ren zhengfei leadership style
30.12.2020, , 0
The interview was first broadcast on CNBC's Squawk Box Asia on 15 April 2019 and the full interview will air as a special episode of CNBC Conversation on Friday, 19 April at 9am (SG/HK). Mr. Ren: We have worked closely with our customers for 30 years. Living in such extremely harsh conditions and working on such a highly modernized project was really a good experience for me. As can be expected of a man with an army background he served in the Peoples Liberation Army he is known to be intense and tough and never loses control. At that time, since the number of the employees is limited, the difficulty Ren zhengfei and its group encountered in the human resource management is little. What they lack and what successful leaders embody, down to their marrow is organizational intelligence. At that time, Zhengfei clearly used a competitive mindset as the driving force to grow as a company. This meant we were left behind for many years in this area. I said this as an outsider without considering his treatment of Huawei. Ren is the son of school teachers and grew up in a mountainous town . Our scientists spotted it and spent 10 years turning his theories into the 5G standards of today. This was because we were never intended to engage in military operations. You survived some hardships like famine. "Every generation produces its own great character, and each exerts impact for hundreds of years.". Like a judo master, you must practice getting the maximum effect from your large organization with a minimum effort on your part: the judicious email, the sharp moment of theater. We will wait for the court to make its judgment. Being born blind and deaf is caused by missing of genes. Ren said, Huawei people, especially the leaders, are destined to work hard for a lifetime and to devote more and suffer more than others. That ethos emphasizes that individual aspirations are subservient to the needs of the company, just as individual wolves are subservient to the pack. My younger daughter is a fan of Mr. Jobs, so she proposed that we stop for a moment of silence to mourn him, and we did. As a result, I went back to where I started and jumped into the market economy. We cannot deny the role that enthusiasm plays in the procedure. When two nations or companies meet, they must collaborate to achieve shared success. Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. Arjun Kharpal: Have you spoken to her recently? Mr. Jobs was great not because he created Apple, but because he created an era, the mobile Internet era. Zhengfei was very clear about this ambition and demanded that all Huawei employees would adopt the US-based way of looking at business as introduced by IBM. Ren Zhengfei, a founder of Huawei, conducts the personal communication style inspiring employees to achieve high results. I believe China and the US should stress collaboration and shared success. As he spent decades building one of the biggest tech companies on the planet, Ren Zhengfei kept a low public profile. That's why I said he is a great president. What company can outperform Microsoft in Office and Windows? We'll buy them directly." With higher prices, we have started earning more. Wearing nice clothes or seeking further education was not what I wanted. Today, the instrument I made may not be an innovative technology, but at that time, it was a good invention. This is surprising because Huawei has been very active in 2014 and 2015 in securing many partnerships with European firms, ranging from a focus on cloud storage and cell phone applications in security areas. In the early years, Huawei, as a private company, had to battle primarily the State Owned Enterprise (SOE) dominated market. In the words of Zhengfei: Chaos was removed and structure entered Huawei. More and more companies are harnessing new technologies more quickly. The billionaire founder of Chinese telecoms equipment giant Huawei rarely. By studying law on my own, I realized that only a focused approach to scientific research could lead to new products. We will not distribute any extra profit to our employees. Mr. Ren: She will continue to do what she has been doing. Part of making the dreams of customers to come alive is the idea that providing the best service possible is crucial to the success of the company. Do you still feel Europe is open to Huawei, or could one country blocking Huawei mean that the whole union stops Huawei from participating in 5G? Do you think Huawei is at that point yet? Learn how to create a winning business plan. There was nothing much wrong with them just a few scratches and other minor defects. A great opportunity arose when one senior professor complained that the teaching program staffers acted as if the faculty worked for them, rather than the other way around. Without the leadership Ren zhengfei has, there could not have been todays Huawei. Zhengfei made this very clear when he said: I do not know anything about technology, but I can bring people together to work for the collective. He is praised for his desire to hire better people in the areas he is weak in, with the ultimate goal to improve the quality of Huawei products and services. Obviously this has required a strict control of information, which attaches a flavor of secrecy and even mystery to the behavior of Mr. Ren Zhengfei. Meng is now in a similar situation. The last thing we want is to have bureaucrats or managers lead our way in technology. Huawei's achievements were not created by me alone, but by our 180,000 employees. Every year we invest more than 20 billion US dollars in it. And you've said that you want to be number one in smartphones. Indeed, as the Chinese say: Every generation produces its own great character (Jiang shan dai you ren cai chu) and each exerts impact for hundreds of years (Ge ling