2/3 of the problem enterprises in China are all “eunuch-style” enterprises?

  Under the crisis, the organization’s ability to “live to death” is increasingly being tested. When Shanghai gradually resumes work and production, how should those enterprises that have been pressed the “pause button” accelerate their recovery? Where exactly should an organization’s antifragility come from? To avoid corruption and accept fate, accelerate self-innovation, enhance organizational resilience and achieve a long-term foundation, all of which are inseparable from the construction of organizational strength.
  ”But even before the epidemic, the average lifespan of small and medium-sized enterprises in China was only 2.5 years,” said Wu Jianguo, the former vice president of human resources at Huawei. “People’s lifespan is getting longer, but the lifespan of enterprises is shortening. Half of the stores are open for less than a year, and they are constantly changing.”
  In “Game of Thrones”, the famous phrase “everyone has one death” runs through the entire work. In Wu Jianguo’s view, all companies are also mortal. To avoid the end, he emphasizes that the limited resources and energy are invested in the realistic proposition of “surviving” for a long time, which requires the construction of organizational power.
  However, compared with building new business models or products, it is extremely difficult to build excellent organizational capabilities, and most companies cannot overcome this high hurdle. “China Europe Business Review” New Organization Observation Studio interviewed Wu Jianguo, who has rich practical experience, and asked him to discuss the construction of organizational strength and how to create the source of organizational vitality.
  The following content is compiled from an interview with Wu Jianguo.
Call layoffs “graduation”, no need to cover up

  In the future, human beings must be ready to reinvent themselves every ten years, throwing away their outdated knowledge, skills, experience, assumptions and connections, and start over.
  ——Yuval Harari
  Recently , some big factories refer to layoffs as “graduation”. I think this word is used incorrectly. The layoff is a basic action for companies to deal with changes. There is no need to cover up, and cover up also changes. If there is no negative impact, it is better to speak out frankly and directly.
  In every company, talent iteration is inevitable. Even the core executive team that emphasizes stability does not mean that it must be static. Amazon’s S team, which is famous for its loyalty and stability in the market, is constantly changing, but it is only a matter of the magnitude and frequency of changes.
  Huawei made a stipulation in 2004: those who have worked for more than 8 years and who are over 45 years old and meet certain job requirements, as long as they sign an agreement, they can apply for early retirement and retain all or part of Huawei’s virtual restricted shares. , enjoy the related benefits. In this way, the problem that the veteran cadres cannot work and the team must be younger is properly solved.
  The reason behind this is very clear: what kind of people should be used and what kind of things should be done at what stage of development the enterprise is in and what scale the business has grown to. Almost no one is suitable at any stage, so iteration is required.

  When it comes to layoffs, many people will pay attention to the layoffs of large factories, because large factories naturally bring their own traffic, but this is not worth paying attention to, after all, the financial compensation of large factories is in place. I remember that in 2007, Huawei left a lot of people. At that time, some people said that “Huawei is too unkind.” In fact, inside Huawei, some people kept the stock, and some people received high compensation. “The outsiders still sympathize with those who have left, but to be honest, they are very happy that they have received enough compensation.
  After coming out of the big factory, the elites have a good academic resume endorsed, and it is not difficult to find a job, as long as you don’t say “I have to be CEO” and “I have to earn millions of yuan every year”, don’t think so. After leaving a big factory, you can choose an excellent company, even if the company is still growing and even a little chaotic, but it doesn’t matter, because in a startup company, the ordinary employees of the big factory also have the opportunity to become the backbone or even the core, can have better development prospects.
  For example, there are hundreds of employees who have left Huawei at Huichuan Technology. Now this company has a market value of more than 130 billion yuan. When the IPO, these “ex-Huawei people” held stocks in their hands and earned even more than More at Huawei. In a large factory, employees may only be a screw, and the room for improvement is limited, but if they go to a start-up company, they may get excess compensation.
  Of course, after some people leave the big factories, their career choices are no longer oriented by economic interests. Although they may be far away from billionaires, frankly speaking, once people solve the problem of food and clothing, they have a wide range of choices. Therefore, many people went to open a homestay after leaving Huawei. Because of the mental pressure in the past, they wanted to change their Tao Yuanming-style lifestyle.
After leaving a big factory, you can choose an excellent company, even if the company is still growing and even a little chaotic, but it doesn’t matter, because in a startup company, the ordinary employees of the big factory also have the opportunity to become the backbone or even the core, can have better development prospects.

