Over the years, I have been studying some very fast-growing companies and found that they are fascinated by the growth rate. Whenever they encounter uncertainty, they tend to put speed first, such as the rapid development in recent years. Pinduoduo and Ruixing, for example, the many technology companies in Silicon Valley in the United States, what are they relying on to achieve such a rapid development speed? Through research, I found that the speed of corporate growth is closely related to the growth rate of corporate leaders, the growth rate of corporate organizations, and the growth rate of corporate users.
The growth rate of business leaders
The growth speed and determination of enterprise leaders play a vital role in the growth rate of enterprises.
First, it is the decision-making speed of business leaders. Speed of decision-making is a necessary quality to be a business leader. In the companies we serve, we often see various business leaders. Among these leaders, we often find that some people hesitate in making decisions, leading to missed opportunities later. However, some people can act decisively and seize the key opportunity for enterprise development, which makes the speed of enterprise growth completely unexpected. When faced with uncertainty, good business leaders often choose speed rather than efficiency. These are all determined by the decision-making speed of business leaders.
Second, it is the learning speed of business leaders. In this rapidly changing era, business leaders must have a strong learning ability to keep up with the changes of the times. Otherwise, they may be eliminated by the torrent of the times. The painful experience of Kodak Film and Nokia proves this. Only when business leaders become stronger and stronger, more talents will follow the trend of such an era.
Third, it is the charisma of business leaders. It mainly includes the ideological appeal, spiritual appeal and behavior appeal of business leaders.
Ideological appeal is the ability of business leaders to unify their thoughts about the organization, allowing an enterprise to have one mind and one way to achieve the desired speed of development; spiritual appeal, in fact, many business leaders are spiritual leaders, not only that, but many Business leaders also have an adventurous spirit, which makes subordinates follow closely and form a strong cohesion; charisma is that a business leader can come to the front line to cheer up employees, which will greatly boost the morale of subordinates.
Finally, there are the values of business leaders. This is also very important, involving a corporate leader’s construction of corporate philosophy. The values of a business leader will form his personality and even the personality of the company, and then become the style of the company. Finally, because of these personalities and styles, they will gradually form their own corporate brand culture, plus the projection of the corporate leader and corporate organization. The goodwill of this country and the whole world will become a reason for the company to be respected or even liked by its customers. There will be more and more customers and the company will develop faster and faster.
The growth rate of business organizations
First, the growth rate of the number of organizations. For example, bytedance, in 2020, despite the sudden attack of the global spread of the new crown epidemic and the siege of U.S. President Trump, it still fulfilled its goal set at the beginning of the year, achieving a performance of over 220 billion yuan, and employees from 6 The number of people increased to 100,000. ByteDance has more than 240 office locations around the world, and almost 150 employees are added every day.
Second, the growth rate of the organization. Bytedance, from 0 to 100,000 people, has achieved rapid growth in personnel, and more than 60% of these 100,000 people are senior intellectuals. Each of these high-level intellectuals has their own personalities and ideas, and they all have different dreams. It is a huge project to bring these 60,000 high-level intellectuals together. To manage them well and to stimulate their potential, the growth of the organization, the construction of an organization’s dreams, the urgency of the goal, and the drive of the team are needed to enable the organization to achieve real growth. Zhang Yiming has built such a growing organization with excellent HR capabilities. Almost every executive Zhang Yiming recruits himself to ensure that real talent flows into the organization.
Third, the strategic determination of the organization. For example, when Zhang Yiming wrote the Bytedance business plan, he made a strategic growth model to predict the future of Toutiao. This strategic growth model shows that Toutiao has the opportunity to reach 100 million daily active users (DAU) within 5 years. People, this strategic growth model predicts the market size, penetration rate, and future position of Toutiao in the news crowd. Sure enough, in 2016, Toutiao’s DAU exceeded 100 million, a few months earlier than the Zhang Yiming strategic growth model.
