Zhao Linzhong Describes The 40 Years' Ideological Emancipation Process Of Fu Run Group From A Small Alley To A State-Owned Capital Shareholding Company.

Chairman of Fu run Holdings Limited

Zhao Lin Zhong

Forty years of reform and opening up have brought about a historic change in the Chinese nation.

Behind this great change is the emancipation of the mind.

I feel that ideological emancipation is neither my liberation nor your liberation, but the liberation of myself.

The power and source of this liberation are enormous and endless.

I have witnessed forty years of reform and opening up, and it is also a witness to these forty years.

Looking back at the road we run through, we feel the charm of ideological emancipation.

Fu run Holdings Group, formerly the state-run Zhuji knitting mill, was founded in the early 80s of reform and opening up in the last century.

In a small alleyway on the upper east side of the river, a few yuan compatriots donated by Taiwan compatriots and 100 thousand yuan of funds allocated by the county industrial bureau are all the furniture of the knitting mill.

In 1986, I was sent to Zhuji knitting factory by organization. At that time, the knitting equipment was old, and the products were backward.

On the basis of the spring breeze of reform and opening up and the courage of Zhuji's "wooden Tuo", which is "hungry for breaking the law", we have begun the journey of reform and development.

But at that time, there were many rules and regulations for state-owned enterprises, and it was inevitable to start doing things just as Feng Gensheng said.

With my experience in the "two light system", if we do not emancipate ourselves from the mind and have no reform spirit, it is difficult for us to break the tight encirclement.

When it comes to emancipating the mind, at that time, there were three sentences in state-owned enterprises.

The most important thing is that workers' affairs are mostly minor matters.

It's very good to hear, but I do not agree with you very much. I put forward that "it is also a matter of great importance to be a worker."

One sentence is: "the enterprise must get the big head, the collective must get the middle head, and the individual must have a small head."

I also think it is reasonable to listen to it. But look at the situation of the knitting factory and calculate the bill. I propose to become a "big head for individuals, a collective head and a small head for the country".

In 2003, I participated in the national two sessions. A leader of the state took part in the deliberations of the Zhejiang delegation.

At that time, the representatives and the leaders at the meeting were all surprised. The "buzz" in the conference hall laughed and talked, and wondered how Zhao Linzhong could say so.

At that time, the leader spoke. You must not be busy. Listen to Comrade Lin.

I drew an analogy: the distribution relationship between the three interests is based on the hundred percent system, the country gets 32%, the collective gets 33%, the individual gets 35%, we are the state-owned enterprise, the 33% of the collective is also the state, and the total sum is 65%.

State owned enterprises are too "dead". They should tilt their personal points to mobilize their enthusiasm so that the country can really get a big head.

After listening to my explanation, I only heard the leader say, Comrade Lin Zhong, this account is good!

There is also a saying that has been poured down, usually said that "big rivers have water, small rivers full, big rivers without water and small rivers".

At the beginning of the reform and opening up, these words sound a little "reactionary". If there is no loose political environment, they dare not say anything. In fact, they are a kind of reform idea.

Through reform, the knitting factory stopped losses and made profits.

Later, second Chinese foreign joint ventures in Zhuji were set up, and the most expensive crown cars in Zhuji were bought.

In the early 90s, comrade Deng Xiaoping published the famous southern talk, and put forward three "beneficial", encouraging, dare to dare to venture, dare to enter, do not argue.

This is indeed a spring story! I remember clearly that in the old office which was rebuilt in the warehouse of Shi Zi Ling, our party members and cadres in the knitting mill brought their stools together to study and speak.

At this time, there are already private enterprises in Zhuji. I think since the contract system is no longer new, it will be changed to "public private partnership", which is between the contracting system and the shareholding system.

For example, there are 1 million state-owned assets in the workshop, and you put tens of thousands of dollars and hundreds of thousands of yuan into it to simulate the shareholding system.

If the workshop has profits, it will pay dividends according to the proportion, and the losses will be proportionately borne.

So the workshop director has pressure and enthusiasm.

"Public-private partnership" was not allowed at that time. We did not argue or quietly.

Fortunately, the effect is good, because state-owned assets have increased.

Since 1992, under the unified arrangement of relevant departments, we have undertaken more than 20 enterprises in a stormy way.

These enterprises should have such difficulties at that time.

They are basically labor-intensive enterprises, with many workers and heavy historical burden.

After our undertaking, there have been some changes in the situation and a smooth pition.

The key is changing ideas and changing mechanisms.

We do not have any brand advantage and capital strength. We must do some articles from the aspects of mechanism, management and culture to stimulate the pformation of all links.

In 1996, the Party committee of the Fu run group summarized and sorted out a series of practices around the ideological and political work over the years, forming the "Regular Ideological and political work regulations", covering 8 aspects, namely, the party building group, the workers' production labor, work study, family life and so on. There are 60 specific provisions, which have really been done by the staff and workers, and some people have asked, in a hurry, there are people who are helping others. They are old and sick and die. Some voices suggest that someone can listen to it. The progress is praised by others. The bad wind and evil spirits are caught. The good people and good deeds are exaggerated, and the staff affectionately call it the sixty.

The regulations have been formulated for more than 20 years, and have been revised eight times. In 1996, the "hard worker foundation", which was set up in 1996, made a total contribution of more than 120 thousand people, more than 13000 times of relief workers, and 1800 yuan of subsidy funds.

In 1994, we set up a joint stock company. After three years of operation, we became the first listed company in Zhuji in June 1997.

Listed, the pressure is not too light, the shareholders' money is not so easy to use.

I said, only happy for three seconds.

We modeled the shareholding system in the light of the mode of listed companies.