  There’s also a lot of talk about the “35-year-old crisis” right now. Statistics show that most professionals will reach the peak of their career at the age of 35 to 45, and then start to decline. The 35-year-old phenomenon is not a crisis of age, but a crisis of personal growth approaching the ceiling. When a person’s growth rate can not keep up with the development speed of the enterprise, and the personal ability no longer matches the company’s requirements, the enterprise will naturally let this person leave. For individuals, having a strong sense of crisis is not a bad thing.
  To be honest, it is better to pay more attention to small and medium-sized factories and a large number of graduates than to pay attention to the big factories and hold grievances for those elites who have been “deeply buried”.
  I just read a data a few days ago, the average life expectancy of the Chinese catering industry is 508 days. Big factories offer high compensation and dismiss some people, which has attracted so much media attention, but what about those small businesses? They may unknowingly lose the entire company and simply go out of business without any compensation.
  Many media will complain for those who are fired by big factories, but it is not necessary at all. People in Dachang don’t have to worry about finding jobs. They can go to small and medium-sized enterprises, but this will crowd out those who could have entered those small and medium-sized enterprises. In the end, the most affected are the fresh graduates without any work experience, just this group of fresh graduates. There is no traffic and no one is paying attention.
What enterprises are most afraid of is to add one year to the working age after one year.

  Everyone wants to change the world, but they never want to change themselves.
  - Leo Tolstoy
  Some managers have a misconception that young people are not easy to manage because they have too many personalities, too many ideas, or lack of motivation.
  But all managers need to realize that what is the most terrifying and stupid thing about a business? That is, every year, the company increases by one year, and the average length of service of employees increases by one year. Even if it is a 25-year-old employee now, in 35 years, the company will be filled with a group of elderly people who are about to retire. Such a company is doomed.
  For managers, instead of complaining that young people are difficult to manage, or want to change all young people, it is better to change their own leadership first.
  The average age of new-generation companies is 26 to 28 years old, the average age of employees of BAT and Huawei companies is 28 to 32 years old, and the average age of employees of Fortune 500 companies such as Amazon and Hewlett-Packard is no more than 34 years old. Once there is a problem with the age structure of the company, some employees will not be able to keep up with the rhythm. Therefore, even if the business does not grow, the company must continue to learn from the old and take in the new.

