Chapter 27 Chapter 10 Transition from Family Business to Modern Enterprise

More than 80% of private enterprises in mainland my country belong to family enterprises.In the world, the proportion of family businesses is as high as 65%~80%. In the United States, 90% of the companies are family businesses, employing more than 50% of the labor force. Among the top 500 American companies in the world, 35% Is a family business.Among the Chinese, the richest Chinese man Li Ka-shing owns Cheung Kong, Hutchison Whampoa, and Cheung Kong Infrastructure, etc., with a total market value of 500 billion Hong Kong dollars, and they are also family businesses.Hope Group, controlled by the Liu Yonghao family, is also the leading private enterprise in the Mainland.

Many private enterprises are unable to improve their efficiency, thinking that it is a problem of talents, and constantly changing people, but the result is that they cannot solve the problem at all.Hope's practice can be said to be very worthy of learning by Chinese private entrepreneurs. Since 1993, Hope Group has experienced a period of rapid expansion, and at the same time a large number of talents have come to the fore.They took up different leadership and management positions in a short period of time and created very gratifying achievements. Talents have become a valuable resource for the development of the group.

Hope to put forward the idea of ​​"changing more ideas and less people", the core of which is to encourage outstanding talents to become "long-distance runners" who develop simultaneously with the enterprise.The employment mechanism is to race horses in the field and pay attention to performance, creating a corporate environment that is conducive to the continuous growth of talents in the competition. In fact, talents are not born, but shaped by enterprises. This is like the so-called environment that shapes talents.Enterprises can't just think about recruiting the talents needed by the enterprise, but should create a group of talents suitable for the enterprise, so that the talents can grow continuously in the enterprise, instead of changing talents if they can't keep up with the requirements of the enterprise, it will never be easy to find suitable ones. talent.

In the selection of talents, Liu Yonghao has three basic criteria: the first is experience; the second is education; the third is working conditions.It is of course good to have all three, no one is perfect, in fact it is very difficult to achieve, but you can only use them if you have both.After years of talent building, Liu Yonghao has a relatively clear understanding of the approval of talent capabilities, that is, professionalism, comprehensive ability and quality of character, and good at coordinating relationships. From the perspective of an entrepreneur, Liu Yonghao hopes that the best and most suitable people will come to his company.The size of a talent does not lie in the level of education, but in adapting to the needs of the society, in daring to think, speak, act, and face challenges.Enterprises need all kinds of talents. If you really have a certain area of ​​expertise, it will definitely be useful.

The phrase "Employing people without doubt, doubting people without using them" is no longer suitable for the concept of employing people to the best of their talents under the conditions of a market economy.Liu Yonghao's company changed to "know people and make good use of them, and strengthen monitoring." "Knowing people and making good use of them" refers to getting to know him, getting to know him, using him in an appropriate position, and giving him fame, fortune, and opportunities for advancement. "Strengthening monitoring" means that talents must be subject to system monitoring, and power without monitoring will inevitably lead to corruption.

Liu Yonghao has a lot of factories across the country, including Wuwei, Gansu.Although Liu Yonghao has never been to the factory there since its establishment, the sales of the factory have been increasing every year. Someone asked Liu Yonghao whether he would be afraid of problems in the development of the company if he didn't go. He thought: "I don't care whether to go or not. What I care about is the strategy and cohesion of the company, whether the company has excellent talents, and whether it uses excellent talents. In the most appropriate position. The core of enterprise development is to overcome pure family management. Family management must use capable people and cultivate a large number of talents. To measure the competitiveness of a family business is to see if there is any good Talent is in the right place.”

There are relatively few private enterprises and employees in Gansu.From the perspective of how to develop private enterprises in the west, in addition to the fighting spirit that private entrepreneurs themselves must have, they must overcome pure family management, introduce some outstanding talents, learn from excellent enterprises, and improve the enterprise's reputation through personnel training. core competitiveness. The advantages of a family business are relatively high efficiency and low running-in costs between families, especially in the early stages of family business start-up.When the business is small, family businesses are very competitive.The problem that any family business needs to face is the intricate, embarrassing and contradictory relationship between family members in the company and professional managers hired outside.

