched fist to hit out. To survive we must have expansion force, which is a contradiction, control and effectively resolve conflicts will be conflict dynamic business expansion. Sustainable growth of enterprises, we should have a good dissipative structure, gather together what must be dissipated, or can not produce energy. This is the dialectical point of view of growth management. From “local businesses” to “global enterprise” We want to build a world-class talent cohesion, data intelligence global company. First, based on business growth, building a world-class Chinese enterprises are gradually by the local state-level enterprise-class business growth for the future to be more world-class enterprise. We predict that by 2049: First, the world’s top 500 enterprises in China have more than 200; second, there will be more than 100 Chinese brands in the world’s top 500 brands; third, dozens of Chinese companies growth and change mode and become a world benchmark for the University of Foreign cases. This requires us to make what change in the next 30 years? 1) in terms of ideology, it may take five important changes: First, beyond thinking businessman, entrepreneur form of thinking; Second, beyond the opportunism, the formation of strategic situation awareness; third is to get rid of herding, wolves form of collective struggle; Fourth to keep the system open to form an effective control; five high Dimensional Thinking master, to form a dynamic ecological. 2) In word and deed, you may need five basic changes: pointing to a map of the world, not just China map resource planning; second, to use the language in multiple languages and translation functions, not just in English, Chinese and even dialect; Third, we must hire the employee countries, not only is the Chinese people and even friends and family acquaintances; Fourth, we must count with multiple currencies and digital currency, and not just the yuan and the US dollar; FifthWell-known national religious cultural practices, not just Confucianism, Taoism and Buddhism. 3) strategically, you may need to “four policy” to “four theory.” Changing political and economic world, the enemy, I, the Friends of the complex relationship, which we need to adopt flexible strategy and tactics, determined opponents, other research, planning countermeasures. At the strategic level, the opponent takes the “four”: the threat, public opinion atmosphere of Chinese threats; rules on, accusing China do not follow their set of rules to do that favor their rules to curb Chinese competition; color theory, provoking political ideology, religion to engage in “color revolutions”; collapse theory, conjecture inside China out of control, self-collapse. For “four of” opponents, we should have our own “four policy”: The first strategy is to strengthen the sense of crisis. We are walking on the road uphill climb, we believe it will slide down, the opponent will be the lifeblood of our card, which we need to inspire a sense of crisis, unite as one, to keep up their pace of development. The second strategy is to focus on large resources. We use a good institutional advantages, pooling of resources do big things, can not be naive delusions many small businesses with a cumulative way to grow a little bit slowly – nobody will give us the luxury of time so much. The third strategy is to create a new civilization. The road from China, Chinese religion, Chinese culture, Chinese management, Chinese people’s mindset departure, promote tolerance, harmony, partners and other core values, common values involved in the concept of reconstruction of the world. The fourth strategy is to build a super-economy. At the same time to strengthen the economic power, political power play, military, and law, to protect our interests in the world. Second, based on the flow of talent, strengthen personnel gather more and more modern people do not belong to a fixed area of an organization. “Flash” has become a buzzword, flash, flash delivery, flash marriage, flash off, flash speech heard. In the past by the cause, treatment keep people sentiments such as the role is disappearing, modern enterprises to implement the “free employment” system “does not keep people know to stay.” Traditional enterprise “Capital wage labor” mechanism to transform into a mechanism of “knowledge hire capital”. To the logical owners of capital to purchase labor, pay labor costs into knowledge owners to purchase capital, to pay the price of the logic of capital, namely the transition from the logic of capital is “knowledge” logic. The most effective talent management is: people in the best age, the best job, to make the greatest contribution to get the best return. Otherwise substitutions, leave. Water flows to lower place, man goes to higher position. China to become a manHighlands before, we must build immigrant culture. China has started to become a destination for talent cohesion, although there will be a variety of problems Control Engineering Copyright , but we have to learn effective management mode and method of immigrants. However, due to China’s large population, talent, like the United States may be difficult to attract immigrants as tens of millions, but we can continue to explore new ways in the domestic provinces and cities continue to bring up immigration. Look immigration city of Shenzhen, Guangzhou, Dongguan, watching talented people to Beijing, Shanghai, look at migrant workers gathered in Jiangsu, Zhejiang, we can prove to stimulate regional