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Liu Jiren's unconventional way.
"Neusoft started in a market without software, an era when software is worthless. Today, we see that software has stepped off the high-tech altar and become everyone's consumer goods, and the software industry has also become an emerging industry going global. " Liu Jiren had a presentiment that the good days of Neusoft were coming soon. The coming 10 year will be the year when China's software industry will develop rapidly and play a more important role in the national economy, and Neusoft, led by him, has already made preparations for this 18 year. Indeed, in the past 18 years, Neusoft under the leadership of Liu Jiren took a very unique path: in the era when software could not be sold, the concept of combining software with product engineering was put forward, and Neusoft's software was implanted in car stereos, mobile phones and even ct machines of major brand hospitals around the world; It entered the Japanese market very early and realized the transnational operation of China software enterprises. Predicted the talent bottleneck in China's software industry long ago, and took the lead in setting up Neusoft Institute of Information Engineering in Dalian, Chengdu and Nanhai to train software talents ... What Liu Jiren did was incomprehensible at that time, but it was only a few years later that people suddenly realized.
As a good friend of Liu Jiren, management master Kenichi Ohmae witnessed Neusoft's growth. Every time he comes to China or Liu Jiren to go to Japan, they will have in-depth exchanges. Kenichi Ohmae appreciates Liu Jiren's thought of "transcending technology": "As Liu Jiren said, transcending technology is to create an" ecosystem "that can realize * * *", which is an innovative idea that I have never seen in any business book in my 35 years of management consulting career. It is said that every time Liu Jiren goes out to meet a client, he will directly say, "Look, I can bring you these values. What values can you bring to me? "
In 2009, when the economic crisis raged and enterprises flocked together for the winter, Liu Jiren did several important things: Neusoft set up a European company and increased its expansion in the United States. After the unsuccessful acquisition of Dalian Huaxin, which ranks second in the domestic software outsourcing field, Neusoft decisively acquired 100% of the shares of three mobile phone software companies under Sesca in Finland, with an estimated maximum cost of120,000 euros.
Neusoft's new software park in Dalian is located on two hills, which are connected by a bridge. The taupe stone exterior walls and dome-shaped buildings are like castles, which is also Liu Jiren's idea. In the past years, he didn't take the usual road; In the future, he will also lead Neusoft to continue this way. Reporter: The American financial crisis and the subsequent global economic recession have had a great negative impact on global business activities. Why is Neusoft expanding when most enterprises are tightening?
Liu Jiren: Neusoft's action is not directly related to the crisis. We should always look for our own opportunities. If you always think that the future will be adjusted, then you should act today.
Of course, any crisis will bring adjustment. However, judging from this global crisis, it has not changed the trend of globalization, nor has it changed the trend of global industrial transfer: global R&D resources have shifted from the west to the east, the status among countries has become more equal, the spirit of enterprise cooperation has been strengthened, and human resources are being better integrated on a global scale. In this process, the global political system has also undergone tremendous changes. Such a big adjustment opportunity means that Neusoft can seek some opportunities for leap-forward development and gain a better position in the value chain. Therefore, we will act more actively in the crisis.
Reporter: What preparations has Neusoft made for this expansion in the past year?
Liu Jiren: We have mainly made two preparations: one is to improve the organizational structure and management level, and the other is to accelerate the pace of innovation. In 2009, Neusoft released several major innovations such as 16-slice spiral CT and 1.5T magnetic resonance imaging system, which played a positive role in our business. Reporter: Japan is Neusoft's most important overseas market at present. What do you think of the Japanese market now? What is the prospect of Japanese market in the next three to five years?
Liu Jiren: We are very lucky. The worse the market, the more opportunities we have; Now it seems that Japan's economic situation will not improve in the short term, so we have more opportunities. In the final analysis, the price of products is decreasing, but the cost is rising, which makes the value of Neusoft reflected. Japanese enterprises are now in great difficulty and need to be reorganized. Only after the reorganization will we have a chance to enter. Chairman Mao once said that "if you are poor, you will think about change", and this era has finally come.
Reporter: We see that Neusoft's outsourcing business used to be mainly concentrated in the Japanese market, but in 2009 Neusoft established a European company and increased its expansion in the United States. Does this mean that you will change your business strategy of relying mainly on the Japanese market in the past?
