Make the company small and make customers bigger

To make enterprises small and light, to focus on energy, to achieve long-term development and breakthrough in their own areas of excellence; customer-oriented and market-oriented, to enable enterprises to get rid of the dilemma of cost management and price competition, and build long-term competition based on ability force.

In the era of the Internet, rebuilding the strategic growth of the enterprise, the internal driving force is the organization and people. So, what changes have been made to the organization and human resource management of enterprises? In what direction is it going? The trend can be judged through the practice of three star companies.


The confession of large groups – the choice strategy from “all” to “special”

There is a large group company with multiple subsidiaries, but 90% of the profits come from two financial companies: banks and securities. The leaders of the group said with annoyance that if the company was able to give up as much as Vanke, it would be the most profitable company to become a strong real estate and financial industry.

However, because the original group leaders always felt that the development prospects of the various industries they operated were good, and they couldn’t bear to let go, and now they have no regrets.

It is the most common phenomenon of Chinese companies to seek greed. The reason is to find all kinds of opportunities, what to do and what to do. As everyone knows, as the market competition intensifies, the growth space and the first-mover advantage will be exhausted, and the enterprise will begin to decline. This is the dilemma faced by many enterprises.

In the current market environment, the boss must learn to make the company small and refined, and steadfastly research in the field that he is good at.

So, for the boss, how can we make the company small and light? Here are a few suggestions for your reference.

Trend 1: Heavy talent, light assets

Chinese companies that really value talent are rare. Many bosses prefer to buy 10 million machines in the factory, and they don’t want to ask for expert consultants every year. This is the “sickness” of the typical “heavy assets and light talents”.

Moreover, many companies like to use obedient employees, because they feel that such people are suitable for corporate culture, and the boss’s appetite, and the truly capable talents are often forced to go.

The boss must overcome the “asset complex”, timely dispose of assets that do not conform to the company’s development direction, use light assets to operate, and gradually improve the utilization rate of assets. At the same time, it is necessary to strengthen the analysis of employee value, rather than judging the quality of employees based on personal preferences.

Trend 2: Heavy efficiency, light scale

What Chinese people value most is the scale. If you look at the company and can’t do it, you must first look at the size of the company. In fact, most companies in the future must be small-scale, but if they want to survive on a small scale, they must be more efficient than big companies. Otherwise, they can only be eliminated by large enterprises.

For example, you are doing a little better than a big company, faster, lower price, better packaging, more convenient to use, more humane, and only then, your small company will survive better.

Trend 3: Heavy customers, light sales

An entrepreneur friend who is doing automatic door production found me. Recently, the automatic door industry has fallen into a price war crisis. He is troubled by this matter: “Following the price war, you will abandon the profit; if you don’t follow the price war, you will Discard sales.”

I asked him: “Do you have confidence in your products?”

He replied: “Our quality is the best in China, and we can compete with foreign brands.”

I smiled and replied: “Why don’t you take the product out of the show? To achieve a strong competitive position, you should show the highest value of your product.”

Don’t compete on price and compete on value. Provide customers with a total solution, not just your part of the solution. When we accept each business order, we must first make it clear that the company’s customers are limited and the number of products is limited. We can make a sense of what we can earn by predicting its limited nature.

This requires the company’s operations must be valuable, and it is necessary to clearly understand whether the purpose of business operations is based on cost considerations or value-based considerations.

Trend 4: Heavy market, light production

Some people say that product quality is the life of an enterprise. Although there is some truth, obviously, this is the product of thinking in the era of production concept.

In today’s era, the lifeblood of a company is not in production but in the market, and in customers. It is a pity that many domestic companies lack professional talents who specialize in market and industry. Which product is based on the boss’s personal experience and intuition. Enterprises must be market- and customer-oriented in order to maintain long-term competitiveness.

If you want to be a qualified executive to take your life a step further, you must take the initiative to learn more and more effective management knowledge, thereby recommending a personal growth course: covering “operation, sales, marketing, management, business, copywriting” Etc., all are practical working methods and excellent experience cases.