Ren: if the financial crisis huawei how to deal with?


cloud network hunting note: chairman, ren zhengfei, huawei in internal meeting pointed out that the financial crisis is still not fully erupted, once the outbreak, huawei’s cash enough to eat for three months. As to how to resolve the financial crisis impact, ren zhengfei, think there are three ways.

here are ren speech:

first of all, thank you! These two years the world economy in recession, the reason that we can sit the meeting today to discuss the future architecture, and make a great achievement of the staff are inseparable. We should not only face the history of the past to sum up experience, to face the reality of today to determine the strategic goal of tomorrow.

huawei twenty-five years of development, the basic step for the drums. When the world economy as a whole big climb, we stress scale growth, as long as there is size, as long as there is a contract, it is possible to diluted our variable cost, there must be a profit. At that time, if the selling price, customers can buy our? Certainly not. Now this kind of inertia in the company is very serious, you grasp orders, contracts, regardless of whether the rubbish quality, only need to be able to pack into the sales and blindly do bigger and stronger. In the previous two years, if not we improve the quality of contract management and unswervingly transform strategic objectives, adhere to profit as the center, so we may not be sitting here today, the meeting but let everybody go home.

so we formulate measures over the past few years, such as the management service, terminal products only talk about profits, not sales. When we control the evaluation indexes, it is in transition, the transformation of our budget is not enough, of course, in a period of time, some changes will happen.

a, the response to the financial crisis, we exactly what method?

in my opinion, the so-called financial crisis has not fully erupted, the reform of our society can fast crisis? Not sure now. If reform fast without a crisis, when the crisis erupted, social this big fluctuations, huawei? Financial was Posting, huawei company’s cash is enough to eat for three months, the day 91, the company how to through the crisis?

the first, the base unit must have benefit, otherwise the company will not survive the basic conditions. Some time ago, when it comes to managing board discussion, we must keep the sales revenue for future reform, the high quality delivery of contribution as a basic pay packages and bonuses. During this period, we must unswervingly implement the cadre of bottom knockout. Now we emphasize representative and certain President to bottom out, everyone than growth effect.

the second, we must hold to select the outstanding cadres at all levels from the strategic contribution. Sufficient and necessary conditions of cadres promotion: first, to be able to make the department; Second, the strategic contribution. If you cannot make this representative office produce a profit, we can take out to you; If you have a profit, but no strategic contribution, we won’t promote you. This is both necessary and sufficient condition. Now we select cadres, will slowly adjust structure, thus to make it more conducive to the development direction of the company.

third, do not in some strategic opportunity point in dispute, or local interests will contain strategic competition power. Strategic opportunity for us to open time is 3 to 5 years, brothers from the status quo, be possible for you to take? Don’t say so cruel. Someone says “I can also to”, we not only want to “can”, we have different requirements for different cadres, you want to think about how to afford the mission. If your sales and profits do not go up, not I want to take off your office, you do not have profit, compensation package is filled with small, not enough brothers, under your leadership, the brothers can’t make money, that’s not overthrow didn’t blame you. You really come up with their own combat capability, strengthen learning, to strengthen the recognition of things, to find opportunities.

we are now in the distribution of the salary, bonus may also be unfair, because we just started to get share system, may share in some places a lot, to share in some places are very few, but we will slowly touch the reasonable line where it is. But because you are not well and less points, I have no sympathy for you.

2, how to grasp the strategic opportunity ultra broadband era, preempt the strategic high ground system?

if in the long term, we don’t seize the strategic opportunity, not preempt the strategic highland. The ultra broadband era, what with? We don’t know. Board of democratic life in Beijing to discuss, if we failed in ultra broadband generation, more opportunities in the future will also launch a chance to, we don’t think. So we not only in business, but also in technology, careful analysis what is the objective demand. For now, I have some development on the improvement of hope, but I hope, after all, not reality, we don’t know these hope can become a reality.

in the company strategy 68 strategic opportunity points of the sand, I don’t know that there are several points we are sure? Now the rest is difficult. I just see the film, such as the Middle East Saudi leah DE, LTE completed this battle, to obtain a new enter, difficult degrees than the original and a higher level. The pattern of the Middle East, Asia Pacific, Africa can also.) If we don’t do the strategic layout, also smug, thought huawei do pretty well. To do strategic sand table to know what others that smart, how do we so stupid. Ding Yun also talked about just now, value, value resources and value city, others have long occupied. You don’t always said to subvert the Internet, can try, is not so simple.

