Liu qiangdong sent an internal letter late at night recalling 17 years Entrepreneurship and first mentioned who is Jingdong

 Liu qiangdong sent an internal letter late at night recalling 17 years Entrepreneurship and first mentioned who is Jingdong

Liu qiangdong said that today, both the group strategy and the business line strategy have become increasingly clear, clear and focused; the organization is built according to the building block organization, with the focus on coordination and innovation; the mechanism level focuses on the decision-making mechanism, incentive mechanism and elimination mechanism

After entering 2019, Liu qiangdong defined Jingdong as a dreamer, perseverer and public practitioner. In the next 10 years, technological progress will be more intense than in the past 100 years, he said. We will also unswervingly transform into a technology driven supply chain service company.

Liu qiangdong said that JD group will complete the mission upgrading, take the technology-based, committed to a more efficient and sustainable world mission, carry the potential value of JD in the industrial Internet in the future, and also define JDs social responsibility more clearly. This also means that the development of JD has entered a new stage of development. (one orange)

Who is Jingdong?

Brothers, the beginning of 2020 is different from usual. Due to the outbreak, our offline management conference had to be cancelled. Over the past year, a lot of changes have taken place in Jingdong, and a lot of thinking has been accumulated behind it. On todays 519 old workers Day, I still hope to communicate with you in the form of internal letters: who is Jingdong, where it comes from, where it goes, and our mission and value.

This years new crown epidemic affects the hearts of all people and requires the people of the world to closely unite to support each other and fight against the epidemic. Jingdong has also contributed a part in it. In addition to donating the gifts at the first time, it has always insisted on ensuring the peoples livelihood, shouldered the important mission of social material security, and guaranteed the daily life of consumers.

This scene reminds me of 2003, when SARS was rampant in Beijing. Jingdong, which also sells its magneto products in offline stores in Zhongguancun, had to close its physical stores. In order to deal with business difficulties, all kinds of helpless, in 2004, Jingdong transformation into the field of e-commerce, multimedia network officially opened.

From 2004 to today, Jingdong is about to turn 17. Jingdong has grown from a weak and passive start-up company in the epidemic situation to a corporate citizen who can actively contribute to the country in difficult times; from a small and micro enterprise with only dozens of people, Jingdong has become one of the worlds top 500 companies with 260000 brothers, complete supply chain system and the ability to deliver key materials to the epidemic area in the first time; it has entered from a humble industry They have grown into a rallying point that can affect suppliers and brand businesses, stabilize prices and protect peoples livelihood during the epidemic. In the past 17 years, the growth of Jingdong is obvious.

But growth should not only be reflected in scale and volume, but also in cognition. For a person, 17 is the age when the outlook on life, the world outlook and the values are initially formed. For enterprises, after 17 years of galloping, its time to think deeply and define who we are.

Youths first intention (before 2014)

Dancing on the mountain, dancing on the silver snake, like a wax elephant, I want to compete with the heavenly father.

Qinyuan spring snow

To answer who Jingdong is, it is necessary to go back to the start-up period to find the first intention.

The start-up of Jingdong is not much of a dream. Jingdongs move from a counter in Zhongguancun to an online platform is more forced by the situation. However, from the first day, Jingdong is dare to think and dare to do.

Dare to do is the spirit of struggle, to do the most bitter, dirty, tired things. Jingdong has not been a high margin business since the first day. Logistics is the hardest and most tiring work, and the profit of retail industry is also thinner than that of paper. To do such a thing well, we must rely on the spirit of hard work and highly self-discipline to achieve the ultimate cost, efficiency and experience of all links. In the early days of my business, in order to save money, I was reluctant to rent a house and sleep in the office every night. In order to guarantee the promise of 24-hour service, put an old-fashioned alarm clock in your ear and wake up every two hours to see if there is any problem. This has been going on for four years. In 2007, I moved the warehouse with all the staff, returned to the office at 5 a.m., the front desk colleagues left the key in the warehouse, and we slept directly in front of the Yinfeng building by the road. It is with such fighting spirit that we can survive in the competition of thousands of e-commerce companies at that time and gradually grow stronger.

