Ren Zhengfei: dont look for the feeling of being an official

category:Finance
 Ren Zhengfei: dont look for the feeling of being an official


On March 20, 2018, Huawei released human resource management outline 2.0: general outline (public discussion draft), which fully affirmed the role of human resource management on the basis of summarizing the great achievements of Huaweis business development in the past 30 years: human resource management is the key driving factor for Huaweis business success and sustainable development.

Huaweis human resource management has gone through the human resource service stage of extensive meeting business needs, the human resource management stage of professional and systematic meeting the business needs, and the business partnership stage of shaking hands between human resource strategy and business strategy. It has entered the strategic human resource management stage of becoming the industry leader for escorting the companys strategy and ensuring effective growth.

Huaweis focus is on business and service

Human resources cant always follow the business buttocks, the human resources staff system cant satisfy the professional operation, they must understand the actual needs of the front-line business; the human resources director must come from the business field, from some successful project managers and successful supervisors.

01

Business success driven by continuous improvement of performance

Around the companys development vision, Huawei formulates medium and long-term strategic planning SP, annual business plan BP, and KPI of key performance objectives of each business module to further clarify the development direction and guide business operation; compared with the KPI of key performance objectives of each business module, Huawei continuously finds problems and improves performance through monthly regular business meetings to ensure the implementation and implementation of strategy Now the company is successful in business.

Huaweis strategic planning mainly includes four links: updating the development vision, ensuring strategic concentration, medium and long-term strategic planning SP and annual business planning BP.

(1) . update development vision

Vision is the dream, that is, the direction of efforts. Huawei can timely update its vision with the development of the company, so as to better motivate employees to work hard for their dreams.

Money is important, but we should also believe that people have higher goals and pursuits than money in their hearts; especially when people are no longer destitute, vision, sense of mission and sense of achievement can better stimulate people. (minutes of democratic life meeting held by Ren Zhengfei, member of the Executive Board of directors on September 11, 2013)

In 1998, after 10 years of hard work, Huawei became the largest communication equipment manufacturer in China, and its pursuit was to become a world-class leading enterprise.

First, Huaweis pursuit is to realize customers dreams in the field of electronic information, and to make us a world-class leading enterprise relying on the hard pursuit of every drop and perseverance. (Basic Law of Huawei on March 23, 1998)

In 2004, just out of the winter, Huawei officially launched its vision for the first time: enrich peoples communication and life.

Huaweis vision is to enrich peoples communication, life and economic development through its own existence, which is also the social value of Huaweis existence as an enterprise. We can enrich peoples communication and life, and constantly promote economic globalization. (on April 28, 2004, Ren Zhengfei delivered a special report at the Guangdong Learning Forum report meeting of the central group of the Guangdong provincial Party committee: Huaweis vision, mission and values)

In 2017, Huawei expanded its business from the field of communication technology CT to the field of information and communication technology ICT, and updated its vision to bring the digital world into everyone, every family and every organization, and build an intelligent world of interconnected things.

To bring a large virtual world to everyone, family and organization is to build a new and larger world and intelligent world. This is a process towards the future. Huawei is a bridge in the middle.

What brings everyone is todays and future public networks and intelligent terminals; what brings into every family is todays and future home networks; what brings into every organization are enterprise networks and various clouds. The interconnection of all things also connects the present with the future. (speech by Ren Zhengfei at the seminar on corporate vision and mission on November 20, 2017)

(2) Ensure strategic concentration

Huawei chose the communication industry at the early stage of its entrepreneurship. It kept in mind the mission of full connection, adhered to the pipeline strategy for a long time, and achieved a world leading position in the field of big data transmission.

Over the past 28 years, more than 100000 of us have been keeping an eye on a wall entrance and constantly charging. In recent years, more than 100 billion yuan (50 billion R & D and 50-60 billion market services) have been invested every year to continue to bombard the same hole. This kind of intensive attack by van fritt has finally led the world in big data transmission. (on August 27, 2015, Ren Zhengfei delivered a speech at the consumer BG 2015 communication conference: down-to-earth, be a self challenging long-distance runner)

In 2010, Huawei, which is about to become a leader in the communication industry, proposed and gradually formed a more ambitious end management cloud strategy based on the assumption that human beings will move towards an intelligent society, which greatly expanded Huaweis development space and supported Huaweis sustainable development.

The intelligent society has several characteristics: the perception of all things, the interconnection of all things, and the intelligence of all things. The perception of all things is a neural network composed of sensors, the intelligence of everything is supercomputing, and the interconnection of everything in the middle is the network connection. We need to study the kernel optimization of end, tube and cloud and the interaction of boundaries. Is there cloud in the pipeline? How to understand the division of labor? From this point of view, to deconstruct Huaweis position. (speech by Ren Zhengfei at the corporate strategy retreat from June 2 to 4, 2017)

(3) Medium and long term strategic planning

The task of medium and long-term strategic planning SP is to determine the direction and focus of medium and long-term resource allocation to ensure the realization of strategic objectives.