That is to say, the production units are modeled as a joint stock company, state-owned assets and listed companies account for a share of the shares. The backbone takes out a portion of the money and jointly buys new equipment for technical pformation.

On the basis of this attempt, since 2003, the system has been comprehensively promoted, and inside itself is called "new system", and some scholars call it "new state-owned enterprise".

We should go all out to establish incentive and restraint mechanisms, and continuously stimulate enterprises' independent technological innovation capability and brand development capability.

Under the condition that the system of reform is not very mature, we put forward that "the state owned brands will not fall down and the mechanism will be changed", which is in line with the Sixteen Party and the the third Plenary Session of the 16th CPC Central Committee's "diversification of investment entities, so that the shareholding system will become the main form of public ownership".

Although a few enterprises still have difficulties, in general, the effect and stamina are relatively good.

Therefore, I often say that emancipating the mind is not a subjective assumption or a strange idea. It is not a matter of speculation, but rather from the objective reality, solving problems and finding suitable paths.

At the same time, we should treat it dialectically. For example, development is the absolute principle, but hard development is not necessarily justified.

Since 90s of last century, the state-owned enterprises have been carrying out the restructuring of the state-owned enterprises. The local government has also issued the directive on the time limit for restructuring. However, due to the special history and current situation of the group (the foundation of the merger enterprises is uneven, the number of employees is more, and the redundant workers are more), we have established the guiding ideology of "soft landing and slow turning", and the internal units themselves are motivated, in accordance with the principle of "unified policy and classified implementation", and can implement the "three thorough" reform in accordance with the norms. The replacement of the workers and staff members in the state-owned and collective enterprises should be carried out smoothly before the property right is replaced, and the time will be changed.

How to proceed from reality and how to benefit the stable development of enterprises and how to liberate the productive forces are what we should do.

Take advantage of the situation and take advantage of the situation to advance reform.

Because of the heavy historical burden of the group and limited effective assets, the industry is mostly traditional business and textile industry.

It is difficult to complete the "three thorough" enterprise restructuring without competitiveness.

In 2006, the local government implemented the pformation of the old city, involving most of the commercial enterprises in the group. We put forward the plan of pforming the commercial enterprises into the old cities and towns, and completed the "three thorough" enterprise restructuring of the commercial enterprises in August 2007. At the beginning of 2010, the local government put the relocation of the chemical fertilizer factory area and the whole silk mill area as a priority work. We proposed to the municipal government the construction of the whole group reform system combined with the resettlement and resettlement. Finally, the state-owned assets supervision and Administration Commission of the property ownership unit formulated the "Fu run Holdings Group Co., Ltd.", and completed the restructuring of the group until December 22, 2011.

In the process of restructuring, we consciously accept the leadership of the local Party committee and government, and the management team is clear about its boundary, "no offside, no vacancy."

The reform of property rights system, especially the reform of the property right system at the level of the group, is a deep water area for reform.

In the process of restructuring, we strictly abide by the norms, and sunlight operation is the biggest politics in the process of restructuring.

We must conscientiously study and understand the policies and regulations governing the supervision and administration of state assets of the state and local governments, strictly according to the norms of restructuring, including the restructuring of state-owned property ownership units of restructured enterprises, the verification of assets, financial audit, asset appraisal, expert review, paction management, the protection of creditors' interests in accordance with the law, and the protection of the legitimate rights and interests of workers, and so on.

In particular, the results of the reform are shared by all the staff and workers. The principle of "strict policy based on policy" is followed by the staff and workers, which can fully safeguard the legitimate rights and interests of the workers and workers, fully absorb the voluntary and equal participation of the workers in the share setting of the proposed companies, and no upper limit on the number of employees in the stock market, and the equality of opportunity reflects the most important fairness to the staff and workers.

Because of standardization, openness and fairness, the reform of the system has been supported by the overwhelming majority of the workers, and it has not only smoothly and smoothly promoted the restructuring, but also has always been able to withstand the test of history.

In December 22, 2011, the restructuring of assets was completed. The change from solely state-owned industrial and commercial registration to the Zhuji Huifeng Investment Co., Ltd. and the municipal capital office, which were held by the staff and management teams, accounted for 81% and 19% of the shares respectively. Therefore, the group managed by "Fu Shuang Holdings Limited" completed the "double replacement" and "three thoroughly" requirements.

Although the system has been pformed into a state-owned capital shareholding enterprise, our Party committee has always been firmly committed to "no matter how the brand is changed, how the system is changed, how the mechanism has changed, the combat effectiveness of the party organization can not be weakened, and the idea of relying on the staff and workers to run enterprises and run the enterprises well so that the workers can rely on them can not be changed".

Due to historical and institutional reasons, although it is difficult to compare with the excellent private enterprises in terms of total economic volume, profits and taxes, we look back on the thirty years of the rich economy. By deepening the reform, the small state-owned enterprises in this area have not been annihilated in a specific context, and have also made certain progress. They made some contributions to the local economic construction and social development. For example, in 1999, when the government was short of construction funds, all the rights allotment funds were invested in the east highway, and the traffic and environment in towns and townships were improved.

After forty years of reform and opening up, I felt that the emancipation of the mind and the golden wealth are the emancipation of the mind and the charm.

Standing in the new era and new starting point, we only need to keep learning and constantly emancipate our minds. We should not only open up but also let go.

We should emancipate the minds of three "beneficial" and our group's "loyalty to the party's cause, loyalty to state-owned assets, loyalty to the cause of rich and prosperous, serious work, fair dealing, honest management, hard work".

Reform and development is an eternal theme. Emancipating our minds is not an end. The reform and development of stability and prosperity is a long way to go.