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Case Study (Volume 5): Difficulties in Overseas Mergers and Acquisitions of Chinese Enterprises

Case Study (Volume 5): Difficulties in Overseas Mergers and Acquisitions of Chinese Enterprises

吴晓波

  • political economy

    Category
  • 1970-01-01Published
  • 153554

    Completed
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Chapter 1 In the words of the editor-in-chief, how many management lessons do Chinese companies need to make up?

Chen Hongqiao is the vice president of the Shenzhen Stock Exchange. In the past few years, one of the businesses he was in charge of was to provide training and consulting services for tens of thousands of domestic companies preparing to go public. This very hardworking person may be a domestic contact Economic researcher with the most high-quality small and medium-sized enterprises.Not long ago, he came to Hangzhou for research and invited me to drink tea by the West Lake.We haven't seen each other for five years. The "meeting gift" he gave me was a newly published book "16 Lessons in Scientific Management".

As early as 2002, Joan Margaret, editor of Harvard Business Review, who has been serving as an assistant to Michael Porter, published a best-selling book that surprised even herself——What is Management? This book is very popular in Europe and the United States. Michael Porter, Peter Drucker and Jim Collins all recommended it for her. The series of principles summarized in the book that are often ignored in management practice are even more popular. European and American managers treat them like treasures.But this book does not belong to China. After it was translated into "What is Management" in 2003, it quietly came to China, and then quietly exited; The inspirational book "Details Determine Success or Failure" was very popular in China; and later, the 96-year-old management guru Drucker passed away, making all his related works the focus of discussion, including China's introduction in the early years but not The "Company Concept" that attracted attention also ushered in a "second spring" after that...

The past of management books has long been dust of history, but when we suddenly look back today, we find that it is surprisingly similar to the management evolution process of Chinese companies. For today's Chinese, we live in a flat world of globalization, where there are no boundaries, all companies and all ideas coexist, and angels and devils sit side by side.Originally, this is also a good thing. The openness of the platform gives us the opportunity to get in touch with the latest management ideas in the world.But in practice, Chinese companies often lose their way.The most typical example is that when the concept of Six Sigma was brought to China in 2001, it immediately caused a frenzy in China. All companies competed to learn Six Sigma, lest they be abandoned by the times.But in the end, there are very few people who really use Six Sigma to improve productivity. Such a process is especially clear today after the events have passed, and the reasons for it are also thought-provoking.

Chen Hongqiao attributed this reason to the lack of basic principles of Chinese management.Through research, he found that in the development of Chinese enterprises, the most basic "Taylor system" of management and scientific management ideas are often overwhelmed by fashionable management concepts and terms.Many enterprises have blindly pursued the so-called management frontier before gaining a firm foothold, unrealistically proposed to become bigger and stronger, diversify, and align themselves with the world's "Top 500"; they have not yet established the minimum process management but started "process reengineering". "; Before forming a standardized and standardized style through refined management, it is necessary to pursue a strategic commanding height beyond the reality possible; before training a rigorous and orderly professional team, talk about "humanized management" and "corporate culture"... Six Sigma is the essence of advanced western management thinking, but we also need to know that it is the evolution of Western enterprises after they have perfected the "Taylor System", and has experienced a century of history.

This is indeed the case. Every major breakthrough in the history of management always comes after an accurate grasp of the basic management concepts. In 1914, Henry Ford encountered confusion. The production efficiency of his factory was low, and the turnover rate of workers was as high as 370%. Ford had to hire nearly 50,000 people a year to maintain a team of 14,000 workers, which was also the general situation in the United States at that time.For Ford, blind obedience and conformity with society were irreproachable choices, but Ford saw more than that. He decided to carry out reforms. He announced that he would reduce the daily working hours from 9 hours to 8 hours and pay workers The daily wage of US$5 is more than double the previous daily wage of US$2.34. This move has caused a sensation in the United States. Many media pointed out that such excessive labor costs will lead to the downfall of Ford.In the end, Ford was not destroyed, but on the contrary, it created a glorious "Model T" era.

Relatively speaking, today, even though China has become a veritable "world factory", we have not ushered in a major breakthrough in management, and even "updates" are rare. We are more of a "fanatic follower". Our competitiveness comes from cheap labor and consuming more resources. We are ridiculed by "Toshiba people" as "fruit sellers" - we are not even fruit growers, because we only know what fruits are needed in the market, and we pack and sell them what.In the past, we were often proud that it took less than 10 years to go through the 100-year history of Western developed countries, but we did not know that during this process, we ignored the initial management that supported the Western modern industrial system. origin.Behind our rapid growth, there may be a sudden destructive collapse one day, and this is undoubtedly the last thing we want to see.

Drucker, who died at the age of 96, was the father of "modern management". In his last life, when people asked him his views on management, he replied: "There is no shortcut to management."In his new book, Chen Hongqiao also points to a similar starting point for the answer. His suggestion to Chinese companies is: start from the "Taylor System" and make up for the scientific management lessons 100 years ago.
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