Huawei starts SP work in March every year, and outputs to BP in August, and updates SP year by year. Huaweis SP is divided into four milestone nodes:

u2014u2014M1 determines the strategic direction: analyze the market and industry development trend, confirm the business opportunity point and determine the investment priority;

u2014u2014M2 to carry out mid-term inspection: on the basis of in-depth analysis of alternatives, formulate medium and long-term strategic planning for market line, product line and functional department line, and lock in strategic opportunity points of market line and product line;

u2014u2014M3 approval business line SP: examine and approve the medium and long term strategic planning of market line, product line and functional department line, and formulate key measures;

Within the business boundary and business objectives determined by the board of directors of the company, under the centralized supervision of the company, the business objectives of consumer BG are to achieve $100 billion in revenue in three years, US $150 billion in five years, and annual pre tax profit margin no less than the predetermined target value (on April 4, 2019, Ren Zhengfei issued an email from the presidents office: the high-level plan for the organizational governance and regulatory relationship of consumer BGuff08 For Trial Implementation)

(4) . annual business plan

The annual business planning BP effectively connects the companys strategy with the annual key work, KPI of all levels of organizations and PBC in charge through strategy decoding, so as to ensure the effective implementation of the strategy.

Huawei starts BP work in August every year, locks in KPI of all levels of organizations and ends with PBC in charge in January of the next year. Next, it will start a new round of SP and BP cycle. BP includes four tasks:

Based on the medium and long term strategic planning SP, formulate annual business plan BP;

Strategy decoding leads to annual business key tasks;

Prepare annual comprehensive budget and human resource budget;

Determine KPI of all levels of organizations and PBC of all levels.

u201d(on April 4, 2019, Ren Zhengfei signed and issued an email from the presidents office: high level scheme of consumer BG organizational governance and regulatory relationship (Trial))

2) . Huawei strategy implementation

The first step is to face up to the gap. The essence of the monthly business analysis meeting is to turn the target into the result, so the first task is to confirm whether there is a gap between the reality and the goal

If there is no gap in the confirmation result, you can directly skip this link and confirm the realization of the next stage goal;

If it is confirmed that there is a gap, it is very important to face up to the gap rather than avoid it, because avoiding the gap will lose the pressure and motivation for performance improvement; only by facing the gap can we seriously conduct root cause analysis and formulate targeted action plans, so as to gradually narrow down the gap and ensure the realization of annual business objectives.

The second step is root cause analysis. The root cause is the fundamental reason that needs to be deeply analyzed and leads to the existence of the gap, rather than the superficial reason that can be seen at a glance. Only by finding the root cause can we make targeted action plans, reduce and even eliminate the gap.

The third step is the action plan. Based on the information obtained from root cause analysis, the corrective action plan and action plan are formulated to ensure that not only the existing gap can be eliminated, but also the recurrence of similar situation can be prevented in the future; the effect of the action plan must withstand the inspection and verification of the subsequent monthly business analysis meeting, so as to form a virtuous cycle of continuous improvement of performance.

02

Human resource management supports sustainable development

Huawei continues to reform and optimize its business processes, and constantly improves the management mechanism of the three creative elements of organization, cadres and talents around the business process, so as to ensure that it can adopt the correct methods and tools and do things correctly.

(1) . optimize business process

Huawei believes that the goal of enterprise management is to build a process oriented organization, which is the fundamental guarantee for adhering to customer demand orientation and improving organizational work efficiency.

(Organization) is like a dragon. No matter how it dances, the relationship between all the joints inside the body will not change. The dragon head is like marketing. It constantly pursues the needs of customers, and the body swings with the dragon head, because all the relationships inside the body remain unchanged, making management simple and low-cost. (May 25, 2003, Huawei management optimization, Ren Zhengfei: survive in reason and reality)

The solution experts should have one specialty and many abilities, and they should get through the channels of seeking help in the fields they are not familiar with;

Delivery experts should have the ability to communicate clearly with customers about engineering and service solutions, and be familiar with the back-end commitment capability and all aspects of the delivery process. (speech by Ren Zhengfei at the competition award ceremony of sales and service system on January 16, 2009: who calls for artillery and how to provide timely artillery support

In the process of building a process organization, Huawei has continuously optimized and improved the business processes supporting customer managers, such as cash LTC (lead to cash), integrated product development (IPD) supporting solution experts, and integrated supply chain (ISC) supporting delivery managers.

LTC is the main process of bidding, contract signing, delivery, billing, payment collection and other business operations. It carries the main logistics and capital flow, and lays a solid foundation for Huawei to gradually transform from a centralized mechanism to a fully authorized, decentralized and balanced mechanism, and to create a process organization calling for artillery fire.

IPD is the R & D investment and management process of Huawei. In the process of R & D, it ensures the quality and progress of products and builds cost advantages, so as to meet the needs of customers and create value for customers, which makes the success of Huawei product development from accidental to inevitable.

