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The story of Huawei's early start-up

Huawei Technologies Co., Ltd. is a private communication technology company that produces and sells communication equipment. It was formally registered and established in 1987, and its headquarters is located in Bantian Huawei Base, Longgang District, Shenzhen City, China. What is Huawei's initial stage of entrepreneurship and what preparations need to be made in the initial stage of entrepreneurship. The following is what I compiled for you about the initial stage of Huawei's business, for your reference, welcome to read!

Ren Zhengfei, the 43-year-old founder of Huawei, once said that he went into the sea out of desperation. After transferring from the army to Shenzhen Nanyou Group, Ren Zhengfei's family and career went wrong. After his wife changed jobs, she entered the leadership of Nanyou Group, and the subordinate enterprises of Nanyou, where he worked, suffered from continuous losses, and the pressure of life caused by parents and siblings living with them eventually led to the disintegration of the family.

under the dual impetus of solving the pressure of life and creating a new world, Ren Zhengfei founded Huawei in 1988, with a start-up capital of only 2, yuan, and his business was selling communication equipment.

Can Ren Zhengfei be 43 years old? Old age? Brave entrepreneurship stems from his mastery of communication equipment. At the age of 19, he was admitted to Chongqing Institute of Civil Engineering and Architecture (now incorporated into Chongqing University). Before he graduated, he began to get involved and asked him to return to school immediately the next morning. When parting, my father took off his only suede shoes and gave them to him, especially telling him: Remember, knowledge is power. If others don't learn, you should learn, and don't follow the crowd. ?

Under the exhortation of his father, Ren Zhengfei eliminated interference, studied mathematics and philosophy hard, and taught himself three foreign languages, laying the foundation for his career in computer, digital technology, automatic control and other technologies. It was also during this period that he began to get started. Later, Ren Zhengfei joined the army as a communications soldier, and when he participated in a military communication system project, he made many technological inventions and created, filling the gap in the country twice. At the age of 33, he was elected as a military representative for his outstanding technical achievements and went to Beijing to attend the National Science Conference.

College students coming out of the mountains

Looking back at Ren Zhengfei's life, at first, he was just a college student coming out of the countryside.

Ren Zhengfei was born in a small mountain village in Zhenning County, Anshun Prefecture, Guizhou Province, where the most famous is Huangguoshu Waterfall. My father went to college in Beijing, and my mother went to high school and became teachers.

There are seven brothers and sisters in Ren's family, and Ren Zhengfei is the eldest. The family of nine people depends on their parents' meager salary, and they eat separately, but they all have a share, but not much. When Ren Zhengfei was in high school, he was often so hungry that he could only satisfy his hunger with rice bran.

When Ren Zhengfei got married, the poor family remained unchanged. After the founding of Huawei, Ren Zhengfei lived with his parents and nephew in a small room of more than 1 square meters and cooked on the balcony. In order to save money, mother only dares to buy dead fish and shrimp and go out to buy cheap vegetables and watermelons at night.

in the first two years, the company mainly sold a kind of HAX switch in Hong Kong, and made a profit by playing the price difference. Consignment is a risk-free and profitable way. After two years of struggle, the company's finance has improved. However, Ren Zhengfei didn't take the hard-earned money to improve his life, but invested it in business, and Huawei soon entered the development track.

generous cheapskate

Ren Zhengfei loves The Selected Works of Mao Zedong, so he re-annotated it? Political power comes from the barrel of a gun? The most important thing for an enterprise is to sell its products.

In order to sell, Huawei spared no expense: in Heilongjiang, which was in a bloody battle with Ericsson, Huawei sent more than ten times as many technicians to carry out hand-to-hand combat in each county telecommunications bureau. Where something went wrong, Huawei people immediately rushed to the scene. In order to win a project, Huawei will spend seven or eight months and invest money that is inconsistent with the return? It seems stupid, but it can steal customers from multinational giants.

In 2, Huawei participated in the Hong Kong Telecom Exhibition, inviting more than 2, telecom officials, operators and agents from more than 5 countries around the world. More than 2, people go back and forth in first class or business class, stay in five-star hotels, and take away thousands of laptops? To this end, Huawei spent 2 million Hong Kong dollars. This is the first time that Huawei has demonstrated its strength in the international telecommunications industry in a high profile. It turns out that Ren Zhengfei's? Big spenders? In 2, Huawei began to expand globally on a large scale, and its market share continued to increase.

But Ren Zhengfei is not a spendthrift. In March 1996, in order to discuss joint venture projects with Yugoslavia, Ren Zhengfei led a team of more than 1 people to stay in Shangri-La, Belgrade. They booked a presidential suite, and the room rate is about $2, per day. However, the room is not exclusive to Ren Zhengfei, but everyone is sleeping on the floor together.