Liu Jiren: Actually, our internationalization process is also a process of gaining customers' trust gradually. Our first step is to succeed in Japan, which is also our logic, because the first step is to make customers trust you. After our success in Japan, we began to replicate the same model in European and American markets. From now on, it is very successful.
Reporter: Specifically, how will Neusoft expand the European and American markets?
Liu Jiren: We operate almost entirely locally and choose local people. We transform ourselves, not them, so as to better suit the local conditions, such as working hours, holidays, culture and so on. These do not require them to change, but let our system adapt and cooperate with them to meet the needs of common work. We chose two local people as the presidents of Neusoft Europe and America respectively. 99% of the local employees are not from China, so we must use local people. Only he can know their culture, their behavior, their thinking and their customs, which is also the most suitable for management.
Reporter: What proportion will Japan, Europe and the United States account for in Neusoft's international business income in the future?
Liu Jiren: We will develop in a balanced way in the future. In 20 10, the number of our overseas employees will double, from the current 400 to 800. Reporter: In August, 2009, Neusoft invested heavily to acquire 0/00% shares of three companies engaged in high-end smartphone software development under Sesca of Finland, which is also the largest overseas acquisition in Neusoft's history. Why did Neusoft make this acquisition?
Liu Jiren: The most important thing in this acquisition of Neusoft is their front-end talents (dealing with customers), which will help us to expand our local business. M&A is our first step. In the second step, we will combine the talents obtained by M&A with the local resources in China, which is the purpose of our M&A. ..
Reporter: Through this merger, do you think Neusoft's front-end can handle customers in Europe and America?
Liu Jiren: Not enough. It needs to be strengthened.
Reporter: A large part of the income of these three companies comes from Nokia's orders. Before the acquisition, Neusoft was already one of Nokia's top ten software development suppliers. How does this acquisition help Neusoft to further undertake Nokia orders?
Liu Jiren: The biggest help is that we have created value for our customers. After this merger, we will hopefully create greater value for our customers.
Reporter: If Nokia gives you a much bigger software development order now, can Neusoft accept it?
Liu Jiren: No problem.
Reporter: At present, Nokia's software operating system platform is mainly Symbian. We have seen that Saipan's market share in the global mobile operating system has declined to some extent in recent years. If Neusoft only puts its own software development business on Saipan system, will there be certain risks?
Liu Jiren: In fact, Neusoft has a comprehensive solution in mobile phone operating system. We have Android platform, NTT DoCoMo platform in Japan, and many other platforms. Neusoft, the mainstream mobile phone operating system platform, can provide an overall solution.
Reporter: How do you evaluate the effect of these months after the acquisition?
Liu Jiren: Actually, we have done well in Finland now. The management team in Finland is very active now, and the company's income and cash flow have undergone positive changes. Our integration is successful, and after one year, we will see greater changes.
Reporter: We saw that all three acquired companies had employee stock ownership. After the acquisition, the shares of these employees have been redeemed. How can we better motivate employees in the next step?
Liu Jiren: Our incentives include basic salary and bonus. In addition, we have established a set of incentive schemes to motivate our employees in the acquired company and make them feel better than the original incentives. After the acquisition, if the treatment is worse than the original, it will definitely not work. Reporter: With the expansion of Neusoft in overseas markets, does the shortage of back-end human resources begin to appear? Do you have any good ways to solve the problem of shortage of human resources?
Liu Jiren: Although our back-end human resources have reached a certain scale, there is still great potential. We have a priority in developing resources: first look at the front end, then at the back end, first develop the resources at the front end better, and then go to our own university. Neusoft has a good system in human resources development and a systematic training plan with universities. We have also formulated human resources development plans in 20 universities across the country. We also have a training center for college students, which has laid a good foundation for our human resources development.
Reporter: How does Neusoft build its long-term growth capability?
Liu Jiren: The first thing is to cultivate and reserve an international talent team. We need to adjust the management team. Neusoft will conduct large-scale recruitment on a global scale this year to obtain more international talents. In addition, we must strengthen the control and management capabilities of systems distributed around the world as soon as possible.
The second is innovation. We are latecomers and a relatively young enterprise. How can we catch up? You need innovation. To this end, Neusoft continues to invest in innovation every year and has achieved certain results. Reporter: Compared with Indian competitors, what are the different characteristics of Neusoft?