After eight years, the R & D IPD team has increased from 3.2 points in 2008 to 3.6 points today, which is a cross era progress. Because the development of IPD with a score below 3.5 is relatively closed. It is closed within the R & D and is not associated with the relevant process. The score of 0.4 represents that the IPD is associated with the relevant process. Such a breakthrough has laid a solid foundation for the development of the companys Great Wall. (on August 13, 2016, Ren Zhengfeis speech the essence of IPD is from opportunity to commercial realization at Huaweis IPD construction blue blood top ten and excellent XDT award presentation meeting)

Through the transformation of ISC, Huawei has established a global supply network, and the supply quality, cost, flexibility and customer response speed have been fundamentally improved, effectively supporting the global development of its business.

(2) Huaweis organizational change

In the long-term practice of human resource management, Huawei has established the organizational management concept that customers and strategy determine the organization, and established a relatively stable and sustainable organizational structure.

(basic organizational structure) Article 44 the basic organizational structure of a company shall be a two-dimensional structure: business divisions divided by strategic undertakings and regional companies divided by regions. The business division undertakes the responsibilities of development, production, sales and user service within the business scope specified by the company; regional companies effectively use the companys resources to carry out business in the regional market specified by the company. Both the business division and regional companies are profit centers and bear the actual profit responsibility.

(main structure) Article 45 the principle of functional specialization is the basic principle for the establishment of management departments. In general, departments should also be divided according to this principle for business activities with the main objective of improving efficiency and strengthening control.

The companys management resources, research resources, pilot test resources, certification resources, production management resources, market resources, financial resources, human resources and information resources Its the companys public resources. In order to improve the efficiency of public resources, audit must be carried out. Organize corresponding departments according to the principle of functional specialization to form the main body of the companys organizational structure. (Basic Law of Huawei on March 23, 1998)

On the one hand, Huaweis organizational structure has not only ICT business organizations that can adapt to 2B business, but also consumer BG that can adapt to 2C business, and has relatively independent operation rights.

On the other hand, in order to adapt to the transformation from pipeline strategy to end management cloud strategy, Huawei continues to carry out organizational changes to ensure the implementation of the strategy.

u2014u2014Pipeline business organization

In 2011, Huawei established cnbg and EBG;

In 2014, Huawei called the operator cnbg and enterprise EBG together as pan network, committed to operating pipeline related business, and integrated the network products and solutions business organization, committed to the development of pipeline products and solutions.

In 2011, Huawei established consumer CBG;

In 2019, Huawei consumer BG announced that it would implement the 1 + 8 + n full scene strategy, greatly enriching terminal products and solutions: 1 represents Huawei mobile phones, 8 represents Huaweis tablet, TV, audio, glasses, watches, cars, headphones, PCs and other terminal products; n represents mobile office, smart home, sports health, video entertainment and intelligent travel and other extended products and solutions Case;

In 2020, Huawei established the intelligent vehicle solution Bu, which further expanded the business scope of terminal products and strengthened the corresponding organizational guarantee.

u2014u2014Cloud business organization

In 2017, Huawei established cloud business unit cloudbu, which is committed to operating public cloud business;

In 2018, Huawei integrated cloud & Aibu to develop cloud products and solutions;

Based on the mission and responsibility of cadres, Huawei has continuously improved the standard requirements for cadres, continuously improved the cadre management mechanism, and created a cadre team that is brave, good at fighting and winning battles.

Huawei has made it clear that the cadre team is always the locomotive leading the organization forward, and it needs to undertake the mission and responsibility of organizational business development, organizational capacity building and core values inheritance.

In the cadre standards, following the companys rules and BCG management and other moral requirements is the bottom line, the recognition and practice of core values is the foundation, the necessary condition and watershed is to have the contribution performance higher than the performance of similar employees at the same level, and the key success factors are having the professional ability and experience accumulation related to the post. (on March 20, 2018, Huawei human resource management outline 2.0 general outline (open discussion draft)

In the long-term exploration of cadre management, Huawei has gradually established a relatively complete cadre selection, training and management mechanism.

Huaweis cadre selection includes the procedures of qualification certification, comprehensive inspection, pre appointment publicity, cadre appointment, transition to full service in the adaptation period, and tenure assessment system. It also implements a system of checks and balances of three powers, namely, the right to propose / veto, the right to comment / review, and the right to veto / impeachment. It constantly selects qualified cadres, blocks or eliminates unqualified cadres, and always maintains the cadre team The combat effectiveness of.

In terms of the whole cadre selection process, we should first of all carry out certification according to the requirements of the post and the qualification standards. The focus of certification is on the morality, quality and responsibility of the staff.

After certification, we have to conduct a 360 degree inspection, which is the supervisor, subordinates and the surrounding areas, and then comprehensively evaluate the appointment of cadres, and select cadres with a mature system. This mature system includes the position system, the qualification system, the performance appraisal system, the selection and training principles of cadres, the selection and appointment procedures of cadres, including the cadres we will talk about later Department assessment.

After the inspection of cadres, pre appointment publicity should be carried out to make cadres under the supervision of employees. Every appointment should be publicized for half a month, and all employees can give their opinions within half a month.

After the appointment of each cadre, we still have a period of adaptation to arrange tutors. After the adjustment period is over, the tutors and relevant departments will not become full-time workers until they are qualified.

In addition, we adopt a tenure system to ensure that we can go up and down, and those who fail to achieve our goals will come down.