100 years ago, dug the panama canal and the Suez Canal is a great strategic decision, look today, it is a great contribution in the history of transportation. In the big data flow today, how many the panama and suez? We don’t know.

we can’t general term strategic highland, also want to put these highlands is divided into a number of positions, to analyze it, and come up with plans and measures, seek truth from facts to be successful. Even if the wireless accounts for less than advantages, can support systems possess? All levels of the company are to focus to the window of opportunity. In the future we should not only on sales to 68 strategic high ground, its strategic opportunity to plan also allows representative point.

by the strategic opportunity point strategy to target not only as a result, the research and development team of weapons but also adapting to chance we fight future big data flow of battle structure, our whole team will focus. In this historical period, we should have the ability to do this. Our company emphasizes on the technical strategy “needlepoint” strategy, it is because we this for 20 years, to strengthen the pressure principle, adhere to do one thing at a time, and stick to climb slowly, like a “turtle” is likely to become the world’s leading in several fields, but it is only a matter of technology leading, not turf.

3, why can’t Himalayan water flows into the amazon river?

we must strengthen the experience and the exchange of ideas, the communication should be widely. Latin America is in a remote area, but in the Internet age is zero distance, Latin America, existing growth is taking place, it has been a window of opportunity. Why can’t we in Saudi oil training cadres, and then draw out the cadre to Latin America into oil sector fight? A region is successful, set up a squad, large-scale training cadres, why the department does not flow problem? As we think about. In the Internet age, the Himalayan water can flow into the amazon river.

enhance heavily armoured brigade, major projects, project management, resource pool and strategic reserve for the construction of the circulation flow assignment can promote cadres, so that the whole team is full of energy. Strategic reserve half cost is borne by the company cost of waste, and the other half is from them to join the project. War victory, with project cost accounting, to fill their own cost; If failed, not to money of the project, bring their own food, eat and went away, so as to make the cadres can strengthen circulation. Otherwise cadres is a stay in Afghanistan for many years, for us to bear a lot of pain, they can only be a hero. Even say with him now, he general rule, because there is no general can be recycled fu skills. If the circulation flow up to, we can give him fu, why he couldn’t stand up? So we’re going to use this for three years, to promote team circulation flow, further make the grass-roots team of outstanding personnel in the process of circulation, can not rot, water form the whole company all levels towards a goal of victory, efforts and struggle.

so, huawei value evaluation standard don’t blur, adhere to the striver for this, work more. You did good, more money, we don’t let cheated, lei feng lei feng also if rich, so people want to be a lei feng. In the 3 to 5 years, the company’s reform task is heavy, the likely prompted me to forward in strategic opportunity, we want to inspire the team to move forward. Over the years have done a good job overall human resources system, and the pyramid model is stable, they also improved, want a potential strength. We lead the charge, from the grassroots cadres to guide employees to middle and top are successful, everybody happily to charge. Some employees tired, can rest, don’t take a few months salary, restored to charge again. I see people wearing vests hair post said, with 400000 shares the following waiver retiree’s responsibility and obligation, I think you can understand. But with more than 400000 staff, if you feel tired, war is to really have a good rest. Cannot enjoy red, huawei points out second startup, it is no good.

we always told certain President as the boss, before someone said “label, I don’t give me less than 40 years old, later don’t call, that small total”. Cadres at all levels, therefore, should not be idle idle but also calls a youth, where there is life, there is charge, will fight until we take to the strategic opportunity!