Liu Jiren: Neusoft has advantages in human resources, local market in China, product engineering and innovation in medical field. These characteristics make Neusoft's business very stable, which is also the basis of our confidence in the future.
Comparatively speaking, India relies on large-scale human resources, and they rarely sell solutions, but we are actually selling products and building service models through products. In addition, Neusoft has a combination of software and hardware. At the same time, I am also doing product engineering while developing software. Neusoft now has five or six thousand people and is deeply rooted in the software field. The combination of these aspects makes us a unique enterprise.
Reporter: Is it because of this unique business model that Neusoft is difficult to find a benchmark enterprise in the world, so you say Neusoft doesn't learn from Microsoft and IBM?
Liu Jiren: Neusoft should go its own way. For example, everyone is walking in the same lane and you are in the back. No matter how powerful you are and how fast you drive, there is always a problem because you have no choice. Therefore, Neusoft must find another way to build its own unique ability. Neusoft is not a pure product company, a pure service company, a pure intellectual property company or a pure software company. When we put these things together, Neusoft developed its own model. A turbulent world and a readjusted world have brought Neusoft great opportunities, but our own advantages are often what our competitors want but don't have.
Reporter: What are Neusoft's long-term and short-term goals?
Liu Jiren: We will continue to grow. Neusoft's revenue will exceed 4 billion yuan in 2009, and Neusoft's future revenue will reach 654.38+0 billion yuan or even 20 billion yuan, which is a visible goal. Of course, Neusoft does not fully value short-term scale growth. What we value more is the long-term competitiveness and the ability of sustainable growth, which needs to be built with a solid spirit.
Reporter: As a leader in China's software industry, what do you think of the development of China's software industry in recent years?
Liu Jiren: The golden age of China's software industry is coming. If China's software industry is in a process of constant tempering in the past 20 years, then the next 20 years will be the 20 years of explosive growth and miracle of China's software industry. China's software industry will become larger and more mature. Although we still have some gaps compared with India, it only took India more than ten years to reach the present level. China's software industry must go its own way. We may not need to reach the scale of India, but we should make it more valuable. From "China price" to "China value", from "Made in China" to "Created in China", software and information service industry are undoubtedly the most important driving factors.
Reporter: the scale of the enterprise has gone up, and at the same time, we must ensure that our soul cannot be lost. In the process of rapid expansion, how can Neusoft ensure that its corporate culture will not go out of shape?
Liu Jiren: The reason why a good corporate culture can last is because everyone can enjoy the positive feedback brought by corporate culture; Everyone likes this corporate culture because it benefits everyone. So a good corporate culture is actually built by many people. Neusoft values are respect, simplicity, honesty, team spirit and cooperation. We regard this kind of value as the abstraction of everyone's behavior, and everyone likes it and is working hard for it. We have a systematic method to promote corporate culture to take root.
Reporter: Neusoft has been developing at a high speed in recent years. What changes have taken place as the head of Neusoft?
Liu Jiren: It's basically a learning process. When there are three people, there are three people's ideas, and a thousand people have a thousand people's ideas. China's idea comes from the first step out, and the idea of the world comes from going to the world. So my biggest change and feeling is that Dongda is equivalent to a school. When you are in it, you need to keep pursuing it. This pursuit will lead to some changes in your thinking mode and behavior. Mr. Liu Jiren is currently Chairman and CEO of Neusoft Group, Vice President of Northeastern University, Director of National Engineering Research Center for Computer Software, and Chinese representative of APEC Business Council. At the same time, Liu Jiren is also a CPPCC member, doctoral supervisor and professor.
Mr. Liu Jiren 1980 graduated from the Department of Electronics of Northeastern University, 1987 did thesis research at the Institute of Computer Science, National Bureau of Standards, and 1987 received a doctorate from Northeastern University. China's first doctor of computer application, 1988 was promoted to professor.
199 1 year, Liu Jiren and others founded the Open Software System Development Company of Northeast University of Technology, and established Shenyang Donggong Alpai Audio Software Research Institute with Japanese Alpai Co., Ltd., which was the predecessor of Neusoft Group. Neusoft completed the shareholding system reform in 1992, and became the first listed software company in China in 1996. 200 1 The listed company was officially renamed Neusoft, and Neusoft Group completed its overall listing in 2008. 20 1 1 year, Neusoft Group achieved an operating income of more than 1 billion USD and more than 20,000 employees, making it the largest software company in China.
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