The selection mechanism is to establish a mechanism of separation of powers. The business departments have the right to nominate, the human resources and cadre system have the right to comment, and the Party committee has the right to veto. (on April 28, 2004, Ren Zhengfei delivered a special report at the Guangdong Learning Forum report meeting of the central group of the Guangdong provincial Party committee: Huaweis vision, mission and values)

u2014u2014Cadre training mechanism

Huawei focuses on the training of selected cadres and makes up for the deficiencies in experience and ability so as to speed up the growth of cadres and better meet the needs of Huaweis development.

We will arrange the outstanding cadres at the grass-roots level in various departments and those who may be promoted in the future into the core engineering team to work together with everyone, so that they can take the lead in the zigzag growth path of life.

In the past, our cadres grew up in a straight line pattern, and they didnt understand anything about horizontal business. Therefore, if we want to speed up the development of Zhi type of cadres, we should start from the newly promoted grassroots cadres.

We emphasize that powerful generals must be sent to soldiers and Prime Ministers must be from prefectures and counties. Of course, we give priority to the selection of these practitioners. Today, we also put some outstanding talents of various departments in the most difficult areas and positions to hone their will, and put them in the most complicated and difficult environment to exercise their abilities. Promote their growth and strengthen the selection of organizations. (on August 27, 2009, Ren Zhengfei had a discussion with relevant personnel of the core engineering team)

On the other hand, Huaweis cadre ability training adopts the mode of training and enabling, adheres to the circular education from practice to theory and from theory to practice, so as to improve the practical combat ability and accelerate the cyclic growth of cadres.

In modern warfare, we should combine training with combat, and cadres should have grassroots practical experience as their qualifications. Prime Ministers must start from prefectures and counties, and powerful generals must be sent to soldiers. .

Different from the past, this era needs modern armed forces to go to the battlefield.

To guide you in the way of short-term empowerment, Huada has given you a lot of tables to tell you how to use these forms and how to direct modern operations. These contents have passed the time test and have certain reference significance.

Without the support of practice, we cant understand these theories; without the theoretical basis, we cant deeply feel the practice. (Ren Zhengfei, Huawei voice community, April 24, 2014: real heroes grow up from their own jobs.)

u2014u2014Cadre management system

Huawei adopts a cadre management system with the separation of the right to use and the right to manage, which mainly includes three aspects: the management of cadres mobility, the system of cadres tenure responsibility and the system of eliminating the last cadres.

The orderly flow of cadres according to business requirements is a successful practice for the company to break the rigidity of the cadre team, and it is also a strategic means for the company to speed up the capacity building of the cadre team. We should use the point mobilization of the cadre flow to drive the full scale of the team construction.

For all kinds of high-level important responsibility posts of operation, R & D and functional management, it is necessary to establish and improve the corresponding cadre tenure, succession and cross domain mobility management mechanism. The main responsible cadres should not only have a stable contribution cycle in their posts, but also orderly promote the cross system horizontal flow of excellent senior cadres, so as to broaden their business vision and enhance their business insight;

The second is the cadre tenure responsibility system. Huawei adheres to the responsibility result oriented assessment mechanism. Cadres at all levels should implement the tenure system and target responsibility system. The cadres who fail to pass the report should be removed or demoted, and the accountability system for responsible cadres at all levels should be implemented.

Our cadres are not lifelong cadres, and senior cadres should also be able to go up and down. At the end of their term of office, cadres should accept the evaluation of the organization and the masses and re discuss the salary through their own work report and the next stage of employment application.

One said, Im very hard-working, Im doing a good job, and Im good at my ideological and moral character. Why cant I continue to serve?? Because the standard is keeping pace with the times, there are many people who have improved faster than you. For the survival and development of the company, you may not be able to maintain your position. If you want to learn the story of carving a boat for a sword, you cant find the feeling of being an official according to the standards of the past. There is no life without metabolism, and necessary elimination is needed. Tenure is a mild way.

We adhere to the responsibility result oriented evaluation system, and punish those who fail to reach the post goal by demotion, dismissal and dismissal. The competition in the market will be more intense. The company can not be an ever victorious general. We are unable to protect the overstaffed organizations and incompetent cadres. We must eliminate and select cadres with the responsibility system. Departments that accomplish their tasks well must also produce cadres. (speech by Ren Zhengfei at the Cadre Work Conference on January 15, 2004: four magic weapons to change the pattern of competition

The third is the cadre elimination system. Huawei adheres to the cadre assessment and elimination system, which can not only form extrusion and coercion, but also activate the continuous cadre reserve resources, establish a benign cycle of metabolism mechanism, and fully stimulate the vitality of the organization.

