Paradox And Contradiction Faced By Traditional Enterprise Pformation

To be frank, so far, China does not have its own management ideas and has no own management mode.

The existing management mode can not meet the requirements of the Internet era, so Haier wants to explore a new management mode.

Today's speech is mainly based on three questions: first, why must we subvert and innovate? Because "unsuccessful enterprises, only enterprises of the times", all enterprises are products of the times; two, how to subvert and innovate? Because there are no existing guidelines or models for reference, so we can only explore trial and error; three, what are the contradictions and paradoxes to be faced in the process of exploring trial and error?

We must step in the rhythm of the Internet age.

Enterprises are the times.

The so-called "epochal nature" means that only when we catch up with the rhythm of the times can enterprises do it.

Therefore, there are no two words in the dictionary of enterprises.

Some people say, "a typhoon comes, a pig can fly" means that.

Haier can get a bit of achievement today.

The rhythm of the times, but now can not step in the rhythm of the Internet age, is still unknown.

On one occasion, a foreign media interviewed me and asked me how to look at the Centennial business.

I said that all the enterprises in the past century were the result of many suicide rebirth and nirvana.

Therefore, it is very difficult for an enterprise to achieve 100 years.

Heraclitus, an ancient Greek philosopher, said, "man can not enter the same river for the two time".

The times are like this river, changing every day. It is no use yesterday's successful way to do today's work.

In the ending of "Peach Blossom Fan", there is a similar expression in "Jiangnan". "Seeing him play Zhu Lou, seeing him feast guests, seeing his building collapse!" in the Internet age, "building collapse" was very intensive.

Kodak, a symbol of American culture, collapsed, and Motorola's global first was quickly replaced by NOKIA. NOKIA had not yet won the first prize, and was replaced by apple.

Why? It's because there is no time to beat the clock.

Stepping into the age rhythm does not mean technology with the times. Although technology is a necessary condition, it is more important to have the concept of this era.

The main characteristics of the Internet age include three points:

1, zero distance.

In the past, advertising was very important.

On one occasion, I joked with the director of CCTV, saying that you earn too much money. If we broadcast an ad, maybe we will not have a Audi.

However, now all users can directly contact with manufacturers. All products on the Internet can be aware that all prices can be compared.

In short, it is Drucker's judgment that "the Internet removes the distance".

Consumers can easily find the products that are most suitable for them.

This makes the value of personalized customization increasingly prominent, and large-scale manufacturing of "zero distinction" will not work.

2, distributed.

Resources are not concentrated in one place, but global resources can be used for our own use.

It subverted the rebalancing of the internal functions of Fargo.

Because you do not need internal balance, but global balance.

3, de centralization.

Everyone says I am the center, and everyone can issue opinions as "anchor". Everyone is the center.

It subverted the bureaucracy.

The essence of centralization is to lead.

Employees don't have less information than you. Why should they listen to you? Haier has to remove the middle level.

Charles Handy has a metaphor, "the middle layer is like a group of roast goose", because there is no nerve, can not reflect the market situation.

The big bang innovation, written by Americans Paul Nunes and Larry Downs, points out that

Unlike the past, it is a continuous progressive evolution on the original basis, but a thorough destructive innovation, a complete disruptive innovation, or "Big Bang innovation". It has three major characteristics:

First, there is no strategy to follow.

The strategy we use now can not be found in the past, and we must innovate ourselves.

Second, uncontrollable growth.

The growth in the past is 10% this year. Next year, we will strive for an increase of 12%. Now it is a double speed increase, or "lotus pond effect" - lotus leaf doubles in the pond every day.

Last year, Ma came to Haier. He told me that I didn't want to grow at all. At that time, the amount of online pactions had reached one trillion, while WAL-MART could only achieve one trillion of the world's stores.

Ma Yun said that growth is multiplying speed, very, very fast.

Why? This network is so large that it covers the whole world.

There was no way to do it in the past, why? Because you have too little coverage.

Third, unstoppable development.

Not only is this business, but the development of the whole business can be very, very large.

In addition, the two authors also pointed out that if you seize an opportunity for disruptive innovation, you must quickly find the next one, otherwise you will be subverted.

Trial and error: strategy, organization and remuneration

How did Haier change its strategy? From the original bureaucracy - the orders issued by the superiors and the subordinates to the user centered ones.

The "person" is the employee, the "single" is the user, "one" is to connect the internal staff and users, the greater the value created for the customer, the more small the smaller the creation; if we can not create value, we should leave.

In the system thinking, the American personality Hara jeddaji says that there are three modes of organization pformation: from the mechanical mode without thinking to the biological mode of single thought, and finally to the complex, multi thinking cultural mode.