  The future must belong to the post-95s. They are now 27 years old, but the post-95s are a very special group. They are very independent and independent, and they pursue the third level and above of Maslow’s needs. , emphasizing self-worth, the status of money is not as important as before.
  This group of young troops has brought an exponential increase in the difficulty of management. Older employees are easy to manage, and their typical characteristics are obedient and submissive. Often, they can do whatever the organization asks them to do. So in the past, as long as the leader gave an order, he didn’t need to talk nonsense, and the subordinates just worked directly. But now the post-95s are not. Managers need to tell them why they do it and what key information is behind the decision.
  This generation of young people is very insightful and individual. What leaders need to do is to activate individuals, let them give full play to their creativity, and allow employees to grow new shoots on the branches of the enterprise organization. This requires giving employees the right to make independent decisions.
  To this end, managers should gradually reduce the degree of participation, even if the subordinates are only fresh graduates, but some grassroots decision-making can let him participate and let him have a voice. When subordinates gradually mature, many decisions can be implemented by them, and managers are responsible for providing consulting help and finalizing the decision.
  Huawei’s “Iron Triangle” is an example. The “Iron Triangle” consists of three core roles: account manager, solution expert/manager, and delivery expert/manager. Huawei introduced project-based authorization to grant the project “Iron Triangle” the corresponding rights, enabling decision-making to move forward. In terms of the power allocation of front-end teams It fully reflects the equality of rights and responsibilities.
  In addition, if managers want to promote distributed decision-making and encourage employees to innovate more, they must establish a highly decentralized and failure-tolerant environment. They cannot require employees to innovate more and make more decisions, and employees must not make mistakes. Things are perfect. After all, decision-making is risky, and in an environment with an overemphasis on punishing mistakes, people “would rather not do than make mistakes.” Even if they learn to make decisions, they may not dare to make decisions, and naturally they cannot inspire autonomy.
  If you want to truly make the enterprise operate efficiently, let employees have a “sense of participation”, and establish an organizational culture that exerts subjective initiative, you can refer to the practice of Haidilao.
  First, realize the transparent sharing of information within the company, giving front-line employees a great degree of freedom. Haidilao employees fully grasp the cost price of dishes, so they can give guests discounts, change dishes, and even free orders while ensuring the company’s interests.
  Second, to share the service capabilities of each store, and to form a growth model of mutual assistance between stores. Haidilao stores will learn from each other and share excellent examples in a timely manner.
  Third, set up a benefit-sharing mechanism that stimulates the internal drive of employees. Haidilao’s employees are paid on a piece-rate basis. The more dishes the clerk serves, the more money they get. The clerk will naturally find ways to make customers fully consume on the premise of ensuring customer satisfaction.
  People are always willing to support the things they are involved in. Through the sharing mechanism of information, capabilities and interests, there is no need for high-level personnel to do everything. The “capillaries” of the organization can operate freely, and the will of enterprise development will naturally become the development of employees themselves. Will, the organization can naturally maintain a steady stream of vitality.
Break the “eunuch” and “self-healing” organization

  If we start focusing on ourselves, not our clients, that will be the beginning of the end.
  ——Jeff Bezos
  There is a phenomenon that 99% of Chinese enterprises are either leaders-centered, called “eunuch-style” enterprises, which are dominated by traditional industries and only lead by leaders; or technology-centered , mainly concentrated in emerging industries, also known as “self-healing” enterprises.
  Specifically, in China, basically two-thirds of the problem enterprises are “eunuch-style” enterprises, which is related to our traditional culture, because behind the three cardinal guides and five permanent members, it is actually a relationship of power and status.
  In addition, this is also related to human nature. Dawkins mentioned in “The Selfish Gene” that people are always driven by self-interest, and leaders often regard flattery as a form of loyalty and obedience. Only when they approach power and get the approval of leaders , the individual will benefit.
  To solve this problem, you need to rethink: what is your organization at the center?
  A business is a business organization, and three interest groups, customers, employees and shareholders, are usually considered as priority objects.
  Many U.S. companies make increasing shareholder value their most important corporate goal. However, under this guidance, the actions of entrepreneurs will be deformed. They will revolve around the baton of the capital market every day, and plan the future development of the company with “fiscal year and fiscal quarter”. Short-termism prevails.
  Many traditional companies in Europe and Japan emphasize the maximization of employee benefits, and the most typical feature is high welfare. The ideal of employee benefit-oriented is very rich, but the reality is very skinny. These enterprises generally operate inefficiently, with insufficient overall creativity and organizational vitality.
  As a business organization, whoever gets customers to pay voluntarily over the long term is likely to be the leader. Customer-centricity is the first principle for the survival and development of today’s business organizations. In the book “The Practice of Management”, Drucker once pointed out that the only purpose of the existence of enterprises is to create customers. Customers are the lifeblood of an enterprise’s survival, and only a customer-centric organization can last forever.
  Ren Zhengfei said a famous saying: “Keep your eyes on the customer and your butt on the leader.” This is the first principle of Huawei’s cadres, and it is also a typical customer-centric approach. It is not the leader who has the final say, so there is no need to flatter the leader and engage in “spiritual bribery”, but the customer has the final say.
  Whether it’s Amazon, Google, or Huawei, they all have one thing in common—customer-centricity, which is also the central idea of ​​my new book, “Huawei’s Organizational Power.” This type of organization aims to understand and meet customer needs. All departments have their own positioning and goals, but the underlying goals are exactly the same.
  All of their business decisions are based on a simple judgment: is this what the customer really wants? For example, why didn’t Huawei do PHS? Because PHS is a short-term opportunity market, but the company’s strategic decision should be customer-centric and make products that can truly provide customers with long-term value, so it must develop along the direction of 2G, 3G, and 5G.
Build a team, not a gang culture