Working in a family business, don't always think about replacing the boss, what's wrong with being a happy professional manager!Especially knowing how hard you are working, the fact is in front of you, the boss will not give up his position to outsiders, he will only pass it on to family members.This kind of thinking is common to many professional managers in family businesses. But the existence of professional managers is indispensable in family business.The socialization of company managers can not only improve the company's governance structure, but also better play the role of professional managers, and at the same time guarantee the family's control over the company.

The New Hope Group led by Liu Yonghao has always paid more attention to the use of professional managers.Liu Yonghao's attitude towards professional managers is that they must be authorized in real terms when they are recruited.The so-called "employing people without suspicion, doubting people without use" allows them to have room to make their own decisions, but authorization must follow the "gradual" principle, "mutation" will easily lead to major problems, allow mistakes, and protect and support their development. Work. In handling the relationship with professional managers, the most prominent point of New Hope is its inclusiveness.Patiently wait for professional managers to understand and recognize the company.Compared with a professional manager, whether they can make good use of their abilities and find their position in the company still depends on the space given to them by the company.

When introducing professional managers, Liu Yonghao asked them to have passion, professional ability, honesty and trustworthiness, and agree with the company's corporate culture concept. "In the selection of talents, on the one hand, academic qualifications are valued, but actual work ability is more important; on the other hand, whether a person is diligent, dedicated, disciplined, dedicated and innovative." Liu Yonghao said, "These conditions are not necessarily in It is all reflected in one person, the key is to use people with different qualities in different places and give full play to their strengths, I think this is the best way to employ people.”