To this day, there are still many people who say that Jingdong is a bit earthy and too real. I think these are all praises for us. It represents what we carry from our genes: idealism, persistence, fearlessness. It is with these that we have a unique Jingdong. I think Jingdong is lucky. Despite the twists and turns, our idealism, persistence and fearlessness have been recognized by the market, and our business has gone all the way with high-speed growth and been listed in the capital market.

Troubles of adolescence (2014-2018)

The flowers are becoming more and more charming, and only the grass has no hoof.

In May 2014, JD was listed on the Nasdaq Stock Exchange. This marks that Jingdong has officially gone through the entrepreneurial period and entered a new stage of development: larger scale, richer business, and more complex internal and external relations.

In business, once desire replaced logic. We are attracted by too many opportunities and want to do everything, but our ability is not necessarily supported. Sometimes we cant wait to jump in before the business logic is clear. For example, we go too fast and too fast in the innovation business, and only when we look back can we find that there is no value created - the customer experience has not been improved, and the cost efficiency of the industry has not been optimized. We invested in a lot of projects and found that we didnt have the ability of turning stone into gold. We are also not ready to open up. To a large extent, we are still integrated thinking, accustomed to doing things by ourselves and strong control. A lot of post investment integration is not successful. At the same time, many new businesses (such as: Rural promoters, clapping, etc.) are not given continuous investment and attention, lack of patience, and finally a little taste. The lack of focus in business makes us lose the consistency of strategy.

In terms of management, JD also encountered internal bottlenecks. At the same time of the rapid expansion of the companys scale, the construction and update of the management and cultural system did not keep up. Problems such as big enterprise disease, arrogance and hilltop doctrine began to appear. The whole company lost its vitality and eroded our competitive foundation.

In 2018, Jingdong came to the dark moment. The outbreak of internal and external problems pushed Jingdong to the forefront of the wave, and the morale was very low for a time. But this is also the opportunity for self-awareness and elimination of turnips. We dont have time to cry. Only when we are calm, calm and hard-working can we get out of the predicament. The group quickly established strategic decision Committee (SDC), Strategic Executive Committee (SEC), HR committee (HRC), Finance Committee (FC), Technical Committee (TC). And spent more than a year in accordance with the six lines of strategy, organization, mechanism, talent, culture and business. Facing the new environment, the management system of BigBoss is proposed. Today, both the group strategy and the business line strategy have become increasingly clear, clear and focused; the organization is built according to the building block organization, with the focus on coordination and innovation; the mechanism level revolves around the decision-making mechanism, incentive mechanism and elimination mechanism; the talent level, according to the future needs of the BigBoss talents of JD, puts forward the new era of JDs employment standard, which is not in line with the elimination More than 10% of the required senior executives; culturally, the companys new positioning, new mission and new values have been gradually reorganized; business leaders have been fully authorized, and a consensus of quality growth has been gradually reached.

Setbacks are not terrible. What matters is what you can get from them. If JDs start-up period is like a newborn calf who is not afraid of tigers, then his outlook on life, world outlook and values can be reconstructed after experiencing the pain of adolescence. I am very glad to have experienced this growing pains with my brothers, which helps us to recognize what we are, what we are not, and become more mature.

Who is not rebellious in adolescence, prodigal son return gold not to change, we have no regrets!

Big enough to accommodate all; virtue enough to cherish.


So, who is Jingdong?

It may be said that JD is Chinas largest B2C e-commerce platform, a NASDAQ listed company, one of the worlds top 500 companies, and a private enterprise to transform technology But these will change with the change of time and environment, unable to define the inner JD. Looking back on the history from entrepreneurship to setbacks and from going out to dark time, let me be more clear about what is the constant thing of JD and what is different from JD. These DNA, which will not change even in the face of greater crisis in the future, are engraved in the bone, defining who Jingdong is.