If the target completion rate of middle and high-level managers is lower than 80%, the principal shall be demoted to deputy or removed; the last 10% of the annual poor PBC performance of all levels of supervisors shall be demoted or adjusted, and at the same time, the Deputy position shall not be promoted to the principal position from the Department; in principle, the team with poor performance shall not be promoted to cadres; the manager who has committed major mistakes shall be removed from office on the spot; and the cadre punished shall not be promoted within one year Even more, it is not allowed to be promoted across departments, nor can cadres who fail to pass the evaluation of key events. (on April 28, 2004, Ren Zhengfei delivered a special report at the Guangdong Learning Forum report meeting of the central group of the Guangdong provincial Party committee: Huaweis vision, mission and values)

(4) . talent management of Huawei

Huawei adheres to striving for outstanding talents as the source of value creation of the company. It establishes and constantly improves the talent demand and acquisition mechanism of gathering external talents and multiplying internal talents; based on the desire of human nature, it perfects and constantly improves the talent management system that respects talents to stimulate their ambition and constrains talents to curb their ambitions, so as to build a talent management system with matching business, reasonable structure, profound specialty, and high-quality A team of creative talents.

u2014u2014Talent demand and acquisition planning

In order to adapt to the current and future development needs of different businesses, Huawei has continued to do a good job in the demand planning of the number, quality and structure of various talent teams. It has formed a comprehensive talent acquisition mechanism with outstanding college graduates as the main body, professionals in the industry as the supplement and high-end experts as the key, so as to attract talents from all over the world.

Huawei recruits less than 6000 graduates every year, and it is the main body to avoid the waste of talents.

The company keeps recruiting 56000 outstanding top graduates every year. Senior cadres should go to interview in person to grasp the quality of recruitment. Otherwise, the recruitment will be eliminated again, which will waste the labor cost.

We should bring in all the top students. We dont emphasize how many grades we have. We can make a difference in salary, and we can set a higher salary for outstanding talents. When it comes to level 15, it will gradually follow the companys unified salary framework standard. (speech by Ren Zhengfei on the business report of the strategic reserve team on July 30, 2015)

The second is the supplement of professionals in the industry. Huaweis job vacancies are first replenished by internal recruitment. Only those talents that can not be obtained within a certain period of time can be considered for social recruitment. Huawei pays special attention to the internal recruitment and flow of R & D personnel, which can not only promote the reasonable flow of internal talents, but also make the R & D personnel familiar with the companys business and adapt to the work more quickly Working environment.

R & D must export thousands of people to the market, supply, production and other systems every year to supplement the corresponding new forces. In this way, most of the supplementary personnel in other systems do not need to be recruited in universities, but can be recruited directly from R & D personnel. It is better to have R & D foundation. (speech by Ren Zhengfei at the seminar on organizational change ideas of the company on October 23, 2019)

Third, high-end experts are the key. After Huawei becomes an industry leader, in order to take on the responsibility of leading the world, Huawei selects cadres with global business experience and vision as senior executives, not only in the whole company, but also in the whole society and the world; it selects people who have insight into the market, technology, customers and international business ecological environment as leaders One step to enhance the core competitiveness of talents.

Today, you can see that Huawei has a lot of success. In fact, foreign scientists are very important to the success. Because Huaweis salary is higher than that of Western companies, many scientists work in Huawei.

u2014u2014Respect talent to inspire ambition

Huawei attracts and encourages outstanding talents to continuously increase their value in the struggle by implementing measures such as attracting talents through development opportunities, continuously cultivating talents for development, and motivating talents through value evaluation, so as to achieve the goal of financial value-added of the company.

The first is development opportunities to attract talents. Huaweis starting point in the entrepreneurial stage is extremely low: no capital, no background, no technology and no talent. The rapid development of the company and the provision of challenging job opportunities for employees have become Huaweis two magic weapons for attracting talents.

On the one hand, Huaweis successful practice has proved that: only by achieving and maintaining a growth rate higher than the average of the industry and the growth rate of its major competitors in the industry, can Huawei have better economic benefits and attract more talents to join Huawei; if more excellent talents join Huawei, under Huaweis effective talent management, they can create more wealth and Support more talents to join, form a virtuous circle and promote the sustainable development of Huawei.

On the other hand, opportunity is the biggest incentive and opportunity for excellent talents, and it is also the key means for the continuous emergence of excellent personnel in Huawei.

Opportunity is the biggest incentive and opportunity for excellent talents, and it is also the key means for the continuous emergence of excellent personnel in the company. Every business development, every wave of technical progress, every management improvement and every vacant post should be regarded as the best opportunity for continuous incentive and development of outstanding talents. (on March 20, 2018, Huawei human resource management outline 2.0 general outline (open discussion draft)

We insist that the value-added of human capital is greater than that of financial capital. We respect knowledge and talents, but we do not accommodate them. No matter how much credit you have, you will never give in. The corporate culture we build promotes the ideological education of employees.

Huawei attaches great importance to the training of its employees, and its annual contribution is huge.

Second, Chinas education has not yet achieved quality-oriented education, the ability of graduates is still very weak, need training;

Third, the information technology replacement cycle is too fast, and the old employees need to constantly recharge. (in 1998, Ren Zhengfeis report to the research group of China Telecom and his speech at the forum of cadres at and above the headquarters of China Unicom: how long can Huaweis red flag last?