feng sao shu bai nian). Academics were reluctant to engage with executives. Nothing we've achieved would give us the right to neglect any laws or overlook the technologies of any country. European countries want to think over all their options a bit. The US stock market may witness a significant rise this July. Autocratic leadership: It is also known as pragmatic leadership. As can be expected of a man with an army background he served in the Peoples Liberation Army he is known to be intense and tough and never loses control. And then, once we had established some market presence, we began to build up capital. And its founder Ren zhengfei is thought be be one of the best leader in the business world. These difficulties will make her stronger and prepare her for even greater things ahead. High-OQ leaders send messages that reinforce the strategy and minimize other messaging. After I joined the army, I was tasked to establish a chemical fiber factory in Liaoyang, a city in the northeast of China. Where does this idea of competing in a cooperative way come from? So this won't impact us too much. The industry had high requirements. Jobs then dropped the device into an aquarium, and bubbles floated up. This introductory chapter offers an overview of the entire book on the management transformation of Huawei. He relentlessly convinces his employees through stories and actions. Its fighting spirit, however, made it resistant to many negative influences and today Huawei can be called the only true global Chinese company. We chose a tough road. Typically, they've been used in Huawei's products. It's not up to me to designate a successor. Taiyuan, Shanxi. Although this multinational company surpassed Ericsson in 2012 as the world leader in terms of sales revenue and net profit, the company is still relatively unknown to the European business audience. The Opportunities and Challenges of Global Teams. Leadership styles. If we get caught in the middle, we will be crushed like a watermelon when these two powers clash. However, we are not in any position to require other companies to do the same. This selective messaging was not popular, but it was highly effective. What else can we talk about? Steve Jobs is known more internationally. We did not know that these small things were designed to connect the whole city or even the whole world. If the Chinese government or any other government ask you to hand over data, how would you react? People don't object to the editing of plant genes. Arjun Kharpal: Do you have a succession plan in place when you eventually do retire? Ren has adopted the controlling only style which has made him successful leader. All he cares about is how to thoroughly solve every problem his company meets and how to improve the efficiency of the whole group. And he left other core aspects of the business, such as steadily improving the retail offer (Every little helps), untouched. They don't choose certain goods just because a politician says so. Huawei has indeed invested considerably in creating a learning driven culture where the power of the mind is visible. Executives may want to develop these OQ competencies on the way up the ladder and theyll certainly need them if they are to succeed at the most senior levels. China has a population of 1.3 billion consumers. After, completing his school, He attended the university named Chongqing and then Ren Zhengfei, joined Peoples Liberation Army research institute as, he wishes to work as a military technologist, reportedly in the PLA's Information Technology research unit. Among his other, achievements, Ren is accountable of development of cooperative programs, Chinas interior regions. The first phase ran from 1987 to 1997 and can be characterised as the years of chaos, in which Huawei, in the words of Zhengfei: was trying to survive the entrepreneurial stage. Now we talk a lot about genetic modification, or gene editing. Most of us also didn't understand that move. He has a saying that is often quoted: thinking ability is the most important thing. Facts and evidence should be made public and transparent in the courts, which are the basis for fair and just judgment. Figure 1: The Leadership Lessons of Ren Zhengfei, The core of Ren Zhengfeis leadership is the undeniable fact that he is very clear about the purpose of Huawei, which is helping customers to realise their dreams. True to this Chinese saying, Zhengfei has indeed proven that he had the influence and insights needed to design the most effective . I would say he is a great president. Otherwise, we wouldn't be able to enter the network equipment industry. Mr. Ren: Regarding the allegations against Meng Wanzhou and Huawei, the US Department of Justice has sued Huawei, and Huawei has pleaded not guilty in the court. There is nothing else that I want to share with him. That's the shortcoming of Trump's approach. That requires two skills. He took. Consequently, Huawei's performance took a nosedive and employee satisfaction also sank. When designers showed the first iPod prototype to Steve Jobs, he said it was too big. But even if it did happen, it would be at least 30 years from now. Trusted by 2+ million users, 1000+ happy students everyday, You are reading a previewUpload your documents to download or Become a Desklib member to get accesss. As the dean of Rotterdam School of Management (RSM), one of us, George, set the strategic objective of persuading faculty members to publish in practitioner journals like HBR and MIT Sloan Management Reviewin addition to academic journals. Why do they accept these things? It will never happen. As I said, this is because we have no real presence in the US market. David De Cremer is the KPMG Professor of Management Studies at the Judge Business School, University of Cambridge, UK, an honorary professor at Wenzhou University, China, and