From Zhongguancun, Jingdong is a dreamer.

What is Jingdongs dream today?

When I called out technology, technology, technology at the groups annual meeting more than three years ago, many people were laughing at us: how does a hard-working company in Jingdong want to change its position to become a high-tech company? Up to now, many people still doubt whether JD can make technology. But when did JDs dream not come true through ridicule and doubt? In 2019, the total R & D investment of listed and unlisted enterprises of JD system is 17.9 billion yuan, becoming one of the most invested Chinese enterprises in technology. In the past six years, Jingdongs R & D investment has far exceeded its revenue growth. This is because we are too clear about how much technology can contribute to the front-end customer experience, the efficiency of the back-end supply chain, and the well-being of front-line employees. Our UAVs, smart supply chain, cloud computing and AI businesses are all developed for these goals. And the technology capabilities precipitated from our business scenarios will play the greatest value only if they are applied to a larger scope - reducing the cost of social supply chain and improving the quality of life of the whole human being. In the next 10 years, technological progress will be more intense than in the past 100 years. We will also unswervingly transform into a technology driven supply chain service company.

We also have a dream to become an international company. JDs vision is to become the most reliable enterprise in the world. As a matter of fact, we have been continuously arranging international business: entering the Indonesian market in 2015, exploring the Thai market in 2017, and actively developing global shopping, global sales, international logistics, international payment and other businesses. In the construction of talents, systems and processes, we should adapt to local conditions and gradually build an international management system. Last year, we made it clear that at the group level, we should take international business as our strategic focus in the next three to five years and make greater and more determined progress. If the first half of the Internet was copytochina, the second half had more opportunities from China to the world. We are confident to bring our own accumulation in retail infrastructure, from logistics to supply chain, technology and other capabilities to the world. We are building roads and bridges in overseas markets. After the roads are repaired and bridges are built, we will help Chinese brands succeed overseas, benefit customers, businesses and partners, and create another JD overseas.

With the growth of Jingdong, there are different dreams in every stage. To realize the dream of technology and internationalization, we need to pay tens of times more than in the past. But whenever, Jingdong is the one who has dreams and dares to pursue them. Whats more terrible is that I dare not think about it.

Jingdong is a defender

If Jingdong has always been a dream chaser, then perseverance is the treasure we once lost and found back. The loss of adolescence and the pain of growing up taught Jingdong to stick to it again.

Secondly, we should stick to the long-term principle. Jingdong is a long-distance Internet runner. From the beginning, we are an integrated model, self-supporting goods, self built logistics, and gradually establish the basis of supply chain capacity. The road of future integration and opening-up is also long. It takes time and patience to build a business ecosystem with partners. Although our growth rate is slow, we have set up higher barriers. Long termism means that we run marathons, which is totally different from the muscle structure of the 100m sprinters. But as long as the direction is right, the road will not be too far. But we must believe in long-term values.

Perseverance is not only the strength, but also the wisdom of building a strong stronghold and fighting a dead battle. Its always easy for us to worry about missed opportunities, but whats more terrible than missed opportunities is opportunism. After the ups and downs of the previous years and reflection, JDs biggest harvest is to reach a consensus and rediscover the gene of perseverance.

Jingdong has always been a public practitioner who abides by the bottom line of business and takes on social responsibilities.

Abiding by business ethics is JDs bottom line: JD has never done anything to deceive, all the goods sold have been invoiced, no fake goods, no tax evasion, no bribery. It doesnt seem to be something to show off about, but its been consistent from day one, from the start of the ultra micro business. This is Jingdongs DNA. It brings hope to countless young people: to see that entrepreneurship in China can succeed in a legal and compliant way.