  10% of my success is due to my strong and enterprising spirit, and 90% of my success is due to my strong cooperative team.
  —Jack Welch
  Every manager has to think about a question: Is your executive team a gang or a team?
  In “Water Margin”, Chao Gai took his brother to Liangshan and embarked on the road of no return. As the leading elder brother of all the brothers, Chao Gai takes the lead in human righteousness and stabs at his friends, but he has no lofty ambitions or political vision. The biggest goal they pursue is nothing but a big bowl of drinking and a big mouthful of meat. This is the “gang”.
  Liu Guanzhang, Zhuge Liang, Zhao Zilong and others, with a common mission as the link, fought to restore the Han Dynasty, pursued long-term goals, and possessed lofty aspirations and ambitions. Therefore, we can trust each other, do not seek selfishness, do not strive for momentary success, and do not favor a corner of the profit. This is the “team”.

  In an organization, there is also a difference between a team and a gang. A gang is a mob, and everyone fights for each other or just for money. In 2006, Wang Tao founded Dajiang Innovation, and then Chen Jinying, Lu Zhihui, and Chen Chuqiang joined and became members of the original core entrepreneurial team of Dajiang, but Wang Tao has a strong personality, and the drone industry was just starting at that time, no one knew What about the future, as the core members argue over various things, and eventually part ways because of their different values, this is the gang.
  In the book “Huawei Organizational Power”, I mentioned the “gang vs team evaluation form”, which is used to determine whether the organization has a suitable senior management team, which can be used for reference and self-assessment by enterprise managers to better grasp The context of the organization team (Table 1).

  A good team is complementary. For example, the “retreat” Jack Ma is paired with the very “pragmatic” Peng Lei. Influenced by the TV series “History of the Sky”, Jack Ma wanted to build a “political commissar” system in Ali after the army. The idea seems unreliable, but Peng Lei still earnestly implements the matter, and specifically defines Ali’s “political commissar” as the role of “accompanying chat and sending warmth”. Pay attention to employees in real time, which is “a hole for profit and a hole for strength”.
  Many entrepreneurial teams, even if their talents are not the best, can do well as long as they work together. However, some teams are walking, and the number of people keeps growing, and corporate politics begins to appear. If there is no candid communication with each other, there will be gaps. Only companies with a “culture of dealing with things” can grow, and companies with a “culture of dealing with people” will break up sooner or later.
  Many Chinese companies do not pay attention to the collision discussion and behavior consensus of core values, and they like to play relatively empty, and pay attention to superficial harmony. This is a big problem. It is normal to have conflicts in the team. Deliberately creating a harmonious atmosphere is the biggest harm to the company. If there is a problem, everyone should talk about it. For disputes that are difficult to reach, it is necessary to set up decision-making principles instead of falling into endless quarrels. For example, the principle of customer first, maintaining altruistic thinking, or insisting on the principle of long-termism.
  There are no perfect individuals, only relatively perfect teams. A company is a community of “strange people”, and a crisis is the best “whetstone” for a team. The rise of the Amazon empire is inseparable from its executive team that has been in the same boat for more than ten years and has forged ahead, and behind the concerted efforts of Amazon’s executives, it is inseparable from the trials from the crisis.
  Only after having experienced the tests of the environment or internal crises, can the executives be able to trust each other with their backs, build the power of cooperation, and jointly resist the changes from the external market and the increase of entropy within the organization, can we truly From a gang to a team, build a real organization. Senior executives will also trust each other more, and communication and information exchange will naturally be smoother, so as to realize the binding of the overall interests of the team, effectively reduce internal friction, and stimulate the vigorous vitality of the organization.