activation through immigration to a great extent. Enterprises should be the talent highland, we should be able to unite the global construction business talent. Talent is a group of courage to leave their homeland, to give up the past, exploration, adventure people, diverse culture, easy to encourage people to jump out of old habits, old customs, old ideas, establish new rules, new ideas, new organization. Founded talent cohesion enterprises, enterprises rely on geopolitical relations is not formed as in the past of merchants, business Lu, Shanxi, Wenzhou businessmen, Chaozhou and other businessmen, but not blood family business, but brings together outstanding from across the country, all over the world talent, they are recognized on the basis of core values, rather than come together on the basis of kinship, geopolitical, on the edge of the school. Facts have proved able talent pool of companies are truly innovative, dynamic organization, I believe that with the construction “along the way”, with the construction of “New male security”, with the continuous improvement of China’s international status, national cohesion and global talent business will flourish in the new era. Third, based on industry changes, the establishment of data into smart new China 70 years ago, China has gone from first to second industry-based industries, the tertiary industry to the current, is mainly transferred to the Fourth Estate, historic stride. From the 500 Chinese enterprises list changes in the industry in the past 18 years, the number of manufacturing enterprises will see decline in the number of business services rise, new industries emerging business trends. In this basic trend, entrepreneurs how to plan the growth blueprint it? Chinese enterprises profit margin has been below the US level, and this level of overall profit industry where companies are related, but the level of profitability of different industries and this industry compared to other industries market position and pricing power have a great relationship. Oligopoly or monopoly position in the course of business have greater pricing power Control Engineering Copyright The corresponding profit level will be high, Apple, Google company so, Facebook, Amazon so, Qualcomm, Boeing is also true. Specific to the business, you will find that these companies are selling data, selling techniques, selling patents, rather than selling products. If we stand today with the prospect of thinking of tomorrow, the current task is to learn Chinese enterprises in developed countries, to promote the rationalization of the structure of the three industries. However, if we are standing acquired design thinking tomorrow, it should be reclassified industry and its future, we designed the strategic high ground , and that is to build “enterprise data” . In fact, people have begun to divide the industry to re-think and act, put forward the concept of the fourth industry. The fourth industry is different from the first, second and third industries in the traditional service industry data (also known as knowledge-based industries, information industry), it is generally considered to include intelligent, medical-related research and development, high-tech scientific equipment and technical education investment, information communications industry as well as public and social functions of administration industries. Now, e-commerce, data consumption, modern supply chain, the Internet and other new technologies and new financial models with each passing day, new data services is becoming a hot spot for innovation and entrepreneurship. New industrial classification there is a corresponding trade classification, we are here to trade trade is also divided into first, second trade, third and fourth trade trade, respectively, in commodity trade, industrial goods, trade in services and technical data and trade. The European Union has issued “General Data Protection Regulation” (GDPR), trying to master the rules and standards in the field of production and trade data making power. Currently Chinese enterprises are only included in the trade of goods before the more developed of the two, resulting in a trade surplus of goods, but trade in services and technology and trade deficit data, which is a strategic space for China’s enterprises now and the next 30 years of development. Given the imbalance of Chinese enterprises development of industries and geographies, companies should combine their actual, realistic manner “four modernizations” (mechanization, automation, and intelligent data), rather than blindly pursuing advanced and world class. We believe that the , any time, to enterprise-based animal husbandry and fishery industry is the basis of the first people to survive, “to end jobs in their own hands”, which is necessary based industries; to manufacturing-based industry is the country’s second powerful guarantee “food toOut of their own species, “This is an important industries; financial flows to the tertiary industry is the performance of national prosperity,” Life is colorful “, which is the need-based industries; data-based network is the fourth industry the protection of national tomorrow, “China always dream to be realized,” this is the type of industry you want. the next 30 years, Chinese enterprises in the first two or three industry will have a huge room for growth, but the data will be more industrial and trade data strategic position, we must make great efforts to build business intelligence data.