Third, value evaluation motivates talents. Huawei believes that employees are equal in personality regardless of their positions. Adhering to the principles of fairness, fairness and openness in value evaluation and value distribution of employees is the best respect for talents. It can stimulate employees enthusiasm to the greatest extent, exert great subjective initiative, and motivate employees to make full efforts to create value, so as to realize employee autonomy At the same time, it supports Huaweis business success and sustainable development.

(Justice) Article 57 the common values are the criteria for fair evaluation of the work of our staff; it is the basis for us to make a fair evaluation of the performance improvement of employees by putting forward clear and challenging goals and tasks for each employee; and the ability and potential shown by employees in completing their own work are more important than the fair standard of academic qualifications in evaluating their work.

Article 59 we believe that the principle of openness is a necessary condition for the fairness and fairness of human resource management. The formulation of important policies and systems of the company should be fully consulted and consulted. It is necessary to suppress fluke, praise and criticize clearly, and improve the transparency of system implementation. We fundamentally deny that there is no government, no organization and no discipline of individualism. (Basic Law of Huawei on March 23, 1998)

Huawei does not advocate individual heroism and encourages collective struggle. No one can sleep on the merits. It must work hard for a long time to support Huaweis sustainable development.

On the one hand, Huawei will never yield to talents, and promptly replace cadres whose ability progress can not keep up with the development needs of the company, forming a four ability culture in which cadres can go up and down, work can be left and right, personnel can enter and leave, and salary can be promoted or lowered.

We require employees to be conscientious and responsible, but being conscientious and responsible is not wealth, it must also be managed effectively. Respect for knowledge, respect for personality, collective struggle, and not yield to meritorious employees are the internal elements of our sustainable development.

The collective resignation of the marketing department initiated the institutionalization of post flow within Huawei and made it possible to reorganize the position. Because during the start-up period, they made the most contribution. They can all go up and down, cant others?

Huawei allows individualism, but it must be integrated into collectivism. (in 1998, Ren Zhengfeis report to the research group of China Telecom and his speech at the forum of cadres at and above the headquarters of China Unicom: how long can Huaweis red flag last?

On the other hand, Huawei always encourages collective struggle to curb the spread of individual heroism and curb over inflated personal ambition.

Huawei is a high-tech enterprise with high technology as its starting point and focusing on large market, large system and large structure. With its historical mission, it requires all employees to adhere to cooperation and take the road of collective struggle. Without this kind of platform, your intelligence is very difficult to play and achieve.

2) . keep doing things

Huawei has made great efforts to strengthen the two creative driving forces of spiritual civilization and material civilization, making the organization always full of vitality and ensuring long-term hard work and continuous work.

(1) . spiritual civilization construction

Huawei adheres to the policy of consolidating material civilization with spiritual civilization, and actively carries out the construction of spiritual civilization such as vision oriented continuous struggle, inheritance and development of core values, forming an organizational atmosphere of collective struggle, building a high-performance organizational culture, and promoting a virtuous cycle of promoting spiritual civilization with material civilization and consolidating material civilization with spiritual civilization.

In each stage of business development, Huawei can timely update the companys development vision. From the sense of significance of organizational development, the sense of value created by individuals, and the growth and development opportunities of employees, Huawei has pointed out the direction of efforts, set goals and provided growth space for all levels of organizations and employees, which greatly stimulated the spiritual power of continuous struggle.

The first is the sense of meaning of organizational development. In the process of growth and development, Huawei constantly gives new vision to the organization development, so as to stimulate the motivation of the organization to pursue higher and better goals.

This organization must also constantly advocate the spirit of idealism, which in the final analysis is the sense of mission of the industry, the sense of national mission and the sense of human mission.

My impression of Huawei is that over the past 30 years, it has been boasting and fighting. Every stage has a grand vision, but every stage is expected to achieve and surpass its vision. (on June 30, 2017, Tian Tao, a senior management consultant of Huawei, gave a lecture on growing up in a barrage of bullets at Guizhou University)

The second is the sense of value created by individuals. Huawei drives personal work motivation through organizational vision, continuously points out the direction of efforts and sets goals for employees, which greatly stimulates the spiritual motivation of employees to continue to struggle.

Organizations and teams at all levels should undertake the companys vision and goals based on their own missions and responsibilities.

Supervisors at all levels should be good at communicating with employees on the development prospects of the company and departments, and actively create an atmosphere of responsibility and results oriented, open and enterprising, and full of vitality, so as to provide them with more opportunities for growth, and use career development to lead employees to work together for a long time. (minutes of democratic life meeting held by Ren Zhengfei, member of the Executive Board of directors on September 11, 2013)

We believe that the main driving force for enterprise development is opportunity, talents, technology and products. The four forces interact with each other. Opportunities lead talents, talents lead technology, technology lead products, and products lead more opportunities. This is a cycle. Employees are in an active position in this growth circle.

We should attach importance to the study of people, so that they can fully release their potential in the environment of collective struggle and promote the companys progress more forcefully and orderly. (in 1998, Ren Zhengfeis report to the research group of China Telecom and his speech at the forum of cadres at and above the headquarters of China Unicom: how long can Huaweis red flag last?