Ren Zhengfei's generosity is also reflected in the treatment of employees. Three years ago, in 212, Huawei earned 15.4 billion yuan, but it took out 12.5 billion yuan as the year-end bonus. The per capita year-end bonus of 15, Huawei employees can reach 83,3 yuan!

the tiger takes the prey

As we all know, Ren Zhengfei advocated it within Huawei? Wolf? Culture. He thinks wolves are role models for enterprises to learn. Wolf? Never out of date. ? The history of Huawei's development is actually a history of constantly grabbing food from the tiger's mouth. He is facing a tiger, so he can't slack off all the time. ? An internal employee of Huawei said.

Huawei's March into the United States is a classic? Take food from the tiger's mouth? Fight. At that time, as soon as Huawei entered the American market, Cisco, which is in an absolute leading position in the field of data communication, began to block it. On January 23, 23, Cisco formally sued Huawei and its American branch on the grounds that the latter copied the company's products and infringed its intellectual property rights.

In the face of Cisco's repression, Ren Zhengfei hired a lawyer to answer the lawsuit in the United States, and at the same time set out to form an alliance with 3COM, Cisco's arch-rival in the United States. In March, 23, Huawei and 3COM Company, which was in recession at that time, announced the establishment of a joint venture company? Huawei sankang? The CEO of 3COM Company made a special trip to testify? Huawei did not infringe Cisco's intellectual property rights.

Ren Zhengfei's unique trick of uniting Lian Heng at the most critical moment of the lawsuit instantly collapsed Cisco's encirclement and suppression. In the end, the two sides reached a settlement, and since then, Huawei's expansion in the United States has no obstacles.

multinational giant partner

Undoubtedly, Ren Zhengfei's extraordinary strategy and vision are the most important factors for Huawei's success. The cooperation between Huawei and IBM highlights this point.

In early 27, Ren Zhengfei wrote to Peng Mingsheng, CEO of IBM, hoping that IBM would send financial personnel to help Huawei realize the transformation of financial management mode. Of course, Huawei will pay a huge fee.

why hire IBM? Because Ren Zhengfei noticed that although Huawei's sales revenue maintained rapid growth, its net profit decreased year by year, and he didn't even know whether a list would make money next. Although the financial department of Huawei has been involved in cost accounting since 2, the company still lacks forward-looking budget management. It is difficult for most enterprises in China to do this, but this is what multinational enterprises are good at.

Soon, Huawei officially launched the IFS (Integrated Financial Transformation) project. At the same time, IBM officially upgraded Huawei to a division customer? Huawei is the only China enterprise among its dozens of business customers around the world. In this sense alone, Ren Zhengfei's vision is beyond other domestic enterprises.

IFS project has trained thousands of qualified financial directors for Huawei. They have implanted standardized financial processes into Huawei's operation processes, achieving a balanced development of revenue and profit, which is also an important reason why Huawei's profit growth is still good despite the slowdown in revenue growth in recent years.

Never interviewed by the media

Among entrepreneurs in China, Ren Zhengfei is the most low-key and mysterious. He has never been interviewed by any media, never participated in the selection, award-giving activities and entrepreneurs' summit, and even refused to participate in activities conducive to Huawei's brand image promotion.

he said: Why don't I see the media? Because I know myself. What did the media say? I'm afraid it's exaggerated to say yes; I don't know, others don't believe it, and even think it's hypocritical, so I have to disappear. Therefore, I can stand loneliness and be content with being dull. I know that my shortcomings are not less than my advantages, and I am not deliberately keeping a low profile. ? He wants Huawei employees to? Quiet? Dear, don't argue online. That's a favor for the company. ?

in the end, Ren Zhengfei did this, didn't he? “”? During this period, Ren's father was criticized, which led him to fail to apply for joining the Party despite his many meritorious deeds. This made him accustomed to the quiet life that won't be awarded. After "",? Pacesetter? Hero? Such as honor avalanche to Ren Zhengfei. What is the psychological quality influenced by past experience? Polishing? In the face of all this, Ren Zhengfei has long been calm.

Initiating Everyone's Share-holding System

In December 211, Ren Zhengfei published the article "One River Flows East" in Huawei's internal forum, which revealed a great secret of Huawei's rise: Everyone's Share-holding System.

Ren Zhengfei holds less than 1% of Huawei's shares, and all other shares are held by ESOP on behalf of employees. If you leave your job, I'll count the tickets for you immediately. Even if it is tens of millions of yuan in cash, Ren Zhengfei doesn't blink. But when you leave the company, you can no longer hold Huawei shares. Huawei shares are only available to those who are still working for Huawei. The design of such a system is not available in the world.