In Liu Yonghao's view, an excellent company is like a school, allowing its employees to learn and grow continuously.When Liu Yonghao internally trains managers, he first analyzes which talents are needed for the group's future business strategy development and the current status of talents, and then uses a series of management personnel evaluation systems, such as ability measurement, quality evaluation, employee interviews, etc., to find the relationship between the needs and the current situation. gap between.Finally, the qualification model for the development of professional managers is determined. After years of training, professional managers have fed back all the information to Liu Yonghao, and they feel that they have gained a lot.While family businesses need the help of professional managers, they also give them a lot of space and opportunities for exercise and training. For professional managers, choosing the right goal, choosing the right direction, choosing the right boss, It is also for them to choose the right object of study. Many employees target Liu Yonghao—many founders of family businesses are self-made and use their wisdom to gain their social status.The charisma of their leaders is also one of the reasons why professional managers choose here.For Liu Yonghao, it is necessary for the development of the company to find capable people in various fields.It is the desire of both parties to give professional managers the best treatment, give them room for development, and let them bring hope. Such interaction is the wish of both parties. Liu Yonghao did it.Although the pressure of work is great, what professional managers have gained is also the most.Not only did I learn some of the boss's management methods, but more importantly, on such a large platform, the boss let them go to work in their own professional knowledge field, which improved their professional knowledge. Improvement is the biggest gain for managers like them. Regarding the "authorization" issue raised by Liu Yonghao.Delegating responsibilities to professional managers as much as possible is a direct way to resolve the conflict between the two parties, and it is also the biggest test of the integrity of the cooperation between the two parties.If such an "authorization" policy can be implemented in a large number of family businesses, I believe that the problem of a large number of professional managers coming and going will no longer appear in family businesses. Liu Yonghao walked all the way from the west of China, from Sichuan, and from the ridges of the countryside.It should be said that in the early stage of entrepreneurship, this kind of local taste is beneficial to the industry they are engaged in.Because of the countryside, they understand the farmers, the market, and the society.With the country's accession to the WTO, enterprises are in line with international standards. Only the locality is not enough. It is necessary to learn from some international experience and take the road of internationalization. Only by combining these two can enterprises develop better. .Liu Yonghao called this combination "the combination of soil and foreign". Drawing on international experience and taking the road of internationalization, of course it also includes attracting some international talents.Liu Yonghao went to Hong Kong, Taiwan, even the United States, Canada, and the United Kingdom to recruit professionals.These talents are highly educated, capable, and have experience working in large multinational companies or world-class financial institutions. They are young, in their 30s and 40s; they are relatively hardworking, and most of them are Chinese studying abroad. ——Liu Yonghao needs these people. Liu Yonghao often tells a story. He has a cousin who has worked in the company for more than ten years and has good grades, but he has not been promoted.The cousin inevitably complained, but the group's regulations stipulate that family members cannot hold important management positions, and Liu Yonghao can't do anything about it. "It's unfair and unfair to my cousin, but it's only a few people who lose their interests and sacrifice, and the ones who benefit are enterprises and more educated and talented social talents." Many people say that private enterprises do not need outsiders. On this issue, Liu Yonghao has a clear understanding. In his enterprise, it is "overcorrecting" and simply does not need relatives.That is, no member of the family holds a middle-level or above-level position in the company. Private enterprises should pay great attention to avoiding family-like employment, and implement the separation of ownership and management rights. Specifically, family members exercise the rights of directors and shareholders, and managers are responsible for specific management.Therefore, Liu Yonghao's enterprise has attracted a large number of outstanding talents: there are professors in universities, doctors, masters and college students who have studied abroad. Someone told Liu Yonghao when he came: "I did some research before I came here, and found that you really have no relatives here, and you have given everyone a real space for survival and development. Based on this, I want to come." Liu Yonghao thinks this is overkill the result of. Liu Yonghao has been famous in the industry for many years without his relatives.Liu Yonghao has a nephew who has been driving a car for many years under him. People who entered the company with him at the same time mentioned it one after another, and some even became the general manager. The nephew complained about the injustice to Liu Yonghao. Relatives, so I can’t use you instead, this is my principle, and it’s also your sorrow!” Liu Yonghao thinks this is very good and can attract more talents. So, how to treat talents?Including senior management cadres, technical cadres, middle-level cadres and ordinary employees.The principle Liu Yonghao follows is: first, respect him; second, show employees a bright future, and when he sees a bright future waiting for him, he will work harder; in addition, give employees Create such conditions - so that they are treated appropriately, and can be respected, respected by society, and satisfy their spiritual pursuits. One day, a Hong Kong reporter said to Liu Yonghao: "With how much money you can invest, you can 'immigrate' to Hong Kong. Are you willing?" Liu Yonghao replied: "Now it is not a question of how much money I will pay to 'immigrate' to Hong Kong, but a question of how many outstanding senior managers I want to recruit from Hong Kong to work in the Mainland." This shows