When it comes to enterprises, the "mechanical mode without thinking" is the initial stage of industrialization. The "single thought biological mode" enterprise is a person, the boss is very strong, leading the organization is no problem; if the boss is not able to do so, the organization will not be able to do so; now it is a multi thinking cultural mode, all people have ideas, give him an opportunity, a space, can develop, do not necessarily need other people to command.

If Haier employees see market opportunities, they can no longer listen to the leadership above, and can start their own businesses.

As long as you have users, other resources may not be inside Haier, and OEM and design can be searched and discussed globally.

Now users are online and can interact directly.

Our slogan is "my user I create, my value I share".

We put forward the idea that "enterprise is human, human is enterprise", which means building an entrepreneurial platform for everyone, making Haier small, small businesses growing up in the market and becoming big enterprises.

Small businesses continue to innovate according to the needs of users, constantly pform them, and lead them in iteration.

In the traditional era, product development is "waterfall development", which is long and irreversible, and problems prevarication. R & D accuses procurement, purchases are blamed for manufacturing, and manufacturing is not satisfied with sales.

Iterative development is the development and interaction with users at the same time. It is actually a trial and error process involving users. As Silicon Valley has said, "if your first generation of products can not be ashamed of you, it will be too late."

The biggest problem of traditional "broadband pay" is not linked to the market.

Now, Haier has explored the "two-dimensional dot matrix" itself. The horizontal axis is the "enterprise value" adopted by ordinary enterprises, such as sales revenue, profit, market share and so on.

Vertical axis is user centered "user value" and "network value".

Customers and users are two different things: the relationship between customers and enterprises ends at the completion of pactions, and users begin to participate in the whole process from the front end design.

The value of a user lies in its network value.

According to Metcalf's law,

The value is proportional to the square of the network scale.

There are two main points in the network scale: first, network nodes; and two, the number of users involved.

The more nodes, the more users, the greater the network value.

Users will keep track of their needs. We should constantly improve products and evolve with users according to these needs.

Haier divides network value into three key points: iteration, inflection point and guidance.

"Iteration" is to interact with users. "Inflection point", that is, the outbreak point of network effect, enters the stage, and the development of enterprises is irresistible. "Leading" and guiding users to follow you must become the Aboriginal people and become the winner of the winner.

In addition, we have abandoned the international 360 degree evaluation system.

At first, I said that I'm afraid this is not good enough. It's useless in Chinese culture.

Now, we turn to user direct evaluation.

For example, the promise of Haier logistics to users is to "deliver service on time, avoid overtime", and make the enterprise operate efficiently and efficiently.

The incentive mechanism design of entrepreneurial team needs to meet the two principles put forward by the American economist holwitz: participation constraint and incentive compatibility.

The so-called "participation constraint" is that he is willing to do, rather than forcing him to do; "incentive compatibility", personal income and company income are complementary to each other, the more personal creation, the more companies get, the more individuals get.

The mechanism must be designed well, so that employees and companies should not be allowed to play games, not to compete with them, so that he can play games with himself.

As a leader, don't play games with subordinates, you can design a mechanism, and play games with him.

Chuang-tzu has a very good remark, "though there are thousands of people who know it."

The goal of Haier's management innovation is "three oriented": enterprise platform, employee customization and user personalization.

The driving force of the Internet age is no longer the scale economy and scope economy of the traditional economic era, but a platform, a framework for rapid allocation of resources.

Of course, the premise is whether everyone can benefit from it and form a community of interests.

Machiavelli in Italy has a good saying that if one thing can not make everyone benefit, it will not succeed and success will not last.

The goal of enterprise platform is the ecosystem rather than a control circle.

What is the ecosphere? Like a forest, trees die every day, but they are also alive every day.

In the past, the business was a pruned garden. It looked nice but no personality.

What is the employee? It's the executor. He has to do whatever he wants.

Now everyone should be a customer. It's a combination of personalization and digitalization, because the Internet can gather a lot of resources.

All users have his personality.

Uniform products, that will not work.

Chuck Martin, who wrote the battle for mobile terminal, pointed out that consumers are "shopping", not "shopping", shopping at home, on the road and anywhere on the road.

Moreover, if the experience is not good, he can turn his feelings into a live news broadcast. There are too many such cases.

In the Internet era, Kant's teaching of "man is a purpose, not a tool" is especially worth listening to and practicing.

Kant said that everyone, no matter yourself or others, can not regard himself and others as tools, because man is his purpose.

Employees, consumers, business leaders, partners and so on.

Therefore, in my view, cross cultural integration is a false proposition in itself. If you can respect people, no matter which country is actually the same, it's like having Western-style food and having Chinese food, but nutrition is its essence.

Paradox and contradiction

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