On the one hand, Huawei cadres at all levels take the lead in long-term work practice and set an example, leading all employees of Huawei to continue to inherit and carry forward the core values of customer-oriented, people-oriented, and long-term hard work.

On the other hand, Huawei has continued to optimize its human resource management system, leading all employees to comply with core values and helping them develop good behavior norms and work habits.

The real challenge is whether Huaweis core values can be truly institutionalized and really melt into the blood of cadres at all levels, so as to build an enterprising, strong and inclusive corporate culture atmosphere, so that new entrants, regardless of their motivation, cultural background and value orientation, can integrate into this cultural atmosphere and constantly expand our team of fighters.

This is the truth that we should not help ourselves to be upright. (speech by Ren Zhengfei at Harvard Business School Global Executive Forum in April 2017)

u2014u2014Form the atmosphere of collective struggle organization

Generally speaking, adhering to unity and cooperation and collective struggle is always the eternal theme of the companys development.

Responsible persons of all departments should take the lead in strengthening their active service to other departments, do a good job of unity and advocate the principle of democratic centralism. New and old cadres should be united, among departments, and even more within departments, and all those who can be united should be united. Those who cant insist on team work will be eliminated by Huawei.

Leaders of all ministries should be far sighted, farsighted, and commanding the overall situation from a strategic perspective. We will never allow any bureaucratism or Departmentalism to emerge. (speech by Ren Zhengfei at the inauguration ceremony of Finance and economics procurement system cadres in 1995: strive for better governance and create more brilliance

1. The part with high yield accounts for about 50% ~ 70% of the weight. The index calculation method is used to draw attention to the current business results. The part of high-yield grain reflects the business scale and profit requirements, which is specifically divided into ordering, income, contribution profit (rate) and operating net cash flow.

2. Increase the proportion of soil fertility to about 30% ~ 50%, and adopt the method of work report and evaluation to draw attention to the long-term sustainable development. The part of increasing soil fertility reflects the requirements of customers, long-term development, competition, organizational ability and collaborative promotion. It is specifically divided into customer relationship and customer satisfaction, strategic mountain top project, competitive project operation, acquisition and development of key talents, contribution to other peoples output, and better contribution by using other peoples output.

3. Internal and external compliance is the basis for the sustainable development of the representative offices business, which is assessed as a deduction item through the way of work report and review. (on December 17, 2018, the pilot direction and reform key points of contract review in the Representative Office (Trial Implementation))

In the long-term development process, Huawei has formed a high-performance organizational culture that dares to shine the sword in the face of challenges, perseveres in the face of setbacks, self-criticism in the face of achievements, and never satisfied with opportunities.

The first is to dare to show the sword in the face of challenges. Huawei has faced numerous challenges in the course of its growth and development. It is with the spirit of fearlessness and courage that Huawei can defeat its powerful rivals at home and abroad again and again, break through the domestic market and expand the overseas market to become the industry leader.

But the real hot blooded children and heroes should stand up on such a stage. If you meet on a narrow road, the brave will win. Dont you always want to show your skill? Dont you always look forward to self realization? You stand up bravely. This great era calls for unique heroes and proud children. (speech by Ren Zhengfei at the inauguration ceremony of senior and middle-level cadres of the marketing headquarters in 1995: Heroes stand up

The second is to persevere in the face of setbacks. Huawei has experienced setbacks again and again in the course of its growth and development. It is with perseverance and perseverance that it can step out of the shadow of failure and continue to achieve success.

When we couldnt bear it, we held a meeting of 400 senior cadres to study the theory of war by Clausewitz of Germany.

There is a saying in the book on War: what is a leader? In the boundless darkness, we should take out our own heart to burn, emit the glimmer of life, and lead the team to victory. What is the role of a general when the war is in a mess? It is to lead the team forward with their own light.

Well, now its time for us to take out our hearts, light up the progress of the team and consolidate the teams confidence. (interview summary of Ren Zhengfeis interview with German TV 1 documentary on May 20, 2019)

u2026u2026 This era is advancing too fast. If we are complacent and self-sufficient, we will be doomed to be erased from history as long as we stay for three months. It is because of our long-term adherence to self-criticism that we have lived to this day. (speech at the 2013 annual Cadre Work Conference on December 30, 2013)

Fourth, it is never satisfied with opportunities. Huawei believes that opportunities are the main driving force for the development of enterprises. It is by constantly seizing the opportunities that Huawei has achieved a leap forward development from nothing to three parts of the world, from an active follower to an industry leader, and is determined to become an enabling and promoter of an intelligent society.

It is an objective law that human society should be transformed into an intelligent society, and no one can stop it. We should see the positive and positive effects of artificial intelligence on society. We should have strategic confidence and bravely embrace challenges.

(2) Material civilization construction

u2014u2014Organizational incentive comes from the acquisition and sharing system

Based on the acquisition and sharing system, Huawei has gradually established and continuously improved the mechanism that the results of business operation and development determine the salary package. It can not only reasonably control the human resource salary expenditure and reduce the companys operation risk, but also effectively stimulate the vitality of the organization, guide the continuous struggle, and support Huaweis business success and sustainable development.