what?It shows that people's mentality is changing.In other words, people have more confidence in the Chinese economy and in running businesses in China.Because of the good policies of the country, the hearts of these private entrepreneurs are more at ease than before.Private enterprises have been used as a useful supplement, but the supplement makes people feel that it is dispensable.However, as an important force in socialist modernization, the meaning is different, and important forces are indispensable.This is different from the past. In the past, while growing a large enterprise, one had to consider which country to apply for a passport and which country was safer. The company can maintain sustainable development in a highly competitive environment. In Liu Yonghao's words: "The key lies in employing people."Liu Yonghao himself is a mechanical student, and has never engaged in feed or real estate. His expansion relies on the management of well-trained talents.After years of development, "Hope" has cultivated a solid team, and the key to sustainable development is to form a stable and powerful talent structure. In terms of culture, Liu Yonghao advocates an inclusive corporate culture, "Tolerance is great." If an enterprise wants to continue to grow, it must continue to inject fresh blood.Joiners can bring passion, vitality and new thinking to the company, while old employees are more loyal, and sometimes conflicts of ideas are inevitable, which requires an inclusive spirit.Combining old and new and using them where they should be used.Many private enterprises have collapsed, most of which were caused by the troubles of old subordinates. After entering the 21st century, the depreciation of knowledge has become faster and faster.Any enterprise that strives for progress must create a unique corporate culture through continuous learning. As for a private enterprise that has been developed for many years, its unique management method has already penetrated into every link of the enterprise.In order to continue to develop the market, it is necessary to continuously strengthen learning, and continue to promote the excellent corporate culture of New Hope Group in the learning, so as to improve the quality and ability of corporate employees. The development of New Hope has probably gone through three stages: from 1982 to the start-up stage in 1995, Liu Yonghao was not only an entrepreneur, but also a strategy maker, a manager and an operator, and also served as a porter, driver and accountant; From 1995 to 2004, Liu Yonghao was no longer a porter, driver and accountant, but a chairman, a policy maker and a manager; in the third stage from 2004 to the present, he became a strategy provider creators and strategic goal setters.In the next step, New Hope still needs to develop, and it must develop towards a modern enterprise system with positive and standardized management. Liu Yonghao attributed the development of New Hope to his "addition, subtraction, multiplication and division" in the process of enterprise management.Liu Yonghao once claimed that "I learned my MBA from the countryside".At the second annual meeting of the China Entrepreneurs Forum held in Yabuli, Heilongjiang on February 25, 2002, another "Primary School Mathematics Theory" was proposed.He said, "Elementary school is the basic skill. After finishing elementary school, we will go to middle school and university. Only when our entrepreneurs are truly mature can we truly participate in international competition." Liu Yonghao said: "With China's accession to the WTO, foreign companies have entered China on a large scale. In front of foreign companies, I feel like a primary school student. I need to re-learn primary school mathematics courses. The most important thing is to learn basic addition, subtraction, and multiplication. ,remove. "Addition is to increase the awareness of modern enterprises. It is necessary to introduce international standards for talents and establish the legal awareness and credit awareness of modern enterprises. Use the incentive mechanism to introduce some excellent management talents and increase their trust and responsibility. "Reduction is to reduce the specific management functions of the enterprise. In the past, many tasks such as production, sales, finance, and personnel in private enterprises were personally done by the core leaders. In the future, these specific tasks will be handed over to other managers. Liu Yonghao has more than 400 employees. In most companies, he was the chairman of the board in the past, and he had to participate in every board meeting, so that his daily energy was spent on participating in the board of directors, which was a waste of time. Now it is reduced to only a few company chairman, so that Free up more energy to consider the company's development strategy, worry less about specific affairs, and improve efficiency. Liu Yonghao said that a few years ago, his mobile phone was always ringing every day. Since he did the subtraction, now For a long time or even a day, the mobile phone didn't call much. "Multiple means introducing brand management and participating in the capital market. He took New Hope Group's shareholding in Minsheng Bank as an example. The 1 yuan invested at the beginning is now worth more than three or five yuan. "In addition, it is to completely eliminate the phenomenon that the chairman of the board of directors covers the sky with one hand. He pointed out that there is a kind of consciousness in family businesses: the company is mine, the general manager is hired by me, and the employees are recruited by me. , Middle-level cadres, etc. have become decorations, and as a result, there have been mistakes in decision-making." By doing addition and subtraction, Liu Yonghao subtracted his many positions as general manager and chairman, which enabled him to have more energy to consider corporate strategy and long-term planning.The group selects excellent talents from within the company, from society, including from around the world, and invites them to participate in the management of the company, which enhances the vitality and cohesion of New Hope Group. "Management cadres are doing addition, and I am doing subtraction. Adding '50' and subtracting '50' seems to be equal to '0' on the surface, but this is not simple arithmetic or simple '0'. Because this creates a batch of There are hundreds more chairmen and thousands more management cadres. With such a large number of young, passionate and willing to develop together with the company, our company’s market competitiveness will become stronger.”