a research fellow at the Ruihua Innovative Management Research Institute at Zehjiang University, China. Zhengfei was worried that phase 2 created a kind of decision-making that was less than efficient. Harvard Business Publishing is an affiliate of Harvard Business School. Fuelled by his passion, Ren Zhengfei works hard to translate the purpose of the company into a vision aimed at Huawei achieving a world leading status. We will rush towards and focus all of our efforts on this technology. In Huaweis early years, Zhengfei retained authority on major decisions such as corporate development strategies and culture building, but fully empowered employees when it comes to R&D, manager appointment, compensation & benefit allocation, and other areas. Many companies' financial statements last year weren't great because they needed to pay income tax arrears. We will not be affected by increased tariffs, either. The leadership of Ren Zhengfei, however, does differ from this rather "controlling only" style in important ways. Huawei, one of the biggest company focusing on making communication tools like cellphones, is famous all over the world. No reviews should be taken at face value, always conduct your research before making financial commitments. One Chinese company that is increasingly becoming active in Europe is the Chinese telecom giant Huawei. Take machine translation as an example. In China, leadership has traditionally been grounded in a hierarchical top-down management system. So productivity will be greatly improved. I raised a total of over 20,000 RMB to pay the variety of fees needed to start a company. You've grown the company over 30 years to the size of it now. First, we want to provide the best connectivity in the world, and 5G is part of connectivity. First, embrace bureaucracy rather than rail against it. Ren: First of all, we want to delegate the decision-making power to our experts. We have given up on supercomputing and intermediate computing. Detailed information on the use of cookies on this Site, and how you can decline them, is provided in our, Delivering Innovation Accenture Research, A Special Report on AI and Humans by AiTH, NUS Business School, Europes recovery is possible. We live in a very connected world. Ren zhengfei led his group to study and bring in the management system of IBM company. Germany proposed the establishment of a unified global convention that would bar all equipment vendors from installing backdoors, and require them to sign a no-spy agreement. Do these seven lessons primarily make Zhengfei a cerebral type of leader as the power of the mind is placed so central to his philosophy? Some top military officers didn't understand it, either. One story that stayed with Zhengfei was the overthrow of King James II of England by a union led by William of Orange in 1688, which was called the Glorious Revolution. Why do I like to use military terms? Its success stems in no small part from its ethos, the wolf spirit of Huawei, created by founder and chairman Ren Zhengfei at the start. On one hand he possesses the characteristics of a controlling leader who makes all the decisions. Mr. Ren Zhengfei has been capable of pioneering the development of technology while growing in the world. Publication Date: Arjun Kharpal: Do you feel that your military-style speeches empower the employees here? Media Contact:Clarence ChenCommunications Manager APAC, CNBC InternationalD: +65 6326 1123M: +65 9852 8630clarence.chen@cnbc.com. There are various types of leadership styles (Fiaz et al., 2017) 1. I was later told that she sent me a letter, where she mentioned that she wanted to leave the company. Just tell me what you think are going to be some of the significant technological developments over the next two years that you see coming. The criticism was scathing, including from McKinsey and other top consulting firms. In the early years of Huawei, Zhengfei was very much aware that their products did not meet the standards of those of its competitors. That means there is space in there. Your email address will not be published. So I'll let her face what she is facing. The qualities that help managers rise in the organization emotional intelligence, high IQ, technical competence, and so forth dont necessarily make them effective once theyre in a leadership position. If no one dares to invest in the US, then how can they make up for lost tax revenue? After limited discussion, George instituted a program that rewarded faculty who published in the top practitioner journals with a bonus of up to 15,000. These cities were moving away from the previous planned economy. Arjun Kharpal: What guarantees can you give to customers that their data is safe? Since China has become the second largest economy in the world, this relationship has taken new forms in the shape of several business initiatives. At Huawei, we have two major areas that we are focusing on for the future. Dong Mingzhu, Chinas most successful businesswoman and the head of Gree Electric, has a persona that says, Where Sister Dong walks, no grass grows meaning she is really, really tough. Sheryl Sandberg is well-known for combining social skills and intelligence in a way that allowed her to break up the boys club at Facebook. Action strategy is about making things happen. If the US thinks we can be used as a pawn, I'd say they probably have the wrong person. There's a lot of disagreement, of course, on what the right course of action is in Europe. As a result, we set our prices at a relatively low level, which made it hard for Western companies to compete with us. 5. Arjun Kharpal: In terms of the way he's negotiated with China, some people would say that actually he's managed to get concessions for the US. 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ren zhengfei leadership style