“Entrepreneurs must have a culture, they must understand business and strategic decisions,” Cao Dewang said. This article from the micro-channel public number: CEIBS Business review (ID: ceibs-cbr) , author: Wang Zong Bai, the first Figure source: Figure worm Creative
Cao Dewang, the founder of Fuyao Glass, recently said two more golden sentences at an event. Someone asked, how do companies survive? Answer, if you want to live, you can live. Others asked, should foreign factories be built in the country to follow suit? Cao Dewang replied: “Of course, vulgarity is heaven.”
Both of these answers have a cloud of mist. When the internet celebrity Luo Yonghao realized nothing through the manufacturing industry and unfortunately became the “old Lai”, Cao Dewang, who went from the manufacturing tycoon all the way to the Internet celebrity, also happened to talk about “entrepreneur Lai” in a forum. He urged the media not to use the word “Lao Lai” again. “It is unfair to call” Lao Lai “. Some people are bankrupt, some are lazy, some are not. Lai is a minority.” He said, “Entrepreneurs Career is a risky business. Encourage them to continue to work hard, respect them personally, and it is best to get rid of the word “Lao Lai”, which is a minimum respect for others. “
It is not easy for an enterprise to survive. In today’s Cao Dewang’s eyes, society must encourage entrepreneurs to take risks. However, those entrepreneurs who are owed money by their entrepreneurs will certainly not think so.
“China Factory” or “American Factory”
If the “custom” in Cao Dewang’s mouth is regarded as the business environment in which the enterprise is located in terms of policies, culture, and systems, the two answers are combined, that is,-if the enterprise wants to survive, vulgarity is heaven. Three episodes of the Chinese documentary “China Factory” show the vicissitudes of China’s manufacturing industry, both the beauty brought by the tide and the struggles and pains. A documentary film “American Factory” filmed by a famous American director was released by the Obamas and their companies. It has also attracted global attention to a Chinese factory in Dayton, Ohio. Cao Dewang was established on the abandoned site of General Motors in the United States. Automotive glass manufacturing plant.
In October 2016, the world’s largest automotive glass monomer plant was completed and put into operation in Morion, Ohio, USA. Fuyao Group invested US $ 600 million, which is the largest Chinese investment in the state’s history, running at full capacityThere will be 2,500 people working here. Previously, GM was the largest local employer. In 2009, GM closed its factory in Morion, causing a large number of local employees to be unemployed, and many families were stranded. The local community regarded the arrival of Fuyao as a revitalization of Morion Opportunities and hope. The good times have not lasted long. Labor, production safety and cultural conflicts have caused some management problems, and they have encountered a fierce struggle over whether the company should introduce trade unions.
In the documentary, in order to “follow the customs in the countryside,” Cao Dewang rejected the suggestion by the Chinese vice president to hang a Great Wall of China in the lobby of the administrative building. However, Cao Dewang will also make any changes to the factory on the grounds of Feng Shui, such as the warehouse door “wrong direction”. This reminds people that he is the owner of this factory.
The factory has been controversial over the past two years. Mary Gallagher, director of the University of Michigan ’s Libersol-Roger China Research Center, says entrepreneurs like Cao Dewang often hire migrant workers Working in their own factories, they think those people are more compliant and different from American workers, who expect a more friendly and equal management style. “He probably has never experienced this kind of pressure from labor before,” she said.
Cao Dewang laments that apart from cheap labor costs in China, other production costs are higher than those in the United States. In the eyes of many Chinese scholars, “he calculated the explicit cost of setting up a factory in the United States, but did not figure out clearly Hidden costs, sometimes hidden costs are also an unbearable burden for enterprises. Many American manufacturing industries are ahead of other countries. Why are there companies that go to other countries to set up factories? “
Cao Dewang ’s attitude is: “Of course I have expectations about the union issue. It ’s like when you go to the tropical rainforest of Southeast Asia, there are crocodiles that can eat people, but the locals can also live in peace with it. So as long as you It ’s enough to understand its habits and laws, and create conditions to adapt. You ca n’t always say, I ’ll invest and cancel the American union, right?
At the same time, he was very angry about the rumors that Cao Dewang ran away in the society: “I do n’t do real estate, I do n’t pay for the money … the money I make is also donated. Why compare me with others? I am IndustrialistThose who care for money dismiss. “
Speaking of money, when he attended the Boao Forum for Asia 2018 conference, he said that “China’s tax burden is too heavy and the tax reduction process is slow.” Write the internal reference and report, pass the proposal of the National Committee of the Chinese People’s Political Consultative Conference, and find the report of the State Council counselor’s office and the National Research Office. ” Lenovo CEO Yang Yuanqing also mentioned in his speech that “Mr. Cao’s account has resonated with many entrepreneurs and aroused heated debate in the industry.”