Ren Zhengfei revealed that the design of this system was influenced by parents' unselfishness, frugality, patience and love.

Ren Zhengfei also founded Huawei's CEO rotation system, with each person rotating for half a year. This move is to avoid the company's success or failure depends on one person, and also to avoid being a courtier once.

Ren Zhengfei always reveals a thought-provoking sense of crisis. With the rapid growth of Huawei, he began to work for? Grow too fast and earn too much? Feel anxious. In 214, Huawei's sales revenue increased by 2% year-on-year, reaching $46 billion, and its profit reached $5.4 billion. Know well? Winter theory? Ren Zhengfei, determined to put? Extra money? Spend it in a forward-looking field. In 214, Huawei sold 75 million smartphones, second only to Apple and Samsung, and laid 46% of the world's 4G networks. Ren Zhengfei conservatively throws out the goal for 215:? There should be no problem with sales revenue above $56 billion? .

when asked about Huawei? The secret of success? Ren Zhengfei's answer is: Huawei has no secrets and anyone can learn. Ren Zhengfei said that Huawei has no background, no dependence and no resources. Only by working hard can it get opportunities. Ren Zhengfei said that Huawei is just a grass. In the process of transforming itself into a small sapling, it also needs to learn various management things from the West. Huawei's corporate culture

Logo indicates

Huawei's new corporate logo is more focused, innovative, steady and harmonious on the basis of keeping the original logo vigorous and enterprising, which fully embodies Huawei's spirit of continuing to be enterprising, supporting customers to realize network transformation and continuously launch competitive businesses through continuous innovation; Huawei will be more international, professional and customer-focused, and work with our customers and partners to create a harmonious business environment to achieve its steady growth.

Basic Law

The Basic Law of Huawei lasted for two years and was finally completed in March 1998. The full text * * * consists of 6 chapters and 13 articles, with a length of more than 16, words, including Huawei's core values and general management policies, which stipulate Huawei's basic organizational objectives and management principles and are the origin of all systems. The first chapter expounds the purpose of the enterprise, and the other parts are some specific guiding principles for the design of the system, such as basic operating policies, organizational policies, human resources policies, control policies and so on.

core concept

1. Focus: The new logo focuses more on the core at the bottom, reflecting Huawei's core concept of persisting in customer demand-oriented and continuously creating long-term value for customers;

second, innovation: the new logo is smart and lively, with a sense of the times, which indicates that Huawei will continue to innovate around customers' needs with a positive attitude, and provide customers with competitive products and solutions, * * * facing future opportunities and challenges;

third, stability: the new logo is full and generous, which expresses that Huawei will develop more steadily, become more international and professional;

harmony: the new logo is more harmonious by adding light and shadow elements while maintaining overall symmetry, indicating that Huawei will adhere to open cooperation, build a harmonious business environment and realize its healthy growth.

corporate values

In the previous media propaganda, the outside world always thought that Huawei's corporate culture was many management ideas of President Ren Zhengfei, such as? Mao Zedong Thought? 、? Wolf culture? 、? Militarized management? A series of new enterprise management cultures, such as? Huawei Basic Law? Medium. In fact, in the development period of global operation, Huawei's real corporate culture lies in its core values, which Huawei summarized in 212? Customer-centered, struggler-oriented? Corporate culture. And the formation of its mainstream culture, there are also many long-term tributary cultures, which are quite interesting and easy to remember, so it is easy to pass on. The details are as follows:

1. Achieving customers: Serving customers is the only reason for Huawei's existence, and customer demand is the driving force for Huawei's development.

second, hard work: Huawei has no scarce resources to rely on, and only hard work can win the respect and trust of customers. Adhere to the struggler-oriented, so that strugglers can get reasonable returns.

third, self-criticism: only by insisting on self-criticism, can we listen, discard the useless and continue to surpass, can we respect and cooperate with others more easily, and realize the common development of customers, companies, teams and individuals.

fourth, openness and enterprising: be proactive, be brave in pioneering, and persist in openness and innovation.

5. Sincerity and trustworthiness: Integrity is the most important intangible asset of Huawei, and Huawei insists on winning customers with integrity.

6. Teamwork: if you win, you will raise a glass to celebrate, if you lose, you will save yourself.

vision mission

1. vision: enriching people's communication and life.

mission: focus on the challenges and pressures that customers pay attention to, provide competitive communication solutions and services, and continuously create maximum value for customers.

third, strategy: customer-centric.

serving customers is the only reason for Huawei's existence; Customer demand is the driving force of Huawei's development;

Good quality, good service and low operating cost, giving priority to meeting customers' needs and enhancing their competitiveness and profitability;