We are also self disciplined in shaping the business ecosystem. Remember when Jingdong first entered the household appliances category in 2006, the overall net interest rate of the household appliances industry was less than 1%, while the net interest rate of offline household appliances retail was as high as 6%, inventory turnover was 87 days, and the accounting period was as high as 180 days. On the contrary, the inefficient retail sector has become the highland of value acquisition, and the whole industry is seriously deformed, which also gives JD access. Two years ago, we asked the company to maintain the net interest rate of household appliances in a relatively low and stable state. Even if we have the ability to obtain more profits, we should also transfer the profits to users and partners. This is to maintain the health of the industry, and also to protect the sustainable development of all parties in a relatively reasonable space. Jingdongs business philosophy is not just about appliances. Today we open a lot of infrastructure services, and we always believe that the greater value does not come from our constant expansion and phagocytosis. Instead, open yourself and connect to the outside. We are not even the center of the connector, but actively integrate into the world, become a part of others, symbiosis, mutual generation and regeneration.

As for social and environmental responsibilities, we are more willing to perform them as daily work. The epidemic media reported our donation of masks and other materials, and we also attached great importance to the ability of the supply chain system to support the vegetable basket project of local governments during the anti epidemic period, and the influence of the platform and suppliers to stabilize the price together. We always believe that the greatest contribution of enterprises to society and environment is not only donations, but also peaceful coexistence with the environment in all aspects of business activities (e.g. Qingliu plan, electronic invoice), using business models to solve social problems (e.g. industrial poverty alleviation, digital agricultural loans), and working with stakeholders to shape sustainable development (e.g. responsible consumption initiatives).

He who is alone is quick, but he who is many is far away. Jingdong is a responsible company for family, employees, industry and society. We will always be together with you to sincerely safeguard the business, environment and social atmosphere.

Who is Jingdong? Its a dreamer, a perseverer, and a crowd walker. No matter what happens to the external environment and our own business, this is the same background in JD.

Technology based, committed to a more efficient and sustainable world.

When Jingdong is about to turn 17, we have a deeper understanding of ourselves, and we will be able to more calmly face internal and external changes.

Today, changes in the external environment are at a structural inflection point. In the past decade, the era of mobile Internet has brought tremendous changes to the consumer side, as well as many new business models. But the era of mobile Internet is coming to an end. In the future, with the integration of cloud, AI, 5g and other technologies, as well as the arrival of the era of intelligence, more opportunities will be brought to the supply side to reduce costs and increase efficiency. Technology will play a huge role in industrial Internet, industrial Internet and other fields.

In this internal and external context, in the past few months, from the groups strategic decision-making committee, strategic executive committee, to the managers of each business unit, the groups mission has been discussed and reviewed for many times. We hope that the new mission can carry the potential value of JD in the industrial Internet in the future, and also define the social responsibility of JD more clearly. Finally, the new mission of Jingdong group is determined from several directions: technology-based, committed to a more efficient and sustainable world.

The new mission highlights three key words: technology, efficiency and sustainability. Technology represents our goal as a Dreamer: internally, guided by value creation, using technology to reduce costs and increase efficiency, and improving the experience of product services; externally, starting from the output of technical capabilities, promoting the continuous upgrading of the industry. Efficiency represents our standard as adherents: the only standard to measure the success of our business model is whether we improve the efficiency of the industry and society and create real value. In the past, we have improved the efficiency of the retail and logistics industries by reducing the number of times we moved goods and the intermediate links. In the future, by connecting people and enterprises, enterprises and enterprises, technology-based network collaboration will bring greater space for efficiency improvement. Sustainable represents our desire as a public practitioner: to share business success with partners; to provide a stage for fair development for employees; to maintain ecological balance for the environment; to be grateful and responsible corporate citizens for the society, to achieve the balance of people, environment and profit, and to do our best for the sustainable development of the world.

Looking forward to the future, Jingdongs business development takes technology as the cornerstone, continues to bring the ultimate experience to consumers, at the same time, opens its own capabilities, becomes the infrastructure, works hand in hand with partners, reduces industry costs, improves social efficiency, pursues the maximum social value as the goal, and adheres to the long-term principle to create a world of sustainable development.

Your Liu qiangdong

May 19, 2020