The acquisition and sharing system for mature business of the company has been continuously optimized. We should gradually introduce additional incentives, strategic incentives and other measures, so as not only to make the more grain work get the current return, but also to make the efforts to increase land fertility obtain reasonable benefits. We can appropriately introduce such means as Retrospection and recourse to identify the phenomenon of hitchhiking income due to inertial growth and correct the behavior of business fraud for short-term income, but the tracing and tracing should be practical and realistic Based on the scene and attention scale, avoid rigid accountability and attack the initiative of cadres and employees to create value.

1. The grain package is awarded to the pilot representative office according to a general contract.

? in the last three years, the weight of sales revenue and contribution profit of ICT business of representative offices are 20%, 30% and 50% respectively in the construction of extension line based on sales revenue and acquisition extension line based on contribution profit.

? 40% of the final grain package is calculated by the acquisition extension line based on the sales income of ICT business, and 60% of the final grain package calculated by the acquisition extension line based on the profit contribution.

? BG of the company brings its own strategy to penetrate the food package to realize the strategy. After the project is successful, it can add additional food package of the representative office according to the relevant agreement.

2. According to certain rules, the grain packages are divided into salary packages, operating bonus packages and strategic / land fertility bonus packages.

3. The salary package savings resulting from staff reduction and efficiency improvement can be converted into operating bonus (the implementation rules will be established by the business management team later).

5. 30% of the salary package deducted from the food package is used as the strategic / land fertility bonus to attract the medium and long-term investment of the representative office. (pilot direction and reform key points of contract review in representative office on December 17, 2018 (Trial Implementation))

- individual incentives are based on contribution

Huawei continues to improve the individual incentive rules based on contribution, which can guide each business organization to determine employees salary, bonus and equity income more systematically, balance the relationship between employees short-term income and long-term income, and encourage employees to continue to work hard.

First of all, compensation should be competitive in the market. With the help of consulting companies, Huawei has established a salary management system of grading by post, determining salary by grade, matching people with positions, and changing positions and salaries. It has also continuously improved and improved in the practice of human resource management, so as to continuously enhance the competitiveness of the salary market and attract talents.

Benchmarking the world-class IT industry and reforming the salary framework standards for IT personnel.

In the future, with more and more expert teams in the organs, the treatment of experts may be higher than that of administrative directors, because the administrative directors may be promoted to generals in the future. Now the reform of legal affairs and translation has begun, and the IT system should also be reformed. The quality and process it management department can sort out the salary framework standard reform plan for IT personnel and report to HRC.

In the future, as a team of experts, it organizations will produce a large number of experts. The experts will be paid as much as they reach the world-class standards in the IT industry. You should mobilize the potential of internal personnel, mainly for endogenous growth, but also do not exclude the introduction of excellent experts from the Internet.

As long as we struggle, there is no risk in the company; if we dont fight, no matter how much money the company has, there will be risks. (speech by Ren Zhengfei at the work report meeting of quality and process it management department on December 8, 2014 and January 6, 2015)

Secondly, the bonus should be based on value creation. Huawei insists that the employees bonus should be based on the value created for the company, which can only be obtained through hard work and hard work. It further strengthens the concept of employees earning bonus rather than the companys share bonus.

In the absolute assessment, we should also expand the proportion of A.

Finally, equity should be oriented to continuous struggle. Huawei believes that equity and other long-term incentives are the value distribution of employees existing and sustainable contributions, and need to guide long-term hard work and form a community of common destiny.

We have implemented the employee stock system. Employees get salary, bonus, pension and medical security from current benefits, and share dividends from long-term investment. It avoids the shortsightedness of employees. (in 1998, Ren Zhengfeis report to the research group of China Telecom and his speech at the forum of cadres at and above the headquarters of China Unicom: how long can Huaweis red flag last?

u2014u2014The leverage and guiding role of value distribution

Huawei emphasizes the leverage and guiding role of value distribution, motivates outstanding performers and strivers who have created more value, gradually widens the distribution gap, breaks the excessive balance of distribution, motivates employees to work hard for a long time, and supports Huaweis sustainable development.

However, we should not be rigid like the rigid salary in the past. We should divide the salary into several sections, which are post allowance and what is that segment. If you do not have this position, the allowance will not be available.

So we lean to the winners, to the strivers. How to reform the treatment? We should be more opposed to seniority, inaction, self-protection and the once and for all distribution system. We need to make the team composed of more than 100000 excellent employees of the company vigorous, heroic, and catch up with each other. We should let the struggling employees share the fruits of victory, and let the lazy cadres feel the pressure of the last elimination. (speech by Ren Zhengfei at the Huawei Market Conference on January 17, 2011)

03

There are two foundations for Huawei to move from success to success: first, the direction should be roughly correct; second, the organization should be full of vitality. The role of Huaweis strategic human resource management is to continuously consolidate these two foundations

On the one hand, Huawei carries out strategic planning around the customer, and updates the companys development vision, medium and long-term development plan SP and annual business plan BP year by year. Through monthly regular business meetings, Huawei conducts self-criticism, finds and corrects deviations in time, so as to ensure that the direction is generally correct;