Finally, the executive power of the organization. Zuo Lin and You Li recorded an early story about Bytedance: In 2012, Toutiao was launched as an information platform. Zhang Yiming convened a meeting with a team of more than ten people. The topic was to discuss whether to build a personalized recommendation engine.
This is something that Zhang Yiming had already thought about before starting his business, and he brought it out and discussed it together. What is the result of the discussion? Everyone retreated one after another, saying that the team couldn’t do it without this gene and ability. The personalized recommendation engine is the meaning of the existence of Bytedance, but when this matter has not changed from an idea to a reality, even if the people in the team have listened to it a hundred times, it is difficult to have a sense of the picture and cannot be aware of it. How to believe?
This scenario also happens in many companies. The founder wants to do something and discuss it with everyone. This event originated from the founder. The information that other people can obtain and the energy invested in this matter are limited. It is difficult to reach agreement. So this matter will be stuck in this link. The founder complains that the team does not grow and is not frequent. The team complains that the founder thinks out every time. If no one falls into action, the company’s development will be very problematic.
What did Zhang Yiming do? Since everyone feels that there is no gene and ability is not good, and this is the company’s strategy, then he personally goes. In Zuo Lin and You Li’s report, Zhang Yiming replied firmly to the team: “If we do not solve the problem of personalized and intelligent recommendation, our products will only make some minor innovations, and we may be able to get some mobile Internet dividends, but it is impossible. A fundamental breakthrough cannot create real value.”
Zhang Yiming also gave a solution: “We don’t recommend it, but we can learn it.” After speaking, he did it himself. Relying on his own imagination and searching information on the Internet, he wrote the first version of ByteDance’s recommendation engine.
Growth rate of corporate customers
The US Silicon Valley, with a population of only 4 million, has created most of the world’s valuable technology companies in the past 25 years, serving almost global users. How can this be done? In fact, it depends on the geometric growth of users. These companies have a common feature, that is, when facing uncertainty, they give priority to the speed of customer growth rather than the so-called benefits. In other words, they always put user growth first. So how do users grow?
First of all, the products or services of the enterprise give users the magnitude of the benefits. For example, when Didi Dache first started, it not only solved the problem of “difficult to find a car for passengers and difficult for a taxi to find passengers”, but also replenishes passengers and drivers. Both driver users and passenger users have received great benefits. Therefore, the growth rate of Didi Dache is unparalleled. In just two years, it has grown from “didi once, start immediately” to “four friends, three with Didi”. It can be seen that for users The greater the benefits, the faster the user growth rate.
Secondly, how convenient is the company’s products or services to customers. For example, a Mobike bike is parked at the subway entrance, takes out the mobile phone, and can be ridden away. The original ofo was to obtain the password, and then use the password to unlock the lock. It was just one more process, which caused everyone. They all chose the more convenient orange Mobike, but the small yellow car ofo failed. The two companies still collected deposits before. Ali’s small blue car-Haro Bicycle, does not require a deposit at all. As long as Alipay has enough credit, you can ride away at any time, which will compete for a large number of users.
Users are lazy, so the more convenience you give them, the faster your company’s users will grow.
Third, it is the cost of linking the company’s products or services with customers. Smart companies will always allow customers to have a relationship with themselves or generate links at the least cost, even for free. Therefore, many well-known companies will lower the threshold for customers to have a relationship with their products. Not only that, many companies even set up a golden combination of free products, star products, high-profit products, and gift products. The purpose is to find more Customer growth opportunities, so that more customers can have a relationship with their products.
Finally, it is the price of the company’s products or services. In China, there is a very fast-growing company called Xiaomi. His founder Lei Jun used an innovative business model, which was to sell his smartphones at a cost price as a promotion strategy to build a powerful mobile software platform. After that, Xiaomi changed the software running on the platform and sold smart phone accessories and other core hardware products such as smart homes to obtain high profits.
To sum up, in order for an enterprise to achieve rapid growth, it must accelerate the growth rate of corporate leaders, the growth rate of corporate organizations, and the growth rate of corporate users. Only in this way can the enterprise achieve rapid growth in the true sense.