Not only that, Cao Dewang also expressed his views on most “Chinese factories”: “Large inventory, large accounts receivable … and investment in fixed assets. A lot of money was deposited there.” What is the source of funds? You own a little money, some of the shareholders’ money, and most of the other are short-term loans and short-term financing. They came from the bank. If you have one or two long-term financing, you borrowed usury from outside, then you now If you owe someone else, they will force you to pay it back, and you will have to monetize it. Because what you can monetize is liquid assets. You ca n’t move the current assets, you ca n’t move the accounts receivable, and you ca n’t move the other receivables. Let’s not put the inventory over there, do you want to die? You must be dead. “
Cao Dewang said: “Those little bosses who do business, do it by themselves, scold the government after they are done, and wait for the government to save him. I said, please see, there are 90% of the people below you, who will help They? You people should act quickly and save yourself. “
It is an interactive relationship with the business environment
While doing well, Cao Dewang shouted to all parties in the society, pointing to the issue of soberly understanding the business environment, that is, “the vulgar is the sky.”
Cao Dewang knows the difference between management and management. He once said: “Cao Dewang is a farmer entrepreneur? You are mistaken. When I gave a speech at Tsinghua EMBA, someone asked me if I planned to train a small Cao Dewang, I said that you want to train a little Cao Dewang, it ’s good, but those of you who want to be Cao Dewang, you so-called senior business executives, have to figure out, what will Cao Dewang do? He said that Cao Hui, the eldest son who he regarded as his successor, was a qualified manager and his strategic ability was shortcomings.
Cao Dewang said that he “can’t hire anyone and the company needs this department because of the early days of the business … I asked my grandfather to tell my grandma to go everywhere to learn, and after that, I would train the staff.” For example, in the late 1970s, Cao Dewang once visited the Chief of Accounting at the Fuzhou Water Meter Factory to learn accounting as a teacher. He learned not only simple management knowledge, but also cleared the accounts for future anti-dumping lawsuits.pen. In 1987, Cao Dewang personally set up the financial system of Fuyao Glass. In 1999, he adopted the US Oracle (Oracle) to report information integration data .
Cao Dewang, who dropped out of junior high school, claims that he likes to read books. He does n’t borrow money, and he does n’t borrow books. He said, “Some people say that Cao Dewang has no culture. The difference between ‘Tao’ and ‘Skill’. The accounting, computer applications, mechanical design you studied … various specialties, this is ‘Skill’, the culture is ‘Dao’, it is not clear, invisible, and intangible, but It’s everywhere, as if it’s atomized in the air. You need to accumulate for a long time to settle it to realize them. You are truly educated and look at problems differently from others.
In Cao Dewang’s view, things like MBAs are like kindergartens in the business world—they are all very shallow things, both at the management level. In the 1980s, he once asked a bank in Singapore I asked foreign managers what books to read, and for the first time I knew what an MBA was. Later, he made people buy the MBA course materials from Taiwan, and was pleasantly surprised that “I can understand at a glance, this is what we usually do, but just a summary in theory.” At this time, he was told that Xiamen University had introduced MBA education from abroad. At that time, his enterprise was not as large as it is now, but he also set up 3 million yuan to set up a scholarship in the Xiamen University Management College. In recent years, Xiamen University School of Management has been assisting Fuyao Glass in training talents. On the road of Fuyao’s development, “Xiamen University has helped”. Later, Cao Dewang donated another 200 million yuan.
Cao Dewang also emphasized that “Entrepreneurs must have culture, and they must understand management and strategic decisions”.
Operation and management are often a “dualistic” problem, which the ancients have long recognized. After the Zhou dynasty replaced the Shang dynasty, the feudal feudal lords, Lu Guo was the feudal patriarch of Zhou Gong, and Qi Guo was the feudal patriarch of Jiang Taigong. The two stayed in the center and were not sealed. In fact, the first generation of Luhou was Zhou Gong’s eldest son, Jihou, was the first son of Tai Gong, Lu Ji. In Huainanzi Qixun Xun, an interesting dialogue between Zhougong and Taigong is mentioned.
Tai Gong asked Zhou Gong: “How to govern the country of Lu?” Zhou Gong said, “Respect the relatives.” It means respecting high-ranking people and getting close to their relatives and clan. Jiang Ziya heard and said: “Lu has been weak!” Zhou Gong asked Jiang Ziya again: “Why rule?” Jiang Ziya replied: “Put a good man and give credit.” It means appointing talented people and rewarding merit. Zhou Gong said: “There will be a prince of looting in the future.” It means that by doing so, there will be a monarch who monopolizes the power, a monarch who monopolizes